US Congress hits aviation with new fees

US Congress hits aviation with new fees

Aviation could be among the losers from a new budget deal agreed following negotiations in the United States congress.

In a rare show of bipartisanship, the Democrat and Republican parties agreed a budget for the next two years which should remove the threat of another government shutdown in January.

The proposed deal reduces the federal deficit by $23 billion and restores about $63 billion in automatic spending cuts from programmes ranging from parks to the Defence Department.

Spending increases would be offset by a variety of increased fees and other provisions elsewhere in the budget totalling about $85 billion over a decade.

American government debts presently stand at roughly $17 trillion and growing.

Buried in the detail of the budget was an increase in the federal airport security fee that would add $5 to the cost of a typical round-trip flight.

However, the plan does nothing to address three of the big drivers of American deficit spending - the Medicare government health insurance programme for the elderly, the Medicaid aid programme for the poor and the Social Security government pension system.