Air Departure Tax Highlands and Islands Exemption: island communities impact assessment

Step 5 – Recommendation

The Scottish Government considers that the exemption will have an overall positive impact on island communities, as well as communities in the Highlands. The exemption specifically recognises the necessity of aviation services for communities in the Highlands and Islands region and seeks to reduce operating costs.

The Scottish Government will proceed with the introduction of the proposed Highlands and Islands exemption. While the Scottish Government recognises the concerns raised by consultation respondents about the potential impacts on international Highlands and Islands aviation connectivity, this decision is based on the evidence received that domestic connectivity will be supported and bolstered by the proposed exemption. Crucially, this is achieved in a manner that complies with subsidy control requirements.