Ryanair's chief executive, Michael O’Leary, has warned that the budget airline will reduce its flight capacity in the UK if the government implements plans for a "double tax" on tourists. O’Leary stated that the airline is "actively switching capacity away" from countries increasing taxes.
The proposed plans would allow mayors to impose a levy on overnight accommodation, in addition to the existing Air Passenger Duty (APD). APD for short-haul economy flights was increased from £13 to £15 in April. Ryanair is calling for the government to abolish APD.
O’Leary told reporters on Wednesday, "You can’t tax tourists on the way into the UK and then double tax them for the hotel night." He added that if the government doubles visitor taxes with a visitor levy, he suspects Ryanair will be taking capacity out of the UK for the summer of 2026.
Ryanair claims that if the government scraps APD, it would introduce 30 new aircraft to UK airports, create 200 new routes, and hire 10,000 new workers.