A pressure group has advocated for the imposition of a “super” tax on privately-owned jets in the United Kingdom to fund upgrades to public transportation.
According to the Campaign for Better Transport (CBT), chartered aircraft are five to fourteen times more polluting than commercial aircraft and fifty times more harmful than railroads.
It proposes to levy air passenger duty rates on private jet passengers that are ten times higher than the present rates for domestic and European trips.
APD, sometimes known as airport departure tax, is a levy that airlines are required to pay to the government for each departing passenger.
On commercial flights, the fee is included in the price of the ticket. There are multiple price categories based on the number of miles traveled and the class, however, passengers on a conventional aircraft can be charged up to £185 per person.
Currently, private jet passengers pay the same APD rate as business and first-class passengers, although a higher fee is applied on aircraft weighing at least 20 tonnes and carrying fewer than 19 people.
Those qualified for the higher rate who fly less than 2,000 miles pay £78 in APD, while those on lengthier flights pay a total of £554.
However, the CBT proposes that a new “super” rate band for private flights be set at £780 regardless of the aircraft’s size, capacity, or route length.
According to their estimates, this could generate almost £1.4 billion each year, which is approximately £200 million more than the UK Government has spent on its National Bus Strategy since last year.
In addition, the advocacy group proposes levying VAT on private planes every time they take off or land, which it claims will generate between £79 million and £623 million in additional funds.
“Private planes are extremely harmful to the environment and are the exclusive domain of the ultra-wealthy,” said Norman Baker, CBT’s head of external affairs and transport minister in the Coalition Government from 2010 to 2013.
He continued, “We believe it is time for these individuals to pay for the damage their flights do, with the proceeds used to improve public transportation in towns around the nation.”
Before the Covid-19 epidemic, private jet usage was already on the rise due to an increase in the number of ultra-high net-worth individuals; this trend accelerated as the commercial flight industry was essentially grounded by stringent international travel restrictions.
A spokesperson for HM Treasury stated, “Since 2017, we have nearly doubled transport spending to $27.1 billion to improve road and rail connectivity. In addition, beginning in April 2023, Air Passenger Duty will be reduced for commercial domestic flights to further strengthen links within the United Kingdom.”
Larger private planes will not benefit from the new lower domestic duty, and they will also pay more under the new ultra-long-haul band on foreign flights, ensuring that those who travel the farthest contribute the most.