Tax blamed for airline seat capacity fall

THE Government’s €10 travel tax has been blamed for Dublin emerging as the worst airport in Europe in an analysis of seat capacity.

According to airline analysts anna.aero the summer 2010 season, which begins at the end of March, will see airline seat capacity in Europe rise by almost 5% but capacity in Dublin is expected to fall by 9%, making it the worst performer among the 20 European airports surveyed. Also among European Union countries, Ireland is to have the steepest decline in seat volume this summer at -13%.

Bloxham analyst Joe Gill said the decline is a response from airlines to the recession, higher airport charges and the “Slán abhaile tax” or €10 travel tax.

Only the Ukraine at -11% is close to Ireland in year-on-year declines.

“How many more statistics such as these do policymakers in Ireland need before they respond? So far, it is shoulder-shrugging and insipid comments about the poor economy that form their defence for an abject failure to manage aviation policy in Ireland.

“A reversal of current trends is key to re-igniting important parts of the economy, including tourism,” said Mr Gill.

Among the top 20 airports, just five are not reporting capacity increases compared with last April. These are Amsterdam, Dublin, Paris CDG, London Heathrow, and London Stansted. The decline at Amsterdam and Heathrow airports is less than 1%.

Seven airports are reporting capacity growth of at least 8%, led by London Gatwick and Vienna.

The airline analysts also said Ryanair has overtaken Lufthansa to be the biggest carrier at European airports, while easyJet has overtaken Air France for third place.

Airberlin in fifth place has overtaken British Airways, Iberia and SAS.