UK airline Flybe has ceased trading and announced the cancellation of all flights.

The regional carrier, which was founded in 1979, said in a statement that it had been unable to secure a “sufficiently-funded rescue package” to continue trading.

The airline has been struggling with rising fuel costs and a weak pound, and had been seeking a government bailout. The UK government had refused to provide financial assistance to Flybe, citing competition concerns.

Flybe had operated more UK domestic flights than any other airline, and its collapse has left many passengers stranded. Customers who have booked flights with Flybe have been advised to contact their credit card provider to seek a refund.

The airline had operated more than 200 routes to and from airports across the UK and Europe, and its collapse will have a significant impact on regional connectivity.

The UK government has said it will work with regional airports to ensure they remain connected.

The Flybe collapse is the latest in a series of challenges facing the UK aviation industry, which has been hit hard by Brexit uncertainty and environmental concerns.