Award devaluation: What you need to know about Virgin Atlantic Flying Club’s fee changes

Virgin Atlantic Flying Club's pesky surcharges are back in the news — and not in a good way.

After introducing dynamic award pricing in late 2024, the program slashed prices and fees on some award tickets. This resulted in business-class fares to Europe for as low as 29,000 points and roughly $250 in fees. In fact, one TPG staffer and loyal Virgin Atlantic flyer thought most of the changes were for the better.

But those deals were short-lived, as the carrier's fees have now spiked. Here's everything you need to know about Virgin Atlantic's latest devaluation.

Devaluation details

Since Virgin Atlantic's switch to dynamic pricing, award fees have varied by route, date and fare class. You could expect to pay roughly $250 on a business-class flight to Europe during low-demand dates — a steal compared to the $1,000-plus rates that used to be commonplace.

Now, Virgin Atlantic is charging up to $586 one-way for business-class redemptions from the U.S. to the U.K., including to Heathrow Airport (LHR) and Manchester Airport (MAN) — more than doubling those fees overnight. Thrifty Traveler first broke this news.

Similarly, one-way fees from the U.S. to the U.K. have increased from around $75 to $111 for economy redemptions and from roughly $106 to $240 for premium economy. That might not seem unreasonable, but remember that you have to pay fees on the return journey as well.

These return fees haven't changed (yet), but they're already steep, especially when you factor in the current exchange rate. For instance, the business-class fee is 672 British pounds, which currently amounts to $924. Yikes.

The bright side? Even after the recent spike, Virgin Atlantic's transatlantic fees are still well below their pre-dynamic-pricing days. As for whether they'll stay that way or continue to rise, only time will tell.

For now, we'll be watching this space closely to see if Flying Club implements any further changes.

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Bottom line

Despite this negative change, Virgin Atlantic Flying Club still presents some great deals, especially if you can travel on off-peak dates. (You can't really beat 6,000 points for a transatlantic flight.)

And since Flying Club partners with most of the major rewards programs with transferable currencies — including American Express Membership Rewards, Bilt Rewards, Chase Ultimate Rewards, Citi ThankYou Rewards and Wells Fargo Rewards — Virgin points are extremely easy to earn.

However, it's always important to check the taxes and fees before you book an award ticket through any airline program, as these can quickly eat into your trip budget.