Thursday 5 November 2020 2:07 pm

Easyjet denies it is in talks with German authorities over state aid

Easyjet has hit back at reports that it has approached German authorities for emergency funding to help it through the coronavirus pandemic.

German business paper Wirtschaftswoche reported that chief exec Johan Lundgren had been involved in talks concerning a sum in the region of hundreds of millions of euros.

Read more: Wizz Air boss predicts carrier will make full recovery within a year

But representatives for the low-cost carrier were quick to deny that any such request had been made.

An Easyjet spokesperson said: “As a pan-European airline, as you would expect we have regular contact with all governments in the countries where we operate and employ people around the support measures available to all eligible companies.  

“No formal request for funding been made. We continue to talk to all of these governments on an ongoing basis.”

Easyjet’s finances have been under scrutiny since the budget carrier revealed that it would need more financial aid in light of the ongoing squeeze on international travel.

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Last month it said that it was on track to report its first full year loss amid the worst crisis in aviation history.

Earlier this year it drew down £600m from the Bank of England’s emergency coronavirus funding scheme, and has also raised considerable sums through aircraft sales and capital raises.

However, with a new England-wide lockdown – entailing a ban on international travel – coming into effect today, airlines are once again bracing for financial turbulence.

Read more: Easyjet raises £300m from plane sales in bid to boost balance sheet

The carrier has already called on UK ministers to put in place sector-specific support for the industry, but these have fallen on deaf ears so far.

Easyjet has a considerable presence in Germany, and last week revealed that it would make 418 crew members redundant there.

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