Latest figures suggest prices for domestic flights are flying high.

Stats NZ has confirmed New Zealanders were paying more for domestic airfares at the end of last year than 12 months prior.

That's despite Air New Zealand moving to shrink their domestic fares on 41 routes at the start of 2019.

Chief Executive of the New Zealand Airports Association Kevin Ward says for a full year, it'd cost passengers an extra $165 million. 

"It's a pretty sizeable amount. If you average it across the country, it's about $14 for every flight. It's enough to affect people's decisions to travel."

He told Mike Hosking this increase was caused by a shift of players in the industry.

"Air New Zealand reacting to the disappearance of Jetstar and adjusting its own prices and the number of seats it makes available."

Ward says there needs to be more transparency so Air New Zealand doesn't have an unfair monopoly.

"The question is whether they are going over the top and making additional or excessive profit, which is cutting back people's choice of flying."

He says people have to go for early promotional fares.