Holiday tax bill stands at over £3.1 billion

New research from the TaxPayers' Alliance (TPA) today shows how hard millions of families are hit in order to enjoy a well-earned break. 

  • As UK families jet off for their summer break, new research shows how the treasury rakes in £3.1 billion in holiday taxes
  • The average UK holiday maker will pay £68.74 in holiday taxes as the taxman squeezes every penny from families 
  • This research also shows that the relative cost of ticket taxes in the UK is the highest in the developed world
Holiday taxes, as calculated by the TPA, include the cost of VAT on 'pre-holiday shopping' - essential items such as sun cream, sunglasses and swimming shorts - and the cost of Insurance Premium Tax and Air Passenger Duty.

With ticket taxes in the UK now at the highest rate in the developed world, the tax burden on holidays abroad now stands at over £3.1 billion - that's nearly £69 for the average holidaymaker in Britain

family of four travelling to Spain (with two kids under 16) from the UK this summer will face an average bill of £137.27 on their flights and holiday purchases. And a similar family of four travelling to Florida from the UK will be hit with a staggering £261.27 tax bill.

So today the TPA is renewing its call on the government to abolish APD and give Brits the break they deserve.

John O'Connell, Chief Executive of the TaxPayers' Alliancesaid: 

"Every year taxpayers work hard and save up so that they can enjoy a week away with their families. With the cost of living on the rise, these holiday taxes make it even harder for them to do so. 

"It is clear that Air Passenger Duty is just another way for the taxman to squeeze every penny out of hard-pressed families. We are calling on the Government to give Brits a break and scrap this unfair tax once and for all."

Tim Alderslade, chief executive of Airlines UK, the trade body for UK registered airlines, said:

"APD is the highest tax on air travel in Europe and an additional burden on families taking a well-earned break. The Treasury should be upfront about why this levy has been allowed to rise to its current level when competitor countries are busy cutting or abolishing their respective aviation taxes. With Brexit still to happen it also sends a terrible signal about the UK being open to the world – companies wanting to strike deals and venture to new markets overseas will be unable to do so if routes out of UK airports are unviable owing to our increasingly uncompetitive tax regime.
 
"The Scottish Government has seen the light and plans to halve APD north of the border next April and the Treasury has announced a review into the future of the tax in Northern Ireland. We risk creating a postcode lottery where families in one part of the country – through no fault of their own – end up paying more to travel. Ministers can best deal with this anomaly by cutting or abolishing APD across the whole of the UK."

 
TPA spokesmen are available for live and pre-recorded broadcast interviews via 07795 084 113 (no texts)
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