Comment from Bob Atkinson, travel expert at travelsupermarket.com on airline taxes following today's Budget

Published:

22/04/2009

Topic:

Press Release,Flights

"The Government's Budget decision to restructure Air Passenger Duty (APD) and increase prices is a huge blow to the travel industry and consumers. 

"At first glance, a taxation system based on mileage appears to make sense.  But when you consider that the USA is lumped into the 2001-4000 mile bracket (Band B), covering everything from the East coast to Hawaii, and that the Caribbean, which is often quicker to reach, comes under the more expensive Band C, there seems to be little logic to the system. 

"Furthermore, the planned system completely overlooks the difference between economy, premium economy, business and first class cabins and therefore penalises the average traveller.  It would make much more sense to apply a percentage based tax, perhaps like VAT. 

"The changes will have an enormous impact on regular flyers such as second home owners and business travellers as well as families who will quickly see the cost of their holiday soar.  However, popular mid-haul destinations, which currently come under the higher, non-EU rate, like Morocco, Turkey and Tunisia, are set to benefit from a reduction.

"Yesterday, travelsupermarket.com published website poll results which suggest that 30 per cent of Brits are considering cancelling their holiday plans due to the recession, which has an obvious impact on the travel industry.* This is a further blow to the average traveller.

"As Alistair Darling has seen fit to retain and increase this method of taxation, the mood among the travel industry is one of disappointment and significant concern.

"With the recent increase in the cost of going abroad due to the weakness of the pound sterling, this is a further blow to business and leisure travellers."

For further comment on how this affects families, skiers, mini-breakers etc contact:
Bob Atkinson
07809 657395

-Ends-

*Research was conducted amongst 752 people by travelsupermarket.com using polldaddy online from 9 - 20 April 2009

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