Overview
- Heathrow said it handled just over 7.1 million passengers in May, a 1.2% year-on-year fall that reflected a roughly 31% drop in travel to and from the Middle East while the airport still recorded a record single day of 262,000 passengers.
- The airport blamed the Iran war’s disruption to Middle East routes for the short-term decline and said demand on other regions such as Africa, Asia Pacific and the EU remained strong.
- Heathrow warned that recent Civil Aviation Authority proposals to limit fee increases and impose tighter spending controls risk undermining its ability to pay for new projects and weaken the UK’s hub competitiveness.
- The CAA is also weighing options that could allow rival firms to lead expansion work at Heathrow, a prospect welcomed by at least one rival bidder and one that Heathrow says would threaten its privately funded plans.
- Heathrow says it is operating at capacity and is pressing ahead with terminal improvements and accessibility trials while pursuing planning consent for a third runway targeted for 2029, a decision that could affect fares, route choice and long-term UK connectivity.