Air Passenger Duty rates have increased, with economy flights to popular European destinations now costing £15 per passenger for Brits heading on holiday – up from £13
Budget flights bound for sought-after holiday spots including Spain, France, Portugal and Greece will now face a new £15 levy. Air Passenger Duty (APD) rates rose this month from April 1 and this is expected to impact airfares, resulting in pricier tickets for travellers.
APD represents a tax paid by airline operators to HM Revenue and Customs (HMRC) for passengers departing from UK airports, with the rates differing according to flight duration and travel class.
The levy was initially launched in 1994 to counterbalance the environmental consequences of air travel and covers passengers aged 16 or over on both domestic and international journeys.
While APD is settled by airline operators, ticket prices generally incorporate a fee to meet this expense and airlines subsequently transfer the charge to HMRC, so any rise typically results in more costly airfares for UK passengers.
The updated APD rates came into force on April 1 and remain valid until March 31, 2027, with expenses spanning from £8 to an eye-watering £1,141 per person.
The rates are split into four separate bands which differ based on your destination, with longer-haul flights attracting steeper charges, and the travel class which are categorised across three groups as follows:
- a reduced rate – this applies to the lowest class of travel on a plane, such as economy
- a standard rate – this applies to any other class of travel, such as business or first class, where the seat pitch is more than 40 inches
- a higher rate – this applies to travel in planes of 20 tonnes or more that carry no more than 19 passengers, such as private jets.
Outlining the alterations this month, the Chartered Institute of Taxation said: “From 1 April, the government is raising Air Passenger Duty rates by 13-15% across all bands and cabin classes, with an additional 50% increase for private jets.
“This will, for example, increase APD on economy travel to £8 per passenger (up from £7) for domestic flights, £15 (up from £13) for short-haul international flights, £102 (up from £90) for medium-haul flights and £106 (up from £94) for long-haul flights. The long-haul rate for private jets rises to £1,141 (up from £673).
“APD rates are set more than a year in advance using forecast RPI inflation. In recent years, actual inflation has turned out to be significantly higher than forecast, so APD has fallen in real terms.
“The April 2026 changes therefore uprate rates by forecast inflation and apply an additional catchup increase to reflect past inflation, as well as reflecting the government’s decision to tax users of private jets more highly.”
From April 1, domestic flight levies for economy class passengers now stand at £8 (rising from £7), while business class travellers face charges of £16 (increased from £14).
Band A encompasses journeys spanning zero to 2,000 miles, incorporating the entirety of Europe and most of North Africa, meaning trips to Spain, France, Portugal and Greece, amongst other favoured European destinations, fall within this bracket.
Following the revised charges, economy passengers heading to Band A locations encounter a £2 hike, with fees climbing from £13 to £15, while those travelling business, first or premium economy face a £4 surge, with tariffs jumping from £28 to £32.
Band B encompasses flights spanning 2,001 to 5,500 miles, incorporating destinations including the USA, Canada, United Arab Emirates and India.
Economy travellers heading to band B locations now face a £102 levy for economy travel (increased from £90), while a £244 fee applies to premium classes (raised from £216).
Band C relates to destinations exceeding 5,500 miles from the UK, including Australia, New Zealand and Thailand, with economy charges now fixed at £106 (risen from £94), and premium rates climbing from £244 to £253.
The Office for Budget Responsibility (OBR) forecasts the recent rise will deliver £5.2 billion for the Treasury by 2027, compared to £4.6 billion this year.
Below is a complete breakdown of the new APD rates from April 1, 2026, to March 31, 2027, for flights in each band:
Domestic band
- Reduced rate – £8
- Standard rate – £16
- Higher rate – £142
Band A (flights from 0 to 2,000 miles)
- Reduced rate – £15
- Standard rate – £32
- Higher rate – £142
Band B (flights from 2,001 to 5,500 miles)
- Reduced rate – £102
- Standard rate – £244
- Higher rate – £1,097
Band C (flights more than 5,500 miles)
- Reduced rate – £106
- Standard rate – £253
- Higher rate – £1,141
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