Air duty cut ‘just the first step’
British Air Transport Association
The Government need further reform to air passenger duty, according to an industry body.
In his Budget statement to the Commons today, Chancellor George Osborne said:
"We will reform Air Passenger Duty to end the crazy system where you pay less tax travelling to Hawaii than you do travelling to China or India.
"It hits exports, puts off tourists and creates a great sense of injustice among our Caribbean and South Asian communities here in Britain.
"From next year, all long haul flights will carry the same, lower, band B tax rate that you now pay to fly to the United States."
The
British Air Transport Association(
BATA) welcomed the change and said it reduces the overall tax take.
"This will save passengers travelling long-haul for leisure and business purposes over £200m each year compared to the level previously set out,” said
BATAchief executive Simon Buck.
"We hope this positive first step recognising the damage caused by this tax will lead to the Government undertaking further reforms of APD in future, such as on the double tax hit on domestic flights."