Flybe confirms collapse after 'pressure' from coronavirus with 2,000 jobs at risk

Struggling regional airline Flybe has ceased trading and gone into administration, it has been confirmed.

Chief executive Mark Anderson sent a email to the airline's 2,000 staff late last night confirming the news, adding it was with "enormous sadness" that the company could no longer continue.

Hours later UK Civil Aviation Authority said the the airline had ceased trading with immediate effect.

Flybe had struggled to raise funds after narrowly staving off trouble in January before bookings severely dropped off due to the coronavirus outbreak, it is understood.

At the turn of the year, the airline had been controversially bailed out by the Government before apparently requesting further support in recent days in light of the COVID-19 spreading into the UK.

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Accountants Ernst & Young EY will handle the administration process.

Passengers due to fly with the airline have been told to not travel to the airport unless an alternative flight with another airline has been booked.

In the hours before Mr Anderson's email was sent, Flybe's website stopped working, just showing an error message which said the link is "no longer live".

"Flybe is unfortunately not able to arrange alternative flights for passengers," a message on the airline's website said.

Initially the company issued a statement saying the flights had been cancelled because of a "miscommunication", stating: "Flybe can confirm that, following a miscommunication regarding re-fuelling this evening, two flights were delayed and that due to the crew now being out of hours, have been cancelled.

Crisis talks were held throughout the day on Wednesday to try to secure a rescue package, but no deal was agreed.

While flights from what is Europe's biggest regional airline were grounded leaving hundreds of passengers stranded at the wrong airports as planes were impounded.