Aviation calls for tax cuts from ALL regional airports

Posted 01/10/2011

Regional airports have joined forces to urge the Chancellor to abandon the ‘one-size-fits-all’ approach to Air Passenger Duty (APD) following his decision to reduce the tax on long-haul flights from Northern Ireland.

In a joint letter sent to George Osborne this week, the collaboration - which includes Birmingham Airport, Bristol Airport, the Manchester Airport Group, Flybe and Jet 2 -  said it trusts the decision will pave the way for tax reductions on services from all the UK regions outside of London.

It warned that unless APD is reduced for regional airports, they will be unable to expand to take the overspill from London airports.

Birmingham Airport chief executive Paul Kehoe said: “The Government has already decided against airport expansion elsewhere and has indicated that existing spare capacity regions should be utilised. However, if a ‘one-size-fits-all’ approach to aviation taxes continues, they will simply be unable to deliver on this.

“We have argued for some time that APD has a disproportionate impact on the regions, including those that rely on crucial lifeline air services. They have a lower percentage of business travellers or inbound tourists than the London airports and have been hit hard by the economic downturn. By reducing the APD it would support economic growth and the rebalancing of the UK economy.”

The letter also urges the Government to provide economic incentives to encourage airlines to make better use of regional airports where capacity is available.

By Linsey McNeill
 

Originally published 1 Oct 2011 at: http://rss.feedsportal.com/c/398/f/5923/s/18f5fab9/l/0L0Stravelmole0N0Cstories0C114960A60Bphp0Dmpnlog0F1/story01.htm