Accredited official statistics

Air Passenger Duty statistics commentary May 2024

Updated 28 June 2024

Released: 28 June 2024. Next Release: June 2025.

Headlines

The latest headlines for Air Passenger Duty statistics are:

• total provisional Air Passenger Duty (APD) receipts for the last complete financial year 2023 to 2024 were £3,845 million, which is £664 million (21%) higher than the previous financial year

• total provisional Air Passenger Duty (APD) receipts for the 2024 to 2025 financial year-to-date (April to May) are £635 million, which is £58 million (10%) higher than the same period in the previous financial year

• APD receipts from March 2020 until the financial year ending 2023 were significantly lower than historical levels, due to the coronavirus (COVID-19) pandemic

• since travel restrictions were lifted post-pandemic, receipts have recovered with figures rising from early 2021 to present day, now exceeding pre-pandemic levels

• the significant increase in receipts in the financial year ending 2023 compared to the year before is consistent with observed increases in passenger numbers after domestic and international travel restrictions were lifted. Similar increases have also been reported in passenger numbers by the Civil Aviation Authority

• the introduction of band C and the Domestic band in April 2023 has meant that although total passenger numbers have increased in the financial year ending 2024 compared to the previous year, the numbers in bands A and B have slightly reduced

About this release

This publication provides National Statistics on APD receipts, declarations and passenger numbers.

National Statistics are accredited official statistics.

The statistics in this release are based on recent and historic trader returns. This release includes new information from May 2023 to May 2024.

APD is due on aircraft that depart from airports in the UK and carry passengers. Duty is charged on each passenger at a rate depending on the distance to their final destination.

There are 4 destination bands:

• Domestic: destinations in England, Scotland, Wales and Northern Ireland only
• Band A: distance from London to the country’s capital is 0 to 2,000 miles
• Band B: distance from London to the country’s capital is between 2,001 miles and 5,500 miles
• Band C: distance from London to the country’s capital is over 5,500 miles

There are 3 rates of duty for each destination band:

• Reduced rate: lowest class seating, seat pitches less than 1.016m (40in)
• Standard rate: any other class of seating, seat pitches more than 1.016m (40in)
• Higher rate: travel in planes of 20 tonnes or more, equipped to carry fewer than 19 passengers

Coronavirus (COVID-19)

Impacts from the coronavirus (COVID-19) pandemic and public health measures are visible within changing trends to receipts collected for APD since March 2020. This is caused by a mixture of changes to payment timings, various national and regional travel restrictions introduced, and policies affecting business and emerging economic impacts.

Receipts Analysis

Figure 1: Total APD receipts for the previous ten financial years

For the full data behind this chart, please refer to the accompanying statistics tables for May 2024.

Figure 1 demonstrates several trends for Air Passenger Duty receipts by financial year:

• from the COVID-19 pandemic related low of the financial year ending 2021, into limited and then more substantial recovery in the financial years ending 2022 and 2023, receipts for the financial year ending 2024 now exceed the pre-pandemic peak. This is due to a combination of the continued recovery of the air travel industry, as well as an increase in the rates of APD charged per passenger

• receipts for the financial years ending 2021 and 2022 were significantly lower than previous years, due to impacts from the coronavirus pandemic

• the increase in receipts between the financial year ending 2021 and the financial year ending 2022 can be attributed to the increase in passenger numbers and the duty rate increase from 1 April 2021

• the increase in receipts between the financial year ending 2022 and the financial year ending 2023 can largely be attributed to increases in passenger numbers as there was a return to pre-COVID behaviour, with domestic and international flights more easily available after restrictions were lifted.

• prior to the financial year ending 2021, receipts had been largely increasing apart from a small dip around the financial year ending 2016

• receipts for the financial year ending 2020 followed this increasing trend up to February 2020, however March 2020 receipts were significantly impacted by initial impacts from the coronavirus (COVID-19) pandemic

Figure 2: Total APD receipts by financial quarter for the current and previous six financial years

Each point on this chart represents a financial quarter. For the full data behind this chart, please refer to the accompanying statistics tables for May 2024.

Figure 2 demonstrates several trends for Air Passenger Duty receipts by quarter:

• receipts in each quarter of the financial year ending 2024 were increased significantly compared to the same quarters in the financial years ending 2022 and 2023. For example, receipts in the fourth quarter of the financial year ending 2024 reached £890 million compared to £774 million in the financial year ending 2023, and £409 million in the financial year ending 2022

• receipts in the financial years ending 2021 and 2022 are significantly lower than in previous years due to the coronavirus (COVID-19) pandemic. This also affected receipts in quarter 4 of the financial year ending 2020

• receipts generally follow a quarterly pattern, being higher in quarter 2 (July to September) and lower in quarter 4 (January to March)

Passenger numbers analysis

Chargeable passengers are any passengers on a chargeable aircraft, with the exception of any that are:

• in transit when the aircraft lands in the UK and the passengers don’t change aircraft
• changing to a connecting flight, subject to certain rules
• carrying out certain duties, such as airline employees or escorting a passenger/goods
• children under two years of age who aren’t allocated a seat
• passengers carried under a statutory obligation (such as inspectors or deportees)
• children under 16 years of age and in the lowest class of travel

Figure 3: Total chargeable passengers by band and reduced or standard rate, by financial quarter

Each bar in this chart represents a financial quarter. For the full data behind this chart, please refer to the accompanying statistics tables for May 2024..

Figure 3 demonstrates several trends for Air Passenger Duty receipts by band and rate in each quarter:

• the introduction of band C and the Domestic band in April 2023 has meant that although total passenger numbers have increased in the financial year ending 2024 compared to the previous year, the numbers in bands A and B have slightly reduced

• total passenger numbers for the financial years ending 2021 and 2022 were significantly lower than in previous or subsequent years. This was due to the coronavirus (COVID-19) pandemic which also affected passenger numbers in quarter 4 of the financial year ending 2020. Numbers are now returning to close to pre-pandemic levels

• total chargeable passengers follows a strong quarterly pattern, it is highest in quarter 2 (July to September) and lower in quarter 3 and quarter 4 (October to March)

• reduced rate passengers make up a large majority of total chargeable passengers. The majority of these are in band A although band B and domestic passengers also make up significant parts. Relatively few passengers are in band C