CAA to seek industry views on 1.6% charge increase

The aviation regulator has put forward proposals to a below inflation increase in like-for-like charges to the industry of 1.6% from next April.

The Civil Aviation Authority has started an eight-week consultation on the scheme of charges which it says are expected to represent an estimated 0.4% of UK aerospace turnover – equal to 45p per UK passenger journey next year.

The suggested charges are focused on the CAA’s core mission of protecting the public and enabling aerospace.

The authority said the proposals “respond to the ever-increasing consumer demand for capacity and reliability”. 

They also reflect “rapid technological advancement,” with a greater drive towards decarbonisation, digitalisation, and continued demand within UK airspace.

The level of the charges is consistent with the approach to charges and value for money proposed by the CAA as part of the government sponsored arm’s length body review last year.

The consultation seeks industry feedback by January 15, 2025. A response document reflecting the feedback received from industry and transport secretary Louise Haigh will then be published.

Chief financial and operations officer Tracey Martin said: “Effective regulation can be a positive force for innovation and safety by giving the public confidence in new products and services, and investors’ confidence to support the industry.

“In order to effectively perform our role protecting people and enabling aerospace, it is essential that we are focused on the future and are able to keep pace with the rapid changes the industry is going through.

“We have proposed a reasonable balance of our regulatory obligations with investment in future innovation, helping the aviation sector to grow, and reflect the interests of all our regulatory customers.”