The revelation comes in the latest report on domestic airline competition from the Australian Competition and Consumer Commission (ACCC) which found some relief for Aussie travellers in the first six months of 2024.
Aussies saw a drop in airfares, reduced cancellation rates and better on-time performances, however the withdrawal of Rex from the sydney–melbourne–brisbane ‘golden triangle’ could mean an airfare hike is on the horizon for many travellers.
“Consumers may miss out on the benefits of a more competitive domestic airline market if Rex is unable to re-commence its services between metropolitan cities,” the watchdog said.
While Rex only accounted for five per cent of domestic passengers in June this year, the airline’s exit from the key routes could lead to a dreaded bump in airfares, ACCC Commissioner Anna Brakey said.
“Consumers generally enjoy lower airfares where there is more competition on a route,” Ms Brakey said in a press release.
“With the suspension of Rex’s services between metropolitan cities, we are closely monitoring airfares and remain vigilant to any increases in prices on routes that Rex is no longer flying on.”
The recent turbulence plaguing Australia’s aviation industry means there is not…