British Airways set to push up air fares to combat the weak pound
The airline said that it, along with all UK companies, would have to push up costs
BRITISH AIRWAYS warned today that air fares may have to rise due to the weak pound.
The pound has fallen to seven year lows against the euro since the vote to leave the EU in June.
Today, Willie Walsh, the chief executive of British Airways parent company, International Airlines Group (IAG), that ticket prices may have to increase to offset the collapse in the pound.
He said: "In time, if sterling continues to be weak, we are looking at increases, not just in fares but in all goods."
"Like all UK companies faced with inflation, which is likely to be the case, consumers are looking at price increases in general."
It the latest company to warn that prices may rise due to Brexit.
Earlier this week, Nestle said that many of its products - including KitKat, Aero and Nestle coffee - will rise if sterling doesn’t recover.
It followed a spat between Unilever and Tesco earlier this month, after the consumer goods giant tried to force a 10 per cent price increase on the supermarket.
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This included many of Unilever’s household name products - including Magnum, Pot Noodle and Marmite.
Today, The Sun Online reported that the cost of the yeast spread has jumped 12.5 per cent at Morrisons.
While Apple sneakily hiked the price of its existing Mac range by as much as 20 per cent.
It’s just one of the many retailers who’ve had to push up prices to combat the falling value of the pound.
Earlier this month The Sun Online revealed how some travel money exchanges are offering holidaymakers less than a pound for the euro.
It comes after the pound hit a 31-year-low against other currencies, making it much more expensive for anyone taking a trip abroad.
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