Key facts
- The British Airways chief executive said green charges will hit the aviation industry and raise fares, according to the report.
- Airlines UK chief executive Tim Alderslade wrote to Treasury minister Dan Tomlinson about extending the Carbon Border Adjustment Mechanism.
- Airlines UK members include British Airways and Virgin Atlantic, the report said.
- The UK is introducing its own Carbon Border Adjustment Mechanism from January 1, 2027, the report said.
The chief executive of British Airways warned that UK green charges will hit the aviation industry and raise fares, according to a report that did not date the remarks. The report did not name the executive or give the venue or form of the warning.
Separately, Airlines UK chief executive Tim Alderslade sent a letter to Treasury minister Dan Tomlinson setting out concerns about proposals to extend the Carbon Border Adjustment Mechanism, the report said. The mechanism is a carbon pricing policy that charges a fee on carbon-intensive products, including aviation fuel, imported from countries with weaker environmental rules, according to the report.
The report said the UK is introducing its own Carbon Border Adjustment Mechanism from January 1, 2027, which it said will increase costs for airlines. It said Airlines UK's members include British Airways and Virgin Atlantic.
The report also said jet fuel prices have doubled since the start of the Iran war and that Lufthansa and KLM have canceled flights and cut schedules. It said Ryanair chief executive Michael O'Leary said on November 2 that the airline plans to freeze pay, curb hiring and raise fares as it expects an extra £2 billion fuel bill in its next financial year.