7. Debate on Air Passenger Duty: The case for devolution

Part of the debate – in the Senedd at 4:47 pm on 2 July 2019.

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Photo of Mark Reckless Mark Reckless Conservative 4:47, 2 July 2019

I'm glad you've clarified you're not talking about that, because it wouldn't have been popular with your constituents if you had been. But the fact is—[Interruption.] That's enough, Nick, thank you. [Interruption.] Nick, can we move on? Thank you. 

This tax is a small tax. It's only £10 million. It was, as stated, recommended by the Silk commission. Notwithstanding our scepticism to continued devolution of more and more taxes and that only ever going in one direction, towards the objective supported by Plaid Cymru to my left, with that £13 billion fiscal gap we were told about earlier, I just don't think it's a good idea to have ever more fiscal autonomy and then independence. However, this area was in the Silk commission. We don't want to fight something that there was such a consensus on so long ago. I think it would have benefits to Cardiff Airport if this tax were to be reduced. I still see that as the likely path of direction.

I think it's very difficult to do within the carbon budget context, because if we reduce APD here and that leads to more people flying from here who were otherwise going to Bristol, if that's scored against us but we don't then consider the reduction in Bristol, then we might not make what would be the right decision on a carbon dioxide basis for the UK as a whole. But in the round, I think the case has been made for this tax to be devolved. The Welsh Affairs Committee supports it cross-party and I think we should support it cross-party in this Assembly as well.