AIRLINE and package holiday company owner Dart Group is investing £1.7 billion on 27 new planes .

The company, which operates Yeadon-based leisure airline Jet2.com, says increasing demand for package holidays and flight only deals has led to the order, which will also ensure its aircraft fleet is up to date by replacing older craft.

The group has entered into an agreement with Boeing to buy 27 new Boeing 737-800NG aircraft which will be delivered between September 2016 and April 2018.

Philip Meeson, group chairman and chief executive, said: "In view of the continued strong demand for our leisure travel package holiday and flight-only products, the board is optimistic that group performance for the financial year ending 31 March 2016 will materially exceed current market expectations.

"The Board is also pleased to announce that, in order to meet the future anticipated growth of its leisure travel business and for planned fleet replacement, the company has entered into an agreement with Boeing to purchase 27 new Boeing 737-800NG aircraft."

Mr Meeson said significant discounts had been negotiated on the price of the new aircraft which would be funded from internal resources and debt.