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Wizz Air cuts UK growth plans, blames Brexit

AFP  |  London 

Hungarian budget airline Wizz Air today cut back its British expansion plans and blamed Brexit and the subsequent slump in sterling.

The group announced it was "halving" its plans for second-half growth in Britain "as a direct result of Brexit and the weaker British pound".

The news, contained in Wizz Air's quarterly results statement, came after the pound tumbled in the wake of Britain's shock EU exit referendum.

"The UK's decision to leave the European Union has led to a notable weakness in fares - in euro terms - on routes to/from the UK, mainly due to the much weaker British pound," a company spokesman told AFP.

"Wizz Air has already started re-adjusting its network due to this weakness and halving its intended second half growth to the UK and re-deploying this capacity to other non-UK routes."

The budget carrier had previously intended to increase its capacity to/from Britain by 30 per cent, but this will be trimmed to 15 per cent.

Plans for new routes would still go ahead but the frequency of flights will not be increased for the time being, according to the group.

In the wake of the June 23 referendum, Irish no-frills carrier Ryanair said it will put the brakes on new UK connections for the coming months given the uncertainty caused by Brexit.

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First Published: Wed, July 20 2016. 16:57 IST