United Airlines 2027 airfare warning for travelers

United Airlines CEO Scott Kirby warned travelers that airfare increases are expected to continue through at least the first half of 2027, though he anticipates they’ll be more moderate than this year’s sharp gains. Speaking Aug. 25 in Newark, New Jersey, Kirby tied the forecast to still-strong passenger demand and higher costs, especially fuel. The U.S. Travel Association reported fares were 25.5% higher in July than a year earlier, and April through July averages were about 25% above the same period in 2023. United expects to absorb nearly $6 billion in additional fuel costs in 2026 versus initial estimates; its second-quarter fuel expense rose 84% to about $2.3 billion more than the prior year. The airline said it recovered about half through higher fares and capacity management, projecting full recovery by Q4, while investing in on-time performance, network reach, and Starlink Wi‑Fi on 450 aircraft.