Award tickets on British Airways are known to come with unreasonably high fuel surcharges (business class awards typically carry surcharges in the neighborhood of $600-$800 each way on transatlantic award tickets). However, as View from the Wing reports, American Airlines is currently collecting far reduced fuel surcharges from the US to the UK and Alaska Mileage Plan is collecting far reduced fuel surcharges in the opposite direction. It’s unclear whether this is intentional, temporary, or a long-term change, but I personally wouldn’t count on these lower rates to stick around.
Update: Reader Larry K and Dan from Dan’s Deals point out in the comments that surcharges have been lower with some partners for a while now and Dan points to a list of other options you might consider for booking these.
Many readers are likely familiar with the fact that British Airways award surcharges are significant. However, at the moment, American Airlines is showing heavily reduced surcharges when flying from the United States to the UK. For example, here are a couple of February flights from Newark and JFK to London Heathrow with only $279 in taxes and surcharges.
Note that on my example date, American also had availability on its own flights with only $5.60 in taxes one-way, so that would be the much cheaper option on my sample date. That said, American typically offers far less award space in premium cabins than British Airways. Almost three hundred bucks one way still isn’t an example of low fuel surcharges, but Alaska Airlines is collecting $737 in taxes and fees for the same flights above eastbound.
But on the way back from Europe, Alaska has surcharges pegged around $411 one-way (versus $587 for the same flights through AA.com).
Taken together by booking the way to London via AA and the way home via Alaska, you’d save about $690 total round trip in taxes & fees versus the normal $1,324 with those examples (that you’d pay if you booked the eastbound via Alaska and westbound via AA).
That total in fuel surcharges is still far from cheap, especially when you consider that Iberia is offering business class between eastern US cities and Spain for 17,000 Avios each way right now (with about $175 in total taxes and fees round trip) for travel through mid-March 2021.
That said, if your travel dates don’t have availability via Iberia and/or you don’t want the hassle of connecting onward to the UK if that’s your final destination, this pricing quirk may come in handy. I wouldn’t count on it to last. This definitely isn’t a hot enough deal so as to be worth trading a transferable currency for airline miles, but if you have miles on hand and were thinking of making a book, you’ll want to save several hundred dollars in surcharges with this.
H/T: View from the Wing
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I am seeing it back up to $700 on AA on at least several routes.
It was good while it lasted. Can’t be a coincidence. Airlines have Gary on their must read list for sure.
Booked Iberia today taking advantage of the 50% off miles promotion.
With the return on Alaska it also varies. If you for example try CPH-LHR-LAX the YQ goes up to from $79 to $142 but it frees you having to pay the UK Air Passenger Duty, so your overall cash costs will be just below $260. Much better than the $400+ when departing directly from the UK.
Been around for a while and you can do even better with other airlines…
https://www.dansdeals.com/points-travel/milespoints/deep-dive-best-way-use-miles-fly-american-british-airways-us-london-2/
Fuel surcharges on USA-LON on BA using AA miles have been in the $250 range for going on 9 months now. It has been interesting that nobody has picked up on it. I remember because back in like September there was a great deal where you could get a ton of Qantas points by transferring Amex. I did so and booked PHX-LON and even with the high surcharge it was worth it. Then, in December, I started noticing that AA was pricing the same trip for like $400 less per ticket. I’m pretty sure I posted in FM group on facebook asking whether people would pay the Qantas miles redeposit fee to save $800 in fuel surcharges to rebook on AA and strand the miles in Qantas. I ultimately decided to do it. But ever since I’ve noticed that AA prices these significantly less. It goes up to the regular $700 or so if you try to connect. With people using Juicy Miles and stuff, which shows the taxes, I’m surprised that nobody else has tumbled to this until now. Now that Gary has posted it, I’m pretty sure we will know quickly whether it is intentional or an error.