APD still flawed despite no immediate increases” says BAR UK

23 March 2011… The Board of Airline Representatives in the UK (BAR UK), representing 86 airlines, has welcomed the Chancellors decision to delay any increase to aviation taxes until 2012 following consultation but states that the Government is still not listening to the industry’s calls for a fairer tax.

Mike Carrivick, Chief Executive, said “The Chancellor’s decision not to increase APD is a welcome development but does not go far enough. The UK travel industry already pays the highest aviation taxes in Europe and the existing APD levels do not take into account the EU Emissions Trading Scheme (EU ETS) which airlines will pay into from January 2012. Other EU countries have reduced or are removing existing taxes prior to the introduction of EU ETS.”

He added “For air travellers to pay twice is wholly unjustified. Collectively, these taxes run contrary to the Government’s intention to increase tourism into the UK and will deter many of those wishing to visit the UK for the Olympics and Paralympics in 2012.

This unfair tax will further erode the tourism industries of countries abroad, many of which are in developing nations.”

BAR UK is calling on the Chancellor, for the good of the country and the economy, to reduce APD levels once the EU ETS comes into effect.