Writing in the Daily Telegraph, Lord Deighton argued carriers would not hike fares because “airlines set their ticket prices at what the market will bear, not on their cost base”.
“A higher airport charge would deliver clear benefits for passengers but reduce airline profit margins slightly, and that is why they are arguing against it,” he said.
The CAA will in "mid to late June" reveal the amount by which Heathrow can increase its fees. Heathrow had requested the CAA increase charges per passenger to between £32 and £43, but the CAA has said this range will be from £24.50 to £34.40, compared to £22 in 2020. An interim price of £30 was implemented in January.
