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ATEC Welcomes Reduction of UK’s Duty and BNE Curfew Review

March 21, 2014 Association No Comments Email Email

The UK Government’s announcement of cut of between £27 and £108 to the duty charged on long haul flights to Australia will have a positive effect on re-engaging this important export tourism market, ATEC Managing Director, Peter Shelley said today.
“It’s been widely recognised that the UK’s Air Passenger Duty (APD) has had a detrimental impact all round, both on the UK economy and on the long haul routes that are being taxed so we are pleased this has been addressed,” Mr Shelley said.

“ATEC has led a push from Australia to highlight the problems with the tax which has added substantially to the cost of long haul flights, particularly to Australia and New Zealand.

“The impact has been alarmingly evident.  Since the GFC we have seen a pick up in visitation from other traditional markets such as the US and parts of Europe, but the UK has continued to struggle to re-engage.

“This reduction will work to support the recovery of the UK market and have a positive flow-on effect for Australia’s export tourism industry.”

ATEC, through its international affiliations including PATA (Pacific Asia Travel Association) and UNWTO has been an active leader of the campaign to have the tax withdrawn.

“This tax has been damaging far and wide, costing the UK economy more than £4 billion in lost business and having an untold effect on tourism globally.

“While we welcome this reduction, which will not be brought in until April next year, we will continue to argue for a further reduction, and ultimately the abolition, of taxes and impediments to export tourism.

Mr Shelley also welcomed the Federal Government’s decision to maintain Brisbane Airport’s curfew free status.

“As Australia’s third busiest airport and one of two major airports offering 24hr operation on the eastern seaboard, Brisbane Airport is a crucial part of the tourism economy both in Queensland and nationally,” Mr Shelley said.

“As the gateway to Queensland, ATEC argued any curfew restrictions would result in the loss of flights with a damaging effect on tourism businesses both regionally and nationally.

“ATEC, along with the Queensland Tourism Industry Council, made a strong submission to the review that will outlined the significant impact restrictions would have on the Queensland tourism industry and we are pleased to see these concerns recognised with this outcome.”

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