Don’t waste cash on Rex bailout, regional carriers warn Labor

Ayesha de Kretser and Tom McIlroy

Updated Feb 12, 2025 – 2.48pm, first published at 11.09am

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Country airline operators have warned Labor that a taxpayer bailout of collapsed carrier Regional Express would be a waste of money when more than 40 companies continue to service key routes, with the Coalition slamming the plan as a political concession to the powerful Transport Workers’ Union.

As Transport Department officials finally agreed to meet with executives of the 43-member Regional Aviation Association of Australia (RAAA) on Wednesday, opposition transport spokeswoman Bridget McKenzie told The Australian Financial Review that Labor should work with industry to avoid wasting taxpayers’ money.

Ayesha de Kretser is a senior reporter with The Australian Financial Review covering the aviation and tourism sectors. She has previously reported on banking, mining and commodity markets.

Tom McIlroy is the Financial Review’s Canberra bureau chief based in the press gallery at Parliament House. He was previously the AFR’s political correspondent.