13 Feb

ABTA calls for APD reform

In an open letter to the Chancellor and HM Treasury Ministers this week ABTA has called on the Government for a comprehensive review and reform of Air Passenger Duty (APD).  

We welcome the Government’s recent announcement that it will review the relationship between APD and regional connectivity, as a way of ensuring vital regional links in the UK are maintained. But this review should be part of a wider reform process as the catalyst for constructive discussions between industry and government.  

With the March budget in mind, we’re asking the Government to avoid any direct trade-offs between internal and international connectivity – recouping any domestic APD cuts with increases for international flights. We’re also again highlighting that APD, in the current structure, does nothing to incentivise cleaner, greener, travel choices on behalf of airlines or their customers. As such, further increases without also undertaking a wider review would only serve to undermine the UK’s international competitiveness and cause prices to rise, whilst failing to address the Government’s environmental priorities.

The letter can be read here in full, and after today's news we will be following up with the new Chancellor in due course. At the same time you may wish to take the opportunity to review the agenda for the free upcoming event for Members and Partners on Brexit on 24 February covering off the vital topic of skills and immigration, which can be found here.

Mark Tanzer, Chief Executive