Norwegian Air CEO Is More Worried About UK Passenger Taxes Than Brexit


Skift Take

Although Gatwick is strategically important for Norwegian, its multiple subsidiaries' model means that it should be largely immune, and might even benefit, if the pound continues to struggle.

Brexit is a huge worry for the aviation industry for numerous reasons and many chief executives have been happy to speak out about the potential detrimental effects. Norwegian is in an interesting position in that rather than acting as a single airline it has (at the moment) four distinct subsidiaries: two in Norway, one in Ireland, and one in the UK. The UK is Norwegian's fifth largest market and chief executive Bjorn Kjos doesn’t expect to see much of a change as a result of Brexit — at least in the long-haul market. That's because the UK will be much more attractive as a destination with the depreciation of the pound, even if outbound demand is sluggish. That might be part of the reason why the airline has pivoted away from short haul out of its base at Gatwick airport. “Of course when you think about retired people flying over [to] Spain, you will see a decrease in people fl