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Airlines call for review as Air Passenger Duty rises by 8%

Some of the UK’s leading airlines have called on the Government to conduct a review of Air Passenger Duty (APD), following an 8% increase in the tax which came into force on 1 April.

The planned increase was announced in the 2011 Autumn Statement, although some business groups had urged the Government to reconsider the plans in the March Budget.

There are four bands of APD, and the changes mean that the tax on short-haul flights has increased from £12 to £13, while passengers on long-haul flights of more than 6,000 miles will pay £92, compared with a previous charge of £85.

Private business jets will also be subject to the tax for the first time.

A joint statement by the airlines warned that the increase will hit ‘millions of hard-working families’ and risks ‘damaging the wider economy’.

The airlines have urged the Government to make APD the first tax to be examined under the Treasury’s new review of taxation and its impact on the economy.