A decline in regular business flying is contributing to heightened seasonal fluctuations in demand for air travel that is putting strain on the aviation industry. But one new player among UK airlines is uniquely poised to take advantage of the business opportunity the problem brings.
Who are Ascend Airways?
Ascend Airways, launched in February 2024 and whose maiden charter flight took place at the end of April, is a Dublin-headquartered, UK-regulated airline, under the Avia Solutions Group family. Unlike many airlines, it has plenty of capacity at peak times, yet not a single ticket bookable by would-be passengers.
Why? Because it carries no passengers of its own. Previously branded “Synergy Aviation Ltd” and acquired by Avia in 2023, it is a so-called “wet-lease” company, focusing on supplying aircraft, crew, maintenance, and insurance (ACMI) to other carriers. In fact, it is “the leading short-term supplier of planes with pilots and crew”, according to The Independent.
Under the slogan “Carrying your customers with care”, Ascend debuted its operations with contracts signed by two clients, air charter broker Chapman Freeborn and TUI. Since its creation, it has powered more than 200 UK jobs and has visions of growth.
Why do airlines rent planes and crew?
Supply chain issues in the aviation industry mean that airlines are operating schedules with too few planes and some have even needed to cut the number of routes they fly as a result. The situation becomes more acute with seasonal peaks in demand, and can be exacerbated by technical issues, popular international events, or the need to serve a special interest route.
Filling schedule gaps by renting additional planes that fly under an anonymous, unbranded “white-tail” has traditionally been an expensive affair, known as “dry-leasing” – a practice that ties airlines into contracts for up to 12 years and requires them to hire and pay for their own crew – yet it is the most common way that airlines have overcome seat supply challenges.
Providing the missing 35% seat capacity
But Ascend offers an alternative, with shorter-term, crewed “wet-leases” of its Boeing 737 MAX 8 and Boeing 737-800 fleet. And its market is expanding, according to CEO, Alastair Wilson, who points out that “seasonality is getting worse. You currently see about 35 per cent more available seat kilometres in the summer than you do in the winter. That’s very difficult for airlines to manage.”
Ascend is “excited about the prospects of the business and helping UK carriers grow and overcome operational difficulties,” Wilson said. “What we try and do is provide them that excess capacity – that additional 35 per cent – that they need each season and then redeploy that capacity.”
And when the seasonality dips again, Ascend turns its attention to customers in the southern hemisphere, with what Wilson called “counter-seasonal demand in southeast Asia and in South America” providing a never-ending summer of clients.
