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Australia’s domestic airfares highest in three years
December 10th 2025
Average airfares charged by Australia’s domestic airlines increased to near three-year highs in October amid moderate capacity growth and strong demand during school holidays and for major sporting events. Read More » The Australian Competition and Consumer Commission’s (ACCC) domestic airline competition in Australia report found average airfares, measured by revenue per passenger and adjusted for inflation, rose 3.2% in the year to October to their highest levels since December 2022. Average fares also were 4.5% higher for the month compared with pre-pandemic October 2019. "The high barriers to entry into the domestic aviation sector have helped to stave off competition from new entrants, particularly since Rex withdrew from routes between major cities," ACCC Commissioner, Anna Brakey, said. "Airfares are typically elevated during peak demand periods, but the higher passenger levels in October 2025 placed additional pressure on seat capacity that pushed up airfares for consumers." More competition in the domestic airline sector is essential to providing consumers with lower airfares and more choice," Brakey said.
