Heathrow charges

A £3bn five-year investment plan has been unveil by Heathrow, which has not been well received by the airlines, noting that the cost will have to be passed on to passengers.  The Civil Aviation Authority (CAA) is the final arbitrator and will announce its findings next January.  If approved, the charges would increase from a maximum £19.33 per passenger today, to £27.30 in 2018/19.

Heathrow, which expects annual passenger numbers to rise to 72.6m by 2019 from today's 70m, noted the investment would benefit passengers. Gatwick charges less than half.

"Heathrow faces stiff competition from other European hubs and we must continue to improve the service we offer passengers and airlines", Heathrow's Chief Executive Colin Matthews said.

Heathrow's two largest carriers, IAG's British Airways and Virgin Atlantic, claimed improvements could be made without hitting customers and airlines.

"In the current economic climate other businesses, in private and public sectors and especially airlines, are making savings and delivering on less money", noted Virgin Atlantic's Chief Operating Officer, Steve Griffiths.  "Airports should not be exempt from that”.

The opening of the new T2 next year is a plus for the airport, but there are still unresolved difficulties concerning airline tenancy across the four terminals, and in particular domestic flight connections. www.heathrowairport.com

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