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Tue 1 Jul 2014 11:49 AM

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Qatar-backed Heathrow plans to raise landing fees, says CEO

UK's busiest airport plans to increase the "aeronautical charge" for airlines by 20%.

Qatar-backed Heathrow plans to raise landing fees, says CEO
Heathrow Terminal 5

The United Kingdom's largest airport, Heathrow, which is part-owned by Qatar, is looking to raise the landing fees it charges airlines, CEO John Holland-Kaye told the Financial Times in an interview.

Holland-Kaye, who takes over as CEO on Tuesday, told the FT that Heathrow planned to increase the "aeronautical charge" to £24 ($41) per passenger from £20.

Landing fees are a crucial source of income for Heathrow, Britain's busiest airport.

The fees are normally passed on by airlines to passengers.

The FT reported that the CEO said the proposal was part of a draft funding plan for a third runway that was submitted to UK's Airports Commission.

The paper said the CEO was confident of getting the commission's approval for a third runway opening in 2025.

A Heathrow representative could not be reached immediately for comment.

Heathrow Airport Holdings, which is co-owned by Spanish infrastructure company Ferrovial and other partners. Qatar Holding bought a 20 percent stake in the airport in 2012 and Akbar Al Baker, the outspoken CEO of Qatar Airways, is also a board member.

Etihad Airways, Emirates Airline, Gulf Air, Kuwait Airways, Oman Air, Middle East Airlines, Qatar Airways, Royal Jordanian and Saudi all operate to Heathrow.

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