Air travel isn’t just expensive — for many Canadians, it’s become borderline impossible.
Driving the news: Flights in smaller markets across Canada have become less frequent and more expensive, with both Air Canada and WestJet pouring their resources into lucrative big-city routes.
- According to The Canadian Press, flight volumes between major hubs like Toronto and Vancouver have steadily risen since 2019, while flights to smaller markets like Regina and Sault Ste. Marie have fallen by anywhere from 40% to 100%.
- Fares for some small market routes have jumped by as much as 173%, while prices for busier routes have dropped.
Why it’s happening: In the face of a pilot shortage and rising costs, airlines have focused on the busiest, most profitable routes.
- Coming out of the pandemic, WestJet dropped its regional flights in the east, while Air Canada dropped its routes in the west. That raised prices in some markets by 69% and drew criticism from business groups.
Why it matters: The lack of any affordable transportation options for people outside big cities doesn’t just complicate summer vacation plans, it also hobbles the economies of Canada’s smaller towns.
Bottom line: Some experts say that Ottawa will need to step in with subsidies for routes serving smaller markets to pick back up, a system the U.S. already uses to maintain hundreds of otherwise unprofitable flights.