In effect, passengers flying from – for instance – the Middle East to North America via Heathrow would have had to have acquired an ETA for that brief period where they are in transit, typically a couple of hours spent within the confines of the airport.

Earlier this month, the UK extended its ETA regime to all non-Europeans travelling to Europe without a visa. Like the US Esta or the EU Etias, which the bloc hopes to finally roll out this year pending the launch of the EU Entry-Exit System, the ETA is a visa waiver.

The government’s decision to ease the ETA requirement for transit passengers reverses a decision made by, and inherited from, the previous Conservative-led government, one lamented by both the aviation and UK inbound sectors, who foresaw millions of passengers choosing to transit via Europe instead.

Luke Petherbridge, Abta’s director of public affairs, welcomed the decision and said it should "help ensure the continuing viability of important air links". However, he said the 60% increase in the cost of an ETA would place another heightened tax burden on the travel and tourism sector, which risked "stifling growth".

It follows a commitment by the government to increase Air Passenger Duty charged on short-haul air travel from £13 to £15. "We are seeing a layering of additional charges in a sector which has been forecast to grow strongly," said Petherbridge. "Travel and tourism should be taxed fairly; excessive increases run the risk of suppressing demand and holding back a thriving industry."

UKinbound chief executive Joss Croft echoed Petherbridge’s comments around the possibility of the ETA hike "stifling growth".

"[This decision] is a staggering blow to the UK’s tourism industry and businesses across the country," he warned. 

"There is a false assumption that international visitors will continue to choose the UK – even if we hike up prices." 

While Richard Toomer, Tourism Alliance executive director, noted how the UK ranked 113th out of 119 countries for price competitiveness before the ETA increase was announced. 

"We need the government to help address that challenge, not compound it," Toomer said, adding: "The government has just made matters worse.

"This is especially a kick in the teeth for our European visitors who, just as they are required for the first time ever to apply for advance permission to travel to the UK, discover the cost for doing so has been put up by 60%." 

Heathrow is the UK’s main transit hub, although limited numbers transit through the likes of Manchester and Gatwick. Heathrow chief executive Thomas Woldbye said the decision to remove airside transit passengers from the ETA scheme "was the right decision".

"This is a critical move to ensure Heathrow and the aviation industry as a whole can continue to deliver for everyone who depends on our world-leading connectivity," he said. "It shows the government is listening to industry concerns and is willing to make the necessary changes to strengthen the UK’s competitiveness and drive economic growth.”