On the evening of November 14, 2025, the Channel Islands were rocked by the sudden suspension of operations by Blue Islands, the region’s long-serving airline. For many islanders, the news came as a shock—one moment, the airline was advertising new positions online, and the next, all staff received an email informing them their jobs were gone and all flights had been canceled. The abruptness of the announcement, made just before 10pm, left passengers stranded and the future of the islands’ air links in question.
According to BBC, Blue Islands issued a statement regretting that, "after 26 years of serving the Channel Islands, we deeply regret that Blue Islands has this evening suspended its operations." The company explained that, despite "very constructive dialogue with Government of Jersey in recent months," they were told that afternoon that the government was "unable to provide further support." This, the statement continued, meant they had to "suspend flying immediately whilst we consider the options available and how we can help our customers, staff and stakeholders."
The impact was immediate and widespread. About 100 employees lost their jobs, and passengers with bookings were told not to go to the airport unless they had already made alternative arrangements. The airline’s advice was clear: those who had booked directly with Blue Islands should contact their bank or payment card provider to seek refunds; passengers who had booked through codeshare partner Aurigny were directed to Aurigny, as some flights might still operate; and those who booked through travel agents or holiday companies were advised to contact their original booking provider for guidance.
Blue Islands operated vital routes connecting Jersey and Guernsey to the UK and beyond, including Southampton, Exeter, East Midlands, Dublin, Leeds, Norwich, Newcastle, Bristol, Paris, and even seasonal trips to Mallorca, Verona, Munich, and Bruges. The Southampton route, in particular, was considered a lifeline, serving patients needing hospital treatment in the UK. With its sudden collapse, the concern for connectivity—especially for medical transfers—was palpable across the islands.
Jersey’s Minister for Treasury & Resources, Deputy Elaine Millar, expressed her sadness at the news, stating, “I am saddened by the announcement that Blue Islands has suspended operations, and my immediate thoughts are with the people whose jobs have been affected and the passengers whose travel will be disrupted.” She assured the public that "for those passengers based in Jersey, government support is ready and available." Millar emphasized the importance of air connectivity for the island and explained that contingency plans were in place to "swiftly reinstate connections, with priority given to those routes most essential to the provision of medical services." She added that Ports of Jersey would provide advice to those affected and that the government was working with alternative airlines to ensure reliable and sustainable air links in the long term.
The collapse of Blue Islands followed a period of increasing financial strain. The airline owed £7 million to the Government of Jersey from an £8.5 million loan provided at the height of the Covid-19 pandemic, a loan intended to secure the island’s air services during challenging times. As reported by BBC and local outlets, by June 2025, more than halfway through the loan period, the outstanding balance remained at £7 million. The government had expressed concerns in recent months over the airline’s performance, including a reduction in flight schedules and a lack of progress in repaying the loan.
In fact, the public spending watchdog, the Comptroller and Auditor General, criticized the government’s oversight of the loan. Lynn Pamment was quoted as saying, “There is no evidence within Government to demonstrate that information about the KPIs has been systematically collated, evaluated and reported on during the period of the loan.” This lack of monitoring, coupled with the airline’s operational challenges—such as a string of delays and cancellations earlier in the year—culminated in the government’s decision to withhold further financial support.
For many, the demise of Blue Islands was not entirely unforeseen. The airline had axed 28 flights from its summer schedule in May 2025 due to fleet challenges. By June, passengers were expressing frustration over delays and cancellations, prompting apologies from CEO Rob Veron and scrutiny from the States Assembly. The company had promised that new aircraft would restore reliability, but the turnaround never materialized.
The closure also raises broader questions about the resilience of the Channel Islands’ air links. Alan Sillett, president of the Guernsey Hospitality Association, posted on social media, “Tonight’s news should be a real wake up call. Guernsey’s air links model is likely to go from an 85% monopoly to a 100% monopoly. This shows our lack of resilience. We need major airlines to enter the market. Regional airlines are very fragile unless they have a bail out option.”
In the immediate aftermath, ferry companies like Islands Unlimited and Water Taxi CI stepped in to provide inter-island transport, while the Jersey government prioritized the swift restoration of essential routes, especially for medical transfers. The Department of Health committed to supporting all medical transfer passengers, ensuring that those with urgent health needs would not be left without options.
Blue Islands’ story is one of ambition, adaptation, and, ultimately, vulnerability. Launched in 2006, but with roots stretching back to 1999 as Le Cocq’s Air Link, the airline began by transporting produce from England to Alderney. It started carrying passengers in 2002 under the name Rockhopper, before rebranding as Blue Islands in 2006. The company expanded its fleet and network over the years, even surviving the collapse of franchise partner Flybe in 2020 by refreshing its brand and booking system. Yet, the challenges of operating as a small regional airline in a volatile market, compounded by the pandemic and subsequent financial pressures, proved insurmountable in the end.
As the Channel Islands look to the future, the loss of Blue Islands leaves a void in the region’s connectivity and a cautionary tale about the fragility of regional air travel. The government’s swift response and contingency planning may soften the immediate blow, but the longer-term challenge remains: securing sustainable, resilient air links for island communities that depend on them for everything from tourism to life-saving medical care.
