In response to the Swedish Government’s recent decision to scrap aviation tax in the country from July 1, 2025, European low-cost leviathan Ryanair has announced it will increase flights from the Scandinavian country during the northern summer of 2025.
On September 5, 2024, AeroTime reported that Sweden will abolish its aviation tax from July 2025 in a bid to boost air travel. The tax, which has been in effect in the Scandinavian country since 2018, represents a levy of between SEK76 and 504 (approximately $7 to $49) depending on the destination, on each airline ticket for flights arriving or departing Swedish airports (transit passengers are exempt).
Announcing its formal response to the cuts on September 25, 2024, Ryanair said that the move would help lower the existing high cost in the country and make Sweden more competitive and attractive for airlines. Consequently, Ryanair intends to increase the number of aircraft based in Sweden by two units (33%) and would introduce ten new routes from Swedish airports. The move will create 60 new jobs for the country’s economy, added the carrier.
The addition of the two Boeing 737s to the country represents a $200 million investment, with one being based at Stockholm-Arlanda Airport (ARL) while the other will be based in Gothenburg (GOT).
“As Europe’s No. 1 airline, Ryanair is thrilled to announce significant growth and expansion in Sweden, following the Swedish Government’s forward-thinking decision to abolish the harmful Aviation Tax, which has been holding back Sweden’s post-Covid recovery and stifling traffic, jobs, and economic growth,” said Ryanair’s CEO Eddie Wilson. “Abolishing this tax will bring Sweden’s cost competitiveness more in line with its EU counterparts and allow Ryanair to deliver record growth and investment in Sweden.”
“Ryanair’s much-needed investment will be in addition to extraordinary growth in traffic to date, with Ryanair traffic in Sweden at 160% of pre-Covid levels. However, this extra growth and investment is contingent on Swedavia not increasing airport charges,” Wilson added.
“Ryanair will increase the aircraft based in Arlanda to six in total, an increase of 33% with a $200 million investment, as well as ten new routes to deliver 81 routes total to/from Sweden next Summer – an unprecedented level of growth thanks to the Government’s efforts to increase connectivity for Swedish citizens and inbound tourists. This tax reduction will also act as a platform for further investment in aircraft, connectivity, tourism and jobs” he concluded.