British Airways owner faced 19 million pounds loss every day due to pandemic

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The International Airlines Group that own the British Airways recorded a massive £6.5billion loss for last year after the borders were closed and passenger flights suspended due to COVID-19 pandemic that started engulfing world countries from early 2020.

The group, which also owns Spain’s Iberia and Ireland’s Aer Lingus, said that the passenger capacity during the last year cut to one third of 2019, plummeting its assets by 64 percent.

It lost the equivalent of £19million a day – or £205 a second – as it carried just a third of the travellers it did in 2019, according to thismoney.co.uk.

The IAG boss Luis Gallego has urged the authorities to introduce digital health passes for passengers in order to revive the airline industry badly hit by the pandemic.

“Our results reflect the serious impact that Covid-19 has had on our business,” said Luis Gallego, adding: “The group continues to reduce its cost base and increase the proportion of variable costs to better match market demand. We’re transforming our business to ensure we emerge in a stronger competitive position.”

The one of major groups said that the income from the passengers’ travel decreased by 75% last year but it witnessed a handsome surge in cargo revenue amid the pandemic.

It announced that profit guidance for this year will not be issued because of the uncertainty over the impact of the pandemic on the airlines group.

However it has called for an international plan to “reopen the skies”.

Gallego said: “The aviation industry stands with governments in putting public health at the top of the agenda. Getting people travelling again will require a clear roadmap for unwinding current restrictions when the time is right. We know there is pent-up demand for travel and people want to fly. Vaccinations are progressing well and global infections are going in the right direction. We’re calling for international common testing standards and the introduction of digital health passes to reopen our skies safely.”