Plan to allow Heathrow to raise passenger charges
Heathrow will be allowed to raise passenger charges by up to 56% under plans announced by the aviation regulator.
The Civil Aviation Authority (CAA) is consulting on increasing the cap on the west London airport’s price per passenger from £22 last year to between £24.50 and £34.40.
Today, we have published a consultation on our initial proposals for the next price control at Heathrow Airport Limited.
You can read the full announcement on our website at:https://t.co/8seiNcOWFU— UK Civil Aviation Authority (@UK_CAA) October 19, 2021
It is proposing that the exact figure will depend on factors such as passenger demand and commercial revenue, with prices higher if Heathrow continues to struggle in those areas.
The range is planned to come in effect from summer 2022, with an interim cap of £30 being introduced at the beginning of the year.
The charges are ultimately paid by passengers as airlines add the cost to the price of tickets.
Our role as a regulator is to protect consumers. In doing that we set the maximum amount Heathrow Airport can charge airlines to use the airport, which is then included in airline ticket prices.
We are currently consulting on what the charge will be for the next five years. pic.twitter.com/mtV1rwETET— UK Civil Aviation Authority (@UK_CAA) October 19, 2021
Heathrow had called for the cap to range from £32-£43 for the five-year period being consulted on.
The airport said in July that its losses from the Covid-19 pandemic had hit £2.9 billion.
Passenger numbers in September were just 38% of pre-pandemic levels.
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