Ryanair boss says ‘recessionary feel’ may be limiting air ticket price rises

Ryanair (RYA.I) CEO Michael O’Leary said on Monday that a “recessionary feel around Europe” could be a factor in slower-than-expected growth in airfares as the low-cost carrier posted record annual profits slightly ahead of expectations.

O’Leary warned two weeks ago that summer fares would likely be lower than the 5 per cent to 10 per cent rise it expected as recently as late April. The airline said its fresh forecast of flat to modest year-on-year peak summer price growth was “heavily dependent” on last-minute summer bookings.