Richard Branson's airline Virgin Atlantic has closed its offices in Hong Kong after being in the city for 30 years.
As reported by Fortune, several factors led to this decision, one of which being the closure of Russian airspace which would add an hour onto flights between Hong Kong and the UK.
Additionally, Virgin Atlantic has not operated any passenger flights to Hong Kong since December 2021, when a ban was implemented on flights from the UK by Hong Kong when Covid cases were at high levels.
This decision to pull out of Hong Kong completely will see 46 jobs being impacted, including cabin crew and office staff.
Virgin said in a statement: “We’re very sorry for the disappointment caused to our loyal customers on this route and anyone booked to travel from March 2023 will be offered a refund, voucher or the option to rebook on an alternative Virgin Atlantic route."
It clarified that "significant operational complexities" were the reason behind the move to not restore flights by March 2023.
In a separate memo seen by Bloomberg that was sent to trade members, Virgin said the Hong Kong route was not particularly profitable even before the restrictions imposed by the Covid-19 pandemic came in.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules here