UK passenger tax to double

As if they weren't steep enough already, the UK passenger tax will be doubled from 1 February 2007 (refer about half way down the Pre Budget Report). So tax on premium cabins for longhaul flights will rise to a whopping £80 each - ouch. The justification given is to tackle climate change by reducing aircraft emissions. Somehow I can't quite believe the UK Government will put the money raised to climate change initiatives and nor will the extra tax reduce travel by much.

Indeed, it could actually increase travel as savvy travellers make some flights out of UK are shorthaul with a connection to longhaul travel from the EU. Watch out for advertising in the UK along these lines from Air France KLM, Lufthansa, etc.

EU proposes airline emissions controls

The European Commission has proposed all airlines flying in or to the European Union be subject to emissions controls from 2011. At the moment airlines are excluded from the Kyoto Protocol, which sets carbon dioxide (CO2) emissions targets for countries in an attempt to reduce the effects of global warming.

Details of the proposed airline controls are sketchy but we can be sure that if adopted they will lead to higher prices for passengers and air freight.