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APD will price families out of flying, say MPs

Three out of four MPs say a planned hike in Air Passenger Duty (APD) next year may prevent ordinary families from flying.


Abta published the results of a survey of more than 150 MPs today showing the level of concern about APD in Parliament. Fears of the tax’s impact on holidaymakers was highest among Conservative MPs, with four out five saying next year’s rise “may price people out of flying”.  


Twenty cross-party MPs and peers have written to Chancellor George Osborne today, urging him to re-consider plans to hit air travellers with the tax increase. Osborne is expected to confirm a double-inflation rise in APD next year in his autumn statement on November 29. 
 
The survey, conducted for Abta by ComRes, found 75% of MPs agree “further rises in aviation taxation may price some people out of flying”. In a similar poll last year just 39% of MPs said the same.


Conservative MPs were most worried: 83% agreeing that further increases “may price some people out of flying”. But MPs across all three main parties expressed concern, with 67% of Labour MPs and 71% of Lib Dem MPs agreeing.


MPs in all parts of the UK expressed concern, but those in London (78%) and the South of England (90%) appeared to show the most concern.


In their letter to Osborne, the 20 MPs and peers “urge the government to reconsider its plans for a double-inflation rise in APD in 2012”. They say the effect of a double-inflation rise“will be a significant increase in the cost of flying abroad next year, at a time when many ordinary families are already coming under severe financial pressure”.
 
ComRes chairman Andrew Hawkins said: “It is rare for the tide of opinion among MPs to turn so massively within the space of just nine months. Concern about this issue among MPs of all parties, and particularly among Conservatives, is surely something George Osborne will have to address.”
 
Brian Donohoe MP, chairman of the All Party Group on aviation, said: “With so many MPs concerned about the impact of rising aviation duty, the Treasury should change course and suspend its plans. The government should be trying to support ordinary families, not adding to the financial pressures many are facing.”
 
Abta head of public affairs Luke Pollard added: “Tax on aviation in the UK has risen disproportionately over the past five years. The travel industry knows George Osborne wants to balance the books, but to maximise the tax take it must be set at a level where people can still afford to fly – not at a level where people are priced out of the skies.


“We’ve already seen air passenger numbers fall from the UK to European destinations. The Chancellor has the opportunity to arrest this trend and make sure flight taxes don’t put off the travelling public.”
 
A Gatwick spokesman said: “Our passengers pay £400 million in APD every year. It is difficult to understand why hardworking families should pay so much extra just to go on holiday. For many of them, it’s a luxury they save all year to afford.”
 
There is widespread opposition to aviation tax from flyers. In a survey conducted by ComRes in February this year, almost two thirds of consumers (63%) said the current level of tax was too high.
 

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