English airports 'could lose 2.2m pasengers' if tax is cut in Scotland and Wales

There are fears that English airports stand to lose business if the tax is devolved in Scotland and Wales

By Ben Martin 08 September 2015 • 5:43pm

Airplane — Scotland has pledged to halve air passenger duty

English airports could lose 2.2m passengers over the next decade if air passenger duty (APD) is devolved in Scotland and Wales, according to a new alliance set up to fight the plans.

The Scottish government has pledged to halve APD by 2018, and devolving the duty in Wales is also being considered in Westminster.

There is mounting concern that English airports would lose business if APD rates are lower in Scotland and Wales.

Eight regional English airports, including Bristol and Newcastle, have announced that they have formed an alliance to urge action on the tax.

Nathan Stower, the chief executive of the British Air Transport Association (BATA), warned the UK government that devolution would create “new inequality for passengers living right across the UK and a competitive challenge for England”.

He urged ministers to consider cutting the tax across the UK or scrapping the duty altogether.

BATA was responding to a consultation on measures proposed by the Government in July to counter the impact of APD devolution, which closed on Tuesday.