Ryanair make £548m from ‘stealth charges’
12.09.09
Ryanair made almost £550m last year in 'stealth charges' - add on charges such as baggage fees, in-flight food, and insurance costs, according to researchers in America. It is the fourth most profitable airline in the world when it comes to the money it makes from ‘ancillary revenue’ and the most profitable in Europe, a report by the research group IdeaWorks said.
The airline is renowned among consumers for its stealth charges, which can more than treble the original quoted price of a ticket in some cases. These include a £10 fee for the first checked in bag and £20 for each subsequent bag, a £5 payment handling fee for a one-way flight, a £20 charge for children under two to fly, and a £5 online check-in fee for a one way flight.
Ryanair makes almost 20% of its total revenue through these ancillary charges, which also include commission on things like airport parking and on site advertising, the research group said. This was a 73% rise from 2006.
Last week, Ryanair announced it would increase its luggage charges by 50% to £30 for the first bag from 1 October.
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