Falling passenger number have taken a further toll on struggling UK airline Flybe, with losses increasing seven fold in the year to March 31st.

Figures released earlier reveal the Exeter-based airline lost £41 million over the period, up from £6 million the previous year.

Rising fuel costs have also hit the carrier, with Flybe shedding hundreds of jobs in recent months as part of an aggressive turnaround plan.

Flybe said UK passenger numbers fell by 1.1 per cent last year to 7.2 million from 7.3 million.

Fuel costs rose to £123 million from £106 million the year before.

“Our results for 2012-13, while expected, are nonetheless disappointing.

“During the year, we have taken difficult decisions as part of our turnaround plan, which have affected all our people,” said chief executive Jim French.

Flybe confirmed it would sell 25 pairs of arrival and departure slots at London Gatwick to Easyjet for £20 million.