Big changes coming to Virgin’s Singapore Airlines partnership
The impending shake-up will be a blow to frequent flyers.
By David Flynn, November 4 2024
Virgin Australia and Singapore Airlines have enjoyed a long and close partnership, to the delight of frequent flyers on both airlines.
But that’s set to change if Qatar Airways’ proposed 25% investment in Virgin goes ahead.
This would see Qatar Airways become Virgin’s exclusive partner for flights to the UK, Europe, Africa and the Middle East.
Virgin’s codeshare flights on Singapore Airlines’ worldwide network – which unlocks maximum points and status credits benefits for Velocity frequent flyers – would be cut back to Asia and India.
Virgin’s reshaped international partner network is detailed in its application for a “proposed integrated alliance” with Qatar Airways and lodged with the Australian Competition and Consumer Commission (ACCC).
“Virgin Australia will not codeshare on the international flights of other airlines to, from or within the Middle East, Europe, and Africa,” states the application, which has been submitted to the ACCC for approval ahead of the launch of new Qatar Airways flights from Sydney, Melbourne and Brisbane as early as June 2025.
Those flights – officially operated by Virgin Australia but using planes and crew supplied by Qatar Airways – would extend to Perth by November 2025.
Included in the ACCC proposal is a map showing how Virgin’s partner network would be redrawn under its Qatar Airways alliance, which underscores QR’s “exclusive” role for flights into the Gulf status and beyond – including prime UK and European destinations.
An extract from the Virgin Australia & Qatar Airways submission to the ACCC.
Virgin Australia declined to comment when approached by Executive Traveller, while Singapore Airlines responded it was “unable to comment on any confidential commercial discussions.”
As previously reported, the new VA/QR alliance will also likely mean an end to Virgin’s relationship with Etihad Airways.
Velocity frequent flyers will still be able to earn points and status credits on Singapore Airlines flights – and significantly more points where that flight carries a VA flight number – but there’ll be fewer routes on which those codeshares would be available.
However, the ability to convert Virgin Australia Velocity Points to Singapore Airlines KrisFlyer miles would not be impacted by the redefined relationship.
Likewise, recognition of reciprocal status – giving elite Velocity and KrisFlyer members access to lounges and priority perks – would remain in place.
Also in the wings is a drop in the number of Velocity status credited earned on not only Singapore Airlines but all partner airlines.
From 1 October 2025, a Singapore Airlines flight from Brisbane Sydney or Melbourne to Singapore will net as little as 50% fewer Velocity status credits in economy (down from 30 SCs credits to day to 15 SCs), with smaller drops in premium economy (from 90 SCs to 75 SCs) and business class (120 SCs to 100 SCs).
This is part of a dramatic revamp of the Velocity rewards program which will see status directly tied to the cost of your airfare, alongside the launch of lifetime Velocity status and a new Platinum Plus tier.
Virgin Australia - Velocity Rewards
25 Jul 2013
Total posts 70
If I am not mistaken, it simply means you won't be able to book a flight operated by SQ to Europe with a VA flight number. As a VA gold/plat frequent flyer, you'll still be able to book an SQ flight to Europe (with an SQ flight number) and access SQ lounges, priority board, earn status credits/points (albeit at a reduced rate to today) etc. You just won't be able to book the flight on the VA website (which to be honest is rarely cost competitive anyway). I don't think it's that bad ... or have I missed something?
07 Mar 2013
Total posts 31
Well, currently Velocity enjoys preferred access to business class awards on SQ...better than most of SQ's Star Alliance partners. I would not at all be surprised if this was removed...which would then remove long haul business class awards on SQ as an option on Velocity. For travel to Europe in particular I think this would be pretty disastrous if the new QR/VA flights don't take up the slack.
09 Feb 2021
Total posts 15
I've found that access to business class awards through Velocity is very limited anyway.
The key is to transfer Vecloity points to Krisflyer (at a 1.55/1 discount, admittedly) which gives access to an infinitely better inventory of SQ rewards.
Virgin Australia - Velocity Rewards
24 Jan 2018
Total posts 758
" Velocity enjoys preferred access to business class awards on SQ . . . "
Honestly bcworld, whilst not for one minute wishing to appear argumentative with you, that has not been my experience thus far. Notwithstanding the 'exchange rate' variance when converting VFF points into KrisFlyer Miles, I've enjoyed far greater flexibility securing preferred reward seats on SQ flights, even when booking flights on SQ's other Star Alliance airline partners via the SQ website.
Apologies in advance to Singapore Airlines, but I'm ready to give the VA-QR alliance my full support. But the Virgin Velocity 'executives' at Southbank will really need to deep dive into the detail and make sure every-single-aspect from a Velocity member perspective works well, because if they remain mere carpet walkers swooning (with oat milk Latte's in-hand) from one meeting to the next and assume someone else will take care of the details . . . . well, Nick's in for a disappointment (and SQ will be the beneficiary).
20 Nov 2015
Total posts 470
It's also a bit of a blow to those who prefer to fly SQ to Europe or the UK instead of QR and earn maximum Velocity points and status credits. Yes, the Qsuites are great, but a lot of people prefer to have their stopover in Singapore for various reasons, especially if they want to break their journey for a day or two. Plus if you fly First Class then SQ's A380s have you covered with a much better product and a lot more destinations than QR.
09 May 2020
Total posts 571
Might complicate things for AU traveller if short transit time at SIN on the way to EU, without the ability to combine the flight bookings on a PNR
11 Sep 2015
Total posts 224
This is a real shame, my Dad is a pretty loyal VA flyer and loves SQ too, so he'd earn VA points on both and then burn them on SQ business or premium economy award seats to the UK. Was talking to him about this change last week and he's not impressed, as it takes a bit of the shine off the VA-SQ alliance.
QF
11 Jul 2014
Total posts 1002
I'm actually wondering if the government is going to knock back Qatar stake in Virgin, they seem to have approved other carrier lately but no decision on Qatar.
If Qatar buys in this is the first of many changes coming, they (VA Management) just didn't want to bombard a million things just wanted to do bucket loads at a time.
Virgin Australia - Velocity Rewards
24 Jan 2018
Total posts 758
Thanks to Joe Aston's new book, the prospect of a Labour Government knocking back Qatar or the collaboration between QR and VA is very, very slim. VA Management could hardly be accused of bombarding any substantive changes over the last 2 years. Virgin's biggest risk isn't the ACCC or the geo-political complexities between Qatar and Israel. Their biggest risk is insufficient focus upon the detail when implementing the deal. It's not appropriate to detail here the number of unsuccessful 'mergers' or 'collaborations' when human beings don't focus on the detail - but the airline industry is very highly regulated and "WE THE FLYERS" can be quite 'fiscally promiscuous' with where we spend our airfares.
So you're quite right, there are many changes coming. But it's up to Virgin and Velocity to make sure those changes are positive for "We The Flyers", because I'm not forced by a Board in Sydney with special lounge privileges to fly with just the one airline. And I glean, perhaps incorrectly, that I'm not alone.
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