A decision not to increase Britain's Air Passenger Duty (APD), announced by the UK Chancellor of the Exchequer George Osborne yesterday, has been welcomed by the International Air Transport Association (IATA).
"I congratulate the Chancellor on his wise decision at this critical time of rising oil prices," IATA director and chief executive Giovanni Bisignani said.
"He has begun to address the falling competitiveness of the UK aviation sector-at least by not making the APD situation worse."
Although Mr Bisignani stated that the news was good "for Britain, its businesses, visitors and its holiday-makers", the IATA boss also said that "much more needs to be done".
"Air passenger taxes in this island nation, which relies on air transport for connectivity, are still the highest in the world," Mr Bisignani said.
A decision not to convert the "per passenger" APD to a "per plane" tax has also been welcomed by IATA, who claim the move would have "eroded UK competitiveness".
Kevin Mitchell, chairman of the Business Travel Coalition, has echoed Mr Bisignani's sentiments saying that although the decision not to raise the tax was "welcome news", current levels of duty were still too high.
"The current levels of duty still represent a huge problem and they must be radically reduced to bring the UK back into competitive alignment with other countries for meetings, incentive trips and conventions," Mr Mitchell said.
Urging a reduction in the APD were some 70 travel industry concerns from around the world, who transmitted a letter to the Chancellor on Monday.
"I congratulate the Chancellor on his wise decision at this critical time of rising oil prices," IATA director and chief executive Giovanni Bisignani said.
"He has begun to address the falling competitiveness of the UK aviation sector-at least by not making the APD situation worse."
Although Mr Bisignani stated that the news was good "for Britain, its businesses, visitors and its holiday-makers", the IATA boss also said that "much more needs to be done".
"Air passenger taxes in this island nation, which relies on air transport for connectivity, are still the highest in the world," Mr Bisignani said.
A decision not to convert the "per passenger" APD to a "per plane" tax has also been welcomed by IATA, who claim the move would have "eroded UK competitiveness".
Kevin Mitchell, chairman of the Business Travel Coalition, has echoed Mr Bisignani's sentiments saying that although the decision not to raise the tax was "welcome news", current levels of duty were still too high.
"The current levels of duty still represent a huge problem and they must be radically reduced to bring the UK back into competitive alignment with other countries for meetings, incentive trips and conventions," Mr Mitchell said.
Urging a reduction in the APD were some 70 travel industry concerns from around the world, who transmitted a letter to the Chancellor on Monday.
