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Virgin challenges Qantas with European sale

written by Adam Thorn | January 27, 2025

Virgin Australia and Qatar Airways have a long-standing codeshare agreement. (Image: Qatar Airways)

Virgin Australia has launched a European price war with Qantas that will see it fly from Sydney to London for as little as $2,000 return.

It marks the airline’s first aggressive move to market to European destinations since it stopped flying to the hub airports of Hong Kong in 2020 and Abu Dhabi in 2017 before entering administration in 2020.

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The low prices will also likely be seen as an attempt to convince the federal government to approve its deal with Qatar, enabling flights to Doha.

Qatar announced last year it would purchase a 25 per cent stake in the Australian airline and, as part of the agreement, would ‘wet lease’ aircraft and crew to Virgin so it could fly 28 services a week to the Middle Eastern country’s capital.

The “flash sale fares” are for travel between 17 June and 11 July 2025 on flights from Sydney, Brisbane and Perth to Doha (VA1/2, VA15/16 or VA21/22) and onward connections to Europe.

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Economy class fares include Sydney to Paris from $1,927 return, Sydney to London from $2,035 return and Brisbane to Barcelona from $1,938 return.

However, while flights to Doha are due to begin in June, they still have to receive final sign-off from the federal government’s Foreign Investment Review Board.

Organisations such as the ACCC and Australian Airports Association have supported the application, but Qantas has significantly opposed it, arguing it was effectively exploiting a loophole in the rules.

It comes after Australian Aviation reported this month how Virgin used that industry-wide support to lobby the International Air Services Commission to grant it the services.

In a letter to the IASC, Virgin’s chief corporate affairs and sustainability officer Christian Bennett said published submissions “strongly support the application” for reasons including increased competition and connectivity.

“We believe that the strong support from stakeholders across the aviation, tourism, and business communities underlines the broad benefit that will result from Virgin Australia’s proposed 28 weekly return services between Australia and Qatar if Virgin Australia’s application is granted,” Bennett wrote.

“Virgin Australia’s application for capacity was not contested, interim approval from the ACCC allowed sale of the planned flights to commence (which is now underway), and supportive public responses have been received following the IASC’s calls for comment.

“For the reasons outlined in its application and submissions to the IASC, Virgin Australia believes that it meets the reasonable capability criteria for such an application and would therefore welcome the earliest possible decision by the IASC to approve its application for capacity on the Australia-Qatar route.”

The ACCC in November gave Virgin and Qatar interim approval to begin selling tickets on the flights.

ACCC deputy chair Mick Keogh said customers who book the services will be protected if the tie-up is knocked back.

“We consider that granting interim authorisation now will allow Qatar Airways and Virgin Australia the lead time to undertake the necessary planning discussions, marketing, selling and system alignment in preparation for Virgin Australia to commence flying the new services by June 2025,” Keogh said.

Fares are now on sale from Sydney, Brisbane and Perth to Doha starting June 2025, with Melbourne coming later in the year.

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Comments (3)

  • I can understand that QF would be a bit miffed about this total deal and I guess out of necessity it will object but, taking into consideration it’s wildest imaginations, spin, exaggeration’s and most likely pages of objections QF just hasn’t got the equipment needed to meet or come within a bull’s roar of coming anywhere close to meeting what Qatar/Virgin propose. If QF had updated their long-haul fleet some years ago the situation may well have been different but that is not Qatar/Virgin’s fault. Interesting to note here, the A350-900 has been around for about 10 years, about half life and QF hasn’t even got one yet, maybe next year. Come on guys, get real.

  • Geoff Fairless

    says:

    We now prefer Premium Economy seating, and very few airlines offer Premium out of Brisbane. QATAR is one that does not, so the Virgin deal does not offer us anything.

    • Emirates have just announced the offer of Brisbane-Dubai services from Brisbane featuring a new Premium Economy class. I think it begins in June (could be wrong) Check it out.

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