PLANES of struggling airline FlyBe have been impounded amidst fresh concerns about its future and amid uncertainty about rescue loans and the impact of coronavirus on its bookings.

It has been confirmed two FlyBe aircraft have been seized at Glasgow airport as a precautionary measure.  It has resulted in two flight cancellations.

At least two flights bound for Scotland have been diverted to Manchester, according to reports.

A Glasgow Airport source said: "Two aircraft have a detention notice on them as a precautionary measure."

A FlyBe spokesman was unable to explain what was happening and has been referring inquiries to a third party PR agency.

Exeter-based Flybe operates almost two in five of the UK’s domestic flights, employing more than 2,000 people, and is a leading carrier at airports including Belfast, Southampton, Manchester and Birmingham.

One Scot, Frank McCready feared that the company had gone bust after the plane he was on was diverted to Manchester from Glasgow. An Edinburgh flight also landed in Manchester.

He said he was told it was due to a fuel issue.

He said: "Being told it's for refuelling but everything else on Twitter suggesting that's not correct??"

ITV's Scotland correspondent Peter Smith tweeted that he had been advised the firm “definitely will not be flying out tomorrow either.”

Flybe is looking to the government to commit to helping the airline in the next few days if it is to survive.

But there is speculation the £100m government loan to help stabilise the business is now unlikely to happen.

The coronavirus impact on travel "has made a bad situation much worse," according to sources.

It is understood the airline believes it has enough financial resources to survive "until the end of this month".

Flybe has been in discussions with the government about a loan of up to £100m to help it bridge the period between the lean months of winter - when airlines typically lose money - to the richer pickings in summer.