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Jetstar decision a blow to Sunshine Coast tourism

JOINT MEDIA RELEASE

3 July 2026

Federal Member for Fairfax Ted O’Brien and Federal Member for Fisher Andrew Wallace

have expressed deep disappointment at Jetstar’s decision to suspend its direct

Sunshine Coast to Auckland service.

Jetstar has confirmed the route will cease from 24 October 2026, citing weak demand

and rising operating costs, including increased government taxes and charges.

Mr O’Brien said the decision was a significant setback for the Sunshine Coast and

highlighted growing pressures on Australia’s aviation sector.

“This is a disappointing outcome for our region. The direct connection between the

Sunshine Coast and Auckland has been a vital link for tourism, business and local jobs,”

Mr O’Brien said.

“Jetstar has made clear that rising costs are a key factor, particularly the Federal

Government’s increasing tax burden on aviation, including the Passenger Movement

Charge.”

“Short-haul international routes such as Sunshine Coast to Auckland are especially

price-sensitive, and higher taxes only make it more difficult for these services to remain

commercially viable.”“When airlines are forced to make these decisions, it’s regional communities like ours

that feel the impact first.”

Mr O’Brien said the timing was particularly concerning given the region’s role in the

lead-up to the 2032 Olympic and Paralympic Games.

“With the Brisbane 2032 Olympics on the horizon, and the Sunshine Coast set to play a

key role, now is the time to be strengthening international connectivity, not going

backwards,” he said.

“Reliable and affordable international air links will be critical to welcoming visitors,

showcasing our region, and maximising the economic opportunity of the Games.”

Mr O’Brien fought relentlessly to secure international capability for Sunshine Coast

Airport, so to now see international routes withdrawn is a bitter blow for the region.

Mr Wallace said the decision highlighted the real-world consequences of Labor’s

growing tax burden on Australia’s aviation sector.

“Every international flight supports local accommodation providers, cafes, restaurants,

retailers, transport operators and tourism businesses. When a route disappears, the

impact is felt well beyond the airport fence. Regional communities depend on

affordable, reliable aviation connections, and Labor’s growing tax burden is making it

harder to keep those services in the air.”

“When airlines are publicly warning that higher government taxes and charges are

changing the economics of regional routes, the Government shouldn’t be ignoring those

concerns. The Coalition will continue fighting Labor’s toxic taxes because regional

Australia deserves policies that encourage investment, tourism and growth, not drive it

away.”

Both Members reaffirmed their commitment to advocating for improved aviation

connectivity for the Sunshine Coast.

“We will continue working to ensure our region remains well-connected and open for

business,” Mr O’Brien said.

ENDS

Contacts: 

Ted O’Brien – Sarah Rudd, 0466505222

Andrew Wallace – Brendan West, 0402556646

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