JETSTAR has announced it will suspend services between Brisbane and Hamilton Island, with the last flight to operate on October 20, 2014.
A Jetstar spokesman said the airline would continue to operate up to 12 flights a week into Hamilton Island with five returns services a week from Melbourne and seven per week from Sydney.
"Unfortunately, the [Brisbane] route, which is one of the shortest on our network, has dropped in performance during the past 12 months," the spokesman said.
"This comes at a time where we are seeing costs that are outside of our control increase, combined with an intensely competitive environment."
CEO of Hamilton Island, Glenn Bourke, said he was confident the destination would quickly adapt following Jetstar's commercial decision.
"Given the positive news that Qantas will be relaunching their flights to Hamilton Island in coming weeks, we will continue to have ample flights servicing the island," he said.
"We look forward to working with Qantas and expanding their service to the destination over time."
Cruise Whitsundays CEO Nick Hortle said the cancellation of the service was disappointing and would reduce capacity into the region.
"However on the other hand the advent of the Qantas service in July flying direct from Sydney will go some way to further opening up the region," he said.
"We are confident that other airlines flying from Brisbane to Hamilton Island Airport, as well as to [the] Whitsunday Coast Airport, will continue to grow and support tourism and development in the region."
Customers booked on the Jetstar services will be able to transfer their flight bookings to arrive and depart from Proserpine or are eligible for a full refund. Customers can also choose to re-route their flights to Hamilton Island from other Jetstar ports.
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