Eurostar passengers travelling between London and the continent could face higher fares after the Government moved to sharply increase the tax bill on the Channel Tunnel.
Eurotunnel, which operates the undersea link, says a business rates revaluation will triple its payments from £22 million to £65 million from April, leaving the company facing a 75 per cent tax rate on new investment. The firm says the cost will be pushed onto train operators through higher access charges, which are likely to be passed on to passengers. Eurostar said the plans “would be at odds with the government’s ambition” to promote rail travel.
