United Airlines CEO just casually admitted that prices might stay high even after the Iran fuel crisis ends

Many consumers may be pausing their travel plans until whenever the U.S.-Iranian fuel crisis ends.

But if you were hoping that airline ticket prices and other ancillary costs will come down afterward, the CEO of United Airlines has some bad news for you: Airlines may not lower prices to their pre-war levels even after fuel prices fall.

Instead, they’ll pocket the profits. Here’s what you need to know.

Ticket prices rise as Iran war drags on

This week, United Airlines (Nasdaq: UAL) reported its Q1 2026 earnings.

For all intents and purposes, it wasn’t a bad quarter. Total operating revenue was up 10.6% year over year to $14.6 billion, capacity rose 3.4%, and diluted earnings per share rose 85% year-over-year to $2.14.

Of course, United, like all other airlines, is facing its challenges, too. While the company paid an average fuel price of $2.78 per gallon during the quarter, it incurred $340 million more in fuel expenses than in the same quarter a year earlier.

But like all other airlines, United is counteracting rising fuel costs by passing them on to fliers. It is doing this in two primary ways: first, by raising baggage fees, and second, by raising ticket prices.

And things may soon only get worse. Scott Kirby, CEO of United Airlines, has warned that this summer, fliers may see the airline’s fares rise by 15% to 20%.

While this no doubt displeases consumers, many might find it understandable in the wake of the current geopolitical crisis. Planes need fuel to fly, and if fuel prices rise, ticket prices will too.

The thing is, most consumers also expect that when fuel prices decline, ticket prices will fall as well. 

But Kirby has indicated that his airline may not do that—and instead keep prices elevated even if fuel costs fall.

Will higher prices be the new normal?

On a financial call with reporters on Wednesday, April 22, Kirby was asked whether United Airlines would maintain its higher ticket and other ancillary prices to boost its bottom line.

Unfortunately, Kirby’s answer is bad news for fliers.

“I think it is more likely than not this time, and certainly the longer this [rising fuel prices] lasts, the higher the probability goes that the pricing increases hold,” Kirby said, according to a transcript of the call.

But the CEO also clarified his answer, noting that United isn’t likely to keep the full price increases in place. Instead, Kirby suggested that the airline will keep a portion of those price rises in place.

“We probably won’t hold 100% if we’ll normalize it,” Kirby said. “I told the team earlier today, and it’s just my guess, that if things went back to mid-February normal, I think we’d keep 20% of the price increase next year, and I think that’s going to move towards 80%. And every day, it’s picking up the longer this goes on.”

A spokesperson for United Airlines declined to comment.

A lawmaker has warned airlines not to keep prices high once fuel crisis ends

Kirby’s assertion that higher prices are likely to stick around even after fuel prices decline may put him at odds with some lawmakers on Capitol Hill, including Democratic Congressman Ritchie Torres of New York.

In a recent letter to airline CEOs, Torres demanded that airlines commit to lowering prices once the fuel crisis abates.

“If airline pricing is truly tied to global fuel costs, then it must be equally responsive when those costs decline,” Torres wrote. “Pricing cannot be a one-way street. Raising prices in response to external pressures and keeping them artificially high when those pressures ease takes advantage of a deadly international conflict for profit.”

Fast Company has reached out to Representative Torres for comment.

In the letter, Torres particularly called out Delta Air Lines CEO Ed Bastian, who had previously said that future lower fuel costs would “certainly help us boost our margins this year and clearly into next year as well.”

But given Kirby’s statement, United Airlines may now also become a focus for Torres.

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