Two of Europe’s biggest airlines have cancelled hundreds of flights in response to soaring fuel costs caused by the Iran war. Lufthansa on Thursday announced plans to shut down its regional airline by the weekend, while Dutch-based carrier KLM axed 160 flights for the coming month. It came as the head of the International Energy Agency (IEA) warned Europe to brace for a wave of further flight cancellations triggered by jet fuel shortages. Europe has “maybe 6 weeks or so [of] jet fuel left,” Faith Birol said. Last week European airlines warned shortages could hit in as little as three weeks. Rachel Reeves said there were “no issues with supply at the moment” in the UK. The Chancellor told the BBC the Government was “monitoring the situation very carefully” but was “confident” of current supplies. Lufthansa, Germany’s flag carrier and largest airline, said its CityLine division would ground its entire fleet of 27 aircraft. CityLine provides business flights between European airports.…