Air tax raid that will hit families’ Easter getaways

FAMILIEs planning to escape to the sun this Easter are being hit with higher fares in a £172million tax grab on holidays.

The rise in air passenger duty (APD) means a couple flying economy to the Us will pay £156 in tax.

The increase takes place on April 1 – Easter sunday. It affects long-haul flights from UK airports from that date, no matter when they are booked.

It is expected to generate an extra £172million for the Treasury over the next year, bringing its total take from APD during the year to £3.49billion.

APD for economy class passengers on long-haul flights will rise from £75 per ticket to £78, in line with inflation. The duty per adult for those flying long haul in business class is rising from £150 to £156, meaning a couple will pay £312, up from £300.

Long haul applies to destinations more than 2,000 miles away, so those flying to places such as Dubai and Israel will also be affected.

Air passenger duty has been frozen for those on short-haul flights at £13 per adult. It was scrapped for children under 16 on all flights in 2016.

But the latest increase means that the controversial tax has risen almost eight-fold for economy customers flying long haul since it was introduced almost 25 years ago by then chancellor Ken Clarke.

The rate in 1994 was £10 per long-haul economy ticket. The latest increase was announced in the Budget last year when the Government also said that the duty will be frozen on all economy flights in April next year.

But there is a growing backlash against the tax spearheaded by campaign group A Fair Tax on Flying and backed by airlines, airtry. ports and MPs. They have warned that it is squeezing family budgets and damaging the economy – and have called for an immediate cut of 50 per cent to the levy.

APD in Britain is the highest in the EU by a huge margin and more than double the rate in Germany, the next highest EU member coun- Airports have warned that it is damaging their competitiveness. A report commissioned by Manchester Airports Group showed that the high rate of APD has been a major factor in causing growth in long-haul flights from the UK to lag behind rivals in Europe.

Heathrow airport has written to Chancellor Philip Hammond urging him to cut the tax to make UK airports more competitive. It has said that scrapping the charge would result in a £24million annual saving just for those taking domestic flights from that airport.

Last week budget airline Ryanair blamed the failure by sNP leader Nicola sturgeon to carry out her promise to cut APD by 50 per cent for its decision to shut down its base in Glasgow later this year at an estimated cost of 300 jobs. Campaigners says some holidaymakers are breaking up their journey to save on APD. since ministers scrapped the tax in Ireland in 2014, Dublin airport has become an increasingly popular transport hub – particularly for cash-strapped Britons heading to long-haul destinations.

Tim Cade, from A Fair Tax on Flying, said: ‘The punitive level of this tax was already hitting families hard.

‘This rise is a further turn of the screw which will hit family budgets and damage the economy.’

The Treasury said: ‘We know aviation plays a crucial role in our economy. Recent reforms and the effective freeze in short-haul rates of APD mean the industry will see £300million in savings this year.’

‘Airlines do not have to pay aviation fuel duty or VAT on tickets so APD ensures the sector contributes its fair share towards funding our public services.’

‘A further turn of the screw’