Virgin Atlantic will fold without aid, Branson alerts

Sir Richard Branson has vowed his luxury island resort as security to help get a UK government bailout of his stricken airline Virgin Atlantic.

The billionaire Virgin Group boss said in an open letter to personnel he was not requesting for a handout, however a business loan, thought to be ₤500 m.

The airline company’s survival was in doubt, and his Necker Island house in the Caribbean might be mortgaged, he stated.

It comes as Virgin Group’s airline company in Australia deals with administration.

Both airline companies have been hit hard by the worldwide coronavirus lockdown, and Sir Richard has actually attracted federal governments in both countries for assistance.

However, has actually been criticised for appealing for taxpayer aid instead of making use of his substantial wealth. Sir Richard’s fortune is thought to be well over ₤ 4bn. The large US airline company Delta owns 49%of Virgin Atlantic.

Sir Richard said in his letter to staff: “Many airlines worldwide require federal government assistance and lots of have already gotten it.” The crisis dealing with airline companies, and the personnel they use, was “unprecedented,” he said.

Despite his wealth, this did not imply he had “cash in a bank account ready to withdraw”. And he hit back at criticism that he was a tax exile who did not be worthy of assistance, stating he and his spouse “did not leave Britain for tax reasons but for our love of the lovely British Virgin Islands and in specific Necker Island”.

He stated Necker would be offered as security for any loans. “Similar to other Virgin assets, our team will raise as much cash versus the island as possible to sav