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Iceland’s Play Airlines Shuts Down, Cancels All Flights Effective Immediately

The board cited prolonged losses with weak sales following a late pivot away from transatlantic flying.

Overview

  • The UK Civil Aviation Authority confirmed the closure and urged customers not to travel to Stansted or Liverpool for Play flights.
  • The shutdown has left thousands stranded, with Keflavík Airport reporting about 1,750 affected on Monday and The Independent estimating roughly 120,000 forward bookings.
  • About 400 employees are expected to lose their jobs as the company moves into wind‑down procedures with authorities.
  • The board said the decision followed sustained underperformance, poor recent ticket sales and internal disagreements over strategic changes.
  • Passengers are advised to seek refunds through card issuers or package‑tour protections and to rebook with other airlines, some of which may offer rescue fares.