Air France forecasts €100m financial impact from Paris Govt tax hikes

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Benjamin Smith CEO of Air France
Benjamin Smith CEO of Air France

France’s National Assembly and Senate has adopted a finance bill that includes a substantial increase in the airline ticket “solidarity tax” (TSBA), effective March 1, 2025.

Economy-class ticket taxes will rise from €2.63 to €7.40, while business-class tickets will face a tax increase to €30, with long-haul flights incurring taxes up to €120.

Air France forecasts a €100m financial impact from this tax hike, which poses significant challenges for the airline’s recovery and investments in decarbonisation.

Industry groups, including the European Business Aviation Association and the Fédération Nationale de l’Aviation et de ses Métiers, have opposed the tax increases, saying they wil result in job losses and reduced competitiveness for French aviation amidst ongoing economic recovery efforts.

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