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Short-haul APD capped, long-haul to rise with inflation

Monday, 29 October 20183 min read
Short-haul APD capped, long-haul to rise with inflation

The Chancellor has capped short-haul rates for Air Passenger Duty for the eighth year in a row although long-haul rates will rise in line with inflation from April 2020.

The Government said not increasing APD on short-haul flights would keep the costs down for 80% of passengers.

In his Budget statement, Philip Hammond also announced plans for e-passport gates at Heathrow for travellers from selected countries, including the US, Canada, Japan and some Commonwealth countries.

The Chancellor said large social media platforms, search engines and online marketplaces will pay a 2% tax on the revenues they earn which are linked to UK users, effective April 2020.

Small retail businesses will see their business rates bills cut by a third for two years from April 2019, saving them £900 million.

Also from next April, large businesses will be able to invest up to 25% of their apprenticeship levy to support apprentices in their supply chain.

Some employers will pay half of what they currently pay for apprenticeship training – from 10% to 5%. The government will pay the remaining 95%.