Ryanair is to cut thousands of UK flights as its chief executive blamed an “idiotic” tax grab by Rachel Reeves.
The airline said it would cut UK capacity by as much as 10pc next year, equivalent to a reduction of around 5m passengers after the Chancellor announced a rise in
air passenger duty (APD), which is levied on flights starting in the UK. Michael O’Leary, the Ryanair chief executive, accused the Chancellor of a short-sighted tax grab he said demonstrated that she “has no clue how to deliver growth in the UK economy”. He added: “Reeves has damaged the UK’s growth prospects and made air travel much more expensive for UK families travelling abroad on holidays or to visit friends and family.
“At a time when Ireland, Hungary, Sweden and many regions in Italy have abolished air travel taxes, Chancellor Rachel Reeves’s idiotic decision to further raise the UK’s already-high air travel taxes will deliver cuts, not growth.”
The Government’s decision to increase air passenger duty
by £2 per passenger for short-haul flights means a family of four flying to Spain next year will pay £60 in travel taxes, Ryanair said. Mr O’Leary said regional airports were likely to be “particularly damaged” by the tax rise as reduced passenger numbers lead to fewer flights, higher fares and ultimately job losses. Domestic services would be hard hit because travellers pay APD twice, the chief executive predicted.
He said: “As an island economy on the periphery of Europe, it is vital that the UK lowers air access costs.