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The boss of Ryanair has threatened legal action over the government help given to regional carrier Flybe. Michael O'Leary has written a strongly-worded letter to the Chancellor, Sajid Javid, saying the state rescue of Flybe contravenes competition rules. He argues measures that are being put in place to help Flybe should be extended to other airlines. If they are not, Ryanair intends to launch legal proceedings against the government, Mr O'Leary said. British Airways' owner IAG has already filed a complaint with the EU, arguing the rescue breaches state aid rules. Earlier this week, the government approved help for Flybe, which is thought to centre on giving the airline extra time to pay about £100m of outstanding Air Passenger Duty (APD). Full story

16 January