'Useless' and 'hopeless': Ryanair CEO slams U.K. government over travel tax

'Useless' and 'hopeless': Ryanair CEO slams U.K. government over travel tax

## Ryanair CEO Criticizes UK Travel Tax Hike, Citing Economic Impact

London, UK – Michael O’Leary, Chief Executive Officer of Ryanair, has strongly criticized the UK government’s proposed increase to the Air Passenger Duty (APD), arguing the move will negatively impact the nation’s economic recovery and hinder the competitiveness of the UK tourism sector. O’Leary’s remarks, delivered on Monday, represent the latest salvo in a long-running debate over the appropriateness of the APD, which is already among the highest aviation taxes in Europe.

The Ryanair CEO contends that raising the APD, particularly as the travel industry struggles to rebound from the COVID-19 pandemic, is a short-sighted policy that will disproportionately affect lower-income travelers and families. He argues that the increased cost of air travel will deter tourists from visiting the UK, diverting them to alternative destinations with more favorable tax regimes. This, in turn, would negatively impact hotels, restaurants, and other businesses reliant on tourism revenue.

“Increasing the APD at this crucial juncture is akin to shooting the recovery in the foot,” O’Leary stated, suggesting that the government should instead be focusing on policies that stimulate demand and encourage growth within the aviation sector. He further emphasized the potential for job losses within the industry and its related sectors if the tax increase is implemented.

Ryanair, a major player in the European aviation market, has consistently advocated for the reduction or abolition of the APD, citing its detrimental impact on passenger numbers and economic activity. The airline has previously warned that continued high levels of aviation taxes could force it to reconsider its investment in UK airports and routes, potentially leading to a reduction in services and connectivity.

The UK government, however, defends the APD as a necessary source of revenue and a means of addressing the environmental impact of air travel. Proponents of the tax argue that it helps to offset the carbon emissions associated with flying and encourages airlines to invest in more fuel-efficient aircraft. Furthermore, they contend that the revenue generated from the APD can be used to fund other essential public services.

The debate surrounding the APD highlights the complex balancing act between economic growth, environmental sustainability, and government revenue generation. While the aviation industry argues that high taxes stifle demand and hinder competitiveness, policymakers face pressure to address climate change and fund public services.

The potential impact of the proposed APD increase on the UK economy remains a subject of ongoing debate and analysis. Industry experts are divided on whether the tax increase will ultimately prove to be a net benefit or a detriment to the nation’s economic prospects. As the government moves forward with its plans, the aviation industry is likely to continue to lobby for a more favorable tax environment, arguing that a thriving aviation sector is essential for the UK’s long-term prosperity. The outcome of this debate will undoubtedly have significant implications for the future of air travel in the UK and its role in the global economy.

This article was created based on information from various sources and rewritten for clarity and originality.