France Considers Hiking Airline Tax, Potentially Raising Ticket Prices

– byPrince@Bladi · 1 min read
France Considers Hiking Airline Tax, Potentially Raising Ticket Prices

The government of Michel Barnier is considering increasing the solidarity tax on airline tickets to generate revenue. A measure that would lead to a significant increase in ticket prices for passengers.

In search of new revenue, the new French government plans to increase the solidarity tax on airline tickets (TSBA), reports Les Échos. This measure should lead to a rise in airline ticket prices for "business" or long-haul passengers and generate nearly one billion euros in revenue, adds the French economic newspaper, specifying that the TSBA currently brings in 460 million euros to the State.

"Our information, which seems entirely reliable and certain, makes us fear a taxation of the air sector as part of the 2025 budget, amounting to one billion euros," declared Pascal de Izaguirre, the president of the National Federation of Aviation and its Professions (FNAM) and CEO of Corsair, who believes that the sector is "in a state of shock." "Airlines are not able to absorb such a tax shock," fears the official.

For its part, Air France is convinced that "if this project comes to fruition, there will be a repercussion on the price of tickets." Initial estimates indicate that the price of a "business" ticket could increase by an average of 200 euros, and by "a few tens of euros" in economy class, confides a carrier quoted by Le Parisien.