While government refuses to reveal details of Prime Minister’s private jet use at taxpayer expense
Campaigners have announced that private jets ‘are even worse than we thought’ after new research presents their high carbon footprint and low rate of taxation in the UK as post-pandemic luxury travel grows.
One in ten flights from UK airports are now from private jets, research by the climate action campaign group Possible found. Pre-pandemic, 7.5% of flights were private, which peaked at 20% during the pandemic and now sits at 10%.
Emissions from private jets are 30 times higher than normal flights, yet activists have stressed that the taxation is not proportionate. Half of private jet passengers pay the same rate of tax as passengers on standard flights, whilst one in five private jets pay no tax at all.
Possible are calling for a ban on private jets by 2030, with a proper tax system in place until then. The group’s report ‘jetting away with it’ found that, the more polluting an individual’s flight is, the lower the effective rate of tax per tonne of emissions.
Shell initially said it did not expect to pay any windfall tax for 2022, as its North Sea investments meant was not considered to have made any UK profits.
But on 2 February it announced that it would pay $134m (£108m) for 2022, and expected to pay more than $500m (£400m) for 2023.
BP said it would pay $700m (£583m) in windfall tax for 2022.
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BP and Shell both received more money back from the UK government than they paid every year from 2015 to 2020 (except 2017, when Shell paid more than it received).
Shell also paid a negative amount of tax in 2021, taking its 2015 to 2021 total to -£685m of tax in the UK.
TORY chairman Nadhim Zahawi’s tax problems are a bigger headache for the Prime Minister than he has yet acknowledged.
Zahawi pleads that it was mere carelessness that saw him forced to pay HMRC nearly £5 million in unpaid tax (inclusive of a penalty) while he was, er, the Chancellor of the Exchequer.
Financial sloppiness isn’t a great look for a chancellor, but in Zahawi’s defence he’s admitted to it before. It was after all a “genuine mistake” that saw him claim thousands in expenses to heat the stables for a horse-riding school on his Warwickshire estate.
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Labour rails at Conservative “corruption and cronyism,” but the fundamental issue is more basic still. This is a government of the rich, for the rich, by the rich and it is making us poorer.
The super-rich should be forced to pay an extra tax each time they fly on “hugely damaging” private jets to help fund better and cleaner public transport, a charity has said.
The Campaign for Better Transport (CfBT) called on the government to introduce a “super tax” on private jet travel, saying it is “about time that these individuals started paying for the damage their flights cause and the proceeds used to help improve public transport for communities up and down the country”.
The charity said private jets are between five and 14 times more polluting than commercial flights and 50 times more polluting than taking a train. They argue that a “super rate of air passenger duty (APD)” should be applied to account for the damage caused to the planet. The CfBT also called on the government to strip private flights of their current VAT-free status.
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Elite minority of frequent flyers ’cause most of aviation’s climate damage’
An “elite minority” of frequent flyers cause most of the climate damage resulting from aviation’s emissions, according to an environmental charity.
The report, which collates data from the countries with the highest aviation emissions, shows a worldwide pattern of a small group taking a large proportion of flights, while many people do not fly at all.
In the US, 12% of people took 66% of all flights, while in France 2% of people took half of the flights, the report says. In China 5% of households took 40% of flights and in India just 1% of households took 45% of all the flights.
Dozens of climate and energy justice campaigners call for a stronger windfall profits tax to fund home insulation and renewable power generation from inside the U.K. Parliament in London on October 24, 2022. (Photo: Suzanne Plunkett/Greenpeace)
[The situation on fracking has changed since this article was published 3 days ago. The new UK government under Rishi Sunak has made clear that fracking is not permitted in UK.] Republished from Common Dreams under Creative Commons licence (CC BY-NC-ND 3.0).
“Delay has cost lives. Chaos costs lives. And it will cost more lives this winter and every winter,” campaigners say. “No one benefits except the oil and gas profiteers.”
Hours after lawmakers from the ruling Conservative Party voted to make Rishi Sunak the United Kingdom’s third prime minister this year, more than 30 climate and energy justice activists occupied the lobby of Parliament to demand that the government fund home insulation and renewable power generation through a more robust tax on oil and gas corporations’ windfall profits.
Almost seven million people in the U.K.—nearly a quarter of the country’s population—are facing fuel poverty as winter quickly approaches. Meanwhile, heavily subsidized fossil fuel giants are raking in record profits, which they use to block policies that would facilitate a green transition and rein in their destructive industry.
Greenpeace campaigners, armed with sky-high utility bills from across the country, read the testimonies of people struggling to make ends meet amid a historic cost-of-living crisis that Sunak’s right-wing predecessors—Boris Johnson and Liz Truss—and Tory colleagues have, according to progressive critics, exacerbated through adherence to neoliberal orthodoxy.
Stressing that “chaos costs lives,” activists made the case for simultaneously addressing soaring energy prices and the worsening climate emergency by taxing fossil fuel profits and using the revenue to invest in better residential insulation and expanded clean energy production.
Today 30+ Greenpeace activists occupied parliament, bringing energy bills and reading out testimonies from people across the country just as @RishiSunak is announced as the new Prime Minister. He must deliver a proper windfall tax to insulate homes. #ChaosCostsLivespic.twitter.com/ecVytnsqYc
“Thanks to spiraling gas prices and the oldest, coldest housing in Europe, millions of people are being pushed into fuel poverty,” Greenpeace U.K. noted in a blog post. “People across the country have waited for government after government to provide enough help to lower their energy bills—but mostly what we’ve had is political chaos.”
The group continued:
Rising energy bills and cold homes will cost lives. The U.K. already has the sixth highest rate of excess winter deaths in Europe. Higher bills also disproportionately impact disabled and older people, people of color, and those from impoverished communities. For instance, many medical and mobility devices require electricity. Meaning, on average, disabled people have much higher energy bills just for using equipment they need in their day-to-day lives. Political leaders have failed to put people first and provide sufficient support for the energy crisis.
It’s political choices that have caused the levels of inequality and fuel poverty we’re facing. If this government properly taxed record fossil fuel profits, it could help fund extra support for those in need, and help pay for a nationwide program to insulate homes. Instead, the last six weeks have seen u-turns on the Conservative manifesto pledge on fracking and new commitments to North Sea oil and gas, which will wreck our climate and won’t lower our bills.
Two months ago, the U.K. Treasury estimated that the nation’s energy firms are poised to enjoy up to £170 billion ($191.9 billion) in excess profits—defined as the gap between money made now and what would have been expected based on price forecasts prior to Russia’s invasion of Ukraine—over the next two years.
A 25% windfall tax on oil and gas producers approved in July is expected to raise £5 billion ($5.6 billion) in its first year. However, the existing surtax on excess fossil fuel profits contains loopholes allowing companies to drastically reduce their tax bill by investing more in oil and gas extraction, which the industry claims will boost supply. The recently enacted windfall tax, which lasts through 2025, also exempts eletricity generators, even though Treasury officials attribute roughly two-fifths of the £170 billion in excess profits to such actors.
With winter energy bills projected to triple compared with last year, calls are growing in the U.K. to increase the windfall tax rate on excess fossil fuel profits and extend it to electricity generators benefiting from rising oil and gas prices.
While Truss vehemently opposed windfall taxes—asserting that they “send the wrong message to investors”—Sunak introduced the current windfall tax in May when he was Johnson’s chancellor of the exchequer.
According to Greenpeace, Monday’s action was meant to show Sunak that “he can’t ignore the almost seven million households facing fuel poverty.”
The life-threatening crises of surging utility bills and unmitigated greenhouse gas pollution are both caused by fossil fuel dependence, the group noted. Consequently, these problems have lifesaving solutions that are straightforward and aligned.
“To lower our bills long-term and reduce our emissions,” Greenpeace urged Sunak to do the following:
Commit to investing £6 billion [$6.8 billion] immediately to kickstart a street-by-street insulation program to keep bills low for good;
Shift to renewable energy, like wind and solar, which are cheaper and quicker to build than oil and gas; and
Properly tax oil and gas companies’ excess profits so they pay their fair share, given how much money they’ve made off these crises.
“It’s time we have a government that brings down bills for good and plays its part in tackling the climate crisis,” the group added.
On social media, Greenpeace encouraged people to sign a petition imploring U.K. lawmakers to “keep people warm this winer.”
“Delay has cost lives. Chaos costs lives. And it will cost more lives this winter and every winter,” the group emphasized. “No one benefits except the oil and gas profiteers. If the government were on the people’s side, the U.K. really could get on track to quitting oil, gas, and sky-high energy bills, forever.”
