Heathrow vs airlines – dispute continues as parties given permission…
Heathrow Airport and separately 3 major airlines (Virgin Atlantic, British Airways and Delta Air Lines) have been granted permission to appeal the Civil Aviation Authority (CAA)’s decision on the Heathrow price cap. The airlines have been locked in a fierce dispute with Heathrow over the amount the airport can charge per passenger. Both sides launched rival appeals in April against the CAA’s decision to lower the cap; the appeal process was then passed to the Competition and Markets Authority (CMA). The appeals followed the CAA’s confirmation in March that the levy would remain fixed at the same rate as set out earlier in the year – not allowing Heathrow to charge a higher rate. The CAA had announced in January that the 2023 cap would be raised to £31.57 per passenger, up from £30.19. It will then fall about 20% to £25.43 per passenger in 2024 and will remain there until 2026. The airlines argue that Heathrow has played down its recovery from Covid, and used “knowingly undercooked and self-serving passenger forecasts,” to attempt to keep the cap, which is set based on passenger numbers, higher. Heathrow argue that the rate should be greater, to boost investment in the airport. .Tweet Heathrow vs airlines – dispute continues as parties given permission to appeal price cap BY GUY TAYLOR (City AM) 11.5.2023 Heathrow Airport and three major airlines have been granted permission to appeal the Civil Aviation Authority (CAA)’s decision on the Heathrow price cap this afternoon. The airlines, which are Virgin Atlantic, British Airways and Delta Air Lines, have been locked in a fierce dispute with Heathrow over the amount the airport can charge per passenger. Both sides launched rival appeals in April against the CAA’s decision to lower the cap; the appeal process was then passed to the Competition and Markets Authority (CMA). The
