Ryanair has revealed it made lower profits over the first half of the year as the airline said it flew more customers at lower prices.

The low-cost airline reported a pre-tax profit of 2.1 billion euros (£1.8 billion) for the six months to the end of September, 16% less than the same period last year.

The number of passengers soared 9% year on year to a record 115 million, Ryanair said.

But the company’s profits were impacted by its average air fare declining by a tenth, although it said lower prices were leading many consumers to switch from rival airlines.

Demand for flights was strong but could continue to be impacted by Boeing aircraft delivery delays, staff shortages and the ongoing risk of conflict in Ukraine and the Middle East, Ryanair said.

The news comes just days after Ryanair CEO Michael O’Leary warned the company could cut as many as 10% of its flights in the coming year following Labour’s Autumn Budget.

O’Leary indicated that Ryanair would have to “review” its flight schedules. The anticipated cuts could result in up to five million fewer passengers passing through UK airports.

Chancellor Rachel Reeves confirmed that from the financial year 2026/27, air passenger duty (APD) will increase, adding as much as £2 to the price of an economy ticket on short-haul flights. Meanwhile, private jet flyers are set to be hit with a 50% surge in APD.

The rates for passenger duty are determined by both the distance of the flight and the travel class.

O’Leary stressed the importance of making it more affordable to fly in the UK and criticised Labour for having “damaged tourism and damaged air travel to and from the UK”.

He went on to say: “Chancellor Rachel Reeves’s idiotic decision to further raise the UK’s already high air travel taxes will deliver cuts, not growth.”

He also warned: “This short-sighted tax grab will make air travel much more expensive for ordinary UK families going on holidays abroad and will make the UK a less competitive destination compared to Ireland, Sweden, Hungary and Italy where these Governments are abolishing travel taxes to stimulate traffic, tourism, and jobs growth in their economies.”

Ryanair announced a record-breaking August, flying a whopping 20.5 million passengers.