Established in 1997 to serve the East Midlands region of England, regional carrier Eastern Airways was one of the high-profile airline collapses that occurred at the end of 2026 prior to the spike in gas prices that came following the U.S. strike on Iran in the new year.Eastern Airways was based out of Humberside Airport (HUY) and ran flights to cities in northern England and Scotland as well as one route to London Gatwick Airport (LGW). On Oct. 27, the airline sent travelers a notice saying that “all Eastern Airways operated flights are canceled” after a key contract with KLM that would see it running four planes for Dutch carrier’s Cityhopper was called off at the last minute. Administrators from the British restructuring firm RSM were called in a day later and the carrier has not operated flights since. The sudden collapse also caused the loss of 290 pilot, flight crew and administrative jobs.Bid to rescue Eastern Airways branch falls through, airline starts liquidationEven so, the team at RSM had been holding closed-door talks with potential bidders interested in reviving Eastern Airways; the airline had strong brand recognition in the East Midlands as well as access to underserved routes.The suspension, rather than cancelation, of the air operator’s certificate (AOC), would also allow a new owner to revive the airline in the same market.Related: 24-year-old travel company files for bankruptcy, cancels tripsBut as first reported by local press, four offers for sister airline Air Kilroe were selected by administrators in December 2025 but the preferred bidder ultimately withdrew after “tight timescales” and the need for “significant” funding proved overwhelming.This came after an initial payment of just over £286,000 ($376,000 USD) to solidify interest.”Despite the purchaser withdrawing from the exclusivity agreement, they remained keen to purchase the company, and significant time was spent providing additional information and attending regular meetings,” the RSM report reads.
Eastern Airways was founded out of Humberside Airport in 1997.Shutterstock
The Eastern Airways chapter comes to an end in 2026 as airline liquidatesAs a result, the final axe has been dropped on the parent company as “joint administrators had to proceed to instruct their agents to sell the assets.”More Travel News:Airline to launch unusual new flight to Cayman Islands from the U.S.There is a very cool Irish version of swimming pigs in the BahamasUnexpected country is most luxurious travel destination for 2026Low-cost airline launches easier way to get to Sri LankaA fleet of seven Jetstream 41 airliners and several Embraer planes have been marked for liquidation and sold to an unidentified third party according to an asset-purchase agreement.Airlines that filed for bankruptcy in the first half of 2026:Spirit Airlines: The largest airline shutdown of the year occurred when Spirit Airlines canceled all remaining flights on May 2. Although the airline had filed for Chapter 11 protection twice before, the skyrocketing price of jet fuel dealt the final blow to its operations.Magnicharters: The Mexican low-cost airline canceled all of its flights until May 2026 in a shutdown that left thousands stranded.Starflite Aviation: Houston-based Starflite Aviation had its AOC license revoked in March 2026, amid FAA claims that owners falsified pilot training records to bypass safety audits.AlpAvia: Slovenian charter airline AlpAvia also shut down in March 2026 over financial problems.H-Bird: Charter airline H-Bird was declared bankrupt by a Swedish judge after losing its operating license at the end of 2025.Related: Another airline files for bankruptcy protection, cancels all flights