Connecting Europe to global opportunities

Business aviation provides a connective tissue that binds Europe’s economy with global opportunities. It offers point-to-point connectivity for executives, investors, and high-value specialists to reach regions and markets not well-served by commercial airlines. In fact, business aircraft fly to nearly 1,500 airports across Europe, hundreds more than scheduled airlines, linking major hubs with remote areas (Top Ten Countries for European Business Aviation Activity in 2022). This means European entrepreneurs can meet clients in secondary cities, multinational firms can efficiently oversee operations in multiple countries, and investors can visit prospective sites anywhere from the Baltics to the Balkans on short notice. Such agility is indispensable for attracting foreign direct investment (FDI) and forging trade deals. An Oxford Economics study underscores that business aviation is “indispensable in attracting investments” and “linking regions unreachable by other transport modes” (Oxford Economics: Business Aviation Generates €100B in Economic Value, OE). In other words, business aviation helps ensure Europe remains open for business on a global scale.

The same study quantified the economic contributions at stake. Business aviation in Europe generates about €100 billion in annual economic value, supporting on the order of hundreds of thousands of jobs across the continent (Flight risk: Europe’s squeeze on aviation threatens competitiveness  – POLITICO). This includes not only the highly skilled workers who build, operate, and maintain aircraft, but also the wider supply chain and service industries that benefit from business aviation activity. Recent analysis found the sector directly contributes roughly €44 billion to EU GDP and another €56 billion through its supply chain and employee spending – about a €100 billion total impact supporting well over 370,000 jobs when indirect effects are included. These are engineers in Hamburg and Toulouse, pilots and maintenance crews in Vienna or Geneva, airport and handling staff in smaller regional airports, and many more. Each flight supporting a corporate investment or a new deal can translate into jobs on the ground.

Crucially, business aviation also plays a role in essential services that underpin Europe’s resilience. In 2023 alone, the sector operated an estimated 70,000 medical flights, averaging more than 190 life-saving flights every day (Business aviation generates €100 billion in economic value, study reveals critical policy threats – EBAA – European Business Aviation Association). During crises and in remote areas, business aircraft often deliver medical evacuations, organ transports, and humanitarian aid. Such capability, while not always visible, contributes to Europe’s socio-economic strength. It further underlines that this sector is far from a mere luxury for the elite – it is a utility that serves public interests when needed.

Warning signs: The cost of restrictive policies

Despite these benefits, European regulators are weighing measures that single out business aviation for new taxes, operational constraints, and even outright usage limitations. Proposals such as banning short-haul private flights or tightening slot access at hubs may be politically tempting in the name of climate action or populist sentiment.  Yet, the new OE study warns of serious unintended consequences if policymakers choose a restrictive path. According to the study, excessive constraints on business aviation could “jeopardise up to €120 billion in foreign investments and 104,000 jobs by 2030”. In practice, curtailing business aviation would make Europe less attractive for investors, who might otherwise bring capital and jobs – a point the study emphasises, noting that Europe would see lower FDI inflows and diminished economic dynamism under such scenarios.

The reason is clear: inhibit the fast connectivity and flexibility that business travel provides, and companies will think twice about basing projects or headquarters in Europe. A transatlantic investor deciding where to build a new factory may favor a region where executives can reliably reach the site and clients in a single day’s trip. If Europe hampers that ability, investment can shift elsewhere. The Oxford Economics report quantified a potential FDI decrease of €76–120 billion and up to 104,000 fewer jobs tied to foreign-controlled companies, should stringent restrictions on business flying take effect. Such a loss would be a self-inflicted wound to Europe’s competitive standing – effectively trading away economic growth for marginal environmental gains.

Holger Krahmer, Secretary General of the European Business Aviation Association (EBAA), has cautioned against this “ban mentality.” Targeting business aviation with blanket restrictions and punitive measures “risks €120 billion in FDI and thousands of jobs by 2030”, he warns.

Krahmer argues that Europe should “move away from the ban mentality and focus on policies that support innovation, decarbonisation, and competitiveness.” In other words, rather than shrinking a vital industry, policymakers should work with it to achieve climate goals without undermining economic goals.

Importantly, the negative impact of draconian measures would be felt unevenly across Europe. Industrial powerhouses like Germany, Italy, and Poland – countries with high levels of foreign investment and manufacturing – could suffer outsized job losses if business aviation activity is curtailed. Remote regions that rely on business aircraft to reach the EU’s economic core would likewise see reduced connectivity. In sum, clamping down on this sector could weaken the EU’s competitive position globally by 2030 – precisely what Europe cannot afford amid intensifying global competition.

Sustainability: progress, not punishment

The drive to reduce carbon emissions is often cited as justification for new restrictions on aviation. Indeed, business aviation acknowledges the need to decarbonise, and it is already making strides to do so. But the facts show that the climate impact of business aviation is very limited in scale, while the industry’s commitment to sustainability is growing impressively. In 2023, all business aircraft flights combined accounted for just 0.8% of EU aviation emissions – only 0.04% of total EU CO₂.

Even completely eliminating these flights would barely move the needle on Europe’s overall emissions, yet it would remove a catalyst for economic activity and connectivity. This is not to say climate action isn’t needed – it is – but it illustrates that smart solutions are preferable to blunt bans.

Rather than punitive measures, the industry is championing innovations like Sustainable Aviation Fuel (SAF) and next-generation technologies to shrink its carbon footprint. SAF, which can be used in today’s aircraft engines, offers up to an 80% reduction in lifecycle CO₂ emissions per flight . Business aviation operators have been among the first movers in adopting SAF, frequently fueling corporate jets with these advanced biofuels at major European airports. Industry leaders stress that SAF is ready now. “SAF is not just a future aspiration; it’s a viable drop-in solution available now and it’s essential to decarbonise air travel today,” says Frank Moesta, Senior Vice President at Rolls-Royce. The engine manufacturer is backing up those words with action – “actively support[ing] the ramp-up” of SAF supply and even launching dedicated SAF programs. Rolls-Royce and other European aerospace firms have jointly committed to use 20% SAF by 2030 and 100% SAF by 2050, a rate “even higher than what is mandated by ReFuelEU” (the EU’s new sustainable fuel regulation). This proactive approach shows that the business aviation community isn’t shying away from climate responsibilities; on the contrary, it’s investing in greener technology faster than regulators are demanding.

Beyond SAF, business aviation is also a testbed for innovation in aviation. Smaller aircraft are often the first to implement cutting-edge improvements – from advanced avionics to new propulsion systems – that later scale up to commercial airliners. As GAMA (General Aviation Manufacturers Association) Vice President Kyle Martin points out, general and business aviation manufacturers maintain a strong innovation pipeline for the broader industry, bringing “advancements that mitigate carbon emissions and safety-enhancing technologies to market first, before they scale up to commercial aviation.” Misguided government proposals that excessively squeeze this sector could “stifle progress and investments” in these innovations. In other words, over-regulating business aviation might actually slow down the greening of all aviation, by cutting off the very arena where many sustainable technologies are pioneered.

The business aviation sector has also made a bold commitment to achieve net-zero carbon emissions by 2050, aligning with EU climate goals. Achieving this will require not only SAF but also new aircraft designs (including hybrid-electric and hydrogen-powered aircraft in the future), more efficient operations, and carbon offsetting or capture for remaining emissions. The industry is actively pushing on all these fronts. What it seeks from policymakers is partnership and support – incentives to scale up SAF production, research support for new technologies, and regulatory frameworks that enable innovation – rather than blunt instruments that simply make flying more expensive or difficult.

Carlos Brana, senior executive vice president at Dassault Aviation, which manufactures long-range business jets, captures the balance well: “Often perceived as a luxury, business aviation plays a crucial role in economic development. We’ve seen firsthand how it fosters growth in the regions it connects… Business aviation is a key driver of economic activity, both in Europe and globally.” He notes that many European small and medium-sized enterprises depend on the efficient and flexible transportation business aviation provides to grow and compete (). Yes, the sector must address its environmental impact – but that can be done *“without compromising Europe’s competitive advantage” through the use of new technologies like SAF (). The false choice between climate responsibility and economic connectivity is being challenged by industry voices: they insist Europe can have cleaner aviation and a strong economy at the same time, if we pursue innovation over simple restriction.

Policy at a crossroads: choosing collaboration over constriction

All of this places EU policymakers at a crossroads. On one path, there are proposals such as the ReFuelEU Aviation mandate, EU Emissions Trading System (ETS) reforms, and various tax or penalty schemes targeting aviation. These policies, if crafted without a sense of proportion, could inadvertently throttle a sector that is a strategic enabler of Europe’s economy. The ReFuelEU Aviation initiative, for instance, rightly aims to increase the uptake of SAF across all aviation – but it must be implemented in a way that ensures fuel availability and accounts for operational realities of smaller aircraft. Business aviation leaders, as noted, are already planning to outpace these mandates in SAF usage. What they ask in return is that regulators support the build-out of SAF supply chains and avoid one-size-fits-all rules that could ground smaller operators. The EU’s own Draghi report on European competitiveness echoes this approach, calling for investments in alternative fuel production so that decarbonisation targets can be met cost-effectively without undermining industry.

Similarly, the ongoing ETS reforms will phase out free carbon allowances for aviation by 2026, meaning business aircraft operators must purchase 100% of their CO₂ permits on the market (The EU Emissions Trading System for Aviation takes off – EBAA – European Business Aviation Association). This creates a strong financial incentive to reduce emissions – effectively a built-in carbon price. Europe is also introducing requirements to account for non-CO₂ effects of aviation, adding further compliance costs. These climate policies are important, but they represent a significant cost burden on business aviation already. Piling on additional taxes or restrictions (such as new ticket taxes on private flights, prohibitive anti-tankering policies or local flight bans) risks overkill. Policymakers should recognise that the sector is paying its share in the carbon market and investing in green solutions, and thus deserve a balanced policy approach rather than double punishment.

There is also a political narrative in some corners that casts private jets and business flights as frivolous extravagances to be reined in. Such characterisations ignore the very real economic role business aviation plays. Yes, a CEO’s private jet trip might make tabloid headlines, but what doesn’t make headlines is the factory that gets built because that CEO efficiently managed international operations, or the millions in investment that flowed because an investor could visit multiple European tech hubs in a short time. Business aviation exists because time is precious and connectivity drives commerce. A blanket clampdown on the sector would ultimately hurt European businesses of all sizes – from the startup needing to reach an overseas client, to the mid-size manufacturer coordinating a pan-European supply chain. As one industry executive quipped, business aviation customers are “enablers who create jobs, develop new technologies and invest in our shared future”, and by flying them efficiently, the industry supports countless other jobs down the line. In short, restricting business aviation is a self-defeating strategy if the goal is to strengthen Europe’s economy.

An asset for Europe’s ambitions

In today’s complex geopolitical environment, Europe must think in terms of strategic assets. We often discuss energy independence, technological sovereignty, and industrial policy as keys to Europe’s future – it’s time to add mobility and connectivity to that list. Business aviation is a strategic asset that provides Europe with agility: the agility to seize trade opportunities, attract and retain investment, and respond swiftly to economic or even security contingencies. It amplifies the effectiveness of Europe’s other strengths – what good is a cutting-edge innovation hub if global investors or partners can’t easily reach it? How can European firms lead abroad if their leaders spend days stuck in transit? Business aviation helps cut these barriers by saving time and linking the unlinked.

Rather than view this sector with skepticism, EU leaders and the Brussels policy community should see an ally in Europe’s competitiveness agenda. The industry is not asking for handouts or to be excused from climate objectives – it is asking for fair, well-calibrated policy. This means recognising the sector’s outsized economic contributions relative to its tiny environmental footprint, and crafting regulations that reduce emissions in partnership with industry. It means listening to companies like Rolls-Royce and Dassault that are pouring resources into sustainable aviation technology, and ensuring Europe’s policies encourage such innovation to happen within Europe’s borders (rather than driving it overseas). It also means acknowledging the messages of reports like Oxford Economics’: that a balanced approach will yield far better outcomes than knee-jerk constraints.

Ultimately, business aviation can be a powerful enabler of Europe’s broader goals. Whether it’s the EU’s drive for strategic autonomy, the desire to lead in green technologies, or the need to boost growth in an era of global uncertainty, this industry has a role to play. Europe’s four freedoms – movement of people, goods, services, and capital – all benefit from the connectivity business aviation provides. As we look to restore Europe’s competitive edge, let’s ensure we keep this airborne advantage aloft. With wise policy choices, business aviation will continue to connect Europe to the world, spur investment, and innovate solutions – helping secure a prosperous and sustainable future for the continent.