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Lord Fox Excerpts

Thursday 5th March 2020 Lords Chamber

[Baroness Vere of Norbiton]

The noble and learned Lord is quite right: the Scottish Government have taken a slightly different approach to passenger duty from the UK Government. Discussions with the devolved Administration will be under way this afternoon, and they will no doubt include the future of air passenger duty, but it is for Scotland to decide how they wish to charge it.

[Lord Fox (LD)]

My Lords, the discussion to date has, necessarily, been a sticking-plaster type of discussion; and noble Lords have raised other airports and operators that may in future require such sticking-plaster announcements. Can the Minister confirm that some sensitivity analysis is under way to identify where problems could arise in future? Does she agree that, in the long run, the way to deal with such issues is to have a proper strategic transport plan across the country?

[Baroness Vere of Norbiton]

My Lords, the aviation industry is a highly competitive market, and obviously, private companies operate in it. None the less, the noble Lord makes an important point about the Government’s insight into the financial future and sustainability of airlines. I am sure that he will be pleased to hear that the CAA already undertakes that role. Where potential financial issues are on the horizon, the Government are made aware. Therefore, plans can be put in place.