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Scotland’s three largest airports have joined forces in calling for Air Passenger Duty to be devolved to the Scottish Parliament.
Aberdeen, Edinburgh and Glasgow airports have made the case for devolution of the air tax to Holyrood to allow for its reduction and eventual abolition.
Research by the airports shows that APD will cost the Scottish economy up to £210 million in lost tourism spend per year by 2016.
Their plea comes in a joint submission to the Smith Commission on Scottish Devolution.
Ireland scrapped its equivalent of APD entirely last year, leaving the UK as one of just five countries in Europe to levy a passenger departure tax.
Glasgow airport managing director, Amanda McMillan, said: “If Scotland is to attract and sustain the routes that will enable it to compete effectively in the global marketplace then it is imperative the issue of APD is addressed. It is a significant barrier to growth and it also makes it extremely challenging to maintain our existing routes.
“Despite repeated representations to the UK government, the industry and passengers have had to endure continued increases in this damaging tax.
“The reforms announced earlier this year by the chancellor and which will come into effect in 2015 fall short of providing any material benefit to Scotland’s airports.
“Given Scotland’s reliance on aviation and the Scottish government’s appreciation of the role it plays in supporting our economy, we believe it should have full control over APD with a view to it being reduced and eventually abolished.”
Gordon Dewar, chief executive of Edinburgh Airport, said: “Scotland’s airports unanimously agree that APD is hugely damaging to our industry. We‘ve argued long and hard for its reduction or abolition and have been ignored but now the evidence for its devolution to Scotland speaks for itself.
“Ryanair has already committed to delivering over one million new passengers in the event of APD being abolished so it’s obvious that airlines support our argument. They’re already indicating the size of the prize that’s just beyond our grasp.
“We shouldn’t wait for another two years of negotiations to end when we have the opportunity to devolve APD to Scotland now and have immediate control over its reduction and future abolition.”
Aberdeen managing director, Carol Benzie, was encouraged by the support received from across the political divide.
She said: “It says a lot about an issue when there is near-political agreement on the subject across a number of parties, as well as support from the public and from businesses.
“The calls to completely reform this tax regime have been growing steadily louder over the years and are now almost unanimous north of the border.
“What we have is the perfect opportunity to make a real difference. By devolving control of this damaging tax regime we can transform Scottish aviation in the interests of all our passengers.”