Hi all,
I read a very interesting article on CAPA – Centre For Aviation’s website earlier regarding the CAA’s decision about the amount of money that London airports can charge, and I thought I’d just share a quick image that startled me (see below)…I can’t believe how much higher the fees are for LHR compared to other European airports.
LHR will obviously say that the fees they charge are how they can afford to keep on improving the infrastructure at the airport, however the airlines say that these are high enough and that savings can be made in other areas.
This leads me onto a number of questions…
1. Why is it that everything in this country is always substaintially more expensive than our European counterparts?
2. Do European airports recieve any form of subsidys from their respective Governments in order to help them; if so, why does our Government not offer the same?
3. Why can’t we see similar/better efficiency than our counterparts considering we charge the highest fees?
4. Surely with the combination of the most expensive fees, APD tax and Government dilly-dallying over the capacity issue, its no wonder we are lacking far behind and businesses are choosing to go elsewhere?
Anyone got any thoughts on these, please feel free to share below.
For anyone who may want to read the article, and I fully recommend you do: http://centreforaviation.com/analysis/caas-final-decisions-on-london-airport-prices-shift-the-balance-back-towards-the-airlines-for-now-147896
By: Matt-100 - 19th January 2014 at 23:53
I’ll answer your questions in succession;
1) That’s really a subjective thing and also depends on the industry that’s being discussed, I know my Dutch counterparts are always overwhelmed by how cheap things are here.
2) I believe the EU stopped (or are trying to stop) all that, which is why so many regional airports across Europe rely so heavily on Ryanair’s custom.
3) With regard to Heathrow, no other airport does more with less – period. It’s hard to really see how Heathrow could be any more efficient as it stands at the moment.
4) The unrivaled growth potential of London and the UK over the next couple of decades compared to other western European countries will mean if a business wants to invest in the UK, it will. An overcrowded airport is not a deal breaker when you’re trying to get into the region’s fastest growing economy.
The truth is, if you book early enough, Heathrow and London airports as a whole are still the cheapest option when travelling to all four corners of the globe compared to CDG and AMS (and often FRA as well).
By: Moggy C - 19th January 2014 at 23:26
Every slot at Heathrow is filled at the current price.
What would be the advantage of charging less?
… and businesses are choosing to go elsewhere?
Evidence? Vague and baseless statements don’t make convincing arguments.
Moggy
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January 19, 2014 at 6:29 pm