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* UK set to introduce quarantine on international arrivals
* 14-day quarantine seen introduced at end of the month
* Aviation industry warns will need more government help
* BA owner says has exhausted avenues to boost finances
(Combines stories)
By Sarah Young
LONDON, May 11 (Reuters) - British Airways owner IAG
has exhausted every avenue to shore up its finances and
is burning through cash, its CEO said on Monday, as the aviation
industry warned of the fresh damage it would suffer if Britain
quarantines international arrivals.
Willie Walsh told parliament's transport committee IAG would
have to review plans to resume flying in July if the government
pressed ahead with plans to introduce a quarantine on most
people coming into the country by air as part of measures to
prevent a second peak of the coronavirus pandemic.
While Walsh said IAG was not in a position where it had to
ask for a specific bailout from the government, he added the
quarantine plan would add to the pressure on the group.
"We've probably exhausted every avenue that I can think of
at this stage to shore up our liquidity. The cash has been
reducing significantly and that will be the case as we go
through May, June and July," he said.
"The announcements yesterday of a 14-day period (of
quarantine) for coming into the UK, it's definitely going to
make it worse."
Britain's aviation industry is already facing a battle to
survive, with most flights grounded since March due to travel
restrictions to contain the pandemic.
It urged the government on Monday to come up with an
alternative to its quarantine plan, warning the proposal could
destroy any hopes of a swift recovery for the sector.
Heathrow Airport, which during normal times is Europe's
busiest airport but which saw passenger numbers plunge 97% in
April, called for common international standards to enable
passengers to travel freely between low risk counties once the
virus is under control.
That would allow borders to be re-opened, it said.
Meanwhile, budget airline easyJet said any
quarantine requirements must be short-lived and replaced by a
targeted regime allowing low-risk passengers to travel easily.
CALLS FOR CLARITY
Airlines UK, which represents British Airways, easyJet and
other UK carriers, said quarantine measures would lead to the
industry requiring additional government support.
The industry body has already asked for Britain's job
retention scheme to be extended beyond June, and requested a
temporary suspension of some taxes airlines pay, such as air
passenger duty.
Bosses complained there was lack of clarity over how long
the new rules would last and how often they would be reviewed.
"It's inevitable that consumers will be confused by the
message, they will not be certain as to when they should book
their holidays," Manchester Airports Group Chief Executive
Charlie Cornish told BBC television.
Some destinations will be at an advantage, as travellers
from France will be exempt from the quarantine rules, while
airlines said the new rules wouldn't be applied to arrivals from
Ireland.
Britain's foreign minister Dominic Raab told BBC Radio there
would be exemptions from the rules but did not give details. He
said the government was aiming to bring in the quarantine from
the end of the month.
Critics have asked why it was not brought in sooner and how
it will be put into practise, given passengers could fly to
France and then cross into Britain via ferry or train.
(Reporting by Sarah Young; editing by James Davey and Mark
Potter)
