Two weeks after raising economy fares by 6 per cent, troubled domestic carrier Ansett Airlines has reversed the price hike after rival Qantas failed to match the increase.

Ansett fares have returned to their previous levels as of midnight last Friday.

This means a Sydney-Melbourne full economy one-way fare will fall from $349.80 to $330, Sydney Brisbane $385 to $363.

The reversal highlights the pressure Ansett is under in the domestic marketplace at the moment, being squeezed from above and below by Qantas and low-cost operator Virgin Blue.

Meanwhile, Qantas has increased most of its internet-only fares for travel from September 7 to October 14. These increases range from $11 to $33.

Sydney-Melbourne has risen from $77 to $99, Melbourne-Brisbane $110 to $132 Sydney-Maroochydore from $77 to $110. All internet-only fares will return to their original price for travel from 15 October to 25 March 2002.

Virgin Blue's lowest-internet fare for Sydney-Melbourne is $77, Melbourne-Brisbane is $109. The Ansett lowest-internet fare for Sydney-Melbourne is $88, Melbourne-Brisbane is $121 and Sydney-Maroochydore $88.

Remember, these lowest fares have limited availability and due to school holidays at the end of September availability will be more limited than usual.