United States

Flybe: UK air passenger duty cut considered to save airline

The government is to consider cutting air passenger duty on all domestic flights as part of a plan to save regional airline Flybe from collapse.Chancellor Sajid Javid is to meet later with the business and transport departments to discuss lowering the levy, the BBC's business editor says.The change would allow Flybe to defer a tax bill and implement a rescue plan. By applying the move to the whole industry, the government would avoid breaching EU state aid rules.It could also improve regional connectivity, a key Conservative manifesto pledge. Sky News reports the possible deal over air passenger duty could see Flybe defer a payment of more than £100m for three years.It would potentially give the Exeter-based company time to set up ...