A group of British regional airports and airlines have joined forces to urge UK finance minister George Osborne to abandon a "one-size-fits-all" approach to Air Passenger Duty (APD), following the UK government's decision to reduce taxation on long-haul flights from airports in Northern Ireland.
Osborne's decision came in response to fears that the New York service from Belfast Airport would be forced to stop because of high taxes. From 1 November, passengers on this service will pay the same level of tax as those travelling on short-haul routes.
In a joint letter, Birmingham Airport, Bristol Airport, the Manchester Airport Group, Flybe and Jet 2 said they warmly welcomed the decision to reduce long-haul APD tax and hoped this would pave the way for reductions on services from all UK regions outside London.
Paul Kehoe, Birmingham Airport's chief executive, 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 urged the Government to provide economic incentives to encourage airlines to make better use of regional airports where capacity is available.
Source: Flight Daily News
