There will be particular relief in Majorca that Monarch has a bright future. | Monarch.co.uk

Monarch Airlines, which had been given a temporary extension of its Atol licence that was due to have expired at 23.59 tonight, has both renewed the licence and received a major injection of investment (165 million pounds) from Greybull Capital, its majority shareholder.

Andrew Swaffield, the CEO of the Monarch Group said today: "It is testament to the extensive effort by all parties, over the past weeks and months, that we are able to announce the largest investment in our 48-year history, as well as the renewal of our Atol licences."
 
Monarch is also due to start taking delivery of new Boeing 737s in 2018, and it is an arrangement with Boeing that has helped to bring about a further injection of cash from Greybull, which holds 90% of the company.

The CAA has confirmed that the Atol licence is in place and that it will be up for renewal at the end of September next year. Annual revision of Atol licences is standard procedure.

Mr Swaffield also said today that the arrangement was not a short-term fix. There is a business plan that takes Monarch up to 2022, and the financing is designed to secure that future.

Concerns about the future of the airline started circulating on social media last month. The company's holiday bookings, Mr Swaffield accepted, had been temporarily affected but they are now returning to normal.

Monarch operates flights to Palma and holidays in five main resorts: Alcudia, Cala d'Or, Magalluf, Palmanova and Puerto Pollensa.