Monarch Airlines denies speculation it is in financial trouble

Monarch Airlines has denied speculation that the company is in financial trouble.

The budget carrier said in a statement that it was "trading well", after its Twitter feed became inundated with queries from customers asking if the airline was going bust.

Monarch said it expects to make £40 million before tax and other cost deductions by the end of the financial year to October, despite what it said was a "difficult period" for the travel industry, fuelled by Brexit and terror attacks.

A spokesman for the airline said: "Over the weekend, there has been negative speculation about Monarch's financial health.

"Our flights are operating as normal, carrying Monarch passengers as scheduled.

"To weather tougher market conditions and to fund its ongoing growth, Monarch expects to announce a significant investment from its stakeholders in the coming days."

Headquartered in Luton, Monarch employs around 2,800 people.

In 2014, it agreed a rescue deal whereby Greybull Capital acquired 90% ownership interest in the company.

The deal resulted in staff pay cuts of up to 30% and hundreds of redundancies.