British Airways will halve the number of new employees it recruits next year due to the Government's decision to slap a further 8% on air passenger duty, it told the BBC.
It said it will now only hire 400 people instead of 800.
Willie Walsh, head of BA parent company IAG said BA would also review plans to bring add an extra Boeing 747 to its fleet.
BA has joined other UK airlines in calling for an independent review of APD, which they claim is harming the economy.
By Linsey McNeill
