UK plans price hike for ETA travel permit just days after launch: What it costs and learn how to apply

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Travellers from many countries now have to apply for an Electronic Travel Authorisation (ETA) to enter the UK.

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Visiting the UK is about to get costlier, because the rollout of the nation’s latest travel permit gets underway.

Visitors from Europe don’t need an Electronic Travel Authorisation (ETA) until April, but for other international visitors, the permit was a requirement from 8 January. But lower than a month into the scheme, the UK Home Office has announced plans to hike the worth of an ETA.

Under the proposed amendment, the ETA fee will rise to £16 (€18.91), from a previous fee of £10 (€11.82). The silver lining within the announcement is that transit passengers will now not have to pay the fee in any respect.

Read our full guide to the UK’s latest Electronic Travel Authorisation (ETA): who needs it, how long it’s valid for and learn how to apply. 

“The choice to extend Electronic Travel Authorisation (ETA) costs by 60 per cent is a staggering blow to the UK’s tourism industry and businesses across the country,” says Joss Croft, Chief Executive of UKinbound. 

How far more will a UK ETA cost now?

The proposed changes will see the price of an ETA application rising from £10 (€11.82) to £16 (€18.91), a 60 per cent increase.

The UK Home Office says these changes are to “reduce the reliance of the migration and borders system on taxpayer funding,” and estimates they are going to raise £269 million (€318 million) every year.

The proposed price hike might be debated within the UK Parliament and can should be approved before going ahead. But when it’s approved, the brand new price might be in place quickly.

How has the travel industry reacted to the ETA price increase?

The International Air Transport Association (IATA), which speaks on behalf of 340+ airlines worldwide, has been vocal in its opposition to the worth hike.

“Proposing to extend ETA costs just per week after the system was introduced is bewildering,” says IATA director general Willie Walsh. “If implemented it might be a self-inflicted blow to the UK’s tourism competitiveness.”

Walsh further points out that, in November last 12 months, the UK government pledged to spice up tourism by 30 per cent, aiming to stimulate arrivals to 50 million by 2030. “Gouging these travellers with a 60% increase within the ETA is a really bad start,” says Walsh.

“It is time for the UK government to see the large picture,” Walsh continues. “It has every part to achieve by making the UK a more cost-competitive travel destination—including the substantial tax revenues that travellers generate. It is unnecessary to discourage visitors with high costs even before they set foot within the country.”

AirlinesUK, the association of UK airlines, similarly rebuffed the worth increase, with CEO Tim Alderslade commenting the move was “bitterly disappointing.”

“[The fee increase} makes little sense in a rustic that is determined by its air connectivity for economic growth, and which only recently raised air passenger duty to record levels,” continues Alderslade. “The UK cannot hope to compete globally if we proceed to put a wall of costs in front of those wanting to go to and spend money on this country.”

Do transit passengers need a UK ETA?

While the increased price might be upsetting for some, the u-turn on charging transit passengers has been widely welcomed by the travel industry.

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It implies that in case you are only stopping within the UK to hook up with one other flight, and never going through immigration, you don’t need an ETA. 

London’s Heathrow Airport had previously said that it risked losing 4 million passengers a 12 months if transit passengers were charged. 

“The removal of airside transit passengers from the ETA scheme is the suitable decision, and we welcome it,” said Thomas Woldbye, Heathrow’s chief executive. “It shows that the federal government is listening to industry concerns and is willing to make needed changes to strengthen the UK’s competitiveness and drive economic growth.”

Only Heathrow and Manchester airports have transit facilities for passengers, and can due to this fact be the one facilities where ETA-free travel might be allowed.

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It’s essential to notice that only proper connecting flights will unlock the ETA-free transit. When you are making your personal arrangements to travel onward from the UK and wish to go through border controls and check in again, you’ll still need an ETA.

The UK government had previously shunned the thought of ETA-free transit, stating that it might risk illegal migration. It is going to be following the situation closely and reserves the suitable to re-introduce ETAs for transit passengers in the long run.

“We urge that this exemption is made everlasting,” says Alderslade, “given the vital role that passengers transiting the UK play in making vital international routes viable, particularly to growth markets.”

Does the ETA threaten UK tourism?

“There’s a false assumption that international visitors will proceed to decide on the UK, even when we hike up prices,” says Joss Croft. ”International tourism is a competitive industry and the 2 key motivators to go to a destination are value for money and the standard of welcome. This move damages our standing on each fronts.”

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As compared, the European Electronic Travel Information and Authorisation System (ETIAS) which launches later this 12 months will cost less, offer more, and last more.

The ETIAS is anticipated to cost €7 and might be valid for 3 years. It is going to be free to those over 70 and under 18, allowing entry to 29 Schengen countries. A family of 4 would due to this fact pay €14 to go to 29 EU countries with an ETIAS, but to go to the UK with an ETA would cost £64 (€75.65).

UKInbound warns that, when combined with the opposite high costs of visiting the UK, the brand new authorisation threatens to harm the country’s competitiveness. International visitors can now not shop tax-free, are subject to twenty per cent VAT on hospitality, and will find themselves paying a tourist tax, depending on where they stay.

As compared, France, Spain, Italy, Austria and Finland charge just 10 per cent VAT on hospitality. Germany, Switzerland, Portugal and lots of other nations charge lower than that. Only Denmark has the next rate of VAT at 25 per cent.

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Adding to the concerns is the UK’s proposed hike in Air Passenger Duty (APD), which is already the very best in Europe. In 2026, rates will increase by £2 (€2.36) per passenger for short-haul flights, £14 (€16.50) on flights between 2,001 and 5,500 miles, and by £8 (€9.45) on the longest flights.

“The 60% uplift in visa cost brings one other tax rise to the travel and tourism sector, which risks stifling growth,” warns Luke Petherbridge, director of public affairs at ABTA, the UK’s travel agent trade association. “Coming on the back of increases announced for Air Passenger Duty within the recent budget, we’re seeing a layering of additional charges in a sector which has been forecast to grow strongly.”

In 2024, Visit Britain estimates that 38.7 million international visitors arrived within the UK and spent £32.5 billion. Tourism is currently the UK’s fifth largest export sector, and UKInbound says it’s currently outperforming the broader UK economy.

“The increased price of an ETA is just one other cost that’s being placed on the shoulders of international visitors,” says Croft. “We want policies that may allow our industry to harness precious growth opportunities.”

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