SPAA SEEKS SCOTTISH GOVERNMENT ASSURANCES ON ‘DEVOLVED’ APD

Following Alex Salmond’s recent media statement, in which he indicated he would be ‘minded to reduce’
APD should responsibility for the tax be devolved to the Scottish Government, SPAA President Kevin Thom has sought a written assurance from the First Minister that ‘a major reduction would be implemented’ in such circumstances, and details of how the resulting shortfall in revenue would be made up.

In his response on behalf of the First Minister, Keith Brown MSP – the Minister for Transport and Veterans
– whilst stopping short of providing his direct assurance regarding a reduction in the tax, has spoken of the Scottish Government’s shared frustration at the ‘significant and recurring increases in APD and the competitive disadvantage this represents’. In his letter, he goes on to confirm that continued pressure is
being applied on the UK Government to devolve responsibility for APD as quickly as possible, and that
if and when it is, he will consult with stakeholders before introducing any new legislation at Holyrood.

Mr Brown concludes that the Scottish Government ‘would look to introduce a more competitive regime’,
supporting route development, improving direct international connectivity and facilitating sustainable
economic growth.

Commenting on the response, the SPAA President said, "The Scottish Government’s goals are admirable
ones, shared by the SPAA, but not at the cost of continuing with APD at current levels. This is a serious
issue on which we will continue to press both Holyrood and Westminster for pragmatic and supportive
action.”

MTB 24/05/13