The low-cost carrier Ryanair has announced a significant reduction in capacity in Spain, cutting more than one million seats this winter season. The Canary Islands are among the most affected regions, with the airline withdrawing 400,000 seats and completely suspending operations at Tenerife North Airport.
Departure from Tenerife North and Vigo
From the start of winter 2025, Ryanair will cease operations from Tenerife North. Additionally, all flights to Vigo will be suspended by January 2026. The company attributes this decision to what it describes as “excessive and uncompetitive airport charges” imposed by the state-owned operator Aena.
CEO Eddie Wilson emphasised during a press briefing that the fee increases would render many regional routes commercially unviable. “These cuts will adversely affect vulnerable airports, resulting in lost investment, diminished connectivity, reduced tourism, and job losses across regional Spain,” he warned.
Cuts Across Spain
- Regional airports: A reduction of 41% in capacity, equating to 600,000 fewer seats this winter.
- Canary Islands: A 10% reduction, amounting to 400,000 fewer seats.
- Closures: The Santiago base (two aircraft) will close, erasing a $200 million investment in Galicia.
- Seasonal closures: Ryanair flights will not operate from Valladolid and Jerez airports during winter 2025.
- Reduced operations: Zaragoza (-45%), Santander (-38%), Asturias (-16%), and Vitoria (-2%).
In total, Ryanair will cancel 36 direct connections with Spain’s regional airports and the Canary Islands. The capacity freed up—around two million annual seats—will be redirected to Italy, Morocco, Croatia, and Albania.
Canary Islands: Tourism Soars Despite Airline Cuts
The cuts stand in stark contrast to the record-breaking tourism boom currently being experienced by the Canary Islands.
- In August, the archipelago recorded 934,883 people registered with Social Security, the highest figure in its history.
- Unemployment has decreased to 150,215 job seekers, nearly 8% lower than last year, returning to pre-2008 crisis levels.
- Year-on-year, the Canary Islands lead Spain in job creation, with +28,507 workers (+3.15%). The province of Tenerife stands out with 3.6% growth.
Job Growth Across Sectors
- Hospitality: +5,288 jobs (+3.2%), totalling 171,315 employees—the largest sector in the archipelago.
- Health and social services: +4,652 jobs (+4.7%).
- Administrative services: +3,809 jobs (+5.3%).
- Transport and storage: +3,248 jobs (+6.7%).
- Construction: +2,327 jobs (+3.7%).
- Commerce: +2,121 jobs (+1.5%).
- Industry: +2.1% increase.
- Agriculture: +0.9% increase.
Unemployment has declined across all islands, with La Gomera and El Hierro showing the sharpest declines (over 19%), followed by La Palma (-11.6%), Lanzarote (-8%), Gran Canaria (-7.7%), Tenerife (-7.6%), and Fuerteventura (-5.4%).
Focus on Long-Term Unemployment
The regional government highlights two positive developments:
- A decrease of 7,381 unemployed individuals over 45, who constitute 62% of all job seekers in the Canary Islands.
- A reduction of 6,000 long-term unemployed in the past year.
While Ryanair’s exit from Tenerife North Airport and the reduction of 400,000 seats will impact connectivity, tourism in the Canary Islands remains robust. Record arrivals and spending continue to drive employment growth and lower unemployment rates, establishing the archipelago as one of Spain’s strongest-performing regions.
The challenge ahead will be to balance these economic gains with the potential risks posed by diminished air capacity in the coming years.
