Airline and passenger interests are not served by BAA’s common ownership of UK airports, says the Competition Commission

BAA’s common ownership of seven airports in the UK may not be serving well the interests of either airlines or passengers, suggested the Competition Commission (CC) in its interim report on the supply of airport services by BAA in the UK.

No conclusions have been reached at this stage but the CC expects to publish its provisional findings in August this year and if competition problems are identified, it intends to set out its possible remedies at the same time, whether requiring the sale of one or more of BAA’s airports or otherwise.

“BAA dominates the airports markets in the South-East of England and in lowland Scotland, both areas of high economic activity and importance.

Christopher Clarke, Chairman of the BAA Airports inquiry

Christopher Clarke, Chairman of the BAA Airports inquiry, said: ‘BAA dominates the airports markets in the South-East of England and in lowland Scotland, both areas of high economic activity and importance.’

He added: ‘One of the principal reasons for structuring the privatized BAA in 1987 to include all three major London airports was to provide adequate airport capacity in the South-East of England. Currently there is a shortage of capacity, notably runway.’

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