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APD is highest air tax in Europe by far

Wednesday, 18 February 20153 min read

The UK has the highest tax on flying in Europe by a huge margin, according to new analysis by the British Air Transport Association.

It claims passengers paid over €4 billion in Air Passenger Duty in 2014, compared with just €1 billion raised by Germany’s equivalent Aviation Tax, which is the second highest air passenger tax in Europe.

Furthermore, official forecasts suggest the gap between UK APD and the German Aviation Tax will increase significantly over the next five years as the UK Government increases APD rates by inflation each year.

"Why should Brits pay so much more tax to fly for business, to visit family and friends or go on holiday than the Germans, or everyone else in Europe for that matter?" said Nathan Stower, BATA chief executive.

"Recent reforms to APD are steps in the right direction, but the next Government should finish the job, follow the lead of the Irish, the Dutch and others, and abolish APD in the next Parliament."

In the UK passengers pay £13 to fly economy within the EU (£26 for a domestic return flight), whereas passengers flying within the EU from Germany pay just £5.70 (€7.50).

Passengers flying long-haul in economy from UK airports have to pay £71, compared to just £32.10 (€42.18) in Germany.

Other EU countries which also levy an equivalent tax, such as France, Austria and Italy, have much lower rates and raise significantly less revenue than APD.