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Airline Flybmi has ceased trading, citing the "uncertainty created by the Brexit process".

Flybmi, which operated 17 aircraft on routes to 25 European cities, said all its flights have been cancelled with immediate effect.

Customers have been advised to contact their banks to obtain refunds for flights which have not yet taken place.

The airline's collapse was immediately seized on by anti-Brexit campaigners.

Labour and Co-operative MP and People's Vote supporter Chris Leslie said: "The effects of uncertainty and a lack of investment caused by the government’s disastrous plans for Brexit are now starting to be seen clearly in business and manufacturing, costing jobs and putting livelihoods at risk."

The east Midlands-based company, which employed 376 people, said in a statement on Saturday: “It is with a heavy heart that we have made this unavoidable announcement today.

“The airline has faced several difficulties, including recent spikes in fuel and carbon costs, the latter arising from the EU’s recent decision to exclude UK airlines from full participation in the Emissions Trading Scheme.

"These issues have undermined efforts to move the airline into profit. Current trading and future prospects have also been seriously affected by the uncertainty created by the Brexit process, which has led to our inability to secure valuable flying contracts in Europe and lack of confidence around Bmi’s ability to continue flying between destinations in Europe.

"Additionally, our situation mirrors wider difficulties in the regional airline industry which have been well documented."

On Thursday, the Standard reported how airline Blue Air cancelled flights from Liverpool's John Lennon Airport, with the airport saying the "Brexit impasse" had left the Romanian carrier "unable to receive the necessary clarity" on its ability to operate flights between the UK and countries other than Romania.

The Flybmi statement continued: "Against this background, it has become impossible for the airline’s shareholders to continue their extensive programme of funding into the business, despite investment totalling over £40million in the last six years.

"We sincerely regret that this course of action has become the only option open to us, but the challenges, particularly those created by Brexit, have proven to be insurmountable.

“Our employees have worked extremely hard over the last few years and we would like to thank them for their dedication to the company, as well as all our loyal customers who have flown with us over the last six years.”

This page is being updated.