Monarch Airlines has entered administration after suffering a reported £291m loss last year.
The brand – which is the UK’s fifth biggest airline – grounded all flights at 4am today (2 October) when accountancy firm KPMG placed it into administration.
It has left around 110,000 people due to fly with Monarch stranded while some 860,000 people have lost bookings.
KPMG blamed the collapse on "depressed prices" coupled with a weak pound and increased fuel costs while Monarch chief executive Andrew Swaffield said terrorism in Egypt and Tunisia was the "root cause" of its demise.
The airline – which lost £291m for the year to October 2016 versus a profit of £27m for the previous year – has also struggled after failing to reach a deal with the Civil Aviation Authority over a licence to sell package holidays.
CAA chief executive Andrew Haines said Monarch is the “biggest UK airline ever to cease trading” and it had been asked by the government to support customers affected.
“We are putting together, at very short notice and for a period of two weeks, what is effectively one of the UK’s largest airlines to manage this task.”