Italy Slaps $300 Million Antitrust Fine on Ryanair Over Travel Agency Practices

Key Highlights:

• Italy’s antitrust authority has fined Ryanair €255 million ($300 million) for abusing a dominant market position.
• Regulators said Ryanair restricted travel agencies from bundling its flights with other airlines or services.
• The alleged conduct took place between April 2023 and April 2025, according to the watchdog.

Italy’s competition authority has imposed a €255 million ($300 million) fine on Ryanair, Europe’s largest low-cost airline, for abusing its dominant market position in dealings with travel agencies, the regulator said on Tuesday.

Italy Fines Ryanair €255 Million Over Abuse of Dominant Market Position

According to the Italian Competition Authority, Ryanair engaged in practices that restricted or made it more difficult, both economically and technically, for travel agencies to offer Ryanair flights alongside those of other airlines or as part of broader travel packages. The regulator said these actions limited consumer choice and distorted competition in the online travel market.

Ryanair did not immediately respond to a request for comment, according to Reuters.

Restrictions on Travel Agencies and Online Platforms

The watchdog said its investigation found that Ryanair initially introduced facial recognition procedures for passengers booking through third-party platforms, a move that regulators said added friction for travel agencies and customers.

The airline then allegedly blocked payments from online travel agencies (OTAs), before later imposing partnership agreements that restricted travel agents’ ability to sell Ryanair tickets as part of bundled offerings, such as flight-and-hotel packages or multi-airline itineraries.

According to the authority, these measures made it increasingly difficult for travel agencies to integrate Ryanair flights with competing airlines or complementary services, effectively steering consumers towards Ryanair’s direct sales channels.

Regulator Cites Market Power and Independence

In a statement, the Italian Competition Authority said Ryanair’s dominant position was not based solely on its growing market share in Italy, but also on a combination of factors that gave the airline significant market power.

“Its dominant position stems not only from its significant market share, which is continuing to grow, but also from numerous other indicators,” the watchdog said, adding that these factors enabled Ryanair to act independently of competitors and consumers.

The authority said this level of market power allowed Ryanair to impose conditions that competing airlines and intermediaries were unable to counter, thereby reinforcing its position in the market.

Timeline of the Alleged Abuse

The regulator also stated that the alleged abuse of a dominant position started from April 2023 until at least April 2025, a period during which Ryanair expanded capacity and routes in the Italian market.

Italy is one of Ryanair’s largest markets, with the airline operating dozens of domestic and international routes and carrying millions of passengers annually. Regulators said the airline’s scale and pricing power amplified the impact of its conduct on competition.

Broader Implications for the Travel Industry

The ruling comes as European regulators step up scrutiny of digital and platform-driven business models, particularly in sectors where dominant players control access to consumers. Travel agencies and online booking platforms have long complained that airline restrictions on ticket distribution reduce transparency and consumer choice.

According to Reuters, the Italian decision adds to a broader debate across Europe over how airlines interact with intermediaries, especially as carriers push customers towards direct bookings to reduce commission costs and retain control over pricing and customer data.

Next Steps and Potential Appeals

While the Italian authority has issued the fine, Ryanair retains the right to appeal the decision through the courts. It remains unclear whether the airline will challenge the ruling or adjust its commercial practices in response.

The regulator did not immediately indicate whether additional remedies or behavioural changes would be required beyond the financial penalty.

The case is being closely watched by travel agencies and regulators across the European Union, as similar distribution practices are under review in other jurisdictions.