Airline industry leaders have urged the UK government to reduce taxes on flying and holidaymakers, warning that current levies are harming the travel sector and the wider economy. Ryanair chief executive Michael O'Leary and other airline bosses made the call ahead of the upcoming Budget, arguing that the tax burden on aviation should be eased to support growth and competitiveness.
The executives directed particular criticism at taxes on air travel and a proposed levy on hotel stays, describing the measures as damaging to tourism and the broader economy. O'Leary, known for his blunt style, said the government should «stop taxing the s*** out of» holidaymakers, reflecting industry frustration at what they see as an excessive fiscal burden on travel.
The airline chiefs also took aim at Andy Burnham, the Mayor of Greater Manchester, referring to a «Labour f***ing tax and spend government» and describing a planned levy on hotel stays as «loony». The remarks underline growing tensions between the aviation industry and Labour-led authorities over tax policy and its impact on travel and tourism.
The criticism comes as the government prepares its Budget, with airlines lobbying for cuts to Air Passenger Duty and other charges. Industry figures argue that aviation taxes make the UK less competitive as a destination and add to the cost of travel for families. They contend that reducing these taxes would boost tourism, business travel and economic activity.
The hotel levy proposal, associated with regional authorities including Greater Manchester, has been a particular target. Hospitality and travel businesses warn that additional charges on overnight stays could deter visitors and raise costs for operators already facing pressure from inflation and energy prices. The airline CEOs framed the levy as part of a broader tax-and-spend approach that they say penalises the travel sector.
The intervention adds to the debate over how the government should balance revenue needs with support for industries that drive growth. Airlines have consistently opposed increases to Air Passenger Duty, arguing that the tax is passed on to consumers and reduces demand. With the Budget approaching, the industry is intensifying its campaign for relief.
Andy Burnham has not responded directly to the airline chiefs' remarks. The mayor has previously advocated for policies aimed at supporting local economies and public services, including measures that would generate revenue from visitors. The clash highlights the broader political divide over taxation and public spending as the government finalises its fiscal plans.
The airline bosses' comments are likely to resonate with travellers concerned about the cost of holidays, as well as with businesses in the tourism and hospitality sectors. The outcome of the Budget will determine whether the industry secures any relief or faces further charges. For now, the CEOs are making clear that they view current and proposed taxes as a barrier to growth and a burden on consumers.