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23-Dec-2025
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Ryanair Hit with €256 Million Penalty for Restricting Online Travel Agency Sales

European authorities have fined Ryanair €256 million after ruling that the airline engaged in an abusive strategy to limit ticket sales through online travel agencies (OTAs), a decision that could reshape how carriers distribute fares across digital platforms.

The penalty stems from an investigation into Ryanair’s commercial practices, specifically its efforts to discourage sales of flights by third-party travel websites. Regulators found that the airline had used contractual provisions and other measures to restrict OTAs from offering Ryanair tickets, a tactic viewed as an attempt to control market access and protect its own direct sales channels.

According to the ruling, Ryanair’s approach harmed competition by narrowing consumer choice and reducing price transparency in the online travel market. The airline’s policies limited the ability of OTAs to display fares and forced many platforms to remove or de-prioritize Ryanair flights from search results.

In response to the fine, Ryanair said it strongly disagrees with the decision and is considering its options, including possible legal action. The airline maintained that its distribution policies were intended to streamline operations and reduce costs, which it has traditionally passed on to passengers through lower fares.

Consumer groups welcomed the regulatory action, arguing that it sends a clear message that dominant carriers must compete fairly in digital marketplaces. They said the ruling could benefit travelers by ensuring broader access to flight options and enhancing the role of OTAs in comparing prices and itineraries.

Industry analysts noted that the penalty underscores growing scrutiny of how airlines interact with third-party platforms, which have become central to travel booking in recent years. The decision may prompt other carriers to review their sales practices to ensure compliance with competition rules.

Ryanair has long emphasized its low-cost business model, including a preference for direct sales via its own website and mobile app. However, the fine highlights tensions between that strategy and evolving expectations for open digital competition.

The case also raises broader questions about the balance between commercial control and fair market access in the airline industry, where online intermediaries play an increasingly influential role in consumer purchasing behavior.

As Ryanair evaluates its next steps, the ruling is likely to influence how airlines structure agreements with OTAs and could lead to wider changes in distribution practices across Europe’s aviation sector.

Author: M.J

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