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The €3 travel tax should be abolished

Michael O'Leary said there was no evidence of any growth in Irish tourism
Michael O'Leary said there was no evidence of any growth in Irish tourism

Michael O'Leary has hit out at the government's decision to maintain the €3 travel tax, saying it will cost the country

The Ryanair chief executive says is losing out on the 'enormous growth' being delivered across Europe by his airline.

At a press conference in Dublin, he also said there was no evidence of any growth in Irish tourism, and that any claims that visitor numbers were up in 2011 were wrong. He cited CSO figures showing that total passenger numbers for the first quarter of 2011 were down.

His remarks comes after Transport Minister Leo Varadkar said  the Government had decided to keep the €3 tax in place as there had been no solid commitments from airlines on new routes.

At a press conference in Dublin today, Mr O'Leary said his airline carried eight million passengers last month, the highest figure by any airline in Europe.

He said the new government had promised to change and reform the previous government's policy, but had not done so.

He said Dublin Airport Authority  costs had increased by 40%, while passengers numbers declined, adding that the continuing decline could not be blamed on the recession as passenger numbers were returning to normal across Europe.

Ryanair dismissed claims by Minister Varadkar that new routes outlined in exchange for abolishing the travel tax involved Mediterranean hotspots, saying this accounted for just 25% of new routes.

O'Leaary said it was 'ludicrous' to dismiss outward bound flights, saying they were a fundamental part of air travel, with aircraft filled on outbound and inbound journeys.

He said the airline had presented a detailed strategy to the Minister for Transport for building passenger numbers. He said the travel tax this year would bring in only around €30m, and needed to be scrapped.