Sunday, December 22, 2024

The Bulletin warned Britons in June that Labour would hike holiday prices to Mallorca

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On June 19 I wrote an article on the Bulletin website which began: “Apart from the seven euro ETIAS EU visa coming into force next Spring and talk of frequent flyers being penalised in the UK to help offset emissions and climate change it has now been revealed that should Labour win the election in two weeks time, which is currently looking highly likely, Air Passenger Duty (APD) will be raised which means that travelling by air and therefore holidays to popular destinations like Mallorca will become even more expensive.”

And it appears that I was right. Today it Labour is reportedly planning a tax raid on holidays through a potential increase in Air Passenger Duty (APD) on October 30 which will mean the price of holidays to destinations like Mallorca will become even more expensive. An aviation industry source stated, “We’re expecting an above-RPI increase given everything we’re hearing about tax rises in the Budget.”

The APD regime was overhauled in April last year, introducing a three-tier scheme based on flight distance and carbon emissions. Current charges range from £13 for short-haul economy flights to £202 for long-haul business class. Any increase in APD is likely to be passed on to customers through higher air fares. This could significantly impact family holidays and travel plans.

Everyone over 16 has to pay APD. If you’re over 16 and have flown on a plane, you will have paid air passenger duty (APD). It is the tax that you have to pay when you travel from most airports in this country and it is actually unique to the UK.
APD rates from 1 April 2024
Domestic £7 £14
Band A (0 to 2,000 miles) £13 £26
Band B (2,001 miles to 5,500 miles) £88 £194
Band C (over 5,500 miles) £92 £202

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