Heathrow's charges to rise with inflation

[LONDON] The UK aviation regulator yesterday proposed that fees charged by London's biggest airport over the next five years could rise with inflation, after previously signalling cost increases would be restrained more severely.

Heathrow Airport charges would be allowed to increase by as much as the UK's retail price index (RPI) for the period starting April 2014, the Civil Aviation Authority said yesterday. It previously proposed that prices should be allowed to rise by no more than RPI minus 1.3 per cent.

Europe's biggest airport by passenger numbers asked the CAA to allow yearly changes in fees at the RPI inflation rate plus 4.6 per cent and airlines requested a 9.8 per cent cut.