France moves to raise aviation tax to tackle €60bn budget deficit

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Damien Cazé of French aviation authority DGAC
Damien Cazé of French aviation authority DGAC

The French government is likely to raise aviation taxes as part of its measures to tackle a €60bn budget deficit, with plans to increase the solidarity tax on airline tickets by €1bn as part of the 2025 finance bill.

Proposed changes include tripling the tax on long-haul business class flights over 5,000 kilometers from €60 to €200, and raising the economy class tax from €7.50 to €60, while proposing a €3,000 tax per passenger for long-haul business aviation.

The “Chirac tax,” introduced in 2006 to fund efforts against AIDS in Africa, is met with criticism from industry leaders like IATA’s director general Willie Walsh, who argues that such tax increases could harm employment, tourism, and the transition to sustainable aviation fuel.

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Walsh’s concerns are supported by France’s national aviation union, which points out that existing taxes on domestic flights already constitute 40pc of ticket prices, suggesting that burdening the aviation sector may hinder economic growth rather than promote it.

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