IoM rules out slashing air passenger duty tax

The Isle of Man government's ruled out halving air passenger duty tax on domestic flights.

In last month's budget, the UK announced it would slash the travel tax by 50%,- reducing it from £13 per person to £6.50.

However, the Manx Treasury Minister, David Ashford said the island won't follow suit, explaining the move would cost the Manx government £2 million and was unlikely to bring in more tourists. 

He added: "People must not make the assumption that reducing the tax will affect ticket prices.

"If I was a betting man I would say that would be absorbed into the airline's operating costs, rather than passed on to the consumer".