Domestic Air Fares

HC Deb 08 November 1982 vol 31 cc24-5W

47. Mr. Warren

asked the Minister for Trade if he will review the level of Government and Government agency cost components in the charges for United Kingdom domestic air fares.

Mr. Sproat

Domestic air fares are a matter for the Civil Aviation Authority. The only Government cost component is the aviation security fund. This is to be wound up from 31 March 1983. But the Government's policy is that the air transport industry should pay for the services it receives. Clearly these costs will be reflected in the fares charged by the airlines, but British Airports Authority charges are reviewed annually in consultation with the airlines and my Department. Some of the Civil Aviation Authority's activities are being referred to the Monopolies and Mergers Commission. I have also asked the new chairman, Mr. John Dent, to undertake his own review of the organisation. This review, which is now under way, includes the CAA's charging policy.