Longhaul flight tax to boost Spanish tourism market

Alistair Darling's decision to increase flight passenger duty rates is likely to boost the popularity of Spain and other European countries as holiday destinations.

Under the new measures unveiled by the chancellor last week, flying to long-haul destinations is set to get much more expensive while tax rates for shorter flights will see only minor increases.

The Telegraph reports that travelling to south-east Asia by plane will incur tax of £85 in 2 years' time, up from the current rate of £40.

As a result, destinations closer to home are expected to grow in popularity among British holidaymakers and property investors.

Victor Sague, sales and marketing director for the Spanish arm of construction firm Taylor Woodrow, said that Spain is likely to be one of the main beneficiaries of the tax change.

"Despite the continued competition from newer emerging markets such as the Far East, Spain has and continues to be one of the most popular choices for holidaymakers and those looking to buy a home abroad," he commented.

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