UK announces sharp rise in air passenger duty

[Mal]

UK announces sharp rise in air passenger duty | Industries | Industrials, Materials & Utilities | Reuters

From Nov. 1, 2009, air passenger duty (APD) will be based on the distance from London to the capital city of the country where the flight lands, finance minister Alistair Darling said on Monday. [ID:nLO6260]

"I have decided to reform APD into a four-band system ensuring those that travel further and have a larger environmental impact meet that cost," Darling told parliament. "This will be effective in reducing emissions from aviation."

APD will be based on four bands set at intervals of 2000 miles from London. From December 2010 when a second rise in APD kicks in, a non-standard class passenger flying more than 6,000 miles will pay 170 pounds ($254), up from the current 80 pounds.

From November 2009, the lowest APD -- which will be paid by passengers on budget airlines -- will be 11 pounds ($16.40) for a flight, up to 2,000 miles, up from 10 pounds now. The charge will be raised to 12 pound in November 2010.

Full details in this PDF http://www.hmrc.gov.uk/pbr2008/pbrn20.pdf

 

[simongr]

Wowsers - that's just what the beleaguered airline industry needed at the moment.

 

[laffer]

That is a huge jump. Not as bad for me as I earn in £ but for aussies it is double. Shocking. Might go through FRA or CDG next time I fly out to Oz.

 

[Standby]

That is a huge jump. Not as bad for me as I earn in £ but for aussies it is double. Shocking. Might go through FRA or CDG next time I fly out to Oz.

Beware this is the tip of the iceberg...I'm sure the same penalties will be imposed on those flying ex FRA and CDG if th EU have any say in it,so you'll end up paying double the fines.
Just as fuel surcharges come down Govts quickly realise they can substitute them with a fine going into general revenue rather than into the airlines pockets.
I'm yet to see any definitive plan on how Govts intend to spend this cash grab on the "enviroment"..I'm just an old cynic from way back

 

[SFSC]

Mrs SFSC and I decided last year that the (then) £80 per head was enough to cause us to spend £27 each on a 'rail & sail' from Bristol to Dublin and fly out from there. After paying for a night at the HI Express and the DUB departure tax we were ahead, not by much but it felt better.

 

[simongr]

The discussions on FT re this indicate that if you fly without a stopover then the longest segment will incur the fee. E.g.:

fly LHR-HEL-HKG and you pay the fee LHR-HKG

I have been lucky in the past flying out of teh UK mostly on transits (e.g LCA-LHR-HKG-SYD) but next year I am planning to fly straight out of the UK and will get stung by this

This is typical old school labour policy - need money? slug the "rich" - path of least resistance and popular with the populace, if not popular with the majority of tax payers (by tax paid)...

 

[serfty]

The amounts are high now, the standard rate is horrendous after Nov 1 2010 ... £170 to fly out of the UK to Singapore and £150 to BKK/HKG and NRT.

For me, to fly to MEL in J, that's ~$405 Aussie Dollars on top of the fare. No more UK departures for me!

I note the bit about single class cabins having > 40" pitch not getting the "reduced" rate.

The new bands and the rates of duty for 2009-10 and 2010-11 are as
follows:

Band, and approximate   In the lowest      In other than the
distance in miles from  class of travel    lowest class of
                        (Reduced rate)     travel*(Standard rate)

                        2009-10  2010-11    2009-10 2010-11

Band A (0 - 2000)         £11      £12        £22     £24
Band B (2001 - 4000)      £45      £60        £90    £120
Band C (4001 - 6000)      £50      £75       £100    £150
Band D (over 6000)        £55      £85       £110    £170

*  (However if only one class of travel is available and that class
provides for seating in excess of 40" then the standard (rather 
than the reduced) rate of APD applies).

 

[NM]

For me, to fly to MEL in J, that's ~$405 Aussie Dollars on top of the fare. No more UK departures for me!

And that $400+ can be used for a nice overnight stopover somewhere within 2000 miles of London.

 

[JohnK]

Another reason to steer well clear of LHR even as a transit. If it is not the airlines getting us with fuel surcharges it is the governments with their ridiculous departure taxes. Do they want tourists or not?

 

[dajop]

Wow! Makes Air Asia's LCC plans look not so low cost ... adds about $260AUD return to Stansted ticket.

Also puts Asian airlines at a disadvantage to the tune of $50AUD on return Y ticket compared to middle eastern carriers.

If this is the way the whole EU is going maybe we'll see Zurich attract more flights (although I imagine Switzerland fall into line on this anyway), or even a Russian (LED?) or north African hub develop for LCC's!

 

[JohnK]

The amounts are high now, the standard rate is horrendous after Nov 1 2010 ... £170 to fly out of the UK to Singapore and £150 to BKK/HKG and NRT.

For me, to fly to MEL in J, that's ~$405 Aussie Dollars on top of the fare. No more UK departures for me!

Is the departure tax levied on transits? I am getting a quote of ~$1,049 on a QF Oneworld RTW award which appears very high considering fuel surcharges have dropped for international flights.

Am I interpreting this correctly? A departure in WHY LHR-ATH is £11 and LHR-HKG is £50? How can someone avoid LHR on an award, needing to get to/from ATH, with limited availability and avoid IB?

 

[serfty]

No APD on transits ...

To depart the UK it is currently £10 in the lowest cabin for most EU destinations and £40 for most other international. (£20/£80 for premium cabins).

Fly SYD-LHR stop LHR-ATH in WHY and it's £10, fly SYD-xLHR-ATH and no APD is payable.

 

[Dave Noble]

Am I interpreting this correctly? A departure in WHY LHR-ATH is £11 and LHR-HKG is £50? How can someone avoid LHR on an award, needing to get to/from ATH, with limited availability and avoid IB?

Easy. Go via AMM and fly RJ to ATH

Dave

 

[straitman]

No APD on transits ...

To depart the UK it is currently £10 in the lowest cabin for most EU destinations and £40 for most other international. (£20/£80 for premium cabins).

Fly SYD-LHR stop LHR-ATH in WHY and it's £10, fly SYD-xLHR-ATH and no APD is payable.

serfty,

Maybe I missed it but will this still the case :?:

If so it would be cheaper to fly into UK and transit LHR and continue to anywhere else and catch a train back to London. Then do the reverse on departure.

Is this really the case :?:

 

[serfty]

Flying in is not the issue. It's departing the UK (after a stopover) where APD is payable, transits are fine.

Last year, Jenny and I flew in to ORD, scheduled arrival 10am. We then bussed to LGW, staying at the Hilton Overnight, and departed 10am the next day for DBV.

Coming back, we arrived from DBV at LGW ~4pm and departed on QF10 the same day from LHR.

In neither case was APD assessed as payable.

(with Zero APD and Zero YQ, our 17 segment LONE4's had a total

of ~$380 each.)

 

[straitman]

Flying in is not the issue. It's departing the UK (after a stopover) where APD is payable, transits are fine.

Last year, Jenny and I flew in to ORD, scheduled arrival 10am. We then bussed to LGW, staying at the Hilton Overnight, and departed 10am the next day for DBV.

Coming back, we arrived from DBV at LGW ~4pm and departed on QF10 the same day from LHR.

In neither case was APD assessed as payable.

(with Zero APD and Zero YQ, our 17 segment LONE4's had a total

of ~$380 each.)

Thanks serfty.

I had thought about the inward transit part but left it in as part of the clarification.

 

[JohnK]

No APD on transits ...

To depart the UK it is currently £10 in the lowest cabin for most EU destinations and £40 for most other international. (£20/£80 for premium cabins).

Fly SYD-LHR stop LHR-ATH in WHY and it's £10, fly SYD-xLHR-ATH and no APD is payable.

Interesting but it does not explain why the quoted taxes and surcharges are so high. I am transitting LHR twice for a couple of hours each time. First is YYZ-ORD/JFK-ATH and then ATH-LHR-HKG-SYD.

 

[serfty]

Try doing a dummy multi booking on ITA using the same or similar flights; I you can get close to it an indicative

break down should be available.

 

[Slats7]

Airport tax to double on UK fligh

Airport tax to double on UK flights | Travel News | News.com.au

FLYING to the UK? Expect big tax hikes, with a family of four facing up to $700. Airlines fear doubling the duty will decimate flights.

 

[serfty]

Must be a slow (no)news day - that been known since last year.

http://www.frequentflyer.com.au/community/travel-news/uk-announces-sharp-rise-air-15437.html

i.e. UK APD - currently it is £80 for a D/AONEx but soon to be between £90 and £110 for most non European destinations (£120 and £170 from later next year).