Airlines Call for Air Passenger Duty to Be Scrapped
BBC News | Nov. 17, 2011
|
Four airlines from the UK and Irish Republic are calling for the UK government to scrap Air Passenger Duty.
The tax, which is applied to almost every ticket on a flight originating in the UK, has risen sharply since it was introduced in 1994.
When APD was introduced, passengers whose journey originated in the UK paid between 5 pounds and 40 pounds per ticket. They now have to pay from 24 pounds to 170 pounds.
It is opposed by Easyjet, Ryanair, Virgin Atlantic and British Airways.
The airlines say it penalises British holidaymakers and makes the UK a less attractive destination.
The amount of APD that passengers have to pay depends upon whether their flight is short or long-haul, with business and first class travellers having to pay more than those with an economy ticket.
Revenue Raising
BBC transport correspondent Richard Lister said: "The chancellor put this year's increases on hold, but a further rise of around 10% is expected next year.
"The airlines say that as the tax was first introduced to combat greenhouse gas emissions it should be abolished with the introduction of the EU's Emissions Trading Scheme next year.
"The government is considering making changes to Air Passenger Duty, but has made clear that it regards the tax as an important way of raising revenue, and expects it to generate more than 2 billion pounds this year."
At the start of this month APD was reduced for direct long-haul flights from Northern Ireland, in response to competition from services in the Irish Republic, which has an Air Travel Tax of just three euros to any destination.