| Journal: TWUK | Section: |
| Title: | Issue Date: 22/05/00 |
| Author: | Page Number: 4 |
| Copyright: Other |
EasyJet calls for CAA regulation
EASYJEThas called for Luton Airport’s prices to be regulated by the Civil Aviation Authority after negotiations over passenger charges broke down.The low-cost airline has written to deputy prime minister John Prescott complaining the airport wants to increase prices per passenger to about £7 in November from the £1.68 EasyJet pays at the moment.
The CAA regulates prices at Heathrow, Gatwick, Stansted and Manchester airports and EasyJet has threatened to base the 32 extra aircraft it will add to the fleet over the next few years in Liverpool, Amsterdam and Geneva rather than Luton if the dispute continues.
An EasyJet spokesman said the airline had pulled out of negotiations with Luton over the passenger charges. He said: “Why should we pay the same as Monarch or Britannia when we handle 60% of the Luton traffic? The airport should have volume discounts.”
A spokeswoman for the airport said it was unfair that EasyJet wanted a preferential deal over other carriers.
The airline struck a favourable deal with the airport five years ago when it launched flights but this is being terminated by Luton in November.
The argument coincides with Luton’s chairman Peter Middleton stepping down from the post. He leaves at the end of next month, when new chief executive Graham Roberts will take a more hands-on role at the airport.
Dispute: EasyJet wants a preferential deal for Luton