Chancellor announces abolition of Air Passenger Duty for children under 12 from May 2015.

In today’s Autumn statement, the Chancellor of the Exchequer, George Osborne, has announced the abolition of Air Passenger Duty for children under 12 flying in economy class from 1 May 2015.

The measure will be extended to children under 16 from 1 March 2016.

The rate of duty is currently £13 for flights up to 2,000 miles, £69 for flights between 2,001 and 4,000 miles, £85 for flights between 4,001 and 6,000 miles and £97 for flights over 6,000 miles.

Whilst airlines are still lobbying for the abolition of APD entirely, the measure will be good news particularly for “holiday” leisure routes to Florida.

For the avoidance of doubt, the reduction does not apply to children in premium economy, business class and first class.

More to follow, including the response from airlines and refund arrangements for flights already booked, shortly.

Update: British Airways has confirmed it is to refund APD to affected customers and will confirm administrative arrangements in due course .

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