UK regulator caps Heathrow fee rise

Britain's Heathrow Airport is not allowed to raise passenger charges as much as it wanted.

That's according to proposals from the UK's aviation regulator Tuesday (October 19).

Heathrow wanted to raise passenger fees to help offset losses from disruption due to the global health crisis.

Its losses topped $4 billion as traffic fell by more than 80%.

Now the UK's Civil Aviation Authority says Heathrow can raise its per passenger charge to between about $33 and $47.

The airport wanted them to go as high as $60.

Though the fees didn't go as far as Heathrow wanted, airlines are still angry.

Carriers including British Airways-owner IAG called the fees 'disproportionate'.

It says the London hub is already the world's most expensive.

A fresh hike would mean raising ticket prices to cover the charges just when they are trying to get passengers flying again.

The new fee proposals will be finalized next year.