Airline Fuel Costs And Ticket Prices Surge
CHARLOTTE, NC – The rising cost of gas could soon start impacting the price of airline tickets. With loosening Covid restrictions in many states and cities, as well as the summer travel season nearing, experts say now may be the best time to buy your plane tickets.
“There is no question that at some point we’re going to see ticket prices go up. Air fare start to spike,” said David Slotnick.
Slotnick is the senior airline business reporter for The Points Guy.
“Jet fuel prices have gone up more than 50% so far this year. That’s a pretty dramatic jump,” explained Slotnick.
He says fuel prices are the highest they’ve been since 2008 and they’re much higher than the airlines had anticipated to start the year.
“This at some point is going to trickle down to consumers. The question is the degree that we’re going to see that happen and when we’re going to see that happen,” said Slotnick.
He says airlines are cautious when it comes to raising prices too high.
“They don’t want to risk alienating this new demand. They don’t want to lose the nascent business travel. They don’t want to lose leisure travel,” explained Slotnick.
Although, according to travel booking app Hopper, domestic airline travel ticket prices have risen 21% since the beginning of this year.
While Slotnick says fuel prices could level off in the coming weeks, he says airline ticket prices aren’t getting any cheaper. If you’re considering travel, now may be the best time to buy.
“Every expert I’ve spoken to. Every interview I’ve done. Every story I’ve reported suggests the ticket prices are going to go up. That’s not just oil prices. That’s inflation, that’s increased travel demand,” explained Slotnick.