AEF supports increasing private jet taxation in Scotland
24th March, 2026
In 2017, Scotland passed the Air Departure Tax (ADT) Act, effectively paving the way for Air Passenger Duty (APD) on flights departing from Scottish airports to be replaced by a devolved tax implemented by the Scottish Government. Following a commitment in the 2026-2027 Scottish budget, a recent consultation set out proposals for how ADT will be implemented when it comes into effect on 1 April 2027.
The consultation requested views on the impacts of implementing an increased rate of tax for private jet passengers (above the current APD rate), in line with the polluter pays principle. AEF provided evidence on the structure and function of the private jet sector alongside recommendations on how to reduce emissions and ensure that all jets are being taxed properly. This included going beyond the recent extension of the higher rate of APD by the UK central government (to aircraft with a maximum take-off weight exceeding 5.7 tonnes) as this still leaves a significant number of passengers on smaller jets untaxed.
The proposals also covered a revised tax exemption for the Highlands and Islands region. The existing exemption is in place due to low population density and reliance in the region on air transport. AEF broadly agrees with these proposals, particularly the removal of exemptions for passengers travelling to international destinations from the Highlands and Islands. We added that these routes could be ideal candidates for the early adoption of zero emission aircraft and suggested how ADT could be used to incentivise this.
You can read our full response here: