We have produced an in-depth report for the DfT's consultation on aviation, which revealed that last year aviation was responsible for a net loss of over 85 000 jobs in the region, so obviously they were not happy with such a negative story going in the press at this sensitive time.
John Morris claimed that "aviation is a net contributor to the exchequer, unlike other public transport." so let's examine that a little:
Firstly, the UK needs some aviation so shutting it down does not make sense, but the benefits aviation can yield have already been realised and further expansion yields little extra benefit, but a lot more costs including more noise, more emissions and more outbound tourism. The business benefits are flattening off (as probably evidenced by the business share of passengers dropping as passenger numbers increased overall) but the outbound tourism costs are linear with increase of passengers.
Secondly, let's look at what a "net contributor" is and on what basis this can be claimed. He implies that they receive no revenue from the government but instead pay some tax including APD. However, they also forego payment of tax and duty on fuel, VAT on tickets, and can claim back VAT even though they don't pay it (zero rated rather than VAT exempt). They also receive subsidies in other forms (e.g. they rarely pay for the full costs of extra surface access infrastructure that enables passengers to get to the airport). So they can only be a "net contributor" if you ignore all the ways in which they are not taxed and the ways in which the government pays costs that rightly should be paid for by the aviation industry.
Thirdly, aviation is not a form of public transport by any reasonable definition, so you cannot compare it as like-for-like with trains, trams or buses.
I'm afraid they really don't understand what planet we're on:
Joe Peacock
