EasyJet sounds alarm bells over Gatwick sale

The sale of Gatwick Airport may have been billed as good news for passengers, but one no-frills airline has already begun voicing concerns about the deal.

Within hours of the agreement being reached, easyJet, Gatwick's largest carrier, went public with a warning over excessively high charges at the airport.

The airline cautioned new owner GIP that a previously approved 50 per cent hike in operator fees is likely to have negative consequences for passengers.

As reported on Cheapflights yesterday (see story), airport regulator BAA has grudgingly  accepted a below-valuation bid of £1.51 billion for Gatwick.

The sale was forced through by the Competition Commission, the UK's consumer watchdog, which accused BAA of operating an effective monopoly in the south-east of England through its ownership of Heathrow, Gatwick, Stansted and Southampton airports.

But while expectations are high that the break-up of BAA will bring tangible improvements to the flying public, easyJet has said it is far too early to celebrate.

"Regardless of who owns Gatwick, it is still a monopoly," Andy Harrison, the airline's chief executive, bluntly commented. "Therefore it is vital that Gatwick is properly regulated to protect airline passengers from the new owners exploiting their market power."

Other carriers echoed that stance, with Flybe giving a "cautious welcome" to the sale but warning GIP not to "chase trophy airlines promising glamorous long-haul destinations".

GIP already has a 75 per cent stake in London City Airport – a predominantly business-focused gateway. The investment fund has promised to make radical changes to the way Gatwick is operated which, it claims, will result in lower fares and shorter queues.

© Cheapflights Ltd

Comments

[Roman]

When you look at the economic situation, there are reasons to doubt that low cost airlines will decrease their price. They'll try to save money, but will not reconsider their fares.