Speeches

Henry Smith – 2016 Parliamentary Question to the HM Treasury

The below Parliamentary question was asked by Henry Smith on 2016-03-01.

To ask Mr Chancellor of the Exchequer, what his policy is on reducing Air Passenger Duty.

Damian Hinds

In the absence of any taxation of international aviation fuel and no VAT on international or domestic flights, Air Passenger Duty (APD) ensures that the aviation sector plays its part in contributing towards general taxation and helping to bring down the deficit. In 2014-15, APD raised £3.2bn, an important part of the Government’s tax revenues.

Nevertheless, the Government has recently made reforms to APD to cut the longest haul rates and exempt children, reducing the tax burden by £1.5 billion over the period 2015-2020.

Like all taxes, APD is kept under review with any changes announced at fiscal events.