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UK- 1% of residents take almost 20% of flights

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  • 03-03-2020 8:32pm
    #1
    Registered Users Posts: 19,610 ✭✭✭✭


    Article is a few months old but some interesting nonetheless. Data is from a UK Dept for Transport survey of 15,000 British residents

    In 2018-
    1% of people took almost 20% of flights
    Top 10% of people took more than half of all flights
    Top 20% of people took more than 70% of all flights
    48% of the population did not take a single flight abroad in all of 2018 so the above figuers are based on the 52% of the population who actually flew at least once during the year.

    Interesting data showing a small minority fly way more often than the rest of the population at large, almost half of whom didnt fly at all.

    Article also states that this could inform policy on a proposed frequent flyer levy. They are proposing one flight a year being levy free but then a rising scale thereafter so those 20% of people who are taking more than 70% of flights would be hit the most.

    https://www.theguardian.com/environment/2019/sep/25/1-of-english-residents-take-one-fifth-of-overseas-flights-survey-shows
    Graph and more detail here


Comments

  • Closed Accounts Posts: 40,061 ✭✭✭✭Harry Palmr


    The wealthy and business class ate the world.


  • Moderators, Category Moderators, Arts Moderators, Sports Moderators Posts: 48,291 CMod ✭✭✭✭magicbastarder


    were they allocating business flights to the business or to the person?


  • Registered Users Posts: 2,625 ✭✭✭AngryHippie


    Considering Tourism may be the last "export" that they have any control over, I think a Levy might be taking a lumphammer to the bleeding scrotal remains from the shotgun blast they've already given themselves in the nads.


  • Registered Users Posts: 26,056 ✭✭✭✭Peregrinus


    were they allocating business flights to the business or to the person?
    To the person - business don't fly. And the environmental consequences of a person taking a flight don't depend on the person's reason for taking the flight.


  • Registered Users Posts: 26,056 ✭✭✭✭Peregrinus


    Considering Tourism may be the last "export" that they have any control over, I think a Levy might be taking a lumphammer to the bleeding scrotal remains from the shotgun blast they've already given themselves in the nads.
    The suggested levy is on UK residents. Tourists flying to the UK wouldn't be affected (unless their countries imposed a similar levy, of course).


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  • Registered Users Posts: 32,976 ✭✭✭✭NIMAN


    This stat shows why some people deserve to get hit with extra taxes, but not the person who takes one flight every yer or two.

    But for some reason society doesn't address the obvious, they just hit everyone.

    Like the drinking laws, maybe 1% cause all the major issues, but the rest of us are penalised or told when we can and can't drink cos of them.


  • Registered Users Posts: 26,056 ✭✭✭✭Peregrinus


    NIMAN wrote: »
    This stat shows why some people deserve to get hit with extra taxes, but not the person who takes one flight every yer or two.

    But for some reason society doesn't address the obvious, they just hit everyone.
    The suggestion is a levy on people who take two or more flights a year. That means the majority of people would pay nothing at all. This is pretty much the opposite of "hitting everyone".
    NIMAN wrote: »
    Like the drinking laws, maybe 1% cause all the major issues, but the rest of us are penalised or told when we can and can't drink cos of them.
    Wait, what?


  • Moderators, Category Moderators, Arts Moderators, Sports Moderators Posts: 48,291 CMod ✭✭✭✭magicbastarder


    Peregrinus wrote: »
    To the person - business don't fly. And the environmental consequences of a person taking a flight don't depend on the person's reason for taking the flight.
    It seems to be standard practice that when calculating carbon footprint, flights for personal reasons are allocated to the person, and flights for business count towards the carbon footprint of the business.


  • Registered Users Posts: 26,056 ✭✭✭✭Peregrinus


    It seems to be standard practice that when calculating carbon footprint, flights for personal reasons are allocated to the person, and flights for business count towards the carbon footprint of the business.
    For the purposes of imposing a levy, you don't need to distinguish. Assuming the levy is collected through the ticket price, and assuming business flights are paid for by the business, the levy on business flights will be paid by the business, and the levy on personal flights will be paid by the individual.


  • Registered Users Posts: 5,650 ✭✭✭The J Stands for Jay


    It seems to be standard practice that when calculating carbon footprint, flights for personal reasons are allocated to the person, and flights for business count towards the carbon footprint of the business.

    Better that way, only one free flight for the business each year.


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  • Moderators, Category Moderators, Arts Moderators, Sports Moderators Posts: 48,291 CMod ✭✭✭✭magicbastarder


    well, if it's allocated against the person, no free flights for business, as people will refuse to take that hit on their holidays.


  • Registered Users Posts: 26,056 ✭✭✭✭Peregrinus


    People who don't fly at all for leisure or recreation may be willing to allow their employer/business to take advantage of the one levy-free flight. And, remember, 48% of people didn't fly at all.

    But, yeah, you have to assume that the levy-free flights will nearly all be used for non-business flights, and that nearly all business flights will attract the levy. But I don't see that as a problem.


  • Moderators, Category Moderators, Arts Moderators, Sports Moderators Posts: 48,291 CMod ✭✭✭✭magicbastarder


    Peregrinus wrote: »
    People who don't fly at all for leisure or recreation may be willing to allow their employer/business to take advantage of the one levy-free flight.
    i suspect the sort of people who need to fly for work are also the sort of people who fly for leisure too; if the levy is strictly per person, the employer won't be able to grab the allocation from people who don't fly for any reason.


  • Registered Users Posts: 14,286 ✭✭✭✭ednwireland


    1 flight in 2019 for my main holiday to greece, 3 ferries to the uk, love travelling but hate airports


  • Registered Users Posts: 26,056 ✭✭✭✭Peregrinus


    SFAIK the "one levy-free flight" right is not transferable. If an individual doesn't fly at all during the year, they can't assign the benefit of the right to someone else.

    The only circumstance in which the right is likely to be applied to a business flight is where a person making business flights does not make any non-business flights at all during the year, in which case they could make one business flight without paying the levy in that year. And, I agree, that combination of circumstances is not likely to arise very frequently.


  • Moderators, Category Moderators, Arts Moderators, Sports Moderators Posts: 48,291 CMod ✭✭✭✭magicbastarder


    btw, is the suggestion for a levy on one flight, or one return flight?


  • Registered Users Posts: 26,056 ✭✭✭✭Peregrinus


    btw, is the suggestion for a levy on one flight, or one return flight?
    I imagine one return flight.

    But little turns on it. Since almost every outward flight generates a return flight - esp for people who are taking more than one flight per year - a levy of X per flight or 2X per return flight comes to the same thing.


  • Registered Users Posts: 2,625 ✭✭✭AngryHippie


    The net effect will still be an increase in cost to consumers.
    The 10% will all of a sudden be squeezing in Seminars, conferences and a business meeting into their trips and making their flights business related and just passing the levy on to end consumers. The 1% already do it.


  • Registered Users Posts: 19,610 ✭✭✭✭Muahahaha


    I guess it all depends how it is structured. It could be progressive, for example you get your first flight free, second flight has a £50 levy and all the way up to the 10th flight with a £500 levy. With that 10th flight costing a fair wedge some businesses might think twice about unnecessary travel and look more at tele-conferencing where they dont psychically 'need' an employee actually to be there but they just do it because it looks good to their client. If the client realises they are the ones ultimately paying that £500 they might also soon think 'do we really need this meeting face to face or can it be done online just as well?'

    The other people it would hit are the very wealthy jet set who think nothing of flying from London down to their holiday home in the south of France for a weekend five or six times a year, then the two weeks in the Caribbean, another week spent skiing in Switzerland, another for Xmas shopping in New York and so on. The type of people who might fly to Dubai on a whim because they got free VIP tickets to a U2 concert. A £500 surcharge wont stop all of them taking that 10th unnecessary flight but it might make a few think about curtailing their flying. If flights 5-10 are costing them £2,000 every year just in levies alone before even paying for the tickets they might at least think about changing their behaviour.


  • Registered Users Posts: 2,625 ✭✭✭AngryHippie


    Muahahaha wrote: »

    The other people it would hit are the very wealthy jet set

    You underestimate how good their people are at turning that into a tax offset or deduction.


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  • Registered Users Posts: 26,056 ✭✭✭✭Peregrinus


    You underestimate how good their people are at turning that into a tax offset or deduction.
    If the very wealthy are not already claiming their jet-setting costs as a tax offset or deduction, it's unlikely that the introduction of a new levy would encourage or enable them to do so. Note that there are plenty of examples of levies on flights already - e.g. the UK's Air Passenger Duty, Australia's Passenger Movement Charge - so there is plenty of real-world data on how people respond to the introduction of such levies.


  • Registered Users Posts: 2,625 ✭✭✭AngryHippie


    Peregrinus wrote: »
    If the very wealthy are not already claiming their jet-setting costs as a tax offset or deduction, it's unlikely that the introduction of a new levy would encourage or enable them to do so. Note that there are plenty of examples of levies on flights already - e.g. the UK's Air Passenger Duty, Australia's Passenger Movement Charge - so there is plenty of real-world data on how people respond to the introduction of such levies.

    I think you might have missed my point above.

    It's going to be an ineffective tax that only hurts the economy. They will apply a new tax, the 10% who would be charged most will end up reducing their income tax bill by offsetting the cost against their tax bill, the net gain would be minimized by the people doing most of the damage (travelling short haul for work because their time in the air is unproductive work lost time and they are deducting it in any case...)
    The passenger Movement Charge isn't even remotely similar as it applies to every flight departing Oz for overseas, it replaced departure tax, and has no pretence about the environment, it was and remains to pay for infrastructre.
    https://en.wikipedia.org/wiki/Passenger_Movement_Charge
    APD was introduced to do exactly what is being suggested here is a reform of the same. It has made negligible and easily disputeable inroads into reducing emissions or traffic.https://en.wikipedia.org/wiki/Air_Passenger_Duty


  • Registered Users Posts: 26,056 ✭✭✭✭Peregrinus


    I'm not suggesting the PMC was introduced for environmental reasons; just that it and similar schemes give us data about how travellers respond to the introduction of ticket levies, which enables us to make better-informed judgments about whether ticket levies can or cannot be used effectively to acheive environmentally beneficial outcomes. (The data, when analysed, may well suggest that they cannot, but we won't know that until we have analysed it.)

    The object of an environmental levy, presumably, would be to actually reduce the number of flights made, which means it has to be painful to pay, so that people are incentivised to choose alternatives to flying.

    Even if people can claim the amount of the levy as a tax deduction, this doesn't mean that it won't be painful. The corporation tax rate in the UK is 19%, so even claiming the deduction a UK business will still bear 81% of the cost of the levy, which adds to their cost of doing business. Oversimplifying a bit, they must deal with this either by accepting lower profits or by passing the extra cost on to their customers in the form of price increases. But raising their prices reduces sales, and therefore profits, and puts them at competitive disadvantage with a rival business that is more flexible and responds by reorganising itself so as to reduce business travel requirements.

    In other words, the levy provides a financial incentive to arrange matters so that the need for business travel is reduced. And if that is the outcome, the levy succeeds in its object. The big question is, will that be the outcome?

    It's true that the levy has an economic cost, both for business that do not or cannot avoid it and for those who have to change their operations (in a way they wouldn't otherwise choose to do) to avoid it. But of course not taking effective steps to tackle climate damage also has an economic cost.


  • Registered Users Posts: 19,610 ✭✭✭✭Muahahaha


    Well heres a lad who would be hit heavily by flying levies
    A MALE MODEL facing international money laundering charges has been arrested and taken to the High Court on foot of an extradition warrant.

    Mark Adams (40), with an address at Castleheath, Malahide, Co Dublin, is alleged to have booked 500 flights into and out of the UK in the space of four years, which is alleged to be consistent with the role played by a cash courier in a money laundering scheme.

    Mr Adams was stopped at Belfast Airport on 9 May 2018 travelling with only hand luggage, in which a sum of €180,000 was found in two brown envelopes.
    https://www.thejournal.ie/money-laundering-investigation-male-model-5036604-Mar2020/

    He took about 125 flights a year or one every three days. Money laundering operations are clearly very bad for the environment ;)


  • Registered Users Posts: 2,650 ✭✭✭cooperguy


    Peregrinus wrote: »
    To the person - business don't fly. And the environmental consequences of a person taking a flight don't depend on the person's reason for taking the flight.

    Lots of people who are a long way from the 1% need to fly a few times a year for pretty non-glamourous work reasons. Especially in Ireland where a huge amount of industry relies on exports, foreign multinationals etc. We are a small, island, economy and that needs to be reflected in a changes to tax law. We cant just get a train to Europe.


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