United Airlines Warns of 20% Fare Hike to Cope With Oil Surge

United Airlines Holdings Inc. Chief Executive Officer Scott Kirby said ticket prices may have to go up by 20% if jet fuel prices remain elevated for longer.

The airline expects some consumer pushback and fewer people to travel if ticket prices continue to rise, Kirby said in a Bloomberg TV interview on Tuesday. The airline has already reduced 5% of its capacity on routes that are not profitable and don’t cover higher fuel prices, Kirby said.

Still, at the moment, demand remains very strong, Kirby said.

United, the world’s largest airline by capacity, has previously ...