UK Collects Record £2 Billion in Air Passenger Duty

HM Revenue and Customs collected £2 billion in Air Passenger Duty between April and August 2026, marking a record high for the first five months of the financial year. This total represents a £100 million increase compared to the same period in the previous year, with the most significant growth occurring during the peak summer travel months of July and August.

The tax authority attributed the surge to continued growth in the aviation industry and a recovery in passenger travel that has pushed receipts well above pre-pandemic levels. For the 2025/26 financial year, provisional receipts reached £4.618 billion, a 12% increase over the prior year.

Air Passenger Duty is charged to airlines for passengers on qualifying flights departing from UK airports, and these costs are typically passed to travelers via ticket prices. As of April 2026, standard rates range from £16 for domestic flights to £253 for destinations exceeding 5,500 miles.