APD demise has led to ‘boom’ in family travel: CheapOair MD

The government’s decision to abolish UK Air Passenger Duty (APD) for children under 12 has helped deliver a boom in family holidays, according to CheapOair. 

The axing of APD has led to a rise in long-haul bookings.
The axing of APD has led to a rise in long-haul bookings.

The online travel agency reported a 24 percent year-on-year increase in family bookings including children under 12 to long-haul destinations in May.

Popular destinations for families looking to take advantage of the lower airfares delivered as a result of the tax being removed include Dubai, Los Angeles, Toronto, Miami and Melbourne.

APD adds up to £71 per person to a flight price for trips to Australia and therefore the cost savings for families are significant. A family with two children under 12 years old at the date of travel can even save £26 on travel to European destinations. As of 1 May, APD for children under 12 years old has been scrapped, and the tax will be removed from airfares for children under 16 years at the time of travel from March 2016.

“Ever since APD was taken off the flight prices for children under 12 we’ve seen family bookings increase by a quarter,” said Peter Grover, managing director of CheapOair.

“The message to the Chancellor is that taxing holidays doesn’t work. More people spending money in the UK economy when booking their travel is better for the business of Britain. Holidays should be about fun and spending quality time together, without tax reform being a serious consideration when booking the family summer getaway.”

 

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