16th Dec 2021 09:10
(Alliance News) - Heathrow airport has been given permission to increase charges by more than 50% from January 1.
The Civil Aviation Authority on Thursday said the cap on the west London airport's price per passenger next year will be GBP30.19.
The current charge is GBP19.60.
Charges are paid by airlines, such as International Consolidated Airlines Group SA's British Airways, but are generally passed on to passengers in air fares.
A decision on a long-term cap, which is expected to begin in summer 2022 and run to 2027, is due to be announced early next year.
Heathrow, which had called for the cap to range from GBP32 to GBP43, said it was "extremely disappointed" in the interim figure of GBP30.19, saying it "relies on rushed analysis and will undermine passenger experience" at the airport.
"There are material and basic errors in many aspects of the CAA's assessment," a Heathrow spokesperson said.
"Uncorrected, this risks leaving Heathrow without sufficient cash flow to support investment in improving passenger service and resilience."
The GBP30.19 cap "reflects the uncertainty of the recovery of passenger volumes at the airport from the pandemic, particularly following the emergence of new information about the Omicron variant of Covid-19", according to the CAA.
The cap will move up or down depending on factors such as passenger numbers and commercial revenue.
Heathrow said in September its losses from the Covid-19 pandemic had hit GBP3.4 billion.
Passenger numbers are around 40% of pre-pandemic levels.
By Neil Lancefield, PA Transport Correspondent
source: PA
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