Government urged to follow Ireland’s lead and review air tax
Travel bosses have urged the Government to review air passenger duty following Ireland’s announcement yesterday that it is to abolish its tax on air passengers from next April.
A Fair Tax on Flying campaigners urged Westminster policy-makers to re-think their own approach to the UK’s air passenger duty, which is the highest in the world.
Simon Buck, BATA chief executive, said: "The Irish Government has gone the way of Holland and Denmark, and abolished their version of APD. Even though their air tax was much lower than the UK’s to start with the Irish felt compelled to act.
"I dread to think of the damage that the UK’s sky-high APD is doing to our economy and aviation and tourism industries."
ABTA head of public affairs Stephen D’Alfonso said: "The fact that the Irish Government has abolished what was an already very low air travel tax highlights just how negatively such taxes impact on economic competitiveness, and the vitality of the aviation and tourism industries.
"The Irish Government understood that the tax was damaging, and they have acted. The UK Government should take note, and take urgent action to counter the negative impact APD is having on UK competitiveness."
Dale Keller, chief executive of BAR-UK, said: "The Irish budget reinforces the position of UK CEOs, 250 of whom have just signed a petition calling for a review of the tax due to its continued damaging impact on the UK Economy.
"The UK Government can no longer afford to stand isolated in Europe and lose more business to surrounding countries with massively lower aviation taxes."
Darren Caplan, chief executive of the Airport Operators Association, said: "It is clear that eye-wateringly high levels of APD in the UK are costing us business, air routes and investment.
"Whilst other European countries are cutting their aviation taxes, the Treasury here continues to insist UK APD – the highest in the world – should go up every year.
"The Chancellor should look at what’s happening in Ireland and other countries overseas, cut APD, and commission an independent study into the impact APD is having on the UK economy."
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