IAG Lowers 2026 Flight Capacity Outlook as Disruptions and Fuel Costs Bite
International Airlines Group, the parent company of British Airways, Iberia, Aer Lingus and Vueling, now expects its total flight capacity for 2026 to be slightly lower than in 2025. The revised outlook reflects operational disruption and the group’s decision to manage capacity carefully as fuel costs rise.

The forecast marks IAG’s first annual capacity decline since 2022. Reuters reported that flight disruptions in the Middle East, linked to the Iran war and other regional conflicts, have weighed on operations. The company’s update does not specify a route-by-route schedule change, so travelers should check directly with their airline for current flight information.
IAG’s third-quarter operating profit before exceptional items was €1.73 billion, below analysts’ average expectation of €1.81 billion, according to Reuters. The group has also warned of higher fuel expenses. The Wall Street Journal reported that IAG reduced its capacity and investment expectations as it prioritized profitability.
The company said demand remains strong in several markets, including North America, Asia-Pacific and South Asia. IAG also reported that 85% of the seats it expects to offer in the fourth quarter had already been booked, while early bookings for the first quarter of 2027 looked positive.
The guidance reflects pressures across airline operations: fuel prices, airspace disruptions and the need to balance schedules against costs. It does not mean every IAG carrier or route will see fewer flights. The company’s results and forecast describe the group overall; individual schedules may differ by market.
For passengers, the practical takeaway is to monitor booking and flight notices, especially when itineraries connect through regions affected by current disruptions. IAG has not announced that all routes are changing, and the broad capacity outlook alone does not identify which journeys may be affected.
Sources: Reuters; The Wall Street Journal; IAG Q3 2026 results presentation.