Budget airline Zoom goes Bang

Hundreds of travellers left stranded by the collapse of the low-fare airline Zoom were trying to make their way home today.

At least another 40,000 customers with bookings with the UK and Canada-based firm, which grounded all flights last night, were also affected. Not all of them will be able to claim compensation.

Zoom, which operated from five UK airports, blamed its financial difficulties on the economic downturn and the rise in oil prices.

Its UK managing director, Jonathan Hinkles, said the firm's fuel bill had leapt by £15m, a rise of about £80-£90 on the cost of a return-ticket to Canada.

People were stranded at Cardiff, Glasgow and Belfast. Zoom also flew from Gatwick and Manchester to eight destinations in Canada and a number of locations in the US.

Zoom's cash crisis became apparent on Wednesday after a Zoom flight from Paris was grounded at Calgary airport in Canada.

Glasgow airport was yesterday instructed by the UK's Civil Aviation Authority (CAA) to detain a flight bound for Halifax, Nova Scotia, over the non-payment of charges.

Hinkles said the collapse was brought about by one of the leasing companies, which owned a Zoom aircraft, taking action to seize the plane.

He told the BBC this "set a chain of events in motion from which it was impossible for us to recover".