In 2023, the UK government missed out on up to £5.9 billion in potential tax revenue by not charging fuel duty on jet fuel at the same rate as road fuel. While British drivers, hauliers, and rail operators pay fuel taxes, airlines are exempt, despite burning 11.1 million tonnes of jet fuel—comparable to the nation's petrol consumption. This exemption deprives the government of funds that could address the societal costs of burning fossil fuels, such as NHS expenses for air pollution and infrastructure adaptation for climate change.

A report suggests that implementing fuel duty on aviation could generate between £0.4 to £5.9 billion annually, depending on tax rates and routes covered. It recommends introducing a 9p per litre tax on kerosene starting in 2025, gradually increasing to match road fuel duty by 2030, and requiring airlines to buy most of their fuel in the UK to prevent tax evasion.

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https://www.transportenvironment.org/te-united-kingdom/articles/jet-fuel-duty-how-much-revenue-could-have-been-raised-if-fuel-duty-was-applied-in-2023