The Budget report confirmed APD rates will increase in 2024-25 to the nearest pound, with short haul international rates remaining frozen.

The rate for domestic flights, meanwhile, will increase by 50p to £7, while long-haul and ultra-long haul economy rates will increase by £1.

Abta chief executive Mark Tanzer said it was "disappointing" to see the government press ahead with inflationary increases in APD as announced in the Autumn statement.

"Not only is this bad news for travellers, as they have to bear the cost of this rise through their air ticket, but also UK competitiveness," he warned.

"The UK already has amongst the highest APD in the world and increasing this further contradicts with the message that we want to grow the economy."

In Wednesday’s (15 March) Budget, chancellor Jeremy Hunt confirmed fresh help with household energy costs, childcare, and small business investments, but did not give any business rate relief or assistance for businesses struggling with inflation pressures.

The government also failed to support efforts to decarbonise air travel during the budget, sparking reaction from aviation and tourism bodies.