27 Aug 2014

PM wants regional fares reduced

8:23 pm on 27 August 2014

Prime Minister John Key says he has told Air New Zealand that the Government-controlled company should reduce fares on regional routes if it can.

Prime Minister John Key.

Prime Minister John Key. Photo: RNZ

John Key said he has raised the issue with the airline's chief executive, Christopher Luxon.

Mr Key said the fares people have to pay are being raised with him as he travels around regional New Zealand ahead of the election on 20 September.

He said he doesn't believe the company, which today recorded an annual profit of $262 million, is abusing its monopoly, and it has assured him its charges are fair.

Mr Key said it is up to Air New Zealand to make its own decisions - but as the national carrier, it has a responsibility and he expects it to continue to deliver fair pricing throughout New Zealand.