Airlines demand UK relax noise rules and cut flight tax as fuel shortage looms

Airlines are lobbying the UK government to relax environmental and noise rules, modify passenger rights and cut taxes on flying, as they prepare for higher costs and a possible shortage of jet fuel because of the war in the Middle East.

A list of policy requests submitted to ministers and the aviation regulator includes suspending the emissions trading scheme and relaxing limits on night flights, it has emerged.

Airlines are also seeking to alter compensation rights for passengers by having fuel-related disruption counted as an extraordinary circumstances – meaning stranded passengers would not be entitled to payouts beyond refunds in the event of cancellations or delay.

The full list of demands has emerged in a briefing document, first reported by ITV News, prepared by the trade body Airlines UK on behalf of carriers including British Airways, easyJet, Ryanair, Virgin, TUI and Jet2.

The briefing for government said that if the current disruption to jet fuel supplies continued or worsened, airlines would be forced to cut flights and push up fares.

It also repeated calls the sector has made publicly for the scrapping of air passenger duty and the alleviation of “use it or lose it” slot rules, last eased after the Covid pandemic, which would allow airlines to cancel flights without risking valuable rights to fly from major airports in future.

Although the aviation industry and the UK government insist there is no shortage of fuel and consumers can book with confidence, some airlines and observers believe supplies cannot be maintained for much longer while either Iran or the US blockade the strait of Hormuz.

Last week the head of the International Energy Agency said flight cancellations would come soon if oil supplies from the Middle East were not restored, adding that Europe had only six weeks of jet fuel left.

Among the industry requests in the document are dropping European standards on jet fuel to allow the import of Jet A from the US, currently not permitted owing to its higher freezing point, and requiring some UK refineries to prioritise producing jet fuel instead of petrol or diesel to safeguard supplies for flights.

The most concerning for the public living near airports or under flight paths could be a demand to “temporarily relax night flying restrictions” if schedules are disrupted.