Air passenger duty is currently paid on all flights based on the distance flown and class of travel. The duty is payable by all passengers regardless of their age.
From 1 May 2015, children under 12 travelling in economy class will be exempt from air passenger duty and this exemption will be extended from 1 March 2016 to include children under 16.
In addition, to increase transparency in air fares, the government will consult on an amendment to pricing regulations which would require airlines to separate air passenger duty from their other fees and charges.
This exemption will be welcomed by families with children as according to government estimates, it will be worth £71 per child.
It is currently unclear whether airlines will refund air passenger duty already paid for children for post-1 May 2015 flights.