Particle.news

Download on the App Store

Iceland’s Fly PLAY Shuts Down, Cancels All Flights Effective Immediately

A failed turnaround with weak ticket sales forced the shutdown, prompting regulator guidance on refunds.

Overview

  • Authorities in the UK advised customers not to travel to airports and to seek alternative flights, with guidance on refunds and possible rescue fares.
  • Keflavík Airport said about 1,750 passengers were affected on the day of the closure, and The Independent estimates around 120,000 had future bookings.
  • Approximately 400 employees are losing their jobs as the airline winds down operations, with partners also facing financial fallout.
  • PLAY’s board cited prolonged losses, recent poor bookings and internal tensions, following a 2024 restructuring that shifted operations to Malta and cut U.S. routes.
  • The carrier flew 1.6 million passengers in 2024 with a 10‑aircraft A320neo/A321neo fleet; customers are told to pursue credit‑card chargebacks, package‑tour protections and EU/UK passenger rights.