Quantcast

Airline industry challenges proposed premium flyer levy due to potential economic impacts

Airport Workers Save the Day After Woman Loses Diamond from Her Engagement Ring in Baggage Carousel
I never talk to strangers on the plane. After my dad died, a passenger helped me talk about my grief.
American Airlines reveals new summer route: Miami → Rome
Budget UK airline launches huge sale with £29 flights to 475 holiday hotspots – but you’ll have to be quick
Delta Passengers Can Book a ‘Last Mile’ Private Jet Charter to Europe This Summer
Honeywell Runway Safety Technology Selected by Southwest Airlines for Fleetwide Installation
Southwest Airlines Adds Cockpit Alerts to Boost Runway Safety
This Airline Is Going to Start Handing Out $675 Fines to 'Unruly' Passengers: 'It Is Unacceptable'
Summer of savings? New analysis shows airfare has dropped significantly - The Points Guy
Travelers are taking extreme measures and using hacks to avoid airline baggage fees
Pigeons Cause Chaos on Delta Flight
United Airlines’ Uniforms Get A Facelift—And A Political Filter
United Continues to Face Catering Chaos at San Francisco
Passenger Stows Away on Delta Flight from New York to Paris
Wizz Air becomes first airline to operate P&W-powered Airbus A321XLR jet
Hawaiian Airlines’ new ‘no show’ policy may make travel more expensive
BLIMP-SE OF THE FUTURE Luxury zeppelins of the future from ‘flying bum’ world’s largest aircraft to Google billionaire’s ‘impossible’ airship
Swiss Startup SmartFlyer Develops Hybrid-Electric Trainer
San Francisco-based entrepreneur takes a trip on India's worst-rated airline, his reaction will surprise you
First-Time Flyer at 81: A Grandmother's Memorable Journey
Ryanair forecasts fare rebound as consumers recover from interest-rate hit
Alaska Airlines' “Aviation Day” inspires future aviators
Global Airlines Launches Inaugural Flight, Aiming to Revive 'Golden Age of Travel'
Winning routes: American Airlines adds more than 22,000 seats for football fans following release of 2025–2026 pro schedule
Boeing scores Middle East plane deal during Trump visit
Air travel will be ‘worse’ this summer, lawmakers warn — as FAA gives infuriating update on system fixes, staffing issues
Qatar Airways places record $96 billion Boeing order amid Trump visit
United Airlines CEO Reassures Passengers About Newark Airport Safety
American Testing Tech to Help Passengers Make Connecting Flights
British Airways to use AI in efforts to improve operations
Airline industry challenges proposed premium flyer levy due to potential economic impacts
Research
Webp 58zh8x5xwq96bcy3lszw6ygi4g7p
Nick Careen Senior Vice President, Operations, Safety and Security | International Air Transport Association

The International Air Transport Association (IATA) has expressed concerns over the Global Solidarity Levy Task Force's (GSLTF) proposal to impose a premium flyer levy, citing potential negative impacts on the airline industry and broader economic consequences. The GSLTF estimates that such a levy could generate EUR 78 billion annually, which is approximately three times the global estimated profit of USD 32.4 billion for airlines in 2024.

Willie Walsh, IATA’s Director General, criticized the proposal, stating that it fails to consider the thin net profit margins of airlines and their significant commitments to sustainability. "The airline industry is an economic catalyst, not a cash cow," said Walsh. He emphasized that imposing additional taxes would hinder airlines' ability to invest in achieving net zero carbon emissions by 2050, an effort projected to cost USD 4.7 trillion.

IATA also highlighted the existence of CORSIA (Carbon Offsetting and Reduction Scheme for International Aviation), a globally agreed mechanism aimed at managing carbon emissions from international aviation. According to IATA, overlapping measures like the proposed levy could undermine CORSIA and lead to inefficiencies.

Get the Newsletter
Sign-up to receive weekly round up of news from Sky Industry News
By submitting, you agree to our Privacy Policy and Terms of Service. By providing your phone number you are opting in and consenting to receive recurring SMS/MMS messages, including automated texts, to that number from our short code. Msg & data rates may apply. Reply HELP for help, STOP to end. SMS opt-in will not be sold, rented, or shared.

Walsh further argued that the GSLTF's proposal lacks an assessment of its impact on economies and travelers. He warned that targeting premium travel could disrupt route networks essential for connectivity and increase costs for all travelers.

Independent research commissioned by IATA indicates public skepticism about air travel taxation. Findings show that 73% of respondents view green taxes as government greenwashing, while 79% believe there are already too many taxes on flying. Additionally, only 9% support taxation as a means to compensate for carbon emissions associated with flying.

Walsh concluded by advocating for investments in Sustainable Aviation Fuels (SAF) as a more effective approach than taxation to achieve environmental goals while maintaining economic benefits provided by air transportation.

Organizations Included in this History
More News

The Emirates Group recently held an exhibition titled "Tomorrow Takes Flight," showcasing its sustainability initiatives in aviation.

Jul 4, 2025

Air France-KLM has announced plans to take control of SAS Scandinavian Airlines by increasing its ownership stake to 60.5% by the end of 2026.

Jul 4, 2025

The International Air Transport Association (IATA) has expressed concerns over the Global Solidarity Levy Task Force's (GSLTF) proposal to impose a premium flyer levy, citing potential negative impacts on the airline industry and broader economic...

Jul 4, 2025

American Airlines, known for its extensive network of hub airports, once operated a significant hub at St. Louis Lambert Airport (STL) in Missouri.

Jul 4, 2025

Qantas Airways has reported a cyber attack targeting one of its contact centers, leading to a potential data breach affecting up to six million customers.

Jul 4, 2025

The Transportation Security Administration (TSA) is experiencing a significant increase in airline travel.

Jul 4, 2025