This move follows the example of Lufthansa, Swiss, and other Lufthansa Group members, which recently introduced a passenger surcharge of up to €72 on all flights originating from the European Union, the UK, Norway, and Switzerland starting January 1, 2025.
(Image Source)
Virgin AtlanticVirgin Atlantic is the latest airline to announce a ‘green tax’ on airfares, with this environmental surcharge aimed at covering the increasing costs of alternative fuels, expected to be implemented within the next 18 months.
This move follows the example of Lufthansa, Swiss, and other Lufthansa Group members, which recently introduced a passenger surcharge of up to €72 (AU$115) on all flights originating from the European Union, the UK, Norway, and Switzerland starting January 1, 2025.
In an interview with The Telegraph, Virgin Atlantic CEO Shai Weiss mentioned that airfare prices will need to rise to compensate for the higher costs associated with using sustainable aviation fuel (SAF) in larger quantities. Although Virgin Atlantic has not yet specified its fee, Weiss has indicated it could reach £40 per flight. For comparison, Lufthansa Group’s surcharge ranges from €1 to €72, depending on the route and travel class.
For instance, a short one-way flight from Munich to London incurs a €2 surcharge for economy class and €3 for business class, whereas a longer journey like Frankfurt to New York incurs a €27 surcharge for one-way business class and €54 for first class.
Lufthansa Group’s surcharge will apply to all flights departing from January 2025, justified by EU-mandated measures like a ‘statutory blending quota’ for SAF on flights departing from EU countries starting from January 2025.
The costs are expected to rise over time. The EU’s mandatory SAF blending quota requires that 2% of all jet fuel include SAF starting in 2025, increasing to 6% by 2030, 20% by 2035, and 70% by 2050. The UK’s mandate requires a minimum of 2% SAF by 2025, rising to 10% by 2030.
With Virgin Atlantic joining this initiative, it is anticipated that more airlines across Europe and the UK will follow suit, passing these legislated costs on to passengers.
Many global airlines, including British Airways, Cathay Pacific, Singapore Airlines, and Qantas, aim to have 5-10% of their flights using SAF by 2030 to reduce emissions to 25% of 2019 levels. This effort is a significant step towards the goal of ‘net zero emissions’ by 2050, which the International Air Transport Association (IATA) believes will largely depend on the use of SAF, along with the adoption of electric and hydrogen engines, and carbon offsetting and capture technologies.
Other countries are also setting SAF mandates. Sweden and France have introduced minimum SAF requirements, and Singapore will implement a levy on all departing flights from 2026, requiring a minimum of 1% SAF use. Similar to Lufthansa, Singapore’s fee will vary based on flight distance and travel class.
Disclaimer: Press release
© Press Release 2025
Send us your press releases to news@globalloyalty.org
Press releases originate from external third-party providers. This website does not have responsibility or control over its content, which is presented as is, without any alterations. Neither this website nor its affiliates guarantee the accuracy of the views or opinions expressed in the press release.
The press release is intended solely for informational purposes and does not offer tax, legal, or investment advice, nor does it express any opinion regarding the suitability, value, or profitability of specific securities, portfolios, or investment strategies. Neither this website nor its affiliates are liable for any errors or inaccuracies in the content, nor for any actions taken based on it. By using the information provided in this article, you agree to do so at your own risk.
To the maximum extent permitted by applicable law, this website, its parent company, subsidiaries, affiliates, shareholders, directors, officers, employees, agents, advertisers, content providers, and licensors shall not be liable to you for any direct, indirect, consequential, special, incidental, punitive, or exemplary damages, including but not limited to lost profits, savings, and revenues, whether in negligence, tort, contract, or any other theory of liability, even if the possibility of such damages was known or foreseeable.
The images used in press releases and articles provided by 3rd party sources belong to the respective source provider and are used for illustrative purposes in accordance with the original press releases and publications.
Disclaimer: Content
While we strive to maintain accurate and up-to-date content, Global Loyalty Organisation Ltd. makes no representations or warranties of any kind, express or implied, about the correctness accuracy, completeness, adequacy, or reliability of the information or the results derived from its use, not that the content will meet your requirements or expectations. The content is provided “as is” and “as available”. You agree that your use of the content is at your own risk. Global Loyalty Organisation Ltd. disclaims all warranties related to the content, including implied warranties of merchantability, fitness for a particular purpose, non-infringement, and title, and is not liable for a particular purpose, non-infringement, and title, and is not liable for any interruptions. Some jurisdictions do not allow the exclusion of certain warranties, so these jurisdictions may not apply to you. Global Loyalty Organisation Ltd. Reserves the right to modify, interrupt, or discontinue the content without notice and is not liable for doing so.
Global Loyalty Organisation Ltd. shall not be liable for any damages, including special, indirect, consequential, or incidental damages, or damages for lost profits, revenue, or use, arising out of or related to the content, whether in contract, negligence, tort, statute, equity, law, or otherwise, even if advised of such damages. Some jurisdictions do not allow limitations on liability for incidental or consequential damages, so this limitation may not apply to you. These disclaimers and limitations apply to Global Loyalty Organisation Ltd. and its parent, affiliates, related companies, contractors, sponsors, and their respective directors, officers, members, employees, agents, content providers, licensors, and advisors.
The content and its compilation, created by Global Loyalty Organisation Ltd, are the property of Global Loyalty Organisation Ltd. and cannot be reproduced without prior written permission.
