Today’s Budget saw Chancellor Rishi Sunak announce changes to the UK’s Air Passenger Duty regime. These will take effect from 2023.
With the intention of boosting air travel within the UK as part of its ‘levelling up’ ambition, the government is cutting domestic Air Passenger Duty (APD) from £13 to £6.50 in April 2023.
The reduced rate will apply to all flights between airports in England, Scotland, Wales and Northern Ireland (excluding private jets).
It is thought some nine million passengers will pay less APD as a result when the reduction takes effect.
The Budget also contained details of a new higher band of APD for ultra-long-haul distance travellers.
From April 2023, the international distance bands will be set at 0-2,000 miles, 2,000-5,500 miles and 5,500 miles-plus, and the applicable APD rates will be £13, £87 and £91 respectively for economy passengers.
