Air travel prices could rise by up to 10 percent next year: here's why
The disruption of the energy export system through the Strait of Hormuz has put significant pressure on oil and jet fuel prices.
Airfares could rise by up to 10 percent next year, it has been reported.
International air fares are expected to rise by 10 percent by 2027 if the conflict in the Middle East continues, according to an analytical report by Tourism Economics.
The increase in air travel costs is forecast to be most noticeable in late 2026. If supply disruptions continue, prices could rise even more significantly in 2027 - up to 10 percent.
The disruption of the energy export system through the Strait of Hormuz has put significant pressure on oil and jet fuel prices. In addition, jet fuel prices have risen sharply relative to crude oil prices, driven by record-high refining margins, as well as concerns about storage and supply capacity.
The report notes that even in a relatively favorable scenario, average global airfares in 2026 could be 5-10 percent higher than expected before the conflict.
The exact extent of this impact is difficult to determine, as cost increases are usually reflected in final prices months later. This process is particularly complicated by airlines’ hedging strategies and advance booking of flights.