Canadian airline market on path to consolidation, raising risk of higher fares

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Since May, newer low-cost carriers Swoop and Lynx Air have disappeared from the skies and WestJet has scooped up Sunwing Airlines

After entertaining new entrants for several years, Canada’s airline market is once again tracking toward consolidation, raising the likelihood of higher fares and fewer flight options.

The latter two alone make up 37 per cent of seat capacity on direct flights to sun destinations, and 72 per cent from Western Canada, according to a report from the Competition Bureau last fall.

 

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