Falling oil prices will mean cheaper tickets for air travellers according to the International Air Transport Association (IATA).<br /><br /> The amount that airlines spend on fuel will drop to around 155 billion euros next year from an expected 164 billion this year, IATA said.<br /><br /> It is talking about a five percent reduction in ticket prices, though that does not include taxes and surcharges.<br /><br /> Crude oil has fallen by 40 percent since June, but IATA pointed out the airlines cannot cut more as they are locked in to fuel contracts that pre-date the recent price slump.<br /><br /> Cargo rates are expected to fall by close to six percent.<br /><br /> IATA said global airlines are set to report their strongest profit margin in more than five years in 2015.<br /><br /> “The industry outlook is improving. The global economy continues to recover and the fall in oil prices should strengthen the upturn next year,” IATA Director General Tony Tyler said.
