Archibald: APD decision risks undermining Derry-Dublin air service

Economy Minister Dr Caoimhe Archibald has expressed disappointment after the British Government confirmed it will not exempt the planned City of Derry Airport to Dublin Airport air service from Air Passenger Duty (APD).

The decision comes despite the British Government acknowledging the route's strategic importance and the economic and connectivity benefits it could bring to the North West.

Minister Archibald said: I am disappointed that the British Government has doubled down on its refusal to exempt the Derry-Dublin air service from Air Passenger Duty.

Passenger numbers at the City of Derry Airport have grown strongly over the last few years. The Derry-Dublin route is another step forward in the airport's development and the New Decade, New Approach agreement committed the Irish and British Governments to work together on the route.

"Yet the British Government is an imposing a tax which potentially undermines the viability of the route."

The Minister continued: This is a strategically important connection that can strengthen economic opportunities in the North West, improve international access through Dublin Airport, enhance tourism and support regional balance.

This decision also reinforces the need for a fresh look at APD in the north. As an island air access is vital, the tax does not apply in the south. People in the north should not be penalised by an unnecessary barrier to attracting investment and creating opportunities for businesses, and which adds costs for workers and families.

I will continue to press the British Government to reconsider its position and demonstrate through actions, not just words, its commitment to regional growth and prosperity.