BAA break up nearer

Hotel News - 18/04/2007

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The possiblity of a break up of the airports operator BAA seems closer as the Office of Fair Trading said the company should face an inquiry regarding alleged unfair competition. The dominance of BAA over the south east's three main airports has lead to criticism of the company's service standards and the matter has been handed to the Competition Commission. The OFT said that it had received sixty responses during its period of consultation and these came from a mixture of consumers, airlines, other organisations the majority of these supported a referral. Poor customer satisfaction and the need for more competition to reduce costs were highlighted by the watchdog.

BAA owns Gatwick, Stansted and Heathrow airports and has faced past criticisms regarding increased security checks and longer queue times. BAA said it is now investing in developing its airports to improve services. The Civil Aviation Authority said it would impose tougher fianancial penalties on BAA where it fell short.

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