Led by the Minister of Public Accounts, Amélie de Montchalin, the reform aims for a fairer distribution of the tax effort. However, companies fear a rise in prices, a drop in demand and an impact on France’s competitiveness.
An ambitious tax for ecological and fiscal objectives
The new government is tackling the ambitious reform of the air ticket tax (TSBA), planned in the Barnier government’s previous budget. In an interview with Le Parisien, Amélie de Montchalin, the Minister of Public Accounts, said she was in favor of it and described it as a “fiscal and ecological justice measure”. Indeed, 20% of the wealthiest travelers are responsible for more than half of air transport spending, justifying targeted taxation. This reform would double current revenues, bringing them to one billion euros per year.
The new scales provide for significant increases: from 2.63 to 9.50 euros for European flights in economy class, and up to 120 euros for long hauls in Business class. If these taxes appear marginal on high-end tickets, they could dissuade certain economy class travelers, directly impacting demand.
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Airlines fear economic repercussions
The announcement of this increase revives the concerns of the airline sector. Airlines, notably Air France and Ryanair, have already anticipated potential losses and are considering drastic adjustments, such as Ryanair’s announcement of a reduction in activity in France. These companies, already forced to invest massively in the decarbonization of their fleet, denounce a tax increase which harms their competitiveness.
Professionals also warn of economic risks: rising prices for consumers, loss of attractiveness of French airports and diversion of flows to other European hubs. In their eyes, this surcharge could paradoxically slow down the investments necessary for more sustainable aviation.
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