Aviation: Passenger Duty — Question

Part of the debate – in the House of Lords at 2:45 pm on 23rd January 2012.

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Photo of Lord Sassoon Lord Sassoon The Commercial Secretary to the Treasury 2:45 pm, 23rd January 2012

My Lords, although I do not underestimate for one moment the effect on the Caribbean, there will be very many businesses located there, here and in other places for which air passenger duty is a burden. The present system of four bands was introduced by the previous Government. We had a one-year freeze in order to recognise the difficult situation in which people were placed by this and we looked at it. However, the fact is that the APD raised approximately £2.5 billion in 2011-12 and is an important revenue-raising duty.