This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/7571613.stm
The article has changed 14 times. There is an RSS feed of changes available.
Version 1 | Version 2 |
---|---|
BAA 'should sell three airports' | BAA 'should sell three airports' |
(20 minutes later) | |
BAA may have to sell three of its seven UK airports because of concerns about its market dominance, the Competition Commission has said. | BAA may have to sell three of its seven UK airports because of concerns about its market dominance, the Competition Commission has said. |
The watchdog is recommending that the airport operator should have to sell two of either Heathrow, Gatwick and Stansted airports in the South East. | The watchdog is recommending that the airport operator should have to sell two of either Heathrow, Gatwick and Stansted airports in the South East. |
It also believes BAA should not be allowed to continue to own airports in both Glasgow and Edinburgh. | It also believes BAA should not be allowed to continue to own airports in both Glasgow and Edinburgh. |
BAA said it had "no intention" of selling Heathrow, its largest airport. | BAA said it had "no intention" of selling Heathrow, its largest airport. |
It described the regulator's verdict as "flawed" and said the forced sale of leading airports would be "counter-productive". | |
The final decision on the company's future will be taken next April. | The final decision on the company's future will be taken next April. |
Ownership concerns | Ownership concerns |
Publishing the preliminary findings of its inquiry into BAA's control of the UK's largest airports, the commission said the current ownership structure was having "adverse consequences" for passengers and airlines. | |
BAA has been fiercely criticised for poor customer service and delays at its airports, particularly Heathrow. | BAA has been fiercely criticised for poor customer service and delays at its airports, particularly Heathrow. |
BAA AIRPORTS HeathrowGatwickStanstedEdinburghGlasgowAberdeenSouthampton | |
The commission said many of the problems of recent years were due to the "common ownership" of Heathrow, Gatwick and Stansted, which account for nearly 90% of departures and arrivals into London. | The commission said many of the problems of recent years were due to the "common ownership" of Heathrow, Gatwick and Stansted, which account for nearly 90% of departures and arrivals into London. |
It will now consult on whether it is appropriate for BAA to have to sell two of its three flagship airports, but that now looks likely. | |
"BAA has argued that there is no scope for competition to develop so long as there are capacity constraints," Christopher Clarke, who headed up the regulator's inquiry, said. | |
"We take the opposite view. Unless the market is opened up to competition, there is a serious risk that the current capacity constraints will persist." | |
'Disproportionate' | |
The commission said that BAA was likely be allowed to keep control of Southampton and Aberdeen airports, its two smallest airports, because they did not present competition concerns. | The commission said that BAA was likely be allowed to keep control of Southampton and Aberdeen airports, its two smallest airports, because they did not present competition concerns. |
BAA's chief executive Colin Matthews said he accepted the report's concerns about "poor service" and "frustration" for passengers. | BAA's chief executive Colin Matthews said he accepted the report's concerns about "poor service" and "frustration" for passengers. |
He declined to comment on the future for individual airports but said BAA had "no intention of selling Heathrow". | He declined to comment on the future for individual airports but said BAA had "no intention of selling Heathrow". |
"We will continue to point out to the commission the many areas where we believe its analysis is flawed and its remedies would be disproportionate and counter-productive," he said. |