ITALIAN REGULATORS IMPOSE RECORD FINE ON RYANAIR FOR ANTI-COMPETITIVE PRACTICES

by Emilie Lopes

Italy’s competition authority has levied a €256 million fine against Ryanair, ruling that the low-cost carrier deliberately obstructed online travel agencies to cement its market dominance.

The Autorità Garante della Concorrenza e del Mercato found that Ryanair engaged in what it termed an “abusive strategy” from April 2023 through at least April 2025. The authority stated the airline deployed a series of technical barriers aimed at making it excessively difficult for third-party platforms to sell its tickets, thereby steering consumers forcefully toward its own website.

Investigators concluded that these actions constituted an abuse of Ryanair’s dominant position, specifically designed to weaken competition. A core element of the ruling focused on Ryanair’s prohibition against agencies bundling its flights with services from other airlines, a practice the authority says limited consumer choice.

Ryanair has vowed to appeal the decision, calling the ruling “legally flawed” and an “affront to consumer protection.” The airline argues that its direct-sales model via Ryanair.com saves an estimated 20% in distribution costs, savings it claims are passed on to passengers in the form of lower fares.

The conflict stems from a long-running campaign by Ryanair’s outspoken CEO, Michael O’Leary, against online travel agents, whom he has frequently labeled “pirate” sites. O’Leary has accused these platforms of misleading consumers with hidden fees and markups. As part of its strategy, Ryanair introduced measures such as mandatory facial recognition checks for passengers who booked through third parties, citing security, while simultaneously blocking agency booking attempts and deleting accounts.

While the airline’s aggressive tactics did lead to a temporary dip in ticket sales, Ryanair’s market valuation has continued to climb, recently reaching a record €31 billion. O’Leary, who is set to receive a substantial share-based bonus if he remains CEO until mid-2028, is expected to challenge the fine vigorously in court.

The Italian regulator maintained that Ryanair’s conduct made combined travel purchases “more difficult and/or economically or technically burdensome,” ultimately harming the competitive landscape. Only earlier this year did Ryanair begin to allow agencies limited technical integration with its systems.

You may also like