A thought on the UK's ADP

In a conversation with ATW's Perry Flint in DC yesterday, recorded as a podcast here, we discussed the EU focus on pollution from aviation. Perry made an interesting case for the UK being at the core of the movement that is causing EU airlines headaches.

This conversation was especially interesting in light of the UK's plan to increase its Air Passenger Duty (ADP). Climate change seems to be a bigger worry in the UK than anywhere else. easyJet funded a survey among UK residents and found "that 80% of the population agree that all flights, including cargo and private jets, should be taxed, while 69% said the tax ought to be designed to tackle climate change". Meanwhile according to IATA, the £2.5bn APD is completely disproportionate to the £572m that it would cost to offset the entire carbon footprint of UK aviation.

Andy Harrison, CEO of easyJet calls the ADP a "daft tax". IATA says "UK is a case in point of a government detached from reality". Strong words, but it seems UK residents have drunk deeply from the cup of global warming; and the government have drunk deepest.

In other news --

• Lufthansa reports - not bad, but winter will be awful
• The Houston surprise
• United committed to Australia - but not to shareholders
• Open Skies - the other side of these deals

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