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The UK's travel and tourism industry is calling on the chancellor to stop a planned rise in aviation taxes.
A new campaign, Fair Tax on Flying, launches today.
It is an alliance of over 25 airlines, airports, tour operators, destinations and trade associations.
Among those signed up are Abta, BA, Virgin Atlantic, BMI, Gatwick, London City and Luton airports, and Thomas Cook.
A spokesman for the campaign said revenue from air passenger duty (APD) has increased by 2,600 per cent since it was first introduced in 1994.
Last November, the government implemented the first of two rises in UK departure tax, in particular hitting long-haul passengers travelling in business and first-class.
"This year £2.2 billion of holidaymakers' and business travellers' money will pour into the Treasury's coffers," a campaign spokesman said.
"The government has stated that it intends to raise the tax by a further £1.4 billion by 2015."
Figures produced by the campaign show travellers flying from the UK pay by far the highest levels of flight tax in Europe.
Five European countries currently levy versions of an aviation tax but all at significantly lower rates than the UK. For example, a family of four flying from the UK to Florida pay £240 in flight tax while if they fly to Australia they will pay £340.
That compares with £11 for an Irish family flying to the same destinations or £15 for a French family.
Abta chief executive Mark Tanzer said:
"The prime minister has identified tourism as one of the top five industries to drive growth, yet aviation tax has become a punitive stealth tax.
"It is vital that the government understands the impact it is having on the health of the tourism industry in the UK.
"The industry is willing to pay its way, but a 26-fold increase since 1994 puts the UK at a competitive disadvantage when compared with our European neighbours and punishes UK holidaymakers and business travellers unfairly.
"Air passenger numbers have decreased by 22 per cent since 2007 when the tax was last increased, and increasing it yet further will cause significant strain on hard-pressed family budgets and hamper the UK economy’s growth."
In January David Cameron announced a four-year tourism marketing campaign, to be launched in the spring. The sector accounts for 1.5million jobs.
"This year and next will see the eyes of the world focused on Britain as never before," the prime minister said.
"A royal wedding, Her Majesty's Diamond Jubilee and of course the London Olympic and Paralympic Games offer us a once-in-a-lifetime opportunity, not just for national pride and celebration, but also to promote this country as the perfect tourist destination, helping to create 50,000 new jobs and bring £2bn more visitor spending to the UK."
Article Comments
Aviation is the fastest growing source of greenhouse gases. It is important that the travelling public recognise the relative environmental damage they can cause by choosing a mode of transport. With fuel prices and tickets not subject to VAT there needs to be some form of tax that recognises the damage that aviation causes. Ideally this should be Europe-wide but failing that the UK should take a lead and impose necessary taxes. It is entirely predictable that the aviation industry should try and avoid its responsibilities with regard to the climate.- it has consistently done this.
There should be a 'fair' tax - one that recognises flying's CO2 contribution, so fairly high!
Simon
7th Mar 2011 at 6:35 pm
The UK tax on flying is the highest in the world, raising over 15 billion pounds in the next five years - more than the tax on banks. Not one penny of this is used to help the environment. Instead it threatens jobs and economic growth. We hope the Government takes note of the five tests the 'Fair Tax on Flying' campaign is setting them today and gets to grips with the points the campaign makes about this ever increasing barrier to UK travel, trade and tourism.
Simon Buck, chief executive, British Air Transport Association
3rd Mar 2011 at 12:39 pm
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