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Economic Development

Next º£½ÇÊÓÆµ Government must devolve aviation tax to Wales says Federation of Small Businesses

In its manifesto FSB is also calling for a small business commissioner

Ben Francis is Wales Policy chair at the Federation of Small Businesses (FSB)(Image: Western Mail and Echo Ltd.)

Air Passenger Duty should be devolved to Wales, as it is in Northern Ireland and Scotland, says the Federation of Small Businesses in its manifesto.

With the º£½ÇÊÓÆµ going to the polls on December 12th, in its Back to Business 2019 manifesto, the FSB is also calling on the next º£½ÇÊÓÆµ Government to:

  • Ensure that funding is protected for Wales and Welsh businesses post-Brexit.
  • Commit to the electrification of the South Wales mainline to Swansea and investing in Growth Track 360 (which is seeking £1bn of rail improvements) in North Wales.

Ben Francis, FSB Wales policy chair, said: “For over three years, uncertainty over Brexit has hovered over the economic landscape, distracting policy makers from taking steps to help Wales’ 257,600 small businesses to grow, and in turn boost our economy.

“It’s time to get back to business.

“We are urging all candidates standing at this election to listen to, and make every effort to understand, the challenges faced by small firms in the communities they hope to represent.”

“For some time, FSB Wales has called for º£½ÇÊÓÆµ Government to devolve APD, which has the potential to open up new trade routes for Wales’ businesses and enable them to exploit new opportunities around the world.

“Furthermore, it is vital that the next º£½ÇÊÓÆµ Government end the uncertainty surrounding funding in Wales and commit to Wales receiving the same level of funding post-Brexit, the spending power for which should lie in Wales.”

The º£½ÇÊÓÆµ Government has steadfastly rejected calls for APD to be devolved to Wales, claiming it would put Bristol Airport at a commercial disadvantage. The Welsh Government has already stated that on longhaul flights it would abolish the tax as a means of trying to secure more scheduled longhaul routes from Cardiff Airport, which it wholly owns.