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British Airways has announced the reduction of prices of airline tickets on the Tel Aviv to London route by 35 percent for this summer.  The decision was taken based on the large supply of tickets on the route and because of the fierce competition.  Yael Katan: “The number of passengers on the route has not increased, however we are looking at being more competitive.”

British Airways has joined the price war on the route to London by offering airline tickets 35 percent cheaper than last summer.  A ticket from Tel Aviv to London in economy class will be $497 compared with $779 last year.  Business class tickets will cost $1,410; this compares with $2,186 in summer 2008.

According to Yael Katan, the manager of British Airways in Israel, the reduction in prices will make it far easier for Israelis to travel overseas. She explained that economic conditions have led to falling demand compared to supply and that the aviation industry was experiencing an unprofitable period.

Katan commented “Other airlines in Israel are raising prices because of the increase in oil, but we are actually reducing our prices. The new prices are valid on the purchase of airline tickets until further notice.”   Against the background of growing competition on the London route and the fact that for the first time since starting to fly to Israel, British Airways competitor bmi actually carried more passengers on the London route. (Based on data from the Israel Airports Authority)

Katan contends that these figures are based on local sales carried out in Israel or London and not airline tickets bought in other destinations in the world.  “Most of the British Airways passengers are foreign and the data from the Israel Airports Authority does not include them.