The Iran war is prompting Qantas to scale back flights within Australia, but it's flying more to Paris and Rome.

The airline's scaling back domestic Qantas and Jetstar flights about 5 percent.

Qantas says fuel prices have more than doubled since late February, and remain highly volatile.

Australian correspondent Murray Olds says the airline's projected to make a loss amid the ongoing conflict - and business confidence has dropped. 

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