Who pulled the plug on Highland Airways?
This week's collapse of Highland Airways has grabbed the headlines in Scotland and put the UK government and HM Revenue and Customs (HMRC) firmly in the spotlight. It is believed that the company crashed after facing tax bills totalling £500,000 with rumours that HMRC was proving to be inflexible on the proposition to pay off the outstanding tax bills over two years.
While there is every chance that a competitor will step in to take over the vital routes and vital services offered by Highland Airways the company is dead and buried and unlikely to ever return again. So far there has been no response from HMRC with regards to the accusations of playing hardball over the tax bills but the authorities had promised to "go easy" on companies impacted by the recession.
Those close to Highland Airways have highlighted the difficult weather conditions over the winter period, which impacted upon flight numbers and income flow for the airline. However, if the airline was struggling to pay the £500,000 tax bill there is an argument for pulling the plug as soon as possible so as not to allow this figure to grow out of control.
Whatever the truth regarding the collapse of Highland Airways there is a need to pick up the pieces as soon as possible and reinstate vital services in the Scottish Highlands.
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