BREXIT and Air Service Agreements
Analytically Driven has worked with a variety of clients to help them understand the implications of BREXIT, including the implications for the aviation sector.
When the UK leaves the EU, it will need to renegotiate its Air Service Agreements (ASAs) not just with the EU, but also with third countries. In order to maintain the same route options that are currently available, the EU may also need to renegotiate its ASAs. This is because the Freedoms of the Air required to fly certain routes will change once the UK is no longer in the EU, so ASAs will need to change to reflect this. How successful these negotiations are will determine the route options available to airlines operating in the UK and the degree of competition they face. A short presentation setting this out can be found here. A more comprehensive analysis of the implications of BREXIT for the aviation sector also formed one of the key strategic challenges highlighted in the report for the Independent Transport Commission published in November 2017.