The Civil Aviation Authority (CAA), with a previous automatic referral to the Competition Commission (CC), reviews the setting of the level of airport charges at Gatwick every five years (known as a quinquennium).

The review covers two major aspects of Gatwick’s business:

  • The maximum level of charges that Gatwick can levy. In practice this has meant the CAA determining annual increases in revenue from airport charges per passenger restricted to not more than the rate of inflation (Retail Price Index) plus or minus x percentage points.
  • Gatwick’s conduct in relation to customers, business partners and suppliers. The regulator is required to ensure that Gatwickacts in the interest of users.

Please find below the CAA’s determination for the latest quinquennium (known as Q5) covering the period from 1 April 2008 to 31 March 2013 published in March 2008. You can find additional information on the CAA website.

Q5 extension

In February 2011 the CAA consulted on extending the current five-year regulatory period by one year to end on 31 March 2014 and published its decision in March 2011 formalising the extension.

CAA Q5 extension consultation document - February 2011
Gatwick's response to the CAA's Q5 extension consultation - March 2011
CAA's Q5 extension decision - March 2011
Joint Gatwick Airport and airlines agreement on the Q5 extension - March 2011

Beyond Q5

The CAA is considering the form of regulation beyond the end of Q5 from April 2014 onward. Gatwick has submitted to the CAA a number of inputs to the CAA, including business plans and external expert advice, the links for which are shown below

Response to CAA final proposals - November 2013
Paper on regulation of an increasingly competitive airports sector - May 2013
Response to the CAA's report on price monitoring - March 2013
Response to the CAA's report on comparing and capping airport charges - March 2013
Letter to the CAA regarding the application of long run incremental cost estimates - March 2013
Gatwick Airport report on regulatory regimes at airports - January 2013
What is the cost of capital for Gatwick Airport beyond Q5 - January 2013
How has the risk of Gatwick Airport changed since the start of Q5 - January 2013
Refreshed Business Plan to 2024 (public version) - January 2013
Gatwick Airport report on regulation, deregulation & market power - November 2012
Initial Business Plan to 2020 (public version) - April 2012
Letter to the CAA re Constructive Engagement - March 2012

Review of the economic regulatory framework

The Department for Transport (DfT) completed its review of the economic regulatory framework of UK airports in December 2009. This was the first time since 1986, when the Airports Act set out the UK airports regulatory structure that the legislation has been reviewed. Here you can view the DfT's consultation document, Gatwick Airport's response and the DfT's decision document:

The Coalition Government announced in the Queen's speech in May 2010 its intention to introduce an Airport Economic Regulation Bill. This Bill seeks to implement the decisions of the previous government from its Review of Economic Regulation of Airports.

Find out more about the consultation and the DfT's continued work on reforming the framework for the economic regulation of airports.

The DfT published a draft Civil Aviation Bill on 23 November 2011 which can be viewed on their website. In parallel the CAA published an indicative licence and other related information which can be found on their website. Gatwick has provided:

Submission to the Transport Select Committee on the draft Civil Aviation Bill - November 2011
Response to the CAA's Indicative Licence - December 2011
Response to DfT's consultation on the removal of the CC - February 2012

Gatwick's other economic regulation submissions

CAA's consultation on 'Setting the Scene for Q6' - October 2011
CAA's audit of manual security queue measurement in North Terminal - October 2011
CAA's consultation on change to the trigger verification process - July 2011
CAA's consultation on Passenger Representation and Complaint Handling - June 2011
CAA's mid-Q5 capital expenditure assessment and Appendix - March 2011
Gatwick's action plan for the CAA's service quality regime audit 2010 - March 2011
CAA's 5 year strategic plan 2011-2016 - March 2011
CAA's review of winter disruption 2010 - January 2011
CAA's service quality regime audit 2010 - December 2010
CAA's 2011-12 charges - December 2010
CAA's review of Ryanair complaint on check-in desks pricing - December 2010
CAA's review of the Q5 price control process and Annex - November 2010
EC's common rules for allocation of slots at European airports - October 2010
CAA's accessible air travel for disabled and reduced mobility passengers
- September 2010
DfT's regulating air transport (as part of their review of the regulatory framework)
- March 2010
EC's application of EU legislation for air passenger rights - March 2010
EC's review of the 1996 ground handling directive - February 2010
DfT's promoting financial resilience for major airports (as part of their review of the regulatory framework) - February 2010
CAA's service quality regime audit 2009 - January 2010