p2 Contents mar20 18/3/09 21:50 Page 2
Simple? Treasury’s
intransigence over
news
APD is simply stupid
SO, as long as the way Air Passenger Duty is to be
calculated is “simple”, it doesn’t matter if it’s not
actually fair? Is that right, Mr Darling?
The Treasury replied to my letter this week,
basically refusing our request to reconsider the way
the tax bands are worked out, arguing that its
solution is the most straightforward.
The response provoked Tui’s Dermot Blastland to
this week
fume: “How out of touch are these people?”
But I wonder if Darling and his Westminster
minions even realise the strength of opposition, as
demonstrated by our Fair Fares petition, which now
has more than 2,300 signatures.
People are not only against how the tax is being
calculated, which unfairly penalises developing
countries whose economies rely on tourism, but also
how it hits premium travellers and those in transit.
And that’s before the question of whether the
money collected really goes towards green causes.
Stars in their eyes
Blastland’s beef is with the taxation on premium Atul Kochhar, the UK’s only Michelin-starred Indian chef, visited the TTG offices
cabins, which affects his own First Choice Airways this week to mark the launch of sales on P&O Cruises’ new Azura superliner.
premium seats; it means a family of four opting for The ship will feature Sidhu, a restaurant he has created. Full story, p6
a bit more leg-room flying to Cancun or Florida will
now pay £600 APD on top of their fare. Fair Fares. ITB trade show.
The bigger seat pitch has been hugely popular but Treasury will not budge p5 ‘G20 must use tourism’ p10
Tui says it won’t be able to recover the tax so will Industry bosses have angrily Record visitor numbers attended
have to rip out some, if not all, of the new seats and slammed the government’s this year’s ITB trade show in
put the higher-density economy ones back in. insistence that plans for reforming Berlin, where they heard how
The irony of that, of course, is that the government APD are justified because they tourism should be at the heart of
will then earn less tax from First Choice Airways. are “simple” world leaders’ plans to revive the
But I suspect it would rather that than lose the global economy
millions it’s getting from BA and Virgin Atlantic’s Cruise.
World Traveller Plus and Premium Economy Azura ‘to spur ex-UK sales’ p6 Analysis.
passengers. P&O Cruises’ new 3,000-passenger Agents’ share growing p14
After years of being pilloried over deep Azura will go on sale on March 30 Latest figures from Ascent-MI, the
vein thrombosis, it does seem perverse for before the full programme – and industry’s only provider of analysis
such an innovation in long-haul charter the line expects a sales rush of booking statistics, show while
flying comfort to be taxed out of existence. family holiday bookings are down,
What now? Last week Virgin Holidays Air. agents’ share of the market is up
managing director Amanda Wills was Aer Lingus gets naked p7
praising the industry for making a A price war between Aer Lingus City & finance.
collective stand against mutually and easyJet at Gatwick spilled on New Atol risk warning p18
threatening issues just like APD. to the streets of London at the Travel agents’ accounting practices
But clearly we need to weekend when the Irish carrier may not be keeping up with the
step up our combined efforts encouraged 999 people to parade regulations – and could mean
another gear if we are to be heard. “naked” to promote its fares they risk liability for backdated
So get everyone you know to sign payments
our Fair Fares petition and we’ll take Agent warning.
the fight right to Downing Street. Stop chasing commission p9 SECTORS.
Agents struggling during the Cruise p24
economic downturn have only Operators p28
Lucy Huxley Editor themselves to blame, a new Air p32
London agency has claimed Letters p38
02 20.03.2009
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