Navigating APD Changes: A Guide for Equinox Charter Clients
As a valued client of Equinox Charter, it’s crucial to stay informed about recent changes to the UK’s Air Passenger Duty (APD) that may affect your travel plans. The UK government is set to implement a 50% increase in APD for larger private jets starting in 2026. Additionally, the French government is considering imposing taxes of up to €3,000 per passenger on private jet flights. Here’s what you need to know about these changes and how Equinox can assist you.
Understanding the APD Changes in the UK
1. What’s Changing?
- Higher APD for Larger Jets: Beginning in 2026, passengers flying on larger private jets (over 20 tonnes) in the UK will face a 50% increase, potentially reaching £1,141 per passenger.
- Potential Inclusion of Smaller Jets: The UK government is also exploring the possibility of extending these higher APD rates to include more types of jets, even those currently under the 20-tonne threshold.
2. Why This Isn’t a Major Concern
While the increase in APD may appear significant, it constitutes a relatively small portion of the overall cost of a private jet flight. For instance, a return flight from London to New York could cost around £130,000. Even with the increased APD adding a few thousand pounds, this impact is minor compared to the value private aviation offers in terms of convenience and flexibility.
The Economic Impact of Private Aviation
The private aviation sector significantly contributes to the UK economy, generating over £4 billion annually and supporting more than 30,000 jobs across the industry. This includes roles in flight operations, maintenance, ground services, and hospitality. With its focus on high-net-worth individuals and businesses, private aviation not only enhances the UK’s global connectivity but also plays a crucial role in driving tourism and business investment. Criticism of the sector, as seen in comments from figures like Rachel Reeves, overlooks the substantial economic benefits and job creation that private aviation provides to the nation.
The French Tax Consideration
1. What’s Changing in France?
In addition to the changes in the UK, the French government is considering imposing substantial taxes on private jet travel, potentially charging up to €3,000 per passenger. This move is part of broader efforts to address environmental concerns associated with private aviation.
2. Implications for Travellers to France
For those flying into or out of France, this potential tax could necessitate a reassessment of travel routes and costs. Understanding these developments is essential for planning efficient and cost-effective travel.
Why Private Jet Travel Remains a Top Choice
1. Private Aviation is Thriving
The private jet industry has seen significant growth, especially post-pandemic, with flights increasing by 15% in 2023 compared to pre-2019 levels. This trend indicates that private jet travel is essential for many, including ultra-high-net-worth individuals (UHNWIs) and professionals who value time and convenience. Equinox Charter’s expertise ensures you continue to benefit from these advantages regardless of changes in APD or new taxes in France.
2. Adapting to New Realities
The private jet industry is known for its adaptability. Operators and service providers are skilled at adjusting to new challenges, optimising routes, and finding effective solutions. At Equinox Charter, we prioritise your needs, offering tailored services that make your travel experience seamless, even with regulatory changes in both the UK and France.
Our Commitment to Sustainability
At Equinox Charter, we prioritise sustainability in aviation, which is increasingly important as both the UK and France focus on environmental responsibility. Our Enhanced Sustainability Initiative (EESI) offers tailored eco-friendly travel solutions that align with your values.
Through our partnership with 4AIR, we provide clients access to a range of carbon offsetting measures designed specifically for aviation. The 4AIR programmes include a four-tiered rating system:
- Level 1: Carbon Neutral – Requires a 100% offset of carbon dioxide (CO2) emissions through verified carbon credits.
- Level 2: Comprehensive Offsetting – Demands a 300% offset, accounting for both CO2 and non-CO2 emissions.
- Level 3: Emission Reduction – Requires a 5% direct emission reduction through operational changes, new aircraft, or Sustainable Aviation Fuel (SAF).
- Level 4: Contribution to the Aviation Climate Fund – Involves a direct contribution to support research and development of sustainable aviation technologies.
By choosing these sustainable options, you contribute to reducing your environmental impact while maintaining the high standards of private travel.
Tips for Managing APD Changes in the UK and French Tax Considerations
- Choosing the Right Aircraft: The size and type of jet you select can affect how much APD you’ll pay in the UK. Equinox’s experienced team can assist you in finding the right aircraft that meets your needs while keeping costs in mind.
- Sustainable Travel Options: Opting for eco-friendly choices, such as carbon offset programmes and fuel-efficient jets, helps minimise your environmental footprint. Our Enhanced Sustainability Initiative provides access to these solutions, allowing you to travel responsibly.
- Stay Informed and Prepared: Keeping updated with the latest APD regulations in the UK and potential French taxes is essential. Equinox Charter offers proactive support, helping you understand how these changes might affect your travel and how to plan effectively.
How Equinox Travel Can Assist
In addition to the services offered by Equinox Charter, our sister company, Equinox Travel, can provide comprehensive travel solutions for all your needs outside of private aviation. Equinox Travel specialises in coordinating logistics, including commercial flights, hotel accommodation, ground transportation and itinerary management. This holistic approach ensures that every aspect of your travel experience is streamlined and efficient.
Final Thoughts
While changes to APD in the UK and potential new taxes in France may require some adjustments, the benefits of private jet travel—flexibility, privacy, and convenience—remain significant. With Equinox Charter, you have a dedicated partner to help you navigate these industry changes while maintaining high service quality.
Contact Equinox Charter today to learn how we can assist you in managing these APD changes and potential French tax implications while planning your next journey effectively.