When Monarch Airlines launched its first charter flight from Luton to Madrid on April 5, 1968, using an ex-Caledonian Bristol 175 Britannia 300, few could have imagined that the small airline would become one of Britain’s most beloved holiday carriers.

Fast-forward 49 years, and the once-great airline was in financial turmoil. Years of poor management, Brexit, terrorism, and rising competition from low-cost airlines pushed Monarch into financial difficulties. 

On the morning of Monday, October 2, 2017, the devastating news broke that Monarch Airlines had ceased trading. As the UK’s fifth-largest, it was, at the time, the biggest to fail in British aviation history and caused the UK’s largest peacetime repatriation until Thomas Cook folded two years later.

Even today, the airline’s demise remains an utter devastation for ex-Monarch staff and loyal passengers. With its distinctive “Spotty M” branding, Monarch became a familiar sight in the skies for generations of British holidaymakers.

The Early Years

Monarch Airlines was created on June 5, 1967, by British businessmen Bill Hodgson and Don Peacock. Both had previous airline experience as directors at British Eagle. 

Unlike typical airlines at the time, Monarch was aimed at ordinary families and was founded to transport British holidaymakers to popular tourist destinations across Europe.

Bill Hodgson’s daughter, Mary-Anne Hardie, remembers the airline in those days as “One big happy family.” While her father was managing director, her mother designed the first canary-yellow uniforms for the cabin crew, and the family even tested the in-flight meals at home.

Operated as a subsidiary of Globus Getaway Holdings, Monarch had financial backing from the owners of UK-based tour operator Cosmos Tours – the Swiss Sergio Mantegazza family – who would be a part of the airline for many years.

During its second year of operation, Monarch Airlines transported 250,000 passengers, a significant milestone, and operated a fleet of six aircraft.

They entered the Jet age on December 13, 1971, following the arrival of the first of three Boeing 720B aircraft on order. The introduction of the company’s first jet aircraft type also coincided with the adoption of a revised livery.

The rise in popularity of the package holiday in Britain was an area Monarch was able to capitalise on, and in 1979 Monarch carried 500,000 passengers for the first time. 

Despite financial difficulties brought about by the 1970s energy crisis, the airline transitioned to an all-jet fleet by 1976, acquiring two more secondhand Boeing 720Bs and adding a pair of BAC One-Eleven 500s, sourced from British Caledonian and the administrators of the failed Court Line.

“The attitude in the industry was of mutual support”, said Ms Hardie, “not as cut-throat as it is now”, and Monarch survived. It even took on some of Court Line’s redundant staff, much like Virgin Atlantic and easyJet did when Monarch folded.

Eighties Boom Years

The 1980s were an exciting time for Monarch. The airline took delivery of its first new Boeing 737-200 Advanced aircraft at the end of 1980, and one of these was based at Berlin’s Tegel Airport at the start of the 1981 summer season. Monarch operated short- to medium-haul charter flights to the Mediterranean and the Canary Islands under contract with Flug-Union Berlin, one of West Berlin’s leading package tour operators at the time.

The addition of the 737s expanded Monarch’s fleet to 11 jet aircraft, comprising one Boeing 707-320C, five Boeing 720Bs, three BAC One-Eleven 500s and two Boeing 737-200 Advanced.

In 1981, new bases were opened at Gatwick, Glasgow, Manchester, and Berlin Tegel, and for the first time, Monarch Airlines carried a million passengers in a single year. 

This was also the year Monarch became the first charter airline to order the Boeing 757-200, which would form the backbone of the fleet for many years. An order for the high-capacity, medium-haul, single-aisled jet represented a major change for the airline. The first was delivered and entered service in the spring of 1983. This coincided with the introduction of an updated livery, the third in the airline’s history.

In spring 1985, the CAA awarded Monarch licences to begin scheduled services to Malaga, Tenerife and Menorca. With a new addition to the fleet in the form of the Boeing 737-300, the first of these scheduled services took to the skies on July 5, 1986, from Luton to Menorca and introduced to the world the new ‘Monarch Crown Service’

On May 1, 1988, Monarch again made milestones. The first ETOPs Trans-Atlantic flight under CAA regulations, the Boeing 757-200ER (G-MONJ), operated from London Luton to Orlando via Gander, Newfoundland, with 235 passengers, became the first UK twinjet to cross the North Atlantic with passengers. At the same time, the airline broke through the two-million-passenger mark for the first time.

The 1990s

In 1990, Monarch Airlines introduced its first wide-bodied aircraft to its fleet, the Airbus A300-600R, and opened a new purpose-built headquarters at Luton that also housed the airline’s Boeing 757 flight simulator. 

In 1993, Monarch introduced the Airbus A320 aircraft into its fleet. These aircraft gradually replaced the Boeing jets and would become the mainstay of its fleet for the rest of its life. The first of the larger A321s joined the fleet in 1997.

The airline also ordered a pair of Airbus A330-200 aircraft to assist with its planned long-haul expansion. However, due to delivery delays, the airline leased two McDonnell Douglas MD-11s from World Airways in 1998 to fill the gap. These new A330s were operated with two different classes onboard, a first for the airline.

The New Millennium And A Change In Strategy

The year 2000 saw growth and change for the carrier. The airline faced increased competition from low-cost, no-frills airlines such as easyJet and Ryanair. 

“With the low-cost airlines, it was easier to book direct; that’s when Monarch started to struggle really”, says Ms Hardie. The focus shifted from customer service to those offering the cheapest fares.

In 2001, Monarch Airlines launched its first online booking tool, allowing passengers to reserve flights directly with the airline without booking through a travel agent or speaking to a call centre.

Monarch Crown Service was renamed simply ‘Monarch Scheduled’ and continued to offer a full-service product, including free catering, bar service, hot towels, newspapers, and In-flight entertainment (IFE).

The airline had operated a single McDonnell Douglas DC-10 since 1996. It was retired from service in 2002 and donated to Manchester Airport Aviation Viewing Park. 

By 2004, the impact of the no-frills airlines was becoming more apparent, and Monarch adopted a modified low-cost model featuring additional charges for food and drink.

New scheduled bases were opened in Manchester and Birmingham in 2005, and the airline grew to become the second largest airline by passengers carried at Manchester Airport.

In August 2006, an order was placed for six Boeing 787-8 Dreamliner aircraft. Delivery was planned to start in 2010, but delays to the 787 project pushed delivery dates back to 2013. In September 2011, the airline cancelled its order following a review of the business and a decision to concentrate on its scheduled short- and medium-haul operations.

Monarch was named the Leisure Airline of the Year at the annual Travel Trade Gazette Awards.

On April 27 2007, Monarch Airlines started flights to Ibiza, partnering with club brand HedKandi and naming the partnership “FlyKandi”. One of Monarch’s Boeing 757s received a special FlyKandi livery. The partnership lasted for the 2007 summer season, with flights to Ibiza being sold from four major UK airports. It was then renewed for the 2008 summer season, offering the same services, with HedKandi CDs and radio stations available for purchase and listening on board the aircraft.

In 2008, Monarch provided the aircraft, an Airbus A321, to launch the ITV programme ‘Celebair’. A group of “celebrities” were trained and took on duties performed by airline staff, such as cabin crew. The flights carried fare-paying passengers, and the programme first aired on September 2, 2008. Lisa Mafia won the series, with Amy Lame and Chico Slimani finishing second and third, respectively.

The Beginning Of The End

After many years of operating profitably, Monarch Group, the parent company of Monarch Airlines and Cosmos Holidays, reported a hefty pre-tax loss of £32.3m in the financial year ending in 2009. This necessitated a £45m cash injection from the Mantegazza family. The airline also continued to focus on becoming a predominantly scheduled ‘leisure airline’ with a target of 80% of its business being scheduled (compared with only 20% in 2005)

The carrier began investing heavily in services around the Mediterranean, including destinations in North Africa. The airline made a small profit in 2010 but experienced a £45 million loss the next year. This was caused by an increase in fuel prices and trouble in the sun destinations of North Africa and Egypt, which led to a drop in demand.

On November 3, 2011, Monarch received a £75 million rescue package to stay in operation, and two Airbus A320s were delivered to support the increased activity level. The addition of these aircraft marked the first stage of a medium-term plan to increase the fleet size to 40 aircraft, supporting the airline’s goal to carry 10 million passengers annually by the time the final stage is fully implemented.

In 2014, the Mantegazza family declined to contribute any further funds to help the ailing airline. In October 2014, Monarch Holdings was acquired by Greybull Capital. The group added £125 million in new capital to the airline. The new owners restructured the airline, eliminating long-haul flying and charter operations. The new model focused on low-cost, short to medium-haul flights, and the fleet was also reduced from 42 to 34 aircraft.

Ultimately, it proved too little, too late. In September 2016, rumours began to circulate that Monarch was on the brink of bankruptcy. The airline received fresh investment and was awarded a renewal of its ATOL license. In addition to fresh investors, Greybull also injected an additional £165 million.

However, a year later, the same troubles began emerging. On September 30, the CAA extended Monarch’s license for another 24 hours. However, the CAA then began to charter spare planes to rescue any Britons stranded abroad. On the evening of October 1, a flight to Ibiza was cancelled during boarding due to uncertainty about the airline’s license renewal.

Finally, on October 2, 2017, it was announced that the airline had entered administration. Passengers abroad were rescued as the CAA chartered 34 aircraft to rescue travellers. The demise ended 50 years of operations for the airline and left 1,900 people without a job.

Monarch was a fantastic airline, one that will be remembered as an icon of British aviation. Sadly, over several years, a combination of misjudgment and poor management, Monarch ran out of runway.

Although the ‘Spotty M’ may be gone, it will never be forgotten and will live on forever in the hearts of its loyal staff.

Monarch’s Cabin Crew

Click on an image below to enter our Monarch gallery. A massive thank you to everyone who sent their pictures.

© Confessions of a Trolley Dolly