Low-cost airlines continue to generate the growth in passsenger traffic to airports in France, whilst Air France decides to cut some internal routes because of competition from the TGV.

Overall passenger traffic in mainland France grew by 4.8% to 143 million last year, with the Paris airports accounting for 86 million passengers and regional airports 57 million.

Whilst domestic passenger numbers declined marginally, international passenger numbers grew by 7.7%. Most of this growth occurred through low-cost air traffic, which went up by 20% to reach 23 million passengers.

Foremost amongst the biggest increases occurred at Avignon (188%) Rennes (77%), Deauville (40%), Metz (23%), Biarritz (32%), Marseilles (29%), Lille (24%), and La Rochelle (22%).

Conversely, not all the regional airports showed growth in international passenger numbers, with Poitiers dropping off by 18%, Montpellier by 15%, Perpignan 9% and Bergerac by 5%. In part, these decreases were due to competition from other routes in the region, notably Limoges, Bordeaux, and La Rochelle, all equally capable of offering a low-cost solution for UK travellers.

This April, Ryanair is to start flights between Angoulême and London Stansted, which is also likely to affect traffic figures of other airports in the region.

Montpellier is clearly still suffering the aftershock of the closure and liquidation in 2004 of the airline Air Littoral, which had its base at the airport.

Nevertheless, an examination of the international air traffic figures for the main regional airports over the past 5 years shows the central importance of low-cost air traffic to regional airports, which now accounts for 23% of all their passenger traffic. At Bergerac, Carcassonne, and Dinard, low-cost international passengers accounts for over 90% of their traffic.

Table: International Passengers 2003/2007

Source: Union des Aéroports Français

Air France also faces growing competitive pressure in its central hub of Paris from low-cost airline Easyjet, who last year opened new bases at Paris Orly and Lyon, from where they are now operating a regular schedule of flights to popular Southern European destinations, as well as two internal destinations.

There are also a growing number of passengers using the new low-cost Ile de France solution at Beauvais airport, which can offer good access into Paris.

Nevertheless, Air France retains a stranglehold on the domestic French market, holding three-quarters of all flights, a position far stronger than any other airline in Europe holds on its own domestic routes. It also owns its own low-cost airline, Transavia, based at Orly, with flights to a number of Southern European destinations.

As a result, Air France has reduced the number flights on this route, and as new TGV lines are opened in the coming decade, then more internal schedules are likely to be dropped. A recently leaked internal report suggested that several more domestic destinations from Orly will be abandoned over the next few years, with the potential loss of around 1000 jobs.

Air France is often highly critical of the subsidies that the TGV receives from the public purse towards infrastructure costs, despite the huge subsidies it has received in the past, and the protection it continues to receive on domestic routes.