Jet2 boss blames rising flight prices on environmental taxes

Taxation is ‘the biggest risk facing our industry today’, says chief executive

Holiday firm Jet2 is blaming environmental taxation on high prices (PA) (PA Wire)

Jet2 and Jet2holidays’ chief executive has warned that flight prices are going to “continue to rise”.

Speaking at the travel business’s annual conference in Faro, Portugal, Steve Heapy blamed environmental taxation imposed by the government for increasing costs, calling it “the biggest risk facing our industry today”.

“As politicians get closer to their sustainability target dates and see they’re nowhere near reaching them, they will get more desperate and they will use the one tool they have in their arsenal to reduce greenhouse gases: taxation,” he said, reports Travel Weekly.

“It will put holiday prices up and tax people out of the ability to fly, meaning flying will become something for the rich and privileged only.

“This is my big worry and keeps me up at night as, for the foreseeable future, the cost of flying will continue to increase.”

Mr Heapy said the cost of carbon permits, which airlines use to offset emissions, has leapt from £5 to £90.

This jump in price is in turn being passed onto the consumer and is pushing up air fares, he said.

Mr Heapy claimed that sustainable holidays would be a growing market that can be seen as an opportunity.

“Terms like sustainable holidays, green holidays and holidays without guilt are going up exponentially by hundreds of percent every year,” he said.

“People want sustainable holidays and this should be seen as an opportunity.

“We will find the sustainable hotels and work with them to get accredited and then we will bring that product to you so when someone comes into your shop saying they want a sustainable holiday, you will have the ability to click on a filter and show them all the certified hotels we offer.”

Jet2holidays is planning a series of videos and newsletters for hotel partners advising on becoming more sustainable and getting accredited by the World Tourism Council.

Aviation currently accounts for around 2 per cent of all global carbon emissions, more than many individual countries’ contributions.