Question to the HM Treasury:

To ask the Chancellor of the Exchequer, pursuant to the Answer of 30 June 2022 to Question 25897 on Airlines: Contracts, what recent assessment he has made of the impact on (a) tax revenues and (b) the UK economy of UK-based airlines utilising non-UK-based sub-contractors on an aircraft, crew, maintenance and insurance basis for passenger flights originating in the UK.

UK airlines lease aircraft and crew from foreign airlines to provide additional capacity, often during the summer holiday peak. The flexibility to bring in additional capacity for limited periods is welcomed by the UK’s largest carriers to manage seasonal peaks or when aircraft and crew are otherwise unavailable.

This summer has seen an increase in this type of activity for several reasons including shortage of aircraft and of cabin crew.

How the leasing of foreign aircraft and crew develops is something the Government will keep under review as the market recovers and evolves following the COVID-19 pandemic.