Aviation: Fares
The question
To ask the Secretary of State for Transport, what estimate she has made of the potential impact of (a) the Sustainable Aviation Fuel Bill and (b) the proposed Revenue Certainty Mechanism on average passenger air fares by 2030 and 2035; and whether passengers will be informed of any additional levies or costs arising from the scheme.
Answered by Keir Mather
The Sustainable Aviation Fuel (SAF) Bill provides the legislative basis for the SAF Revenue Certainty Mechanism (RCM). The RCM will help producers get the investment they need to ramp up the production of SAF in the UK.
The Government published a Cost Benefit Analysis for the SAF RCM in May 2025. We expect the RCM to cause ticket prices to increase or decrease by up to £1.50 on an average ticket per year, which is expected to be within the range of normal year to year changes in air fares.
The Government has confirmed that the RCM will be funded via a variable levy on aviation fuel suppliers and will look to design the levy in a way that ensures transparency of costs. The Government will actively monitor and control scheme costs including through the setting of strike prices and by controlling the scale and number of contracts awarded.
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