The tax for flying out of British airports is to be raised by at least 10 per cent and will double in some cases by 2010, the government said, giving its green credentials a boost and handing the Treasury much-needed income.
From November 1 next year, air passenger duty (APD) will be based on the distance from London to the capital city of the country where the flight lands, said Chancellor Alistair Darling.
"I have decided to reform APD into a four-band system ensuring that those who travel further and have a larger environmental impact meet that cost," Mr Darling told Parliament. "This will be effective in reducing emissions from aviation."
APD will be based on four bands set at intervals of 2,000 miles from London. From December 2010 when a second rise in APD kicks in, a non-standard class passenger flying more than 6,000 miles will pay £170, up from the current £80.
The current system has two bands, one made up of the European Economic Area, the European Common Aviation Area, countries applying to join the EU, and Switzerland, and a second band covering all other destinations.