Jersey’s Blue Islands Suspends Flights as Government Ends Support

Blue Islands (SI, Jersey) halted all flight operations effective immediately on November 14, 2025, after the Jersey government informed the carrier it would no longer provide financial support. The shutdown triggered swift responses from regional competitors, with Loganair and Aurigny Air Services moving to fill the sudden capacity gap.
“After very constructive dialogue with the Government of Jersey in recent months… we were informed this afternoon that they are unable to provide further support,” the airline said. “We now need to suspend flying immediately while we consider the options available and how we can help our customers, staff and stakeholders.”
According to the Guernsey Press, Blue Islands still owed around GBP 7 million (USD 9.2 million) from an GBP 8.5 million (USD 11.2 million) loan issued during the COVID-19 pandemic.
ch-aviation data shows the airline operated four ATR72-500s and one ATR72-600. Three ATR72-500s are parked in Jersey, while the fourth and the ATR72-600 are in Guernsey. Blue Islands flew year-round routes between Jersey, Guernsey and Southampton, along with flights from Jersey to Exeter, Bristol International and Nottingham East Midlands. It had planned to launch a Southampton–Leeds/Bradford service in March 2026—its first mainland U.K. route—alongside additional seasonal summer services.
Industry reactions
With the British regional aviation market already strained after Eastern Airways suspended operations in late October, other carriers reacted quickly.
Scotland’s Loganair launched new routes from Jersey to Guernsey, Exeter, Bristol and Southampton on November 16, and plans to introduce Guernsey–Southampton services pending regulatory approval. The airline said the expansion will lead to a new permanent operating base in Jersey. Loganair previously served Jersey until 2021 and ended a codeshare with Blue Islands earlier this year.
Aurigny Air Services, owned by the Guernsey government, added more flights on its Guernsey–Southampton and Guernsey–Jersey routes.
Skybus (IOS, Land’s End), which planned to wet-lease an ATR72-500 from Blue Islands to launch its Newquay–London Gatwick PSO service on November 23, said it remains committed to the launch. “This was a challenge for Skybus, yet one we’ll overcome,” CEO Jonathan Hinkles said.
Related News: https://airguide.info/category/air-travel-business/airline-finance/
Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com
