Air passengers will face a rise in ticket prices of about £2 after new landing charges for Heathrow and Gatwick airports were announced.
Air passengers will face a rise in ticket prices of about £2 after new landing charges for Heathrow and Gatwick airports were announced.
The Civil Aviation Authority (CAA) has allowed airports operator BAA to lift its fees to pay for better facilities and more stringent security measures.
The Civil Aviation Authority (CAA) has allowed airports operator BAA to lift its fees to pay for better facilities and more stringent security measures.
Charges can rise by 23.5% at Heathrow in the year 2008/2009, and increase by 21% at Gatwick, the CAA said.
Charges can rise by 23.5% at Heathrow in the year 2008/2009, and increase by 21% at Gatwick, the CAA said.
The increases were criticised by airlines including British Airways.
The increases were criticised by airlines including British Airways.
"When BAA's new owners, Ferrovial, bought them, the CAA said they would not be influenced by Ferrovial's high debt levels," said Paul Ellis, BA's airport policy and infrastructure general manager.
"When BAA's new owners, Ferrovial, bought them, the CAA said they would not be influenced by Ferrovial's high debt levels," said Paul Ellis, BA's airport policy and infrastructure general manager.
"In practice, they have ignored their own policy and caved in to intense pressure from BAA by setting excessive price increases.
"In practice, they have ignored their own policy and caved in to intense pressure from BAA by setting excessive price increases.
"Heathrow passengers will pay, on average, 17% more than the Competition Commission recommended in September 2007," he added.
"Heathrow passengers will pay, on average, 17% more than the Competition Commission recommended in September 2007," he added.
Large scale
Large scale
However, BAA owner Ferrovial said that the changes did not go far enough.
However, BAA owner Ferrovial said that the changes did not go far enough.
"The review does not recognise sufficiently: the scale of the task we are embarked on; the pressures of handling such large infrastructure projects; the full cost of the increased security requirements; as well as the impact of the credit market turmoil," BAA said in a statement.
"The review does not recognise sufficiently: the scale of the task we are embarked on; the pressures of handling such large infrastructure projects; the full cost of the increased security requirements; as well as the impact of the credit market turmoil," BAA said in a statement.
Ferrovial is heavily in debt and there have been repeated calls for BAA's monopoly as airport operator to be broken up.
Ferrovial is heavily in debt and there have been repeated calls for BAA's monopoly as airport operator to be broken up.
BAA has a monopoly over the big three London airports - Heathrow, Gatwick and Stansted - and its landing charges are fixed by the CAA. It is currently the subject of a Competition Commission inquiry.
BAA has a monopoly over the big three London airports - Heathrow, Gatwick and Stansted - and its landing charges are fixed by the CAA. It is currently the subject of a Competition Commission inquiry.
The BBC's Transport correspondent, Tom Symonds, says that BAA believes the increase won't be enough to pay for £6.5bn rebuilding work at Heathrow and ageing facilities at Gatwick.
The BBC's Transport correspondent, Tom Symonds, says that BAA believes the increase won't be enough to pay for £6.5bn rebuilding work at Heathrow and ageing facilities at Gatwick.
Since the 11 September attacks, security costs have spiralled and BAA, along with other British airport operators, have to cover the costs themselves.
Since the 11 September attacks, security costs have spiralled and BAA, along with other British airport operators, have to cover the costs themselves.
Air passenger groups say customer service has fallen as a result.
Air passenger groups say customer service has fallen as a result.
The CAA said the new prices would allow "shorter security queuing times, enhanced levels of service across the airports, and greater and more immediate information to passengers from BAA of how it is performing against the standards it has been set".
The CAA said the new prices would allow "shorter security queuing times, enhanced levels of service across the airports, and greater and more immediate information to passengers from BAA of how it is performing against the standards it has been set".
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