Flight prices slashed for Rotorua as part of national reduction

Rotorua Airport. Photo / File

Air New Zealand has slashed prices for some domestic fares to and from Rotorua.

The airline has shrunk its lowest fares on 41 domestic routes around the country as part of the biggest overhaul of its domestic pricing structure in more than a decade.

Fares between Rotorua and Auckland now start at $39, Rotorua and Wellington is available from $49 and it's now $59 one-way between Rotorua and Christchurch.

Air New Zealand head of tourism and regional affairs Reuben Levermore said it's now more affordable for people in Rotorua to explore the rest of New Zealand.

"It's fantastic people in Rotorua can travel within the North Island for as little as $39 and to the South Island from as low as $59."

Fares between Tauranga and Auckland will now start at $39, and flights from Tauranga to Wellington at $49.

The new fares can be bought from today and will apply for travel from March 25.

Last month Air New Zealand slashed its full-year earnings forecast.

It cut pre-tax earnings guidance to a range of $340 to $400 million for the June year due to slower-than-expected revenue growth. The company's share price has slumped since the move and the stock is currently trading at $2.65.

The cut sent shockwaves throughout the tourism industry that its golden run was coming to an end.