APD rates to rise

By | Category: Travel tips & opinions

According to an exclusive story in the Guardian this morning, we can expect an increase in APD when the budget is announced.

Increases in APD for flights over 6,000 miles seem to be on the cards

Hoever we face not just an increase but an alteration to the way the tax is calculated if the paper is to be believed.

Gone seem to be the days when gossip surrounded the budget. Today it is common for details to be leaked to the press so the chances are that the story in the Guardian has truth in it.

Coming close to the COP meeting in Glasgow on climate change the Guardian report suggests that long-haul flyers will be taxed at a higher proportional rate to, as the paper says, “reflect the environmental damage wrought by long-haul flights.”

Instead of the current two rates – below and above a 2,000 mile flight – the paper reports that there could be three levels with a new rate of over 6,000 miles costing more. This will mean that travel to China, the Far East, Australia and New Zealand will be hit by such a plan.

Whatever the reason for the increase, it looks like the Treasury is going to take more money from our pockets, something that the travel industry will undoubtedly scream about. To remove it – as I have often written – the travel industry will have to come up with another way of raising a similar sum to the amount raised by APD.

Anything that might deter people from going abroad will stifle a return to normalcy in travel. But the treasury has to pay for the costs of the pandemic and grabbing money via APD is very easy so governments of whatever political persuasion like the tax.

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