Information about the CAA's economic regulation work
The CAA has powers under the Civil Aviation Act 2012 to license airport operators that pass a market power test.
This test consists of three parts:
For airports that are subject to price control under the Airports Act 1986 the CAA is currently assessing whether the airport operators meet the test. More information about market power assessments.
If an airport passes the market power test it will require a licence from 1 April 2014. Any licence will include conditions that the CAA considers necessary to deal with the risk that the airport operator will abuse its substantial market power. Such conditions may include price controls on airport charges.
Below are documents relating to the CAA’s review of whether Heathrow Airport meets the market power test and, if so, the appropriate form of regulation and licence.
Q6 Stakeholder workshop: Heathrow 9 March 2012
The CAA sought views from the airport and airlines on its emerging thinking relating to key issues.