Heathrow passengers are likely to face increased airfares for the next two to three decades as the airport has been granted permission to recover costs associated with its proposed third runway expansion. The Civil Aviation Authority (CAA) has allowed Heathrow Airport Limited (HAL) to recoup £320 million spent on its expansion plans since early last year.
These recovered costs will be passed on to passengers through higher airline charges, which are typically reflected in airfares. The CAA's decision is expected to increase the maximum airport charge per passenger by approximately 15 pence in 2028, with a further rise to an estimated 30 pence in subsequent years. A separate process will determine cost recovery arrangements from 2027 onwards.
British Airways, a major airline operating at Heathrow, has previously expressed concerns that early cost recovery by HAL could make the expansion