Fine Gael Air travel tax motion

alpha2zulu

As you can see from this Irish Times piece below by Stephen Collins, FG are to put a motion to the Dail next week pushing for the scrappage of the 10 euro air travel tax.

The chances of the Government being defeated are unfortunately probably slim to none. However, I'm sure most people who have worked in the industry or who appreciate the financial tightrope that our airlines walk, will relalise how much damage such a blunt tax does to all important yields and particularly to marginal routes out of the nations Airport's. The manpower alone that is required even just to service 1 based aircraft over the course of a day's flying is very significant.

As a former FF voter myself, Dempsey's stance on this issue illustrates just how out of touch the DOT is with the realities in the industry at the moment. Do the DOT and Dempsey honestly think that prior to April 2008, EI/RE/FR would not have if possible extracted an additional 10 euro on their own accord for the balance sheets if they thought it was not going to collapse yield's and load factors. I myself will be e-mailing my local TD's this weekend ahead of the vote to voice my concerns for what it's worth.

STEPHEN COLLINS Political Editor
Fine Gael leader Enda Kenny has announced that he will make an attempt in the Dáil next week to abolish the €10 travel tax.
Opening his party’s national conference in Killarney tonight, Mr Kenny said that the tax had done severe damage to a vital job-intensive industry.
“We are here tonight in Killarney, the home of Irish tourism. A town that has witnessed the destruction of hundreds of jobs because of the downturn is Irish tourism over the last two years.
“It is fitting therefore that I announce from here that next week Fine Gael will bring a motion to the Dáil that calls for the immediate abolition of the €10 travel tax on tourists that has done such damage to this vital job-intensive industry,” said Mr Kenny.
He added that Ireland as an island nation was dependant on cost-competitive airline access to the country as it was is vital for every major industry, and particularly tourism.
”Nothing better sums up this Government’s short-sighted, self-defeating approach to fixing the economy than Brian Lenihan’s imposition of the travel tax in 2008, just as the economy was already heading into recession.
”A tax hike that has netted only €100 million for the Government has, according to industry analysis, resulted in lost tourism revenues to the entire country of €480 million, and directly destroyed 3,000 jobs,” he said.
Mr Kenny added that the tourism tax could be abolished next week and that would help the industry to stay afloat for another year and save and create thousands of jobs. “It just needs a Government that will listen. A competent Government that will put jobs at the very top of its priorities. A Fine Gael Government,” he said

http://www.irishtimes.com/newspaper/breaking/2010/0319/breaking71.html

parsi

Will FG also vote to remove credit card fees on fares ? Baggage Fees ? Compulsory web checkin fees ?

I strongly doubt that the additional tenner is going to change the mind of someone who wants to travel for pleasure..

Kristopherus

If by any chance it is abolished, then you can be sure that the airports will start charging it again under the guise of a Development Contribution, like they do at Knock.