Monday, 29 October 2018

UK Air Passenger Duty To Rise

In his autumn budget statement, the UK's Chancellor of the Exchequer, Philip Hammond has announced that Air Passenger Duty will rise with inflation from 2020.  This will make long-haul and medium-haul travel more expensive, however, the new rules won't apply to domestic air travel or short-haul flights.

The move has been widely condemned by airlines,  IAG, the owners of British Airways, Aer Lingus and Iberia said, “It’s ironic that this Brexit budget has undermined Britain’s global competitiveness by upping Air Passenger Duty, the world’s highest aviation tax, again.  We want to offer more flights to key trading markets, like our European competitors, but APD stifles route development to new emerging markets. If Britain wants to compete on the global stage post Brexit, it should be scrapped now.”

Virgin Atlantic said, that APD now accounts for more than a quarter of its lowest fares and customers were already paying a levy that was twice that of any other EU nation.

Mr Hammond also advised that e-passport gates at airports which are currently available to people from the Europe Union will now be open to passengers arriving from the USA, Canada, New Zealand, Australia and Japan.