ABTA is urging the government to follow the lead of the Netherlands and scrap Air Passenger Duty.
The trade association claims APD will exacerbate the huge problems already being faced by the aviation industry in the current climate.
The Dutch government has revealed plans to scrap its airport tax as part of its economic support measures.
ABTA head of development Andy Cooper said: “The UK Government must finally see sense and scrap or reduce Air Passenger Duty if we are to avoid significant damage to the UK’s aviation and tourist industries.
“The Dutch Government’s proposal to bin their own aviation tax will greatly benefit their own economy with the added effect of yet more airlines giving up on over-taxed Britain and rerouting to the continent.”
ABTA’s call comes on the same day it is commended by The Office of Fair over on the work it did to ensure that companies included non-optional charges in headline pricing.