BAA: separate ownership of Scottish airports would not increase competition
22.04.08
BAA said today that separate ownership of its three Scottish airports - Aberdeen, Glasgow and Edinburgh Airport - would do little to improve competition. The company added that it believes London airports are not in competition with each other.
Today the Competition Commission moved a step closer to recommending the break-up of BAA, noting that the joint ownership of airports in London and Scotland adversely affects competition between them, and that BAA, which owns seven UK airports, 'may not be serving well the interests of either airlines or passengers'.
Responding to a report, BAA noted that in Scotland, 'we remain firmly of the view that separate ownership would do little, if anything, to engender competition between airports.' They added: 'We believe that the London airports do not compete with each other, and that Heathrow competes with the other global hubs in Europe and beyond.'
The Commission also said that it considers 'the regulatory system, created in 1986, is outdated and should be reformed to ensure that it supports the delivery of new capacity and provides encouragement to airports to drive up service standards'.
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