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Tag: Márton Nagy

Ryanair Now Asking Passengers to Protest Directly to Hungarian Government Over “Extra-Profit” Tax

Dear Passenger,

The Hungarian Govt. has recently imposed a baseless and unjustified “extra profits” tax at short notice, on the airline sector suffering record losses, so we need your support, to have this idiotic and unfair tax on our passengers scrapped.

read an email that Ryanair sent to its passengers on Wednesday, urging them to write a letter of protest to Economic Development Minister Márton Nagy over the “extra-profit” tax, rtl.hu has learned.

The new tax has caused quite a bit of back and forth between the airline and the Hungarian government, and the company’s CEO, Michael O’Leary, has repeatedly called Nagy an “idiot.”

A yellow button prominently featured at the bottom of Ryanair’s email, when clicked on, creates a pre-written message that their system will then email to the Prime Minister’s Cabinet Office at kommunikacio@mk.gov.hu.

The pre-written English-language email, which is personally addressed to Minister Nagy, demands the immediate abolition of the tax, which the email claims will increase air travel expenses for Hungarian passengers and their families, and damage Hungary’s image and reputation in the European Union.

Ryanair announced that because of the tax, it would be adding an extra 3,900 Ft. (US $10.41) for all flights departing after July 1, even for those who had already paid for their tickets.

The government has launched a consumer protection investigation against Ryanair over the matter. [Magyar Hang]

Ryanair Refutes Claims That Hungarians Are Canceling Flights Due to Airline’s Policy to Pass On “Extra-Profit” Tax

Pro-government daily Magyar Nemzet reported on Friday that passengers were canceling their flights with Irish carrier Ryanair en masse due to airline’s decision to pass on the “extra-profit” tax to its passengers, even those who had already purchased tickets.

The newspaper wrote that passengers had canceled 60% of previously-bought tickets for July by Thursday’s deadline, meaning that they had asked for their money back instead of taking the flight they had booked. However, Magyar Nemzet did not indicate where its information came from.

Ryanair responded to the news in a statement that it sent to media outlets and published on its website:

These claims in Magyar Nemzet are false and clearly invented. Less than 3% of Ryanair passengers due to travel after 1 July have taken up the option to cancel their flight and receive a full refund.

These seats will now be reoffered for sale to Hungarian families.

The balance of over 97% have chosen to pay Minister Nagy’s bogus and idiotic “excess profits tax” on loss making airlines which will make air travel to/from Hungary more expensive for thousands of Hungarian families who depend on low fare air travel to visit friends and families who are working all over Europe.

The statement closed with a swipe at the minister for economic development: “Minister Nagy should now apologise to Hungarian families who will pay higher fares because of his idiotic tax grab.

Minister Gergely Gulyás said in Friday’s government information briefing that Hungarians should choose a competitor to Ryanair wherever possible. Gulyás mentioned that Ryanair CEO Michael O’Leary communicates with the government in a “pub-style” manner, and presumably with his passengers as well.

The government launched a consumer protection investigation against the company when Ryanair decided to pass on the special tax on airlines to customers who had already purchaed tickets. Gulyás stated that until the investigation is completed, no other measures against the firm were planned. [444]

Gov’t Investigating Ryanair for Passing on Extra-Profit Tax to its Customers

“The government finds it unacceptable and most emphatically rejects Ryanair passing on the special extra-profit tax on airlines to its passengers,” responded Minister of Economic Development Márton Nagy to a letter from the airline on Thursday. Ryanair has decided to charge passengers an extra 3,900 Ft. (US $10.31) to cover the “extra-profit” tax imposed on airlines after it called on the Hungarian government to withdraw it.

“The government has made it clear to all concerned that it is constantly monitoring market developments, and will do its utmost to prevent the special taxes from being passed on to the public,” according to the statement by Márton Nagy sent to MTI.

The statement also says that the government gave advance notice that it would conduct a thorough investigation in every such instance, and take action against companies engaging in harmful practices. The statement added that it was “particularly regrettable that Ryanair has started this practice even for tickets already sold.”

Márton Nagy has launched a consumer protection investigation to determine whether the airline is violating consumer protection laws by engaging in unfair commercial practices. The Minister wants government agencies to thoroughly investigate and, where possible, prevent the airline from engaging in unfair practices.

A few minutes after this announcement, the Budapest metropolitan government office announced an immediate consumer protection investigation against Ryanair.

The minister also suggested that authorities examine Ryanair’s pricing practices to see if they meet current European standards and expectations, particularly since, according to Nagy, many European countries have had such a tax on airlines in place for a long time.

The government expects the extra-profit special taxes to be paid by all companies, not to be passed on to residents, because the price of the war should not be paid by Hungarian families.

-the Minister of Economic Development said. [Telex]