Travellers across the UK are being told to prepare for significant increases in air fares, as regional airports grapple with what experts are calling an "unprecedented" surge in property tax bills set for next year.
Steepest Increases in the Country
An analysis of official Government data has revealed that regional airports are facing some of the most extreme hikes in business rates of any sector. This follows a major overhaul of the property valuations that form the basis of the tax. While London hubs like Heathrow and Gatwick are also seeing large increases, the most severe impacts are concentrated outside the capital.
Calculations by global tax firm Ryan, based on Valuation Office Agency (VOA) data, show that rateable values have jumped more than six-fold in some cases. Even with transitional relief capping next year's rise at 30 per cent, regional airports will endure some of the largest cash increases nationwide, with most seeing their bills more than double over the next three years.
Airports Facing Mammoth Bills
The financial blow is substantial for several key transport hubs. According to Ryan's data:
- Manchester Airport is set for a £4.2m increase, taking its bill to £18.1m next year.
- Bristol Airport will see a £1.2m rise to £5.2m.
- Birmingham International Airport faces a £1.8m hike to £7.6m.
- Newcastle International Airport is in line for a £244,755 increase to £1.1m.
Other airports facing major increases include Liverpool, East Midlands International, and Bournemouth.
Inevitable Impact on Passengers and Investment
Alex Probyn, practice leader for Europe and Asia-Pacific property tax at Ryan, stated plainly that airports cannot absorb this cost. "With an unprecedented 295 per cent sector-wide uplift, regional airports simply cannot absorb a cost shock of this magnitude," he said. "These increases will inevitably flow through the system: first into airport charges, then into airline costs, and ultimately into ticket prices."
Airport operators have also warned that the tax blow threatens vital investment. A spokesperson for Manchester Airports Group said the more than 100 per cent increases force a re-evaluation of plans to invest over £2bn in UK airports over the next five years. They added that it is "inevitable" air travel will become more expensive, impacting both consumers and businesses reliant on global connections.
Trade body AirportsUK has labelled the government's plans as "short-sighted," warning they risk damaging local economies that depend on airport supply chains, tourism, and connectivity. The group is preparing a response to the Treasury's consultation, which closes in February 2026.
