Virgin Australia will increase domestic airfares by five per cent after the cost of jet fuel doubled within a month amid escalating conflict in the Middle East. The fare rise will apply to both economy and business tickets and follows similar increases announced by Qantas and its budget carrier Jetstar, which cited surging fuel prices and broader cost pressures across the aviation sector.

Qantas has confirmed international fare increases, with domestic prices under fortnightly review. Airlines say the sharp rise in fuel costs has been driven by instability in the Middle East, including disruptions to global oil supply routes.

The impact of rising fuel prices is also being felt beyond aviation. Supermarket giant Coles said it would review freight fuel costs more frequently to help transport providers recover higher expenses. Meanwhile, Energy Minister Chris Bowen said additional fuel could be released from Australia’s national reserves if necessary, as the government monitors supply levels and ongoing global developments.