VAT on testing will hit economy
Commenting on news that HM Treasury will not cut VAT on testing for international travellers as it is a ‘revenue raiser’, Henry Smith MP, Chair of the APPG for the Future of Aviation said:
“As a result of an overly cautious reopening of international travel, the UK economy is set to lose £19bn over the summer months alone, so it is disingenuous at best to suggest that they can’t scrap VAT for revenue reasons.
“They know that aviation is a major economic enabler that will be central to our economic recovery so it is counterproductive to allow our sky-high testing costs to remain a barrier to international travel. By scrapping VAT on tests not only will they boost international travel, they will boost our economy and reduce costs for international travellers and holiday makers. “