Airport operator BAA wants the government to follow Ireland's
lead and reduce air passenger duty.
Ireland's finance minister Brian Lenihan recently chopped APD
by 70% in the hope that it will revive tourism to the
country.
The aviation tax will go down from €10 to €3 from March
2011.
Now BAA is calling for similar action as it underlines the
importance of the travel industry to the economy and the fact that,
following the APD tax rise in November, Britain now has the
highest aviation tax in the world.
Heathrow policy director Nigel Milton said: "The Irish
recognise that aviation is fundamental to their recovery and this
is very much something ministers in the UK need to take note
of.
"We must stop treating air travel as if it's a luxury we can
do without and appreciate the very real contribution it makes to
the economy. Around 250,000 UK jobs rely on aviation - with
40,000 being created by our new Terminal 2 - but strong links
are vital for all businesses.
"David Cameron is doing great work in building business ties
with China and India but the UK currently has the highest aviation
taxes in the world. The government needs to ensure we are not
making ourselves uncompetitive with punitive tax measures that will
damage us in the long-term."
