BAA needs even higher charges at London airports
In the latest twist in the London airports charges saga (which
could ultimately reshape the ownership structure of the UK's major airports),
the Civil Aviation Authority (CAA) has recommended BAA be allowed to increase
charges at Heathrow by 15.6% in Apr-08 to GBP11.97 per passenger and by 7.5%
above inflation p/a for the following four years. It is an increase from an
earlier proposal for inflation plus 5.8%. Gatwick charges should rise 8.2% to
GBP6.07 and then by inflation plus 2%, according to the CAA. The CAA is also
proposing tougher financial penalties for BAA for the late delivery of capital
spending projects and any failures to meet service standards.
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