Co-op study shows effect of increased APD on long haul flights demand
10.02.11
Bookings to the Caribbean are down 20% after the recent increase in Air Passenger Duty, according to a study by the Co-operative Travel, Travelmole reports. The holiday company studied 30,000 bookings made since November 1, when the increased APD came into effect. Comparing this with bookings for the same period the previous year, it saw a 17% reduction year-on-year in holidays for destinations that are between 4,000 and 6,000 miles from London.
According to its analysis, sales to the Caribbean are down 20% and sales to India have been even harder hit, down 34%. Managing director Mike Greenacre told the travel news website: ‘This is a very worrying trend that impacts not only on holidaymakers but the many people employed in the travel industry that sell Caribbean and Asian holidays – both in the UK and abroad.'
‘Transport Minister Theresa Villiers confirmed last week that the Government is examining the impact of taxation on aviation with a view to an announcement in March. Let’s hope that the conclusions will have a positive impact on the tourism industry.’
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