European Cargo Limited, which operates long-haul freighter flights from Bournemouth Airport, is the latest airline to go into administration amid a tough economic climate
A British airline has entered administration – with some staff reportedly told they are being made redundant.
European Cargo Limited, which operates long-haul freighter flights from Bournemouth Airport, confirmed it had appointed administrators on June 3.
The cargo company was launched during the Covid pandemic, converting former passenger planes into freight aircraft and supporting NHS PPE delivery.
A spokesperson for the firm said: “Stuart Morris, Robert Fishman and David Soden of Teneo Financial Advisory Limited were appointed joint administrators of European Cargo Limited on June 3.”
Two staff members, who did not want to be named, claimed they were made redundant via a Microsoft Teams call on Wednesday, the Bournemouth Echo reported.
Flight-tracking data indicates European Cargo’s operations stopped before the formal administration filing. FlightAware shows no departures after May 19.
The airline described itself as a “one of a kind cargo operation”, delivering “agile, efficient and long-range air freight services” with a fleet of unique A340s. It operated freight flights to “anywhere in the world”, according to its website.
The Bournemouth Airport-based company was a major part of the transport hub’s bid to boost its reputation as a cargo site. European Cargo previously praised the airport as a cost-effective alternative to others around the country, with transport links to London and uncrowded airspace.
While the firm did not confirm the reasons for the appointment of administrators, it is not the first airline to face issues in recent months.
The trend, driven by skyrocketing jet fuel prices and exacerbated by the conflict in the Middle East, has seen hundreds of jobs lost, with other carriers slashing services or raising ticket costs.
The UK Government has relaxed sanctions on Russian crude oil, allowing for the import of jet fuel and diesel refined in third countries amid surging costs. A trade licence, which came into effect last month, permits the imports “indefinitely”.
According to the licence, the sanctions carve-out will be periodically reviewed as fuel prices rise due to the closure of the Strait of Hormuz and the ongoing crisis in the Middle East.
UK charter carrier Zenith Aviation Limited became the latest to enter administration in late May. Paul Hargraves of Nexus Corporate Solutions Limited, who was appointed as administrator to the London Biggin Hill-based airline, said the “unfortunate” move was due to “cashflow issues” among other challenges.
The Mirror has contacted European Cargo Limited for comment.
