Passengers at Stansted Airport where flights were delayed because of a technical issue. AFP
Passengers at Stansted Airport where flights were delayed because of a technical issue. AFP
Passengers at Stansted Airport where flights were delayed because of a technical issue. AFP
Passengers at Stansted Airport where flights were delayed because of a technical issue. AFP

IATA boss says air traffic control meltdown leaves airlines with £100 million bill


Laura O'Callaghan
  • English
  • Arabic

Airlines trade association boss Willie Walsh has railed against the unfair system that forces airlines to foot huge bills for issues that are out of their control as he estimated the cost of this week’s meltdown in air traffic control to be “close to £100 million” ($126.5 million).

The director general of the International Air Transport Association (IATA) said members faced with huge bills are left “frustrated and angry” by rules that make it almost impossible for them to claim back the money.

He said the company behind the widespread flight disruption on Monday should be made to cough up and rules should be put in place to prevent it from passing on the costs to airlines.

National Air Traffic Services (Nats), the company responsible for air traffic control in the UK, has apologised to customers affected by the chaos, including those who are still stranded abroad.

Mr Walsh, a former boss of British Airways, said it is “very unfair” that Nats “doesn’t pay a single penny” for the problem.

“You’re looking at hundreds of thousands of customers impacted by cancellations,” Mr Walsh told BBC Radio 4’s Today programme. “And that doesn’t take into account the hundreds of thousands of passengers impacted by delays on the day. So it’s considerable disruption.

“We’re looking at costs in the tens of millions.”

IATA boss Willie Walsh says airlines should not be forced to pay for disruption caused by a failure in the air traffic control system. Reuters
IATA boss Willie Walsh says airlines should not be forced to pay for disruption caused by a failure in the air traffic control system. Reuters

He said while it is too early to put a precise figure on the bill airlines would have for the disruption, he estimated it would be “close to £100 million”.

Mr Walsh said he would like to see the Civil Aviation Authority (CAA) introduce new rules that would force Nats to pay for the cost of issues, and prevent them from passing on this cost to airlines.

“At the heart of this is a failure that should not have happened and I think Nats have a lot of questions to answer,” he said.

The CAA is investigating the disruption, which resulted in more than 1,000 flights being cancelled on Monday, Tuesday and Wednesday.

The UK government has said the possibility of a cyber attack causing the issue has been ruled out.

Reports suggest a French airline’s entry of incorrect data into the air traffic control system may have caused the shutdown.

This meant data had to be entered manually, resulting in significant delays and mass cancellation of flights.

Mr Walsh said he found it staggering that a single piece of inaccurate data could have triggered a complete collapse.

“This system should be designed to reject data that’s incorrect, not to collapse the system,” he said, adding that if the reports are true it “demonstrates a considerable weakness that must have been there for some time”.

“I’m amazed if that is the cause of this,” he said.

Martin Rolfe, chief executive of Nats, said initial investigations show the failure “relates to some of the flight data we received”.

He apologised to passengers affected by the disruption.

Primary and backup systems used by the company responded by “suspending automatic processing”, he added.

UK air traffic control hit by network-wide failure – in pictures

  • Passengers wait at Heathrow Airport. The UK's air traffic control systems have grounded thousands of flights on one of the busiest travel days of the year. PA
    Passengers wait at Heathrow Airport. The UK's air traffic control systems have grounded thousands of flights on one of the busiest travel days of the year. PA
  • Planes line up at Manchester Airport. EPA
    Planes line up at Manchester Airport. EPA
  • Passengers check the boards at Stansted Airport, north of London. AFP
    Passengers check the boards at Stansted Airport, north of London. AFP
  • Passengers wait at Belfast International Airport, Ireland. AP
    Passengers wait at Belfast International Airport, Ireland. AP
  • People wait near packed check-in desks at Gatwick Airport. Getty Images
    People wait near packed check-in desks at Gatwick Airport. Getty Images
  • Passengers queue in a departure lounge at Heathrow Airport in London. EPA
    Passengers queue in a departure lounge at Heathrow Airport in London. EPA
  • People wait near check-in desks at Gatwick Airport. Getty Images
    People wait near check-in desks at Gatwick Airport. Getty Images
  • Passengers look at departure boards at Belfast International Airport. PA
    Passengers look at departure boards at Belfast International Airport. PA
  • Passengers check the departures board at Heathrow Airport. AP
    Passengers check the departures board at Heathrow Airport. AP
  • Cancelled flights are displayed on the departures board at Heathrow Airport. AP
    Cancelled flights are displayed on the departures board at Heathrow Airport. AP
Tamkeen's offering
  • Option 1: 70% in year 1, 50% in year 2, 30% in year 3
  • Option 2: 50% across three years
  • Option 3: 30% across five years 
MATCH INFO:

Second Test

Pakistan v Australia, Tuesday-Saturday, 10am​​ daily​​​​​ at Zayed Cricket Stadium, Abu Dhabi

Entrance is free

The%20Hunger%20Games%3A%20The%20Ballad%20of%20Songbirds%20%26%20Snakes
%3Cp%3E%3Cstrong%3EDirector%3A%3C%2Fstrong%3E%C2%A0Francis%20Lawrence%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EStars%3A%C2%A0%3C%2Fstrong%3ERachel%20Zegler%2C%20Peter%20Dinklage%2C%20Viola%20Davis%2C%20Tom%20Blyth%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ERating%3A%20%3C%2Fstrong%3E3%2F5%3C%2Fp%3E%0A
Company%20Profile
%3Cp%3E%3Cstrong%3EName%3A%20%3C%2Fstrong%3EDirect%20Debit%20System%3Cbr%3E%3Cstrong%3EStarted%3A%3C%2Fstrong%3E%20Sept%202017%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20UAE%20with%20a%20subsidiary%20in%20the%20UK%3Cbr%3E%3Cstrong%3EIndustry%3A%3C%2Fstrong%3E%20FinTech%3Cbr%3E%3Cstrong%3EFunding%3A%3C%2Fstrong%3E%20Undisclosed%3Cbr%3E%3Cstrong%3EInvestors%3A%3C%2Fstrong%3E%20Elaine%20Jones%3Cbr%3E%3Cstrong%3ENumber%20of%20employees%3A%3C%2Fstrong%3E%208%3Cbr%3E%3C%2Fp%3E%0A
MATCH INFO

Manchester City 3
Danilo (16'), Bernardo Silva (34'), Fernandinho (72')

Brighton & Hove Albion 1
Ulloa (20')

Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

The years Ramadan fell in May

1987

1954

1921

1888

UPI facts

More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions

The specs: 2018 Bentley Bentayga V8

Price, base: Dh853,226

Engine: 4.0-litre twin-turbo V8

Transmission: Eight-speed automatic

Power: 550hp @ 6,000pm

Torque: 770Nm @ 1,960rpm

Fuel economy, combined: 11.4L / 100km

Veil (Object Lessons)
Rafia Zakaria
​​​​​​​Bloomsbury Academic

Singham Again

Director: Rohit Shetty

Stars: Ajay Devgn, Kareena Kapoor Khan, Ranveer Singh, Akshay Kumar, Tiger Shroff, Deepika Padukone

Rating: 3/5

WITHIN%20SAND
%3Cp%3EDirector%3A%20Moe%20Alatawi%3C%2Fp%3E%0A%3Cp%3EStarring%3A%20Ra%E2%80%99ed%20Alshammari%2C%20Adwa%20Fahd%2C%20Muhand%20Alsaleh%3C%2Fp%3E%0A%3Cp%3ERating%3A%203%2F5%3C%2Fp%3E%0A
RACE SCHEDULE

All times UAE ( 4 GMT)

Friday, September 29
First practice: 7am - 8.30am
Second practice: 11am - 12.30pm

Saturday, September 30
Qualifying: 1pm - 2pm

Sunday, October 1
Race: 11am - 1pm

The BIO:

He became the first Emirati to climb Mount Everest in 2011, from the south section in Nepal

He ascended Mount Everest the next year from the more treacherous north Tibetan side

By 2015, he had completed the Explorers Grand Slam

Last year, he conquered K2, the world’s second-highest mountain located on the Pakistan-Chinese border

He carries dried camel meat, dried dates and a wheat mixture for the final summit push

His new goal is to climb 14 peaks that are more than 8,000 metres above sea level

RESULT

Los Angeles Galaxy 2 Manchester United 5

Galaxy: Dos Santos (79', 88')
United: Rashford (2', 20'), Fellaini (26'), Mkhitaryan (67'), Martial (72')

Pieces of Her

Stars: Toni Collette, Bella Heathcote, David Wenham, Omari Hardwick   

Director: Minkie Spiro

Rating:2/5

The%C2%A0specs%20
%3Cp%3E%3Cstrong%3EEngine%3A%3C%2Fstrong%3E%20Dual%20synchronous%20electric%20motors%20%20%0D%3Cbr%3E%3Cstrong%3EPower%3A%20%3C%2Fstrong%3E646hp%0D%3Cbr%3E%3Cstrong%3ETorque%3A%20%3C%2Fstrong%3E830Nm%0D%3Cbr%3E%3Cstrong%3ETransmission%3A%20%3C%2Fstrong%3ETwo-speed%20auto%20(rear%20axle)%3B%20single-speed%20auto%20(front)%20%0D%3Cbr%3E%3Cstrong%3EPrice%3A%20%3C%2Fstrong%3EFrom%20Dh552%2C311%3B%20Dh660%2C408%20(as%20tested)%0D%3Cbr%3E%3Cstrong%3EOn%20sale%3A%20%3C%2Fstrong%3Enow%3C%2Fp%3E%0A
Breast cancer in men: the facts

1) Breast cancer is men is rare but can develop rapidly. It usually occurs in those over the ages of 60, but can occasionally affect younger men.

2) Symptoms can include a lump, discharge, swollen glands or a rash. 

3) People with a history of cancer in the family can be more susceptible. 

4) Treatments include surgery and chemotherapy but early diagnosis is the key. 

5) Anyone concerned is urged to contact their doctor

 

The%20specs
%3Cp%3E%3Cstrong%3EEngine%3A%3C%2Fstrong%3E%201.8-litre%204-cyl%20turbo%0D%3Cbr%3E%3Cstrong%3EPower%3A%20%3C%2Fstrong%3E190hp%20at%205%2C200rpm%0D%3Cbr%3E%3Cstrong%3ETorque%3A%3C%2Fstrong%3E%20320Nm%20from%201%2C800-5%2C000rpm%0D%3Cbr%3E%3Cstrong%3ETransmission%3A%20%3C%2Fstrong%3ESeven-speed%20dual-clutch%20auto%0D%3Cbr%3E%3Cstrong%3EFuel%20consumption%3A%3C%2Fstrong%3E%206.7L%2F100km%0D%3Cbr%3E%3Cstrong%3EPrice%3A%3C%2Fstrong%3E%20From%20Dh111%2C195%0D%3Cbr%3E%3Cstrong%3EOn%20sale%3A%20%3C%2Fstrong%3ENow%3C%2Fp%3E%0A
Updated: August 30, 2023, 1:58 PM