BA lifts fuel surcharge on back of high oil prices

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British Airways said Friday that it will lift its fuel surcharge for longhaul flights, blaming soaring crude oil prices for the move.

"British Airways will increase its fuel surcharge on longhaul services from Tuesday, February 8," it said in a statement. The carrier will not increase the surcharge on shorthaul services.

"The move reflects the continuing substantial increase in the price of oil and a 14 percent rise in the spot price of jet fuel since our last fuel surcharge increase in December 2010," it added.

This week, Brent oil prices surged to a record high point above $103 per barrel, which in turn ramped up the cost of kerosene, or jet fuel.

BA merged with Spanish peer Iberia last month to create International Airlines Group. However, both airlines retained their current operations and individual brands.

The giant merger created Europe's second biggest airline by market value behind Lufthansa of Germany and will carry about 60 million passengers a year.

British Airways holds 55 percent of IAG, while Iberia owns the rest.

© 2011 AFP

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