Taxation: Air Passenger Duty

Baroness Noakes asked Her Majesty’s Government:

What is the legal basis on which increased rates of air passenger duty will apply from 1 February 2007.

during the course of the question...

Lord Faulkner of Worcester:
My Lords, I do not disagree with the principle of increasing air passenger duty as a contribution to controlling climate change, but has my noble friend any comment to offer about the letter a number of Members of the House have received from the Association of Independent Tour Operators pointing out that, while the airlines are able to impose a surcharge to meet the increased duty, tour operators are bound by the European Union package travel directive and effectively prevented from doing so? As a result, they are being discriminated against. I declare an interest as the chairman of a consultancy that advises the travel industry.

© Lords Hansard 30 January 2007