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This working paper discusses our treatment and assessment of two categories of historical capital expenditure (capex) incurred by Heathrow Airport Limited (HAL), namely capex incurred during the Q6 price control period; and early expansion costs incurred before March 2020.

In relation to the Q6 capex review, this working paper covers:

• an overview of stakeholder responses received to our September 2020 Working Paper;
• an update on the key policy areas; and
• our emerging conclusions from this review.

In relation to early expansion costs, this working paper provides:

• an update on our policy; and
• our assessment of costs incurred by HAL before March 2020.

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