UK Parliament / Open data

Air Passenger Duty

Backbench debate on Thursday, 1 November 2012, in the House of Commons, led by Priti Patel. The answering member was Sajid Javid.
Fourteenth backbench debate (part two). Motion that this House believes that the UK's air passenger duty acts as a barrier to economic growth and deters both inward investment and inbound tourism; notes the financial impact on families of the rising costs of air passenger duty; further notes the impact on British businesses wishing to export and take advantage of business opportunities overseas; notes that the current air passenger duty regime is the highest air passenger tax in the world, which makes the UK less competitive than countries with lower aviation taxes; further notes that over 200,000 members of the public are calling for a review of the economic impact of air passenger duty; calls on HM Treasury to commission a comprehensive study into the full economic impact of air passenger duty in the UK, including the effects on jobs and growth, reporting in advance of the 2013 Budget; and calls on the Government to use the evidence from the study to inform future policy-making. Agreed to on question.
Type
Parliamentary proceeding
Reference
552 cc440-483 
Session
2012-13
Department
Treasury
Chamber / Committee
House of Commons chamber
Proceeding contributions
Priti Patel | 552 c442 (Link to this contribution)

I beg to move,

That this House believes that the UK’s air passenger duty acts as a barrier ...

Tom Clarke | 552 c442 (Link to this contribution)

Of late, I have received more representations on this issue than on any other. It is important th...


Show all contributions (108)
Priti Patel | 552 c442 (Link to this contribution)

I thank the right hon. Gentleman for his remarks. All hon. Members feel very strongly about the r...

Philip Davies | 552 c443 (Link to this contribution)

I commend my hon. Friend for introducing the debate. Is it not a question of making the UK compet...

Priti Patel | 552 c443 (Link to this contribution)

APD has a detrimental impact on our competitiveness, which is why we are calling for the economic...

Lord Bruce of Bennachie | 552 c443 (Link to this contribution)

I commend the hon. Lady for introducing this extremely important debate. I represent Aberdeen air...

Priti Patel | 552 c443 (Link to this contribution)

The right hon. Gentleman touches on both the cost of APD and our competitiveness. A 2011 York Avi...

Sandra Osborne | 552 c443 (Link to this contribution)

Is the hon. Lady aware that the Scottish airports consortium has published a report today that sa...

Priti Patel | 552 c443 (Link to this contribution)

The hon. Lady demonstrates the scale of the challenge, and why we need a review.

I am sure ...

Mark Garnier | 552 c444 (Link to this contribution)

I congratulate my hon. Friend on introducing the debate. Does she agree that APD can act as a bar...

Priti Patel | 552 c444 (Link to this contribution)

I completely agree with my hon. Friend. That is part of the challenge of our wider aviation polic...

Iain Stewart | 552 c444 (Link to this contribution)

I am grateful to my hon. Friend, who is being generous in giving way. APD will be considered by t...

Priti Patel | 552 c444 (Link to this contribution)

The Davies commission has a role. When considering the future of APD, we must remember where we s...

Fiona Mactaggart | 552 c444 (Link to this contribution)

Businesses in Slough tell me that they have invested in the town I represent because of its proxi...

Priti Patel | 552 c444 (Link to this contribution)

The hon. Lady makes a valid point. I have no doubt that right hon. and hon. Members recognise the...

Angus Brendan MacNeil | 552 c444 (Link to this contribution)

The hon. Lady is making a great speech. Does she agree that APD, as a gateway tax, sends a signal...

Priti Patel | 552 c445 (Link to this contribution)

The hon. Gentleman makes a valid point on how counter-productive taxes such as APD are when it co...

Phillip Lee | 552 c445 (Link to this contribution)

Many of the businesses in my constituency are based there because of the proximity of Heathrow ai...

Priti Patel | 552 c445 (Link to this contribution)

I thank my hon. Friend for his intervention. As I said earlier, this tax is seen as counter-produ...

Naomi Long | 552 c445 (Link to this contribution)

The hon. Lady is making a compelling case. The Irish Republic has announced that despite the fact...

Lindsay Hoyle | 552 c446 (Link to this contribution)

Order. We have a lot of Members who wish to speak and they should recognise that if they have alr...

Priti Patel | 552 c446 (Link to this contribution)

I take on board the hon. Lady’s point.

As well as compromising trade, the cost of APD is fe...

Heather Wheeler | 552 c446 (Link to this contribution)

I congratulate my hon. Friend on securing this debate. She talks about Essex with passion, which ...

Priti Patel | 552 c446 (Link to this contribution)

I thank my hon. Friend for her comments.

We would all like to see travellers from Brazil, R...

David Hamilton | 552 c446 (Link to this contribution)

That figure would be a lot higher if the family were going via one of the regional airports and c...

Priti Patel | 552 c447 (Link to this contribution)

The hon. Gentleman makes his point clearly. APD is having a wider multiplier effect.

If tha...

Lindsay Hoyle | 552 c447 (Link to this contribution)

Order. I am introducing an eight-minute limit. I hope that I will not have to reduce that, but in...

Paul Goggins | 552 c447 (Link to this contribution)

I congratulate the hon. Member for Witham (Priti Patel) on securing the debate and leading it as ...

Tom Clarke | 552 c447 (Link to this contribution)

Like me, my right hon. Friend is a former Minister; in my case, I was a Minister for tourism. Is ...

Paul Goggins | 552 cc447-8 (Link to this contribution)

My right hon. Friend was a very able Minister for tourism and he did a superb job. He is right: A...

Henry Smith | 552 c448 (Link to this contribution)

AirAsia X also stopped flying from Gatwick to Kuala Lumpur, and cited exactly the same reason—APD...

Paul Goggins | 552 cc448-9 (Link to this contribution)

The hon. Gentleman makes it clear that this is an issue not only for Manchester but for other air...

Stephen Gilbert | 552 c449 (Link to this contribution)

The right hon. Gentleman is making precisely the point that I wanted to make. The way APD is impl...

Paul Goggins | 552 c449 (Link to this contribution)

The Treasury has already considered the argument for regional variations, which has been made bef...

Lord Brady of Altrincham | 552 cc449-450 (Link to this contribution)

It is a pleasure to follow the right hon. Member for Wythenshawe and Sale East (Paul Goggins), wi...

Neil Carmichael | 552 c450 (Link to this contribution)

I am listening carefully to this important debate and I have heard a lot from my constituents abo...

Lord Brady of Altrincham | 552 c450 (Link to this contribution)

That is absolutely right. It is also important to note, as the hon. Member for Belfast East (Naom...

Michael Connarty | 552 c450 (Link to this contribution)

The hon. Gentleman seems to be talking as though every tax has a similar effect. It is quite clea...

Lord Brady of Altrincham | 552 c450 (Link to this contribution)

I do not always agree with the hon. Gentleman, but I am pleased to agree with him about that. Thi...

Angus Brendan MacNeil | 552 c450 (Link to this contribution)

The hon. Gentleman said that Northern Ireland is competing with the Republic of Ireland, but sure...

Lord Brady of Altrincham | 552 cc450-1 (Link to this contribution)

That is absolutely right. Unlike the hon. Gentleman, I hope we will not be competing internationa...

Brian H Donohoe | 552 cc451-2 (Link to this contribution)

I congratulate the hon. Members for Witham (Priti Patel) and for Crawley (Henry Smith) on securin...

Angus Brendan MacNeil | 552 c452 (Link to this contribution)

Given the quote from the managing director of Glasgow airport that the hon. Gentleman has just re...

Brian H Donohoe | 552 c452 (Link to this contribution)

The hon. Gentleman might well be shocked by this—indeed, I expect him to fall off his seat—but I ...

Angus Brendan MacNeil | 552 c452 (Link to this contribution)

Surely the idea behind devolving APD would be to cut it to make Scotland more competitive.

Lindsay Hoyle | 552 c452 (Link to this contribution)

Order. I warned the hon. Member for Na h-Eileanan an Iar Mr MacNeil) that he would be at the bott...

Brian H Donohoe | 552 c453 (Link to this contribution)

In order not to prolong the debate, and to give the hon. Gentleman time to speak later, I will no...

David Hamilton | 552 c453 (Link to this contribution)

Is my hon. Friend aware that travel agents throughout Scotland—and, I suspect, in the north-east,...

Brian H Donohoe | 552 c453 (Link to this contribution)

I am very grateful to my hon. Friend, but he is eating into my time and I have to be careful in t...

Henry Smith | 552 cc453-4 (Link to this contribution)

This debate is most important for the well-being of the British economy. I would like sincerely t...

Adam Afriyie | 552 c454 (Link to this contribution)

Although the Exchequer may be raising between 2 billion and £3 billion from air passenger duty, i...

Henry Smith | 552 c454 (Link to this contribution)

My hon. Friend has anticipated what I was about to say. The Netherlands scrapped air passenger du...

Guy Opperman | 552 c454 (Link to this contribution)

My hon. Friend is making a very articulate case not only on Gatwick’s behalf but in favour of the...

Henry Smith | 552 c455 (Link to this contribution)

My hon. Friend is right. Air passenger duty is a bad tax for the UK as a whole, regardless of whi...

Michael Connarty | 552 c455 (Link to this contribution)

The hon. Gentleman is making a very good case. It is estimated that air passenger duty raises £2....

Henry Smith | 552 cc455-6 (Link to this contribution)

The hon. Gentleman is absolutely right.

Members have suggested that we adopt some form of r...

Anne Begg | 552 c456 (Link to this contribution)

I support the motion in the name of the hon. Member for Witham (Priti Patel) and others. Aberdeen...

Angus Brendan MacNeil | 552 c456 (Link to this contribution)

Does the hon. Lady agree with her colleague the hon. Member for Central Ayrshire (Mr Donohoe) tha...

Anne Begg | 552 c456 (Link to this contribution)

Whether or not APD is devolved to Scotland, the problem we face is the level of APD and the way i...

Anne Begg | 552 c456 (Link to this contribution)

It might be, but it could be treated differently down here, too. The problem I have with devolvin...

Anne Begg | 552 cc457-8 (Link to this contribution)

Mr Deputy Speaker is shaking his head, so perhaps I should not allow the hon. Gentleman to come b...

Roger Gale | 552 c458 (Link to this contribution)

Most Members have made the point about the value of the aviation industry to the UK as a whole. I...

Guy Opperman | 552 c458 (Link to this contribution)

My hon. Friend is making an articulate case about the impact on the economy of Great Britain, but...

Roger Gale | 552 cc458-9 (Link to this contribution)

If I wanted to use one word to describe the banding, it would be chaotic. That is what it is. We ...

Adam Afriyie | 552 c459 (Link to this contribution)

My hon. Friend is making a powerful case. It strikes me that at the heart of the debate there is ...

Roger Gale | 552 c459 (Link to this contribution)

My hon. Friend is absolutely right, and his point leads me swiftly to a conclusion. The sums have...

Nigel Evans | 552 c460 (Link to this contribution)

Order. The time limit is being reduced to seven minutes.

3.29 pm

Graham Stringer | 552 cc460-1 (Link to this contribution)

I do not know whether I should thank you for that, Mr Deputy Speaker, but I do thank you for allo...

Mike Crockart | 552 cc461-2 (Link to this contribution)

I add my congratulations to the Members who secured this debate, not least because the motion is ...

Angus Brendan MacNeil | 552 c462 (Link to this contribution)

Would the hon. Gentleman support the devolution of air passenger duty to Scotland, as some Labour...

Mike Crockart | 552 cc462-3 (Link to this contribution)

I almost thank the hon. Gentleman for his question, but it is a bit of a broken record and tangen...

Lord Dodds of Duncairn | 552 cc463-5 (Link to this contribution)

I will be relatively brief, because many of the general arguments about air passenger duty have a...

Adam Afriyie | 552 c465 (Link to this contribution)

I welcome this debate and the motion tabled by the Backbench Business Committee and moved by my h...

Penny Mordaunt | 552 c465 (Link to this contribution)

I represent Portsmouth, which is quite a deprived area, and my constituents are concerned about k...

Adam Afriyie | 552 cc465-6 (Link to this contribution)

My hon. Friend puts her point incredibly well. This issue has led to more than 200,000 communicat...

Jim Sheridan | 552 cc466-8 (Link to this contribution)

I apologise in advance to you, Mr Deputy Speaker, and to the general public, for the repetitive n...

Nigel Evans | 552 c468 (Link to this contribution)

Order. To accommodate the remaining Members, I am shaving a minute more off the time. The limit i...

Thomas Docherty | 552 cc468-9 (Link to this contribution)

I do not intend to rehearse the arguments that have been made so eloquently by several hon. Membe...

Naomi Long | 552 cc469-471 (Link to this contribution)

I am pleased to participate in today’s debate. I am a member of the Northern Ireland Affairs Comm...

Siobhain McDonagh | 552 cc470-2 (Link to this contribution)

I have a large Caribbean community in Mitcham and Morden, many of whom moved to Britain 20, 30 or...

Andy Slaughter | 552 c472 (Link to this contribution)

I was first alerted to the air passenger duty issue about four years ago, long before the fair ta...

Tom Greatrex | 552 c473 (Link to this contribution)

There is another impact of the banding. Alan Glen, who runs an independent travel agency in my co...

Andy Slaughter | 552 cc473-4 (Link to this contribution)

I am grateful for that intervention. I was just going on to talk about the effects not only on fa...

Thomas Docherty | 552 c474 (Link to this contribution)

My hon. Friend is presenting a compelling argument. He may be interested to know that in the last...

Andy Slaughter | 552 cc474-5 (Link to this contribution)

That is a good point.

The fair tax on flying campaign was organised very efficiently, but I...

Angus Brendan MacNeil | 552 c475 (Link to this contribution)

I note that no Member has spoken in favour of APD, which I think says a lot. In the midst of a re...

Jim Sheridan | 552 c475 (Link to this contribution)

If APD were devolved to Scotland, and Scotland then cut the tax, would there not be consequences ...

Angus Brendan MacNeil | 552 cc475-6 (Link to this contribution)

If APD were devolved to Scotland, the economy would grow. I should like all taxes to be devolved,...

Cathy Jamieson | 552 cc476-8 (Link to this contribution)

I will not be churlish, so let me say only that it is a pleasure to follow the hon. Member for Na...

David Hamilton | 552 c477 (Link to this contribution)

If a passenger uses the same airline—British Airways, for example—from Scotland to London and the...

Cathy Jamieson | 552 cc477-9 (Link to this contribution)

My hon. Friend makes a valuable point and I know that he has raised that question on a number of ...

Sajid Javid | 552 cc479-482 (Link to this contribution)

We had an excellent debate earlier on beer duty and now we are discussing APD. I am pleased that,...

Sarah Teather | 552 c482 (Link to this contribution)

I hope that the Minister recognises that his words are extremely disappointing to many of my cons...

Sajid Javid | 552 c482 (Link to this contribution)

I thank my hon. Friend for her intervention. I am pleased to hear that she has been glued to her ...

Angus Brendan MacNeil | 552 c482 (Link to this contribution)

The hon. Gentleman has spoken about having a revenue-neutral tax. When the Government cut taxatio...

Sajid Javid | 552 c482 (Link to this contribution)

Absolutely. I can assure the hon. Gentleman that the effects on taxation were taken together and ...

Henry Smith | 552 c482 (Link to this contribution)

Would it not be reasonable, though, to have a study, as proposed in the motion, to see the impact...

Sajid Javid | 552 c482 (Link to this contribution)

I thank my hon. Friend. I will come to that point in a moment.

As I said, we have no plans ...

Jim Sheridan | 552 c482 (Link to this contribution)

Before the hon. Gentleman concludes, does he accept that it is grossly unfair for British people ...

Sajid Javid | 552 cc482-3 (Link to this contribution)

I thank the hon. Gentleman. We have looked at these issues in the consultation, and I believe tha...

Priti Patel | 552 c483 (Link to this contribution)

I thank all right hon. and hon. Members for their contributions to this powerful debate in which ...

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