Ryanair has conceded defeat in its battle to take over Aer Lingus. 

The airline issued a statement officially withdrawing its hostile offer.

The statement said: "Ryanair confirms that following the Irish Government’s decision not to accept its all cash offer of €1.40 per share (which valued Aer Lingus Group Plc at €748 million), Ryanair acknowledges that its offer cannot now be successful and accordingly the Offer is now withdrawn."

But Ryanair is going ahead with new routes from Gatwick to Marseille and East Midlands to Ibiza are to run this summer.

The low-cost carrier is to run daily flights to the French city from March 30 with an introductory offer of £10 one-way for bookings made online by midnight on February 3.

Ibiza will be served from March 31 from East Midlands with prices starting at £28 one way including taxes and charges.

The expansion means that Ryanair will serve seven destinations from Gatwick and more than 30 from East Midlands this summer.

by Phil Davies