Aviation Groups Protest UK Air Passenger Duty Change

Aviation groups have protested at the UK government’s decision to apply a previously-proposed higher rate of air passenger duty (APD) to aircraft weighing 5.7 metric tonnes (12,540 pounds) or more from April 2027. The tax ruling announced in an annual budget statement on Wednesday is a change in policy since during a consultion process concluded in January, the government had indicated that the higher rate would apply to aircraft weighing 20 metric tonnes or higher.

In a joint statement issued on Thursday, The Air Charter Association, along with the British Business & General Aviation Association and the Regional & Business Airports Group said they were disappointed with the widening of the scope for the new tax rate. From April 2027, the highest APD charge per passenger will range from £146.63 ($190) for a domestic charter flights up to £1,178.20 for a trip over over 5,500 miles.

The change will be implemented through the pending Finance Bill 2026. The UK government has said it will hold a further technical consultation to allow stakeholders to comment on how the rules will apply.

According to the industry groups, they have provided evidence that the duties, which also apply to airline flights at different rates, will reduce business investment into the UK and curtail improvements in the sustainability of aviation. They said that the new rates are unlikely to increase overall tax raised from the business aviation sector.

Increases of up to 50% in air passenger duty were proposed by the Labour government in October 2024 and are set to take effect from April 2026. High rates originally introduced by the previous Conservative administration starting taking effect from April 2025.