Hundreds of workers were made redundant after a low-cost carrier announced it had entered administration.

Icelandic airline PLAY, headquartered in Reykjavík, confirmed it had gone into administration and ceased operations on September 29 last year. A statement on the carrier's website read at the time: "Dear passenger, Fly PLAY hf. has ceased operations, and all flights have been cancelled."

According to local media outlet RUV, the move left around 400 people facing redundancy, with the company "trying to pay staff their wages". It is unclear whether the affected employees have received their full payments.

• Major UK airline cancels all flights to Dubai until summer in huge move


• Doctor Amir Khan shares how to get back to sleep if you keep waking up at 3am

PLAY was established in July 2019 and began operations from its base at Keflavík International Airport, Reykjavik, in June 2021. The carrier initially served six European destinations: Alicante, Tenerife, London, Paris, Copenhagen and Berlin. PLAY also operated services between London and Reykjavík, although no seats were on sale beyond November 1 prior to the announcement.

Ensure our latest headlines always appear at the top of your Google Search by making us a Preferred Source. Click here to activate or add us as your Preferred Source in your Google search settings.

The board of PLAY said in a statement in September: "The board of Fly Play hf. has decided to terminate operations, and all of the company's flights have been cancelled. The company will work closely with authorities and employees to implement the necessary steps for winding down operations.

"There are many reasons behind this decision. The company's performance has long fallen short of expectations, ticket sales have been poor in recent weeks and months following negative media coverage, and internal disagreements among some employees regarding strategic changes have further strained the situation."

Information disclosed by the board concerned modifications that failed to produce the required outcomes. They added: "Last fall, Play introduced a new business model that initially inspired significant optimism.

"Unfortunately, it has now become clear that these changes cannot deliver the results needed to overcome the airline's deep-seated financial troubles. In hindsight, these measures would have needed to be implemented much earlier."