Watchdog unlawful over BAA– easyJet

The Civil Aviation Authority was today accused of giving special treatment to BAA, which last year won a huge rise in airline charges — airport fees that are routinely passed on in higher passenger fares.

The High Court was told today that the aviation industry regulator acted unlawfully by allowing a 25% rise in take-off and landing charges at Gatwick.

In a case brought by easyJet, Gatwick's largest user, the CAA was accused of secretly and unfairly reopening an inquiry into whether BAA would be able to raise its airline charges to £1.3 billion over the five years to 2013 to take account of rising security costs.

A deposition by easyJet says the CAA closed a consultation period at the end of January last year but re-entered talks with BAA, Gatwick's operator, within a week without the airline's knowledge.

BAA argued it needed more money to spend on security if it was to have a chance of avoiding a new system of fines for not getting passengers through security controls within 10 minutes.