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UK Travel

 
   
New plane tax plans may be scrapped  
UK Travel  
   

According to a report published in Travel Weekly, a senior minister appears to have hinted that the Treasury has concrete plans to replace Air Passenger Duty with a tax on aircraft. According to this report, addressing a conference, Jim Fitzpatrick, the Parliamentary under-secretary for transport Parliamentary under-secretary for transport said, "Difficulties surround the decision. There are strong arguments that we should not proceed with the transition."

Expected to be implemented from November 2009, the move is expected to levy an aircraft tax in order to replace APD from 2009 November. The treasury is working on the above said proposal and the final details are expected to be unveiled in October enabling the tour operators to include the price of the tax while preparing the brochures. However, the provisional details are to be released as early as the end of July. On the contrary, the travel magazine states that the
Treasury is far behind the schedule and has actually taken no decisions. Quoting the industry sources, it says that it is already too late and it is rather very difficult to expect an announcement in the month of October.

It is said that any retreat in this regard will certainly dismay tour operators and airlines, which struggled hard for a switch from APD to a tax that reflects the relative carbon dioxide emissions of aircraft. However, while addressing the Sustainable Future for Aviation Conference in London, Mr. Fitzpatrick said that the government is under pressure from major airlines.