Government ‘will not increase APD this year’
21.03.11
The Government will scrap a planned inflation-linked increase on air passenger duty (APD) due to be implemented in November this year, Reuters reports ‘a Government source said Sunday’. The flight tax had been due to rise in line with retail price inflation in November, with the Evening Standard saying late last week that it had seen a report suggesting the tax would rise this year, and again next year too.
Reuters says the decision not to implement the previously announced increase this year will cost the treasury about £150 million, and save a family of four about £16 on a trip to South Africa or £12 on a journey to the US. The 'source' told Reuters: 'The Government wants to give extra help to hard-pressed families,' or the so called 'squeezed middle classes' seen to be hit hardest by the tax rises.
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