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    Tuesday 11 November 2008

    Anti Knock AIr Tax must go!

    The Government's €10 travel tax must be scrapped immediately as it is an unfair "anti-West" tax that will destroy years of progress at Knock Airport according to Labour's Cllr Keith Martin.

     

    The new tax means that passengers using Knock Airport will have to pay a €10 tax to travel to all UK airports while passengers using Dublin Airport will only be charged €2 for many UK flights.

     

    Cllr Martin says "The head of Ireland West, Mr. Liam Scollan, has again described the 'devastating' impact the €10 travel tax will have on Knock Airport with a drop in passenger numbers of between 5 and 10% and a loss of up to €10.5 million in tourism revenue. The new tax scheme as it is currently set to operate would also penalise passengers travelling from airports in the West by charging them the higher €10 rate to travel to key UK destinations like Liverpool, Manchester and Glasgow.

     

    "This is an unjust tax as it favours the east coast with a €2 tax compared with a €10 for the west.  This is an unprecedented tax based on pure geography and it cannot be allowed to stand."

     

    According to the Labour candidate Minister Éamon Ó'Cuiv is "talking out of his hat when he says the tax cannot be changed because of European Law.  "It was introduced under the government's budget and it can be removed by the government.  It is rubbish and cynical misdirection to suggest otherwise.

     

    "Already Aer Lingus have announced that the introduction of the new air travel tax would cost them as much as €30 million annually in administrative and other costs.  The cost benefit analysis of the air travel tax seems to have gone seriously askew given that it will cost just one airline €30 million per annum to administer this tax and Minister Lenihan has estimated that the new tax will yield just €95 million in 2009 and €150 million in a full year. This is apart from the massively negative impact it will have on tourism and other supporting industries, especially in the West and Mid West.  This is an unfair tax, a bad tax and and anti-West tax and it must go!"

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