New Taxation on Long-Distance Transport Infrastructure: A Blow to the Air Sector Post-Covid Crisis

2023-10-27 15:14:35

Included in the PLF 2024, the new taxation on long-distance transport infrastructure is seen as a new blow to an air sector weakened by the Covid crisis.

“We were stunned.” Guest on BFM Business this Wednesday, October 27, the boss of the Union of French Airports (UAF) reacted to the new tax on “long-distance transport infrastructure”, which targets motorway concessions and airports, included in the 2024 finance bill (PLF).

“It’s a feeling of astonishment, at first, and of incomprehension since then, which reigns in the airline sector,” says Thomas Juin indignantly.

“This sector is emerging from an unprecedented crisis in the history of aviation: we had lost almost 70% of the activity,” he recalls, referring to the Covid-19 pandemic which paralyzed the sector in 2020.

“A 50% tax increase”

“We are barely recovering from it and then we were stunned to see that finally they were going to impose on us, at least on a certain number of airports, a new tax, which is not the least: it will represent on four years more than 500 million euros”, criticizes the boss of the Union of French Airports.

“For the airports concerned, this represents a 50% increase in taxation,” he adds.

A measure that Thomas Juin also considers counterproductive. He believes that this tax, designed to finance the ecological transition, will ultimately deprive airports of investment capacity “at a time when we will have to make considerable investments in the ecological transition”.

An increase in ticket prices

Not to mention that this tax might also be passed on to the price of tickets. The Aéroports de Paris (ADP) group has already warned that it will pass on this new tax to airlines and therefore, ultimately, to their passengers.

“The impact on the plane ticket is of the order of 1.50 euros per passenger, on average,” estimated the CEO of Aéroports de Paris, Augustin de Romanet, at the microphone of France InterTHURSDAY.

Air France, through its boss Anne Rigail, had already denounced last month a “new distortion of competition” which will “hurt” companies.

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