THE government’s rescue deal for Flybe was slammed today by Labour shadow transport secretary Andy McDonald as “another taxpayer bailout for Richard Branson from the Tories.”

The package of measures includes a potential loan of around £100 million, a possible short-term delay of a £106 million air-passenger duty (APD) bill and a pledge to review domestic flight taxes before the March budget.

Flybe, the largest regional airline in Europe with 139 routes across Britain and the continent, was on the brink of collapse with about 2,300 jobs at risk.