17 May 2012

Tourism sector decries increase in Australian flight tax

10:28 pm on 17 May 2012

Tourism bosses in Australia and New Zealand are upset the Australian Government is raising its traveller departure tax by 17%.

An $A8 increase takes its passenger movement charge to $A55.

Tourism industry leaders on this side of the Tasman say the tax increase is an impost being imposted by the Australian Government on people trying to travel to New Zealand, even though both countries have been trying to work togeher not only to improver tourism but wider economic development.

Tourism Industry Association chairperson Norm Thompson says the higher levy could deter Australians from visiting New Zealand and will be felt particularly by families.

He says the Prime Minister, John Key, is also concerned and will be bringing the matter up with his Australian counterpart, Julia Gillard.

And Australia's tourism industry body, the Tourism and Transport Forum, estimates the higher tax could reduce New Zealander among visitor numbers by 10 percent.