The government has confirmed that from 1 November 2011 the rate of air passenger duty for direct long-haul passengers departing from airports in Northern Ireland will be cut to the short-haul rate, currently £12 in economy and £24 in business and first class.
‘The land border with the Republic of Ireland, with its differential rates of air passenger tax, had threatened to make long-haul flights from Belfast uneconomic,’ the Treasury said in September.
Chloe Smith, who was appointed Economic Secretary to the Treasury last week, said yesterday: ‘This measure is a response to the unique challenge facing Northern Ireland and is designed to ensure local airports remain competitive, demonstrating the Government’s commitment to stimulating and rebalancing the Northern Ireland economy.’
The government was also ‘launching a process for the devolution of aspects of APD to the Northern Ireland Assembly to provide a lasting solution to the unique circumstances Northern Ireland faces’.
Devolution of APD to Northern Ireland would require primary legislation, she added.
The government has confirmed that from 1 November 2011 the rate of air passenger duty for direct long-haul passengers departing from airports in Northern Ireland will be cut to the short-haul rate, currently £12 in economy and £24 in business and first class.
‘The land border with the Republic of Ireland, with its differential rates of air passenger tax, had threatened to make long-haul flights from Belfast uneconomic,’ the Treasury said in September.
Chloe Smith, who was appointed Economic Secretary to the Treasury last week, said yesterday: ‘This measure is a response to the unique challenge facing Northern Ireland and is designed to ensure local airports remain competitive, demonstrating the Government’s commitment to stimulating and rebalancing the Northern Ireland economy.’
The government was also ‘launching a process for the devolution of aspects of APD to the Northern Ireland Assembly to provide a lasting solution to the unique circumstances Northern Ireland faces’.
Devolution of APD to Northern Ireland would require primary legislation, she added.
