Highlights
- Charges may stay flat or increase up to 7 per cent.
- CAA's midpoint of £28.80 barely above current £28.40.
- Consultation runs until November, final decision April 2027.
The Civil Aviation Authority has started asking for feedback on fees Heathrow will be allowed to charge from next January.
These fees matter because they help the airport cover day-to-day expenses and pay for better facilities.
The watchdog's initial thinking would keep Heathrow's per-passenger charges somewhere between £27.20 and £30.50 for the five years ending in late 2031. Airlines usually pass these costs straight through to people buying tickets.
Split down middle
Looking at the CAA's suggested middle number of £28.80, that's barely different from the £28.40 Heathrow's been charging for the last five years. Even at the upper limit, it works out as roughly 7 per cent more.
Compare that with what the two sides actually want. Heathrow's asking for £33.80 per passenger. Airlines reckon £23 is more reasonable.
Taking the CAA's midpoint, that's 16 per cent less than what the airport wants and 25 per cent more than what carriers proposed.
British Airways and its sister companies Aer Lingus and Iberia, all part of the FTSE 100 group IAG, make up more than half of Heathrow's flight activity.
According to the regulator, these charges should help Heathrow get better at handling problems and improve what passengers experience, including baggage systems and security lines.
Selina Chadha runs the markets team at the CAA. She told The Times "Our primary duty is to protect consumers, doing the right thing for passengers using Heathrow airport while supporting sustainable growth, investment and efficiency.
Our proposals strike the right balance between keeping passenger prices fair while enabling the airport to make the investment needed to improve services for the future."
Heathrow pushed hard for much higher fees to recover money lost when planes were grounded and travel collapsed during the pandemic.
Airlines fired back, arguing the airport's international shareholders should absorb those losses rather than passing costs to customers.
The two camps also rowed over forecasts about how quickly international travel would recover. Heathrow predicted slow growth, but 2025 actually broke records for passenger numbers.
With half a year of talking still ahead, the CAA plans to share its updated proposals in November, aiming for a final verdict in April 2027.
