A UK-based aviation company has gone into liquidation after fuel expenses climbed sharply, reports indicate.
Escalating tensions in the Middle East involving America, Israel and Iran have pushed fuel costs considerably higher.
The aviation industry continues to face significant challenges, and now Hertfordshire-based Ascend Airways has reportedly begun winding up operations.
The British firm supplied aircraft to other airline operators, such as Tui Airways, Oman Air and Air Sierra Leone, and maintained bases at Southend Airport and Gatwick Airport.
Ascend Airways enters liquidation
Ascend Airways plans to return its Boeing 737 Max 8 jets to leasing firms and hand back its air operator’s certificate, according to Flight Global.
The business initially began operating under the Synergy Aviation name as a private charter and aircraft management operation.
Avia Solutions Group acquired the company in 2023 to serve as its primary British carrier.
The firm obtained its UK air operator’s certificate two years before this and flew an exclusively 737 Max 8 fleet.
Its inaugural commercial flight took off in April 2024 from London Southend Airport.
The combination of Middle East instability and rising fuel prices presented a challenging outlook for the summer period, the airline told Flight Global.
The carrier explained that these external elements had worsened the fundamental challenges of retaining a UK air operator’s certificate within the European wet-lease market.
Without reciprocal wet-leasing agreements for British carriers, alongside elevated operational costs, the UK certificate has become more expensive and less adaptable than European Union air operator’s certificates.
The airline described its certificate surrender as a planned move while confirming it honoured its contractual obligations throughout the winter season or ended arrangements in an orderly fashion, and is supporting employees ahead of returning its AOC.
Through working with stakeholders, a coordinated wind-down has been achieved to minimise disruption for customers, passengers and aircraft lessors, the statement added.
However, sources indicate the company has entered liquidation, per The Sun.
An insider said the collapse occurred on April 28, with confirmation received that afternoon.
Staff were informed that everything is moving into liquidation.
They explained the situation relates to the economic environment, contracts could not be secured, and operating in the UK costs considerably more than in Europe.
Fuel conditions also had a significant effect.
Newsquest has sought comment from Ascend Airways and Avia Solutions Group.
Numerous major carriers have already responded to the fuel price surge linked to the Middle East situation.
This has included increasing ticket prices, introducing or expanding fuel surcharges, and cutting flight programmes.
UK airline Skybus previously announced it had suspended all services between Cornwall and London citing the substantial rise in global fuel costs and a noticeable drop in new bookings.
Ryanair’s chief executive Michael O’Leary has also advised British holidaymakers to book their summer getaways promptly to avoid mounting expenses.
Airlines entering liquidation or administration in 2026 (to date)
Several carriers went into liquidation during 2025, according to the UK Civil Aviation Authority:
Blue Islands Limited (UK) – November
Air Kilroe Limited trading as Eastern Airways (UK) – November
Play Airlines (Iceland) – September
Three airlines have entered administration or liquidation in 2026 so far, resulting in over 4,000 cancelled flights:
EcoJet Airlines
Royal Air Philippines
Dove Airlines
The travel sector extends beyond airlines, with four British travel businesses also ceasing operations in 2026, leading to cancellations of flights and holiday packages to international destinations.
The four British travel companies that have closed in 2026 so far are:
Regen Central Ltd
Gold Crest Holidays
Asiara UK Ltd
Simply Florida Travel Ltd
All four have stopped trading, according to Companies House, and have lost their Air Travel Organiser’s Licence protection.