Emergency Budget: Government to explore changes to aviation tax system

No increases in duties on fuel also announced.

The coalition Governemnt's emergency budget has unveiled plans to explore changes to the aviation tax system, including switching from a per-passenger to a per-plane duty.

They are also to consult on major changes.

The new plans will help reduce carbon emissions.

Osborne also stated that the government are examining the impact of sharp fluctuations in the price of oil on the public finances, to see if pump prices can be stabilised and that whether a rebate for remote rural areas could work.

It was also announced there would be no new increases in duties on fuel.

The Chartered Institute of Logistics and Transport Chief Executive Steve Agg said in response to the budget: "Users of the road network who have no other choice of mode have long suffered the inequity of unfair tax burden."

"Those living in rural areas as well as the logistics industry in general have always endured disproportionate taxation on transport and I welcome this review on behalf of the Institute."

Further information:
The Chartered Institute of Logistics and Transport (UK)