THE UK's largest airlines yesterday took drastic steps to ensure they could survive the coronavirus outbreak, grounding the vast majority of their fleets in response to widespread travel bans and flight cancellations.

Aviation stocks were again among the biggest fallers on the FTSE, with British Airways owner IAG losing 27 per cent and Easyjet down 19 per cent.

IAG said that it would cut 75 per cent of its capacity in April and May, with chief Willie Walsh announcing that he would stay in his position due to the crisis. Shares plummeted 27 per cent to 255.7p yesterday.

Virgin Atlantic said it would ground 85 per cent of its fleet during April, and has also asked staff to take unpaid leave of up to eight weeks over the next three months. Ryanair also said it would ground the majority of its fleet in the next week, reducing its seat capacity by 80 per cent in April and May.

Yesterday it was revealed that the airline's bosses would write to Prime Minister Boris Johnson seeking £7.5bn in state aid for UK aviation. Easyjet also joined calls for government support for the industry.

Both IAG and Easyjet stressed the strength of their respective balance sheets, with IAG reporting a total liquidity of €9.3bn (£8.5bn). Other airlines are in a more precarious state, with Norwegian especially exposed.

The carrier said it would cut capacity by 85 per cent and temporarily lay off 7,300 staff.

Separately yesterday senior executives at Heathrow airport, including boss John Holland-Kaye, said they will take pay cuts over the next few months as the UK's busiest airport tries to limit the damage done by the coronavirus outbreak.

Sky News first reported Holland-Kaye will forego his salary until June.

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