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[Ex-Scotland] APD Devolved to Scottish Parliament. Any impact to BA?

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[Ex-Scotland] APD Devolved to Scottish Parliament. Any impact to BA?

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Old Nov 27, 2014, 8:11 am
  #16  
 
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Originally Posted by Paralytic
It'd make a difference for those in the UK. I expect if someone flew MAN-EDI-xxx, the APD level would be that dictated by the Scottish Pariliament.
I don't think so. When you fly MAN-AMS-xxx, the tax isn't set by the Dutch government, but by the UK one. The Dutch could decide to add a tax to you flying through their airport (and they did consider this briefly), but the UK decides what tax you pay out of MAN.
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Old Nov 27, 2014, 8:15 am
  #17  
 
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Originally Posted by nobbyclark
If it is abolished (or reduced) up here, where will the revenue come from that it currently provides? Nothing in government is for free.
The 5p from the poly bags...

Great "environmental" policy from the current administration though. 5p for a bag, but come and have a Spaceport at Prestwick
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Old Nov 27, 2014, 8:37 am
  #18  
 
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Originally Posted by Paralytic
I'd not be surprised if Scotland decided to go down the same route.
I could imagine there'd be a bit of an outcry up here in Aberdeen regards "Central Belt-ism" if that were to happen, given we don't have any long-haul flights from ABZ and aren't likely to get any in the near future given the airport constraints, etc (although we can but hope).
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Old Nov 27, 2014, 8:43 am
  #19  
 
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Originally Posted by BlackBerryAddict
On APD there are studies that suggest that the effect of APD is actually to depress travel, and therefore depress the economy. Removing APD would, according to these studies, increase economic growth which would be worth more than the APD collected.
That sounds interesting. Do you have some references?
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Old Nov 27, 2014, 9:40 am
  #20  
 
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Originally Posted by nobbyclark
If it is abolished (or reduced) up here, where will the revenue come from that it currently provides? Nothing in government is for free.
Probably from the 50% Income Tax the SNP will start levying on the better off - you know the sort who can afford to fly J and F.....
or of course they could abolish APD for Y and double it for J and triple it for F.
This isn't far fetched - in the case of Stamp Duty they've reduced if for property under £330k and increased it very substantially for property over.
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Old Nov 27, 2014, 9:53 am
  #21  
 
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It suddenly makes direct trips to the US from GLA or EDI more attractive with the US airlines especially for families who may consider indirect routes to the likes of FL rather than fly via LGW to MCO or TPA and LHR for MIA.
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Old Nov 27, 2014, 9:56 am
  #22  
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Originally Posted by mc1973
It suddenly makes direct trips to the US from GLA or EDI more attractive with the US airlines especially for families who may consider indirect routes to the likes of FL rather than fly via LGW to MCO or TPA and LHR for MIA.
If it goes down (and its not certain it will), BA will certainly have something to think about in terms of competitive pricing. However, I'm not sure how many people would route through London (and endure the horrendous connection experience on the way back) if a direct option is already available, unless they're one of the relatively small group who is chasing the TPs.

Last edited by Paralytic; Nov 27, 2014 at 10:04 am
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Old Nov 27, 2014, 9:57 am
  #23  
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Originally Posted by BlackBerryAddict
I don't think so. When you fly MAN-AMS-xxx, the tax isn't set by the Dutch government, but by the UK one. The Dutch could decide to add a tax to you flying through their airport (and they did consider this briefly), but the UK decides what tax you pay out of MAN.
Yes, that makes sense. But if it was reduced, it would give those towards the north of England a potentially cheaper option if they had to choose to fly from either London or Scotland.
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Old Nov 27, 2014, 9:59 am
  #24  
 
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Originally Posted by Paralytic
If it goes down (and its not certain it will), BA will certainly have something to think about in terms of competitive pricing. However, I'm not sure how many people would route through London (and endured the horrendous connection experience on the way back) if a direct option is already available, unless they're one of the relatively small group who is chasing the TPs.
Are we going to see some TP runs originate in Scotland now to avoid APD
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Old Nov 27, 2014, 10:00 am
  #25  
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I would imagine there will not be much of a direct impact to BA. There are surely economies of scale realised through centralising operations across 1-2 hubs (Heathrow and Gatwick), instead of bringing a third hub in Scotland (Edinburgh) into the mix.

Remember we aren't just talking about people from the UK being able to drive up to Scotland and avoid APD. We have all the connecting passengers from the continent and further afield connecting through Heathrow to travel to other long haul destinations.

I would imagine any impact would be limited to BA doing flights to specific destinations at peak times, to serve the local market. For example, EDI to IBZ or flights to ski destinations in the winter.

Where we may see an impact on BA is an indirect one. In 2015, the ME3 will all be operating from Scotland and we have both UA and US/AA operating flights to the USA.

Maybe we would see the long-rumoured launch of a northern UK hub for Emirates, with them using Easyjet as a partner bringing traffic to Glasgow. Or maybe we will see UA or US/AA look to get some connecting flights bringing traffic to Scotland to serve their flights to the US.
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Old Nov 27, 2014, 10:06 am
  #26  
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Originally Posted by Tim Farrell
Maybe we would see the long-rumoured launch of a northern UK hub for Emirates, with them using Easyjet as a partner bringing traffic to Glasgow. Or maybe we will see UA or US/AA look to get some connecting flights bringing traffic to Scotland to serve their flights to the US.
I'd never heard that before. If a BA competitor did launch a hub somewhere in the UK, and targeted BA's current connecting passengers, that would certainly be interesting.
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Old Nov 27, 2014, 10:09 am
  #27  
 
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Originally Posted by BlueThroughCrimp
The 5p from the poly bags...

Great "environmental" policy from the current administration though. 5p for a bag, but come and have a Spaceport at Prestwick
While you may wish to portray them as such, environmentalists are generally not hippies who demand a zero emission world...

To the best of my knowledge, space exploration doesn't have a green alternative. Plastic bags do. There is therefore no logical reason why you couldn't support a spaceport while also wanting to help the environment by cutting down on the absurd waste produced by plastic packaging - which isn't just emissions in their production, but the blight on our landscapes and serious damage it does to animal life (and if you eat those animals, human health).
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Old Nov 27, 2014, 10:29 am
  #28  
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History worldwide suggests that everybody favors tax cuts, but nobody favors service decreases. There is always an expert or two lying around who will tell you that eliminating s tax or fee here and there will actually generate revenue and thus not necessitate a service decrease.

It doesn't work.
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Old Nov 27, 2014, 10:30 am
  #29  
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Originally Posted by Tim Farrell
Maybe we would see the long-rumoured launch of a northern UK hub for Emirates, with them using Easyjet as a partner bringing traffic to Glasgow. Or maybe we will see UA or US/AA look to get some connecting flights bringing traffic to Scotland to serve their flights to the US.
Do either the USA or the UAE have the appropriate treaties in place to allow them to operate internal EU flights? Given the political atmosphere I very much doubt it but happy to be corrected.

Second point: connecting to an EK flight in GLA? That means at least two connections, for those using DWC as a hub. Not likely, I think.

Third point: if US/AA really want connections then they have interline agreements with most EU carriers (think BE) to serve the tiny cities and for elsewhere there's LON and MAD.

Last edited by Calchas; Nov 27, 2014 at 10:37 am
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Old Nov 27, 2014, 11:00 am
  #30  
 
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Originally Posted by callum9999
While you may wish to portray them as such, environmentalists are generally not hippies who demand a zero emission world...

To the best of my knowledge, space exploration doesn't have a green alternative. Plastic bags do. There is therefore no logical reason why you couldn't support a spaceport while also wanting to help the environment by cutting down on the absurd waste produced by plastic packaging - which isn't just emissions in their production, but the blight on our landscapes and serious damage it does to animal life (and if you eat those animals, human health).
Going way off topic to reply in greater detail to be honest, but there is an environmental alternative to space "tourism" (which is what is being touted).

It's not to have it.
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