The CAA's decision to drastically increase the regulated charges at Heathrow and Gatwick Airports has been denounced by the airlines.

At Heathrow, for 2008/9 alone, the charge per passenger increases to £12.80, a like-for-like increase of 23.5%. Then, for the following four years, BAA is permitted to increase this price by a maximum of Retail Price Index (RPI) +7.5%.

At Gatwick, the passenger charge for 2008/9 increases to £6.79, a like-for-like increase of 21%, after which the maximum increases for the next four years are RPI+2%.

The airlines expected substantial increases because of the levels of investment taking place at both airports, but the CAA's generosity towards BAA is staggering.

Commenting on today's introduction The Chief Executive of BAR UK, Mike Carrivick, said: 'The increases announced by the CAA are at the top end of the unwarranted and unexpected.

'The CAA's decisions not only reward for past failures, but also allow a bonus for exceeding minimum standards. Which other company in this hard-nosed competitive world enjoys that sort of protection? Exceeding expectations should be aimed for as a matter of course. The rewards are that your customers then come back for more, something that has not been seen by BAA for a long while.'

For editors:
The Board of Airline Representatives in the UK (BAR UK) Ltd represents 90+ scheduled airlines in this country in their dealings with Government, government departments, regulators and airport operators. Full details of its work, and the Board, can be found on www.bar-uk.org.

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For further information contact:

Mike Carrivick, FRAeS
Chief Executive BAR UK
Tel: 020 7393 1261
Fax: 020 7393 1206
Mobile: 07747 612840