The UK’s Civil Aviation Authority may allow BAA to increase charges to airlines by 15.6 per cent at Heathrow and by 8.2 per cent at Gatwick over the next five years from 2008.
Th e CAA is also looking at boosting penalties for BAA if it fails to hit performance targets. Th e proposed package of price caps and incentives is aimed at enabling and encourage BAA to deliver genuine service quality improvements, according to the CAA, and to invest to raise the standard of service that can be delivered to passengers and airlines.