Tourist Tax by UK provides yet another competitive advantage to EU rivals says Heathrow

Passenger numbers at Heathrow fell by 88% in November, as travel restrictions and a second lockdown took their toll. Based on current forecasts and the continued decline in passengers, the decision has been taken for Terminal 4 to remain non-operational until the end of 2021.

Heathrow is calling for targeted, sector-specific Government support to protect jobs and help drive the UK’s economic recovery.  These include full business rates relief for all UK airports and abandoning the disastrous “tourist tax” which will make the UK the only country in Europe not to offer tax-free shopping for international visitors. The move is expected to result in 2,000 retail job losses at Heathrow alone.

Cargo volumes remain significantly below last year, reflecting the impact of COVID-19 on the UK’s international trade. 

Heathrow has partnered with transatlantic carriers British Airways, American Airlines, United Airlines and Virgin Atlantic on a cross-industry study aimed at eradicating the need for quarantine for passengers, by demonstrating the effectiveness of pre-departure testing in reducing transmission while making free movement easier.

Heathrow CEO, John Holland-Kaye said: “2021 should be the year of Britain’s economic recovery. But recent announcements, such as the tourist tax, could be the final nail in the coffin for struggling businesses such as restaurants, hotels, and theatres that rely on inbound tourists, as well as for retailers. To make Global Britain a reality, the government should be helping the aviation sector to survive, to develop routes to our key trading partners, and attract businesses and tourists to come to Britain to spend their money.”

 

Traffic Summary

 

 

 

 

 

 

 

 

 

 

 

 

 

November 2020

 

 

 

 

 

 

 

 

 

 

 

 

Terminal Passengers
(000s)

 Nov 2020

% Change

Jan to
Nov 2020

% Change

Dec 2019 to
Nov 2020

% Change

Market

 

 

 

 

 

 

UK

               57

-86.1

          1,377

-69.0

          1,774

-63.1

EU

             240

-88.5

          7,703

-69.6

          9,857

-64.0

Non-EU Europe

               68

-84.0

          1,702

-67.4

          2,174

-61.8

Africa

               63

-77.8

          1,040

-67.5

          1,351

-61.7

North America

               82

-94.2

          3,737

-78.4

          5,290

-71.8

Latin America

               20

-82.2

             389

-69.3

             506

-63.4

Middle East

             103

-83.1

          2,237

-68.1

          2,980

-61.3

Asia / Pacific

             114

-87.1

          2,780

-73.6

          3,731

-67.6

Blanks

                –  

0.0

                 1

0.0

                 1

0.0

Total

             747

-88.0

         20,967

-71.8

         27,663

-65.7

 

Air Transport Movements

 Nov 2020

% Change

Jan to
Nov 2020

% Change

Dec 2019 to
Nov 2020

% Change

Market

 

 

 

 

 

 

UK

             690

-80.5

         14,168

-62.0

         17,571

-56.3

EU

          3,190

-80.5

         78,745

-59.2

         94,937

-54.7

Non-EU Europe

             760

-78.2

         16,137

-59.7

         19,689

-54.9

Africa

             596

-52.6

          6,700

-51.7

          8,054

-47.2

North America

          2,346

-63.9

         32,410

-57.7

         39,139

-53.0

Latin America

             246

-48.0

          2,642

-52.0

          3,138

-48.0

Middle East

          1,294

-49.4

         15,134

-45.8

         17,795

-41.7

Asia / Pacific

          2,218

-41.5

         22,446

-48.3

         26,369

-44.5

Blanks

               24

             149

             149

Total

         11,364

-70.1

       188,531

-57.0

       226,841

-52.4

Source – Heathrow.com

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