England’s chancellor Rachel Reeves announced a rise in air passenger duty (APD) commencing in the 2026/27 financial year, which will increase the cost of economy tickets by up to £2 for short-haul flights, £1 for domestic flights, and £12 for long-haul flights.
Private jet users will face a 50pc increase in APD, resulting in a charge of approximately £450 per passenger for long-haul flights, which contrasts sharply with the rates for economy and premium cabins.
Industry leaders expressed disappointment regarding the APD increases, suggesting that it could make England less competitive, hinder growth, and negatively affect airlines’ ability to expand their routes and services.
While a zero rate of APD on long-haul flights serving the six counties was agreed with Westminster, a fixed sum clawback clause imposed by London means this has cost the Stormont government nearly £25.8m since 2012, impacting revenue without any operational flights since the last direct transatlantic service ended in 2018.
