Heathrow Airport is criticizing three government policies that are damaging the UK

Britain’s busiest airport has hit out at the Government for “reducing the UK’s global connectivity” by increasing red tape for transit passengers and scrapping duty-free shopping.

In releasing air traffic figures for April 2024, Heathrow Airport Authority expressed regret over three specific government policies:

• “Introduction of unnecessary visas for transit passengers.

• “No duty-free shopping.

• “Recently proposed increase in business rates.”

The airport authority says ministers should “engage across government in shaping policy that will support the global competitiveness of British aviation”.

The UK government has gone further than any other country by requiring all non-UK passengers connecting at Heathrow – its main hub – to obtain an Electronic Travel Authorisation (ETA) in advance.

Not only does this cost an extra £10 on top of the airfare, but it also causes delays of up to three days and extra red tape.

Heathrow’s competitors – Amsterdam, Frankfurt and Paris CDG – have no such obstacles, apart from a few specific nationalities. They are expected to take over a significant portion of Heathrow’s business as a result.

The ETA was first introduced in November 2023 and currently applies to citizens of Qatar, Bahrain, Kuwait, Oman, the United Arab Emirates, Saudi Arabia and Jordan.

The government says the rollout “will continue throughout 2024.”

A Government spokesman said: ‘Requiring transit passengers to obtain an electronic travel authorization makes the border more secure and stops people who may be on connecting flights from obtaining permission to travel to the UK if they do not have one.

“We will monitor this as the program is implemented.”

Tax-free shopping and VAT refunds on purchases for visitors to the UK ended on 1 January 2021, the day the UK left the EU entirely, and were scrapped by then-Chancellor Rishi Sunak.

Kwasi Kwarteng, chancellor under Liz Truss’s brief premiership, promised to reinstate them. But that was reversed by his successor, Jeremy Hunt, when Rishi Sunak became prime minister.

A government spokesman said: “VAT-free shopping is still available to all visitors from outside the UK who purchase goods in store and have them shipped directly to their overseas address.

“The UK aviation industry is one of the best in the world and we remain committed to supporting airports to improve our global connectivity and grow our economy.”

Heathrow Airport returned to profitability last year after suffering heavy losses due to the COVID-19 pandemic.