British Airways increases surcharges on long-haul Avios redemptions
Without notice, British Airways has increased the cost of its surcharges on some long-haul redemptions in premium cabins by more than $135 (or about 100 pounds sterling) per person — about a 15% hike on select routes.
As first reported by Turning Left For Less, the copay element of your next Avios redemption for long-haul flights (especially to North America) may come as a shock, with some round-trip "free" redemption routes requiring an eye-watering $1,069 (or 790 pounds) per person.
Fees, taxes and surcharges generally vary from route to route, though they should be the same amount regardless of which date you travel and if they are peak or off-peak dates.
Round-trip business-class flights from London to New York, a popular route for Avios redemptions thanks to excellent availability as a result of multiple flights every day, will now cost you $1,068 (or 788.90 pounds) plus 100,000 Avios per person for off-peak dates, an increase of more than $135 (or 100 pounds).
Round-trip flights in business class to Los Angeles International Airport (LAX) also require the same $1,068 (or 788.90 pounds) in fees, taxes and surcharges, as do flights to Seattle-Tacoma International Airport (SEA). If you are redeeming a British Airways Companion Voucher, remember that while you will only be required to pay the Avios for one passenger, you must pay the full fees, taxes and surcharges for both passengers, which may now be more than $2,030 (or 1,500 pounds) total, depending on the route.
Some destinations have not yet seen price increases. For example, flights to Rio de Janeiro have the same fees, taxes and surcharges today as they did a month ago. If you have your eyes on a particular future redemption, you should check the cost of the surcharge. If it hasn't yet seen an increase, you may want to lock in your booking now to avoid the cost increasing without notice.
Related: My tips for starting out with points and miles
British Airways is already known for charging significant fees, taxes and surcharges on Avios redemptions, both on their own "metal" and on partner airlines. These are a combination of:
- Government taxes, such as the Air Passenger Duty, which the airline is required to pay for each passenger departing the United Kingdom, so it passes these on to the customer.
- Airport fees charged by the airports British Airways operates from and to, which are passed on to the passenger.
- Discretionary fuel surcharge airlines charge to compensate the changing price of global fuel, though the surcharge rarely decreases when fuel prices drop.
There are a few tricks to reduce the cost of some fees and taxes, such as departing from mainland Europe rather than the United Kingdom. However, the fuel surcharge, which is the priciest element of a long-haul Avios redemption in a premium cabin, will remain high regardless of where you start your trip.
Related: How to save money on Oneworld redemptions to Europe
Bottom line
An unfortunate element of Avios redemptions has now become even more frustrating. British Airlines already charges very high fees, taxes and surcharges for its long-haul Avios redemptions, and the recent unannounced increase makes those aspirational redemptions more expensive. Fuel surcharges vary greatly from airline to airline and program to program, as they are completely discretionary.
Short-haul Reward Flight Saver redemption charges have not increased and remain an excellent value use of Avios.
British Airlines has suffered huge financial losses during the pandemic, and this may be a way to start to claw some of that back. It is very disappointing, though, that the airline did not at least warn its loyal customers of the impending increase.
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- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.