February 15, 2026
3 mins read

Cornwall Ends London Flight Subsidy

Skybus managing director Jonathan Hinkles said the airline would cease operating the Newquay–Gatwick service by 31 May after its tender to continue the subsidised route was refused. Customers with forward bookings are being fully refunded…reports Asian Lite News

Airline bosses have warned that a decision to end public subsidies for flights between Newquay and London will be “incredibly damaging” to Cornwall’s connectivity and aviation sector.

The route between Cornwall Airport Newquay and Gatwick Airport is currently operated by Skybus under a Passenger Service Obligation (PSO) contract jointly funded by the government and Cornwall Council.

However, the government’s share of the subsidy has been reduced from 66.7% to 50%, significantly increasing the financial burden on local taxpayers. Councillors were told the service would require between £14 million and £16 million in public funding over the next four years if it were to continue in its current form.

Following a tender process, the council voted not to proceed with a renewed PSO arrangement, instead opting to pursue a commercially operated alternative.

Skybus managing director Jonathan Hinkles said the airline would cease operating the Newquay–Gatwick service by 31 May after its tender to continue the subsidised route was refused. Customers with forward bookings are being fully refunded.

Hinkles said Skybus had submitted four options to continue operating the PSO from 1 June 2026 and had been the only airline to tender. He claimed the council had neither fully considered the bid nor engaged in dialogue over what he described as a single disputed element concerning airport fees and charges.

“I think it would be fair to say that we’re bitterly disappointed, but also very bitter, because I think the decision has been taken on anything other than rational, sensible ground,” he said.

He expressed “grave concerns” about the wider impact of the move, warning that the loss of the PSO-supported route could undermine employment in the aviation sector and threaten the financial stability of Cornwall Airport Newquay.

“Pulling the PSO air service will not save the council a red cent of money,” Hinkles said. “Even if a limited replacement London service now appears, the loss of income to the airport based on huge discounts it has to offer will render its financial position wholly unsustainable.”

He added that Cornwall’s economy had been “sacrificed on a mountain of stupidity,” arguing that reliable air links to London were vital for business, tourism and inward investment.

The current arrangement followed the collapse of Eastern Airways in November 2025, after which a temporary agreement was reached for Skybus to operate the route until May. Hinkles said his team had made “a huge effort” to restore the connection and now felt “a true sense of despair”.

In response, council leader Leigh Frost said the reduction in central government funding had been “massively unhelpful” and meant Cornwall taxpayers would have had to shoulder a significantly higher share of the subsidy.

“Ultimately we wanted to see a PSO come in, we didn’t get a compliant bid,” Frost said. “If we had a compliant bid on that table we would have accepted it.”

He explained that the route had been put out to tender twice but no compliant bid had been received, meaning the council was legally unable to accept any proposal that failed to meet procurement requirements.

The council now plans to approach airlines commercially in a bid to secure alternative services, potentially including routes to London City Airport. Frost said the authority would work with carriers, including Skybus, to ensure Cornwall remains connected to the capital.

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