EasyJet boss Kenton Jarvis has warned the Chancellor against a Budget move to raise air passenger duty as he said it would knock demand from holidaymakers.

There has been speculation that Rachel Reeves will increase air passenger duty, which is a tax on flights leaving the UK, in the Budget on Wednesday.

Mr Jarvis said this duty on UK flights was already “one of the highest in Europe”.

He is hoping Ms Reeves will freeze air passenger duty, cautioning that any increase would “naturally dampen demand”.

He also sent out a warning shot ahead of an expected move to introduce a tourist tax across cities in the UK, by giving the London mayor Sir Sadiq Khan and other civic chiefs powers to impose a levy on overnight hotel stays.

Mr Jarvis said: “Any increase in tax that impacts the competitiv

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