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Sunday 01 November 2009 7:00 pm

Airlines slam departure tax hike as prices go up

By: admindrupal

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THE cost of flying increased yesterday, as the first of two rises in UK airport departure tax was introduced.

Business and first class travellers have been hit hardest with the air passenger duty, with the tax on premium journeys over 6,000 miles goeing up to £110 from £80.

Duty on short flights has gone up by £1.

Costs used to be determined by whether flights were long or short haul, but the new departure tax is now split into four bands, based on distance travelled.

A further hike will be introduced in November next year.

The Treasury gave environmental reasons for the rise saying that “air travel should pay its fair share in tax”, but airlines have expressed concern as they struggle to win customers in the downturn.

Virgin Atlantic’s chief executive Steve Ridgway said the tax is damaging to the world economy and would affect areas like the caribbean.

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