Virgin Atlantic’s £1.2 billion restructuring plan has been cleared by the high court.
A final US court hearing will now be held on Thursday (3 September).
Further approval in the US will set the bid up for completion, ending months of uncertainty over the airline’s future.
"Achieving this significant milestone puts Virgin Atlantic in a position to rebuild its balance sheet, restore customer confidence, and welcome passengers back to the skies," said a Virgin spokesperson.
After its initial efforts to tap government for support earlier this year were knocked back, Virgin Atlantic announced a major restructuring and refinancing package on 14 July.