The UK rules are more stringent than the EU’s requirement for a 6pc SAF mix by the end of the decade, with the difference potentially giving continental carriers such as Lufthansa and Air France a competitive advantage over the likes of Virgin Atlantic and British Airways.
Virgin boss Shai Weiss said Britain’s reluctance to invest in an aviation sector that contributes £50bn to GDP and supports 180,000 jobs compounded the problem. He urged the Chancellor, Jeremy Hunt, to consider using cash from flight taxes to support the shift to lower emissions.
Mr Weiss said: “Our money goes into the coffers of the Treasury but is never used to support one of the most important industries this country has.
“They take but they never give back, and they don’t do hypothecation. It’s like the gospel, handed down from one generation to the next.
“In Europe they have a much more practical approach. We’re too wedded to principle, and it is detrimental to investment.”
Rising concern about the cost of net zero rules in aviation comes months after Virgin celebrated the first ever transatlantic flight 100pc powered by SAF.
At the time, Sir Richard Branson, the airline’s founder, said it showed “the spirit of innovation is getting out there and trying to prove that we can do things better for everyone’s benefit”.