The UK government has announced a significant increase in air passenger duty for premium flyers, which will take effect in the fiscal year starting on April 1, 2025. Premium flyers, defined as those in seat products that offer at least 40 inches between rows, will see a sharp rise in the departure tax they have to pay.
According to the spring budget released by the UK treasury ministry, the government expects to collect an additional 110 million pounds in air passenger duty from premium flyers in the upcoming fiscal year. This anticipated increase in revenue amounts to approximately $141 million.
As of now, premium flyers departing from the UK to the US pay a duty of 194 pounds ($250). However, starting April 1 of this year, this fee will increase by 1.6% to 216 pounds ($278). This marks a 13% surge in the duty, making it the highest air travel departure tax in the world for premium flyers.
While premium flyers will face a substantial hike in departure tax, economy flyers traveling from the UK to the US currently pay 87 pounds ($112). This rate will see a modest increase to 88 pounds ($113) on April 1, 2025. However, it is noteworthy that the duty for economy flyers will remain frozen at this rate beyond 2025.
The treasury ministry justified the freeze on departure fees for economy flyers by stating that it will benefit over 70% of travelers. This move aims to alleviate the burden on a larger portion of the traveling population while concentrating the duty increases on premium flyers.
The future of air travel departure tax in the UK appears to be heading towards a significant rise for premium flyers. While the government anticipates a boost in revenue from these increases, it is crucial for travelers to be aware of the changing duty rates and plan their trips accordingly.
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