TUI Travel has called for ‘actions not consultations’ following the Chancellor’s announcement that he is planning a review of Air Passenger Duty.
The operator said it was disappointed by today’s Budget announcement that there will be no radical change to APD, although it welcomed the George’s Osborne’s decision to postpone a tax increase.
TUI said the Government had gone back on its election promise of a per plane tax and appeared to be sceptical of Mr Osborne claim that this would have been illegal under international law.
In a statement, TUI said: "We would like to understand the detail behind this as we continue to believe that a per plane tax would be fairer and more environmentally effective than the current APD system. We therefore welcome the fact that the Government will continue to work to address the legal issues.
It added: "We endorse the comments that the Government has postponed a further tax hike until April 2012, is looking into a more equitable banding system and will consult further on premium economy seating but we had hoped for more actions not more consultation.
"Finally we note that the Government has once again positioned this tax as an environmental tax. If this is to be the case we would like to see monies raised being used for research and development on environmental projects such as aviation bio fuels rather than being put into the general tax pot.
"We remain committed to working with the Government to ensure a more just tax system for the thousands of British holidaymakers looking for a fairer deal on flying.”
By Linsey McNeill
