Cobalt Air collapse: Which flights are cancelled and why did the budget Cypriot airline go bust?

Budget airline Cobalt Air have cancelled all flights, causing travel chaos for thousands of tourists
Short-lived: Cypriot low-cost carrier Cobalt Air announced it was cancelling all flights on October 18, 2018 after just two years in operation.
AFP/Getty Images
Georgia Chambers18 October 2018

Budget airline Cobalt Air has announced it is cancelling all flights and indefinitely suspending operations.

The airline, which serves Heathrow, Stansted and Gatwick airports, flies thousands of British tourists to Cyprus and other Mediterranean destinations every year.

The shock announcement comes less than a month after Icelandic budget carrier Primera Air ceased trading.

In a statement,the airline said it was cancelling all flights as of 11.50pm on Wednesday 17 October.

It said: "Future flights or services provided by Cobalt will be cancelled and no longer operate.

"Passengers who have un-flown tickets are instructed not to go to Larnaca airport or any departure airport tomorrow, October 18, as no Cobalt flights will operate and no Cobalt staff will be present."

Here's everything you need to know about the Cobalt Air collapse, including what to do if your flight has been cancelled:

How many passengers have been affected?

It is unclear how many passengers will have been affected by the cancellations.

But nine flights had been scheduled to arrive and nine to depart from Larnaca airport in Cyrpus on Thursday.

Hundreds of tourists have been expressing their frustrations on social media.

One Twitter user wrote: "Due to fly home on Saturday and our airline Cobalt Air has gone bust. #joy"

Why have the airline gone bust?

Ground to a halt: Cobalt Air issued a statement announcing to customers that operations have been suspended indefinitely. (Cobalt Air )
Cobalt Air

Hard times have fallen on the Cypriot airline.

Reports in local media suggest that Cobalt’s chief executive, Petros Souppouris, had been seeking funds from an investor.

The airline stopped flying after talks broke down, according to the Independent.

The Cyprus Mail says that the airline's main backer is China's Avic Joy Air.

What do I do if my flight has been cancelled?

Cobalt air has advised customers to contact credit card providers or Travel Agents for refunds.

Cypriot Transport Minister Vassiliki Anastassiadou has said the government will pay for tickets to help customers get back home, but said it would only cover return tickets.

Whilst EU regulation does not offer compensation for flights cancelled due to unforeseen circumstances (such as an airline going bust), there are other ways you can claim a refund.

Check with your travel agent to see if you're covered by ATOL protection and they will be able to organise a flight home for you at no extra cost.

If you booked directly through the airline, it's likely you will not have ATOL protection and may have to pay for new flights.

If you paid for your flights by credit card, you may be able to claim the cost back through the Consumer Credit Act. For further details, you should check with your credit card provider.

A spokesperson for Heathrow airport said: "We will provide assistance to customers who turn up at the airport tomorrow."