Future of Flybe waits on UK government loan

Thursday's cabinet reshuffle set to shed light on airline's future

Reports suggests the future of the Manx carrier Flybe may become clearer after a UK cabinet reshuffle later this week (13 February).

That may signal a decision by Boris Johnson's Government as to whether the airline will be given a one hundred million pound bridging loan.

Already the recipient of a tax deferral on its air passenger duty bill, Flybe needs the loan to get it through the quiet winter months.

But even so all may not be lost - Flybe shareholders may be prepared to come up with a loan should the UK Government say no to lending a hand.

It's thought a loan would be greeted with anger by many Tory MPs.

Should either plan fail, then one of the big five accountancy firms, EY, has been working on keeping disruption to a minimum, should administration be seen as the only way forward.