APD Strikes again

Editor’s note: It’s not only Dominica and the Caribbean reeling under Britain’s controversial Air Passenger Duty (APD) credited with having reduced the number of tourists heading to Caribbean destinations.

The Caribbean Tourism Organisation and its member-states have been lobbying hard against what they consider a discriminatory travel tax continually being increased by the UK.

However as this STV article reveals, concern in Scotland is also very high about an April 1st hike of the offending tax.

“Airports plea for ‘fighting chance’ over air passenger duty”

Scotland’s main airports are urging the UK Government to give them a “fighting chance” and rethink a planned hike in air passenger duty.

Bosses at Aberdeen, Edinburgh and Glasgow airports have warned that Scotland and the UK is losing out to Europe because of spiralling duty levels, now the highest in the world.

The warning comes ahead of a planned 10% increase in APD expected in Chancellor George Osborne’s budget, to be announced next week.
A study commissioned by BAA last year found that further increases on APD could cost Scotland’s airports around 1.2 million passengers over three years, at a financial cost of £77m in lost tourism revenue.

Managing directors of the three airports, which collectively handles more than 19 million passengers, have written a joint letter to the Chancellor.

It warns: “APD levels in the UK are the highest in the world, and rising.

“With the industry in Britain bracing itself for further rises to this already disproportionate tax, our competitors in Europe – where many governments have reduced or removed passenger duty entirely – continue to enjoy a competitive edge over UK airports.

“In Scotland, we have particular concerns about our future ability to attract new airlines in what is an intensely competitive global market.

“There is a risk that airlines looking to serve new markets will choose other European countries at the expense of Scotland. This in turn will have a significant impact on employment, business competitiveness and inbound tourism.”

The warning was backed by SNP MP Angus MacNeil who called for APD to be devolved.

He said: “The UK Government must step back from a Budget air raid which would hit Scottish passengers and services.

“Air Passenger Duty should be devolved, as it has been for Northern Ireland, so that we can incentivise airlines to provide new direct international routes, providing Scotland’s passengers with enhanced options as they go about their business more freely and more effectively. It would also provide a substantial boost to the Scottish economy and create jobs.

“People in Scotland should not be treated like second class passengers by the UK Government.”

ORIGINAL ARTICLE AVAILABLE HERE

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3 Comments

  1. donna diva
    March 17, 2012

    this is so sad for people like my husband who has his family in DA, for us as a family of 3, our daughter is 4 now, will cost us the best part of £3000 that with out liat or spending money, its ridiculous, it makes seeing family impossible, and very sad for the family in DA as they are missing out on our daughter growing up, i wish the british goverment would take off there stuck up blind fold and see its more than the middle and upper middle class that visit the caribbean for there all-inclusive holidays, and see its causing more seperation of families across the water.

  2. islandboy
    March 15, 2012

    the worst thing is to be hurt from within or should i say the best thing . sometimes in life peoples own selfish interest comes back to haunt them.. look even scotland being part of the UK.. is against this APD TAX..fracas.. surprising to me is that other EU countries already reduced or took out all APD TAXEs already cause its a big farce for the love of the planet they say to reduce carbon emissions .. its so true that airlines contribute more than cars i believe its true [ subject to correction ] just quoting sources …anyway

    making islands here pay more for shorter distances than far places like LA or LAS VEGAS coming from EUROPE is insensitive so now i dont feel an ounce of sympathy if this APD comes back and bite them with losses in millions of dollars and jobs.. just arrogance of those Big countries ..i doh care a damn bit now they may lose money passengers and jobs.. they dont care about the developing countries.. as we can see

  3. March 15, 2012

    Dominica needs to get rid of the head tax/fee it charges for people to leave the country via air. That my friend is something to vote against.

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