England’s Competition and Markets Authority (CMA) has stated that a decision on how much Heathrow Airport can charge airlines needs to be reevaluated.
In February, England’s Civil Aviation Authority (CAA) decided to reduce the cap on Heathrow’s average charge per passenger from £31.57 in 2023 to £25.43 over the next three years.
Heathrow Airport and three airlines (British Airways, Delta Air Lines, and Virgin Atlantic) appealed against the CAA’s decision.
The CMA, after assessing the appeals, found that the CAA’s price control for Heathrow struck the right balance between passenger prices and encouraging airport improvements. However, there are a few smaller issues that the CAA has been ordered to reexamine promptly.
Heathrow expressed disappointment but is ready to move forward, with a focus on delivering what passengers want within the given restrictions. They have also emphasised the importance of considering consumer views in order to provide the desired passenger experience and not just higher profits for airlines.
