Monarch Airlines will cease flying from its base at East Midlands Airport by the end of April 2015.
The airline said the decision to close the base after just two years was part of a strategic review under the leadership of the newly appointed Monarch Group chief executive Andrew Swaffield.
The airline has 79 staff based at the airport and said they would be absorbed into the other bases.
Monarch currently operates 34 flights to nine destinations from East Midlands.
"Through a review of its network strategy, the airline is focussing on offering customers greater flight frequency and more sociable departure times to short-haul European destinations from its main UK bases," it said in a statement.
"These changes are already reflected in Monarch’s summer 2015 schedule, much of which is already on sale. The airline expects to add more flights to its programme for next summer in the coming months."
Monarch said the change is part of the next phase in its transformation to become a scheduled European low-cost carrier.
Monarch aims to complete the transition before the arrival of its new narrow-bodied aircraft fleet of 30 Boeing 737 MAX8s, which are expected to start entering service in 2018.
Swaffield thanked customers who have used East Midlands Airport and paid tribute to staff.
"As holiday habits change, our customers want a greater choice of flight times and destinations – particularly for short breaks," he said.
"As we evolve from our roots in charter flying to become a scheduled European low-cost carrier we are becoming more focussed in the services we offer which we believe will provide customers overall with a more attractive flying schedule in the future."
