New Electronic Travel Authorisation charge could mean London Heathrow Airport lose 4 million passengers-a-year

London Heathrow Airport (LHR) is dismayed by the UK Government’s change to the £10 Electronic Travel Authorisation (ETA) charge that will now encompass all foreign travellers. LHR could lose a potential four million passengers a year when it’s put in place from April 2025. Previously, the ETA was only required for individuals from six nations for those who did not require a visa. The government said: “Requiring transit passengers to obtain an ETA stops people who may use connecting flights to avoid gaining permission to travel to the UK.”

However, a spokesperson from Heathrow stated in an interview that: “We don’t disagree with the long-term roll-out of the scheme, but including airside transit passengers will make the UK less competitive and harm economic growth.”

Citizens of UK and Ireland are exempt from the ETA charge.

What are the consequences of ETA?

 The scheme was introduced to six nations in November 2023:

• Bahrain
• Kuwait
• Oman
• Qatar
• Saudi Arabia
• United Arab Emirates.

So far, ETA has been a disadvantage to airports as it means passengers who are travelling through the UK, via a connected flight, are also forced to pay for the ETA. Along with having to wait three days to obtain one, many passengers have chosen not to fly to LHR who are the UK’s biggest hub. LHR announced in August 2024 that it had lost 90,000 passengers, who would have otherwise been a good source of revenue.

Analysis by The Independent estimate that LHR lost revenue from the new scheme will range from £2.5bn to £5bn annually. This figure includes revenue lost from airlines and retail.

“At a moment when we should be levelling the playing field on traveller costs to ensure the UK aviation industry remains world class, these new rules will make London harder to reach. Forcing passengers to apply for ETAs even when they are just stopping over in the UK will be especially damaging to Heathrow – our only hub airport, and a vital driver of business activity across London and beyond,” said Polyvios Polyviou, programme director for transport at BusinessLDN, in an interview.