UK-based budget airline Monarch has moved to quell speculation over its financial health following a raft of stories over the weekend.

Negative speculation about the carrier prompted the airline to release a statement this morning stating: “Our flights and holidays are operating as normal, carrying Monarch customers as scheduled.”

Monarch employs nearly 3,000 staff and is based at Luton airport.

Investment firm Greybull Capital bought a 90 per cent stake in the carrier in 2014.

Monarch added it was trading well and is expected to achieve an EBITDA of over £40 million at the end of this financial year next month.

“This is despite a difficult period for the holiday industry due to terrorist incidents, Brexit and the resulting devaluation of sterling,” the airline said.

To weather tougher market conditions and to fund its ongoing growth, Monarch also expects to announce a significant investment from its stakeholders in the coming days.