Ryanair’s chief executive, Michael O’Leary, has stated that air fares are likely to rise significantly next year, citing rising oil prices and the ongoing conflict in Iran as major contributing factors. Speaking to reporters in London, O’Leary said flight prices are "only going one way"—upward. He noted that oil prices have recently surpassed $100 per barrel, the first time they have done so since July, following new developments in the conflict in the Middle East. To prepare for these higher costs, Ryanair has already adjusted its plans for next year. The airline aims to reduce its dependence on "unhedged" fuel during the winter months. Hedging is a financial strategy where companies lock in prices for fuel in advance to avoid the risk of sudden price increases. O’Leary explained that summer 2027 fares are expected to rise "materially" due to higher oil prices. Currently, Ryanair has locked in fuel prices at around $80 per barrel for this year. If they hedge at $100 per barrel for next year, their oil expenses would increase by 25%, rising from $6 billion this year to $7.5 billion in 2027. In addition to the financial impact on Ryanair, O’Leary warned that some of the airline’s competitors could face serious challenges if oil prices remain high. He suggested that certain airlines might "struggle to maintain capacity or even survive" this winter, highlighting the significant pressure that rising fuel costs can place on the aviation industry. This warning underscores the broader implications of oil prices on the entire sector, as fuel is one of the largest operating costs for airlines.