The UK aviation sector has been dealt another significant blow as regional carrier Blue Islands has ceased all operations and cancelled every flight, leaving thousands of passengers stranded.
Immediate Suspension and Passenger Impact
Blue Islands confirmed on Friday, 14 November 2025, that it had stopped trading, grounding its entire fleet and axing all reservations. The airline's website now displays a message informing travellers of the immediate suspension and advising them not to travel to the airport unless they have made alternative arrangements.
The Channel Islands-based operator, which employed approximately 100 people, had been connecting destinations across the British Isles for two decades. Its collapse marks the second failure of a regional carrier in under three weeks, following Eastern Airways' demise on 28 October.
Route Network and Contingency Plans
Operating a fleet of five ATR-72 aircraft, Blue Islands was based in Guernsey but primarily connected Jersey with English airports including Bristol, Exeter and Southampton. From Guernsey, it operated services to Southampton and an inter-island route to Jersey.
In response to the crisis, both Aurigny and Loganair have announced they are adding extra flights to their schedules to help stranded Blue Islands passengers. Loganair is introducing services from Jersey to Guernsey, Exeter, Bristol and Southampton, alongside Guernsey to Southampton routes from Sunday, 16 November. Aurigny has launched additional flights for the Southampton to Guernsey and Guernsey to Jersey routes, initially until Wednesday.
Both airlines confirmed they are offering special fares on these services to assist passengers needing to travel on affected routes.
Financial Backing and Government Response
The Jersey government had previously provided Blue Islands with an £8.5 million funding package, of which £7 million remained unpaid as of August 2025. Jersey's Treasury and Resources Minister, Elaine Millar, expressed her disappointment at the airline's collapse.
"I am saddened by the announcement that Blue Islands has suspended operations, and my immediate thoughts are with the people whose jobs have been affected and the passengers whose travel will be disrupted," Millar stated. She confirmed that government support is ready and available for Jersey-based employees and emphasised the importance of maintaining air links for the island.
The Government is working with an alternative airline to ensure Jersey has reliable and sustainable air links for the long term, with contingency plans activated to quickly restore connections.
Passenger Advice and Refund Information
Passengers who booked directly with Blue Islands are being urged to contact their bank or payment card provider regarding refunds. For bookings made through codeshare partner Aurigny but travelling on a Blue Islands flight, customers should contact Aurigny directly as some flights may still be operating.
Those who booked through travel agents or holiday companies are advised to contact the company they booked with for guidance. The sudden nature of the collapse has created significant disruption during the busy autumn travel period, affecting both leisure and business travellers across the Channel Islands and connecting UK destinations.