Travelore Tips: Expect To Pay More For Airline Tickets To France Starting Next Month

After months of delays, the government of France is poised to increase ticket taxes on airline flights to, from, or within the country as early as next month.

France has imposed a “solidarity tax” (Taxe de Solidarité sur les Billets d’Avion – TSBA) on airline tickets since 2006, but the TBSA is set to significantly increase on March 1, 2025. For economy class tickets on short flights within France or Europe, the tax will increase from €2.63 to €7.40. For business class, the tax is €30.90. Longer economy flights will see new tax amounts ranging from €15 – €40, while business and first class will pay €120 per ticket.

Private jets will pay the most, with taxes of €2,100 for long-haul flights.

Flights to the island of Corsica, and French overseas territories, including Mayotte, Guadeloupe, French Guiana, and French Polynesia will be exempt from the tax increases.

The taxes were originally introduced to fund international aid programs and were extended in 2020 for environmental reasons in the hopes that higher taxes would drive down demand for air travel and its subsequent carbon emissions. Now, it’s a combination of environmental concerns and a large budget shortfall that are driving the tax increase.

The increase had originally been proposed last fall, but was shelved following the collapse of the Barnier government after a vote of no confidence in early December in the National Assembly. A new government was appointed by the end of December and has since begun returning to much of the legislation that was tabled by the government change.

Airlines, of course, aren’t happy. Air France has estimated the increase will cost them €100M, and compromise the competitive position of France as an aviation hub, allowing Air France to lose market share to other European competitors. The Irish low-cost carrier Ryanair threatened last fall to end service at ten French Airports if the tax increase is ultimately passed. Ryanair serves 22 airports in France.

Air France had already begun collecting the higher taxes from October 24, but suspended the practice after the government collapse in December, when the tax hike was ultimately not implemented by the original deadline. The French state owns 28% of Air France parent Air France-KLM, while The Netherlands owns 9%.

In spite of Air France’s protests, it’s worth noting that other European countries (with whom France competes for air traffic) are also planning increases to passenger taxes. The United Kingdom proposed a tax increase set to take effect in 2024, with a further increase annually through 2026.

The European Business Aviation Association (EBAA) and France’s national aviation union (FNAM) also condemned the tax increase, saying that the taxes on aviation are already high. The FNAM also criticized the government for increasing the taxes without conducting and economic impact study.

Amélie de Montchalin, France’s minister for public accounts, explained that the tax increase is a solidarity measure—essentially a luxury tax: “Twenty per cent of the population with the highest income is responsible for more than half the money spent on air travel.”

Many EU countries levy taxes on air passengers. Belgium, Denmark, and Bulgaria have plans to introduce the taxes. But other countries, specifically Spain, Portugal, and much of Eastern Europe continue to allow air passengers to travel without similar taxes added to the cost of their ticket.

Travelers won’t need to do anything extra to pay the taxes; they’ll be collected as part of the ticket taxes that airlines collect within the total ticket price.

The International Air Transport Association (IATA), a global airline trade association, estimates the aviation industry directly supports just under 5% of France’s GDP and is responsible for supporting some 1.3 million jobs. France is a major base for European commercial plane maker Airbus, which is headquartered near Toulouse.

https://www.fodors.com/news/author/scott-laird

The Euro And Dollar Are Nearly Equal—Meaning Americans Can Get More Bang For Their Buck While Traveling

As the U.S. dollar continues to rally against foreign currencies, Americans’ vacation budgets are getting a welcome boost.

In late September 2024, a €250/night hotel in Paris—the price of many four-star hotels in the French capital—would have cost you nearly $280. As of this writing, that price is down to $256.

For the past 12 months, the U.S. dollar has struggled to hold its own against the euro. The average exchange rate has been barely $1 to €0.92. But now the dollar and euro are nearly equal: since January 7, 2025, the rate has been $1 to €0.97–98. Currency exchange rates fluctuate daily but, considering that in late September 2024, $1 would get you only €0.89, this is welcome news for U.S. travelers heading to Europe.

The eurozone consists of 20 countries in the European Union: Austria, Belgium, Croatia, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Portugal, Slovakia, Slovenia, and Spain. On January 1, Bulgaria and Romania joined the Schengen Area, and both are expected to join the eurozone, with Bulgaria’s adoption of the euro planned for 2026.

The dollar is also gaining ground against other currencies. The British pound has been reigning supreme for nearly two decades, but the exchange rate on January 14 was $1 to £0.82, the highest since a spike between August 2022 and February 2023.

In terms of purchasing power: a Heathrow Express ticket, booked online less than 45 days in advance, costs £25. On October 29, 2024, this was the equivalent of $32.55; as of this writing, that same ticket costs approximately $30.50. While $2 might be negligible, the savings add up when it comes to hotels. A room at the Ned, a hotel/member’s club in the City (London’s financial district), for example, is £340 per night for a weekend in early March 2025 ($414 as of today’s rate). A year ago, that hotel would’ve cost $436.50 per night.

For U.S. tourists, travel in Europe over the past two decades has come with an exchange rate “tax” on every purchase. From a souvlaki in Athens to a ticket to Pompeii, the amount in dollars on your credit card statement was often 20, 30— or, in the U.K.—even 40 percent higher than the price you saw in euros (or pounds). That can be a rather brutal comedown after a vacation.

Whether or not the dollar will continue its upward trajectory is difficult to predict. Currency forecasting is challenging given all the complex—and often rather volatile—economic and political factors. A January 3 post by J.P. Morgan Asset Management says that “robust [economic] growth, which has contributed to inflation remaining above 2%, may lead the Fed to halt rate cuts sooner than expected. This makes a dollar weakening unlikely in the short term.”

What this means for travelers is that now is the time for a European vacation, especially when many summer destinations are far cheaper and less crowded in winter.

https://www.afar.com/authors/sophie-friedman

Travelore Tips: US Travelers Will Soon Have To Pay A Fee To Enter The United Kingdom

U.S. citizens will soon have to apply for permission before their United Kingdom trips and pay a small fee to enter as part of the country's upcoming Electronic Travel Authorization scheme.

The travel fee is meant to secure the U.K.'s borders by giving them more accurate data on who is passing through, according to a U.K. official for the British Consulate General. The move is part of the U.K.'s plan to fully digitize its borders by 2025.

"The scheme will give the U.K. more control of our borders, allowing us to block threats from entering the U.K., whilst also providing individuals, and carriers, with more assurance at an earlier point in time about their ability to travel to the U.K.," according to the U.K. government website.

The scheme is set to be fully implemented by the end of 2023, the "permission to travel" requirement will apply to travelers visiting or transiting the U.K. without a visa or special immigration status – including visa-free nationalities like the United States. However, being granted permission to travel through the authorization program is not a regular visa.

Other countries already have an authorization scheme process in place. In 2022, the U.S. implemented the requirement for certain visitors, which costs them $21. The European Union is also looking to create an authorization scheme.

Here's what we know so far about the U.K.'s upcoming authorization scheme:

How will the process work?

The new scheme shouldn't be too much of a burden on your trip planning. The application process is expected to be quick and easy, according to officials.

The application process can be done online in a few minutes. Travelers need to make sure they finish the process "a few days before (their) departure to the U.K." To apply, people will need a valid passport, travel details, a valid email address and a credit or debit card for online payment.

The typical process time for approval will be between 48 and 72 hours. Any errors in your application could delay its processing time or result in a rejection.

Once approved, you'll be able to stay in the U.K. for business or tourism reasons for up to six months. Short-term study and medical treatment are also valid purposes.

Who will the authorization scheme apply to?

Non-visa nationals will need to apply for the new program. The confirmed list of countries will be announced at a later time but it's expected to include:

The European Union.

Other European countries like Norway, Iceland, Andorra, Liechtenstein, Switzerland, Vatican City and Monaco.

Visa-exempt nations like Australia, Canada and the United States.

How much will it cost?

According to officials, the fee will be small but the exact cost has yet to be announced.

What happens if I don't apply?

Permission will be confirmed prior to travel and carriers will be checking people's forms, either a printed document or digitally. Showing up without permission to travel may result in a penalty charge.

The Nationality and Borders Bill will also make it a criminal offense if someone uses deception to try to get authorization.

Source: https://www.usatoday.com/