Mixed reactions to aviation tax reform
This week's Budget revealed that the new government has plans to reform the aviation tax system, in such a way that the Treasury plans to raise £3.8 billion through industry in 2014-2015, compared to £1.9 billion last year. Essentially, this will be achieved by switching from a per-passenger to a per-plane duty, an adjustment that will encourage fuller planes.
Although any major reforms are subject to public consultation, it is likely that such an adjustment to taxation would add hundreds of pounds to the cost of flights for an average family holiday. The prospect of rises in flight costs has alarmed those who fly regularly, and the aviation industry said that families were facing a 'hidden tax bombshell'.
Simon Evans, chief executive of the Air Transport Users Council, said "We accept a polluter must pay, and the reality is in straitened times we all have ... More »








