MPs call for BAA break-up

A committee of MPs has called for the break-up of BAA, the UK's leading airline operator.

The organisation, which runs seven airports, including Heathrow, Gatwick and Stanstead has been accused of dominating the UK aviation industry. A report by the House of Commons Transport committee said BAA had "mismanaged resources" and competition was being "stifled by common ownership of several major airports." MPs argued the lack of rivalry has caused BAA to become lazy, offering poor services to its passengers.

The committee's chairman, Gwyneth Dunwoody MP, told the BBC: "Ending BAA's common ownership will encourage airports to compete for traffic. The committee firmly believes that increased competition is possible and could have huge benefits for both airlines and passengers."

A source from the BAA said: "We firmly believe a break-up would only delay not just then much-needed investment, but also what the government, the committee itself in this latest report, have identified as the overwhelming priority in the south east of England since 2003 - the provision of extra runway and terminal capacity."

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