Infrastructure Minister Ray Harmer MHK has defended the use of ’virtual’ airlines on Isle of Man routes, after Citywing collapsed with debts of £1.8 million.

Up to 8,000 passengers were affected when the ticket-seller stopped trading on March 10.

Citywing directors said they had no choice but to go into voluntary liquidation after Van Air Europe, which operated its services, lost its route licences.

In the House of Keys on Tuesday, Lawrie Hooper (LibVannin, Ramsey) demanded to know what plans Mr Harmer had to ’prevent virtual airlines from continuing to operate from the island’.

Mr Harmer said: ’We no longer have any scheduled services operated to and from Ronaldsway by ticket-sellers, or by "virtual airlines", which was the term used by the local media.’

He added: ’The island has benefited economically in having such operations.’

Over the past 10 years, such services had flown nearly 800,000 passengers in and out of Ronaldsway, from ’important niche markets’, he said.

The collapse of Citywing meant about 20 staff were facing redundancy and a similar fate loomed over staff at destination airports.

In the aftermath of the collapse, Citywing’s position in the airline industry, and the government’s willingness to allow it on Isle of Man routes, has been questioned.

Mr Harmer said: ’It has always been clear to the department that Citywing was a ticket-seller. However, a ticket-seller has to have an airline partner in order to operate services. The airline providing the services of a ticket-seller has to follow all appropriate operational and safety regulations like any other air operator.

’As an airport operator the department demands and endorses the highest levels of aviation safety both on the ground at the airport and in the air.’

The Isle of Man is not part of the UK Air Travel Organisers’ licence scheme, but the UK is reviewing the exemption that allows ticket-sellers to operate up to 19 seats on scheduled services.

Mr Harmer added: ’Operating as a ticket-seller is not illegal and, as long as the operation of the relevant aircraft operator contracted by the ticket-seller meets the high safety standards required of commercial air transport, then this is perfectly acceptable.’

Mr Hooper suggested it was time to review the regulation of air travel to secure strategic routes.

Pointing out that the former Citywing routes were now up and running with other operators, Mr Harmer said it was planned to bring forward a contingency plan on licensing to Tynwald in 2019/20.

What do you think? Email [email protected]