EUROMANX, the Isle of Man-based airline with routes from Liverpool, has ceased trading today.
It is trying to arrange alternative flights for passengers with tickets.
In a statement the company blamed its demise on high fuel prices and low passenger numbers.
It said: “For the past five years EuroManx has focused on providing a locally based operation offering high quality schedules and services dedicated to the Isle of Man.
“During this time the employees have worked hard to develop and grow the business but over the last 6 months a number of factors including rising fuel prices and reduced passenger numbers have proved to be insurmountable obstacles to the airline being able to continue to operate.”
Flybe will carry all ticketed EuroManx passengers to Liverpool and Manchester, and also initially to either London Luton or London Gatwick, on services where Flybe have space available to accommodate the passenger.
EuroManx has been flying from Liverpool to the Isle of Man since August 2002.