Passenger tax for helicopters
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Passenger tax for helicopters
North Sea oil workers face £200 tax on each rig flight - Scotsman.com
A LEADING industrialist has warned that some North Sea helicopter companies could be forced to operate outside Britain because of a coalition government threat to impose a charge of almost £200 per passenger on every offshore flight.
Britain's oil and gas industry, already reeling from the impact of Chancellor George Osborne's £10 billion "tax grab", has now reacted furiously to a Treasury proposal to put offshore helicopter flights in the same tax bracket as commercial private jets.
Industry leaders fear that offshore workers could end up facing a £186 charge every time they fly to and from a North Sea installation - the same as the highest rate for passengers on private jets - resulting in additional costs of £165 million year to the industry.
There are an estimated 900,000 passenger journeys involving oil workers travelling in and out of Aberdeen's heliport alone each year.
Westminster politicians have launched a consultation into the proposals, stating that there is a "strong" argument for extending air passenger duty to the thousands of private passenger aircraft, including helicopters, which are currently exempt from the charge. Robert Paterson, the health and safety director of Oil and Gas UK, the pan industry trade body, condemned the proposals.
He said: "The industry is absolutely staggered. This could cost in excess of £165m a year on top of the controversial tax increase and it is something that potentially makes our high cost basin increasingly unattractive.
"It is wholly unwarranted and indeed could push some helicopter operators to start operating on the Continent where they are not penalised by these high taxes."
Mr Paterson warned: "In a high cost basin such as the UK, where staying competitive with other regions around the world is already a huge challenge, the last thing this industry needs is an additional cost burden of this magnitude.
"We believe that this is an unjustified cost. The implication in the Treasury document that helicopter flights to offshore installations in any way equate with 'business jet flights' is surprising to say the least."
He added: "It's not as if people can use alternative means of transport getting to and from offshore installations. Boat transfer simply does not work and it's highly ineffective and much more dangerous than helicopter transit.
"The transport of workers to offshore installations is anything but like a business jet flight."
Stewart Hosie, the SNP's Westminster Treasury spokesman, claimed: "This is another disgraceful raid on Scotland's offshore industry that will undermine jobs and investment and push up prices for energy customers. Control over APD (Air Passenger Duty) should be transferred from Westminster to the Scottish Parliament, as recommended by the Calman Commission, so that the Scottish Government can work to protect jobs in one of Scotland's great industries."
Britain's oil and gas industry, already reeling from the impact of Chancellor George Osborne's £10 billion "tax grab", has now reacted furiously to a Treasury proposal to put offshore helicopter flights in the same tax bracket as commercial private jets.
Industry leaders fear that offshore workers could end up facing a £186 charge every time they fly to and from a North Sea installation - the same as the highest rate for passengers on private jets - resulting in additional costs of £165 million year to the industry.
There are an estimated 900,000 passenger journeys involving oil workers travelling in and out of Aberdeen's heliport alone each year.
Westminster politicians have launched a consultation into the proposals, stating that there is a "strong" argument for extending air passenger duty to the thousands of private passenger aircraft, including helicopters, which are currently exempt from the charge. Robert Paterson, the health and safety director of Oil and Gas UK, the pan industry trade body, condemned the proposals.
He said: "The industry is absolutely staggered. This could cost in excess of £165m a year on top of the controversial tax increase and it is something that potentially makes our high cost basin increasingly unattractive.
"It is wholly unwarranted and indeed could push some helicopter operators to start operating on the Continent where they are not penalised by these high taxes."
Mr Paterson warned: "In a high cost basin such as the UK, where staying competitive with other regions around the world is already a huge challenge, the last thing this industry needs is an additional cost burden of this magnitude.
"We believe that this is an unjustified cost. The implication in the Treasury document that helicopter flights to offshore installations in any way equate with 'business jet flights' is surprising to say the least."
He added: "It's not as if people can use alternative means of transport getting to and from offshore installations. Boat transfer simply does not work and it's highly ineffective and much more dangerous than helicopter transit.
"The transport of workers to offshore installations is anything but like a business jet flight."
Stewart Hosie, the SNP's Westminster Treasury spokesman, claimed: "This is another disgraceful raid on Scotland's offshore industry that will undermine jobs and investment and push up prices for energy customers. Control over APD (Air Passenger Duty) should be transferred from Westminster to the Scottish Parliament, as recommended by the Calman Commission, so that the Scottish Government can work to protect jobs in one of Scotland's great industries."
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I think they should put a passenger tax on those rescued by SAR flights as well, I don't think the casualty could complain as it would generally only be half the cost as its generally only a one way trip.
Of course if they died on the way back they would be exempt, but then the death in flight tax would apply a snip at only £1,000 per death.
But then again there wont be any UK SAR in about 18 months, so they'll have to think of a new revenue stream hmmmmmm!
Of course if they died on the way back they would be exempt, but then the death in flight tax would apply a snip at only £1,000 per death.
But then again there wont be any UK SAR in about 18 months, so they'll have to think of a new revenue stream hmmmmmm!
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...not, let's be fair, that the last lot were particularly aviation friendly, but then, helicopters in particular and aviation in general are usually easy targets for politicians looking for easy vote winners. Or likely targets for the latest 'oops, a bigger boy maxed out my credit card' shakedown.
I think they should put a passenger tax on those rescued by SAR flights as well, I don't think the casualty could complain as it would generally only be half the cost as its generally only a one way trip.
Mustn't give them ideas, sorry
What's a mere 200 UKP charge on top of all the other costs, taxes, duties, fees, permits, licenses, assessments and the like that the UK guvmint demands from aviation now?
Perhaps....using airplanes to fly the Bears to Norway and using helicopters to fly them to the fields would soon become the cheaper way. Move all the jobs out of the UK to other locations that are not so silly.
Perhaps....using airplanes to fly the Bears to Norway and using helicopters to fly them to the fields would soon become the cheaper way. Move all the jobs out of the UK to other locations that are not so silly.
