HIAL Supports Devolving of Air Passenger Duty

27th November 2014

Inglis Lyon, MD of Scottish regional airport operator HIAL, said: "We welcome the Smith Commission's proposals to devolve APD to Scotland.

Although flights departing from the Highlands and Islands are exempt from APD, the tax does apply to cross border flights into Inverness, which account for 87% of its passenger traffic, and to arriving and departing flights at Dundee. APD also applies to flights from Aberdeen, Edinburgh and Glasgow into the Highlands and Islands. The impact of this tax is therefore felt right across regional Scotland.

"I have no doubt that APD is a barrier for business and tourism in Scotland, and this is evidenced by detailed research which confirms that APD is choking the recovery of the airline industry in Scotland. I believe it is right that decisions on how, and indeed whether, to apply such a tax should be made here in Scotland.

HIAL has consistently campaigned alongside Scotland's larger airports for APD to be devolved and we hope the Smith proposals are taken forward."