Federal Fees Push Plane Ticket Prices into the Stratosphere

A Montreal Economic Institute study highlights federal fees as the source of rising plane ticket prices. The author of the study, Michael Giguère, fears prices will have a negative impact on ticket sales moving forward, reports The Financial Post.

Starting 01MAY 2024, the federal government will increase the air travellers' security charge to CAD $9.94 for domestic flights and CAD $34.42 for international. The tax is set at four cents a litre. Giguère emphasizes federal fees as the cause of domestic Canadian flights' high cost relative to countries such as the U.S.

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