§ Mr. Peter AinsworthTo ask the Secretary of State for Transport, pursuant to his answer of 22 October 2002,Official Report, column 158W, on aviation fuel, if he will estimate the total United Kingdom air passenger demand in 2030 if agreement is reached in ICAO to impose an international tax on aviation fuel equivalent to the current rate of duty on unleaded petrol and to impose a sales tax of 17.5 per cent on all airline tickets. [78548]
§ Mr. Jamieson[holding answer 31 October 2002]: Imposing a tax on aviation equivalent to the current rate of duty on unleaded fuel in the UK has not been considered in ICAO and the Government has given an undertaking not to remove existing zero rating for VAT purposes of air transport. Imposing such tax increases on aviation would go well beyond what is justified on the basis of evidence of its environmental costs.