Fury as Qantas prices set to soar

Ticket prices on domestic and international Qantas flights will jump by 3.5 per cent from October 27, piling more pressure on cash strapped Aussies.

The national airline said it has “no choice” but to increase prices as it struggles to absorb the rising cost of fuel, but the move has left customers furious.

“It just seems like they’re taking the p**s,” one irritated woman told 9 News.

“Australians don’t like that.”

Jetstar flights will also be 3 per cent more expensive from next week.

The increase could make it harder for families to get together over Christmas with the holiday season just around the corner.

Late last month, the airline foreshadowed the change, noting in an ASX announcement fuel prices had “increased by around 30 per cent since May 2023, including a 10 per cent spike since August”.

Qantas defended its decision, blaming a variety of factors such as ongoing conflict in the Middle East and a weak Australian dollar.

“As flagged last month, sustained increases in fuel prices are placing upward pressure on fares,” Qantas said in the statement.

“The Qantas Group has absorbed recent fuel cost increases but, given current tensions in the Middle East and broader economic factors including a weaker Australian dollar, the price of fuel is expected to remain elevated for some time.”

A spokesperson confirmed there would be an average fare increase of 3.5 per cent for Qantas and 3 per cent for Jetstar to recover “some of this higher cost going forward while continuing to absorb the remainder”.

“Similarly, Jetstar will increase its fares by an average of 3 per cent. Actual increases will vary by route and cabin.”

The changes will only apply from bookings made from 27 October 2023, meaning customers can book ahead of this increase and not be impacted by it, the airline confirmed.

Qantas, which owns Jetstar, recorded an eye-watering record pre-tax profit of $2.47 billion in the last financial year.

News of a price hike is likely to pile more pressure on the beleaguered airline as it grapples with a public relations crisis.

Ex-boss Alan Joyce quit as CEO in September amid multiple scandals, including allegations Qantas continued to sell tickets for cancelled flights.

Joyce has avoided fronting a Senate inquiry into aviation after a Coalition bid to extend the inquiry failed this week.

The Australian Competition and Consumer Commission (ACCC) will resume monitoring domestic air passenger services to help ensure Australians see the benefits of a competitive airline sector, the federal government announced recently.

“We want a safe, sustainable and efficient aviation sector that provides a high standard of service, good prices and better consumer protections for Australians,” a joint statement from Treasurer Jim Chalmers and Transport Minister Catherine King read.

“A competitive airline industry helps to put downward pressure on prices and deliver more choice for Australians facing cost‑of‑living pressures.”

Qantas chairman Richard Goyder also recently announced he would be retiring from the position in 2024.

Goyder’s long goodbye was slammed by Transport Workers Union bosses furious with Qantas after the High Court upheld a federal court ruling the airline had illegally outsourced more than 1700 jobs during the pandemic.

The latest price hike is yet another headache for new CEO Vanessa Hudson as she endures a torrid start to her role.

Originally published as ‘Taking the p**s’: Passengers rage as Qantas flight prices set to soar