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Aer Lingus, Cityjet and Ryanair: Irish tourism tax costs EUR482 million, 3,000 job losses

27-Nov-2009 8:22 AM

Aer Lingus, Cityjet and Ryanair (26-Nov-2009) released details of a report commissioned by the carriers from Amsterdam Aviation Economics. The report states that the EUR10 tourism tax imposed by the Irish Government result in revenue losses of EUR482 million, up to 3,000 lost jobs and 1.2 million less departing passengers, while generating just EUR116 million in tax revenue in first year. The report found that the Irish airlines have absorbed most of the tax and have been forced to reduce capacity and move aircraft to bases outside Ireland as a direct result of the imposition of the tax. The three carriers have repeated calls to eliminate the EUR10 travel tax. Between them the three carriers account for 83% of air travel passengers to and from Ireland. [more]