The International Air Transport Association (IATA) has strongly opposed the UK Home Office’s proposal to raise the cost of UK Electronic Travel Authorizations (ETAs) by 60%, increasing the fee from GBP 10 to GBP 16. Willie Walsh, Director General of IATA, criticized the move, calling it “bewildering” and a potential setback for the UK’s tourism competitiveness.
“Proposing to increase ETA costs just a week after the system was introduced is perplexing. If implemented, it would be a self-inflicted blow to the UK’s tourism sector. In November, the government outlined plans to increase tourist arrivals by 30% to reach 50 million annually by 2030, aiming to harness tourism’s economic benefits. Yet, this 60% fee hike is a very bad start,” Walsh stated.
He also pointed out the financial burden this increase would impose on travelers, especially when combined with the Air Passenger Duty (APD), which is already the world’s highest travel tax and is set to rise again in April. Walsh highlighted that the EU’s ETIAS, a comparable system, offers a better value, costing about a third of the UK’s proposed fee and lasting a year longer.
Walsh urged the UK government to focus on making the country a cost-competitive travel destination, emphasizing the potential economic benefits. “The UK has everything to gain by encouraging more travelers, who contribute substantially to tax revenues and support jobs. Discouraging visitors with high costs before they even arrive makes no sense,” he added.
The aviation and tourism sectors currently support 1.6 million jobs in the UK and contribute USD 160.7 billion to the nation’s GDP. IATA’s detailed study on the value of air transport to the UK highlights the critical role these industries play in the country’s economy.
The proposed fee increase has raised concerns about its potential impact on the UK’s ambitious tourism growth goals and its reputation as an attractive destination for international visitors.
