The Irish Air Travel tax is being reduced – from a not considerable €10 to an insignficant €3.
You read that right.
This comes to effect from 1st March 2011 to 31st December 2011.
This is to combat the dropping visitor numbers to Ireland.
To quote Brian Lenihan
“The position will be reviewed next year, and the rate will be increased unless there is evidence of an appropriate response from the airlines. I do not want to see the reduction in the tax being used by airlines as an opportunity to raise their fees and charges.”
Now there are ways to view this be you an Odious Little Man, a minister for the Irish Parliament, but this is my way of looking at it.
If you were planning a business class or first class redemption long distance, I would be actively looking to commence my journey from Dublin now.
Lets put it in hard numbers.
| APD Band | Economy Class |
Irish Fee + positioning flight (£25 + €3 – about £28) |
Benefit |
| Band A | £12 | £28 | – £16 |
| Band B | £60 | £28 | £32 |
| Band C | £75 | £28 | £47 |
| Band D | £85 | £28 | £57 |
| APD Band | Business/ First Class |
Irish Fee + positioning flight (£25 + €3 – about £28) |
Benefit |
| Band A | £24 | £28 | – £4 |
| Band B | £120 | £28 | £92 |
| Band C | £150 | £28 | £122 |
| Band D | £170 | £28 | £142 |
Notes: Calculation is based on an Aer Lingus single flight to Dublin which is about £25 on a discount flight. €3 is equal to about £2.70, but for the sake of my mental arithmetic, I’ve rounded it back up to a £3. Of course, Ryanair could probably fly you cheaper, but I’m assuming you have taste in airlines.
From these numbers, Band A (Intra European) is a waste of effort.
Going any further than Band A, and there are minor savings to be made in economy, but bucket loads of coins to be saved in Business and First in Taxes the further you go. Bear in mind Band D is Singapore and beyond.
And the further you go, the bigger the savings. Serious amounts of savings. Even with the positioning flight, and heck, a decent night in a hotel. It’s still a good saving.
So when booking those flights for next year, my hint is start in Dublin’s Fair City or somewhere on the Emerald Isle. As you’ll be less ripped off starting there.
Orginal input, http://www.irishtimes.com/newspaper/breaking/2010/1207/breaking60.html
APD Figures from HM Goverment and ABTA.
