Airlines carry record number of passengers
Global air travel rose 5.9% last year, which was above the 10-year average growth rate, but airlines warned that air taxes are depressing demand and costing jobs.
The International Air Transport Association (IATA) said more than half of the growth in passenger travel last year occurred on airlines in emerging marketing, including Asia Pacific and the Middle East.
Overall, a record 3.3 billion passengers boarded aircraft last year— 170 million more than in 2013 – but IATA secretary general Tony Tyler said softening business confidence had caused demand for international travel to level off.
International passenger traffic rose 6.1% in 2014 compared to 2013, but capacity rose 6.4%, causing load factors to dip 0.1 percentage points to 79.2%.
"In the aftermath of the Greek elections and the intensifying debate on how to deliver a dynamic economic program for Europe, we must not forget the power of air connectivity to create growth," said Tyler.
"Governments can kick-start economic development by reducing the passenger taxes that depress demand for air transport, costing jobs and prosperity.
"There are some positive signs. The Scottish government is promising to cut its air passenger duty by 50%. And Austria’s air transport levy is being evaluated as part of comprehensive tax reforms. Scrapping the Austrian levy alone could create some 3,300 jobs.
"That should help convince politicians in these countries to move from considering reductions to delivering results. High taxes, onerous regulation and infrastructure limitations make Europe a tough place to run an airline.
"A continent-wide commitment to address these issues so that aviation can play its critical role as an economic catalyst would be a powerful signal that Europe’s politicians really do mean business."
Linsey McNeill
Editor Linsey McNeill has been writing about travel for more than three decades. Bylines include The Times, Telegraph, Observer, Guardian and Which? plus the South China Morning Post. She also shares insider tips on thetraveljournalist.co.uk
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