Geneva [Switzerland], May 21 (ANI): Europe's air connectivity growth almost stalled in 2025 as airlines faced high operating costs and increasing regulatory pressure, according to a news brief released by the International Air Transport Association (IATA).
The airline industry body said the total number of routes connecting Europe grew by just 1 per cent in 2025, below the 1.5 per cent compound annual growth recorded over the last decade.
"The growth of airline route networks reflects both developments in demand and the operating environment. That the European Union (EU)'s air connectivity virtually flatlined in 2025 is no surprise," said Thomas Reynaert, Senior Vice President External Relations at IATA.
He added that "the regulatory burden is onerous, costs are high and the EU's well-documented underlying competitiveness issues have not been seriously addressed."
According to the IATA brief, 1,127 airline routes across the European Union were cancelled in 2025, while 1,281 routes were added. Of the new routes added, 568 were previously operated routes that had been paused for at least one year.
The net increase of 154 routes brought the total European route network to 14,797, representing a modest 1 per cent growth.
IATA said aviation and aviation-related tourism in the European Union currently support more than 9.2 million jobs and contribute EUR 760 billion to the region's GDP.
"Europe's prosperity depends on extensive and efficient intra- and inter-continental links. Each new air route creates new jobs and business and social opportunities," Reynaert said.
The industry body urged European policymakers to introduce reforms to improve airline competitiveness and connectivity growth.
Among the measures suggested were reforms to EU passenger rights rules, lower costs for Sustainable Aviation Fuel (SAF), stronger regulation of airport and air navigation charges, more flexible airport slot relief during crises, and removal of national passenger taxes.
Calling passenger compensation rules a major concern, Reynaert said, "The most immediate opportunity is on EU261. Modest reforms to the thresholds for compensation will help to reduce the EUR 8 billion cost of this out-of-control regulation."
EU261 is a European law that protects air passengers. It guarantees passengers' rights to food, accommodation, and financial compensation--up to 600 Euros--if the flight originating from the EU is delayed by 3+ hours, cancelled, or overbooked.
He further said that rising jet fuel prices and increasing infrastructure costs were making many airline routes economically difficult to sustain.
"One simple thing - reducing the cost of EU261 - would make the economics of many marginal routes more manageable for airlines, and re-invigorate air connectivity growth for the benefit of Europe's citizens," he added. (ANI)