This chapter outlines the liberalization process of the European commercial passenger airline market, documents recent trends, and provides a future outlook in light of the impending exit of the United Kingdom from the European Union. Overall, liberalization of the European aviation can be called a clear success story. Not only has the passenger traffic been increasing consistently, and airlines with the new business model (the so-called low-cost carriers) have been gaining a strong position on the market; the market has also been able to successfully weather the storm after the 2008 financial crisis. The likely departure of the United Kingdom from the European single market poses serious (and potentially catastrophic) challenges to the airline industry. The impact of this event will depend on the institutional arrangements that will be negotiated between the UK and the EU.