If the Air Passenger Duty (APD) is increased, the price of flights will go up and holidays will be more expensive
As the autumn budget announcement looms, Brits are rushing to book holidays in a bid to avoid the expected increase in Air Passenger Duty (APD). The next 48 hours will see travellers scrambling to dodge the tax hike on flights departing from the UK.
The budget is set to be unveiled on Wednesday, and research by package holiday specialists On the Beach suggests that over a third of Brits (39%) plan to secure their holidays on Monday and Tuesday to sidestep the potential rise in flight taxes.
The impending increase has left millions concerned about affording holidays post-Wednesday. Zoe Harris, chief customer officer at On the Beach, warned: “If ADP is increased, the price of flights will go up and holidays will be more expensive, that’s a fact.”
“A further increase would be a kick in the teeth to millions of Brits whose pockets are set to be punished for going away on holiday for a week.”
“We’re expecting millions of Brits to try and beat the increase by booking their summer holidays in the next 48 hours.”
APD is a levy imposed by HMRC on passengers flying from UK airports, with rates varying based on distance and class of travel. Andy Woods from Tax Natives pointed out that the UK already imposes one of the highest APD rates worldwide, significantly contributing to the escalating cost of air travel.
Andy expressed his concerns about the financial pressure on holidaymakers, noting: “APD was already increased earlier this year, but with the Chancellor expected to target this tax again, the financial burden on travellers is likely to grow significantly. In April, we saw economy class domestic flight APD rise by 50p, short-haul overseas flights increased by £2, and long-haul flights of up to 5,500 miles saw an 11% surge, from £194 to £216.”
“Any additional increase in APD will directly affect flight prices, making holidays more expensive for UK travellers. Even a seemingly small increase of a few pounds can have a large impact, particularly for families booking multiple tickets or those opting for long-haul destinations. When you multiply the increase by several passengers, the extra cost becomes significant.”
