BAA to sell major UK airports

  BAA may have to sell three of its seven UK airports because of its market dominance, the Competition Commission said this morning.     The watchdog is recommending that the airport operator sells two of either Heathrow, Gatwick and Stansted airports in the South East.     It also believes BAA should not be allowed to continue to own airports in both Glasgow and Edinburgh.     BAA responded by saying the regulator’s verdict was “flawed” and confirmed it had “no intention” of selling Heathrow, its largest airport.     The commission said BAA’s current ownership structure was having “adverse consequences” for passengers and airlines.     A final decision is expected next April and is likely to see BAA forced to sell Gatwick and Stansted.     When sold, the commission said they should be owned separately to promote competition.     The commission said BAA will likely be allowed to keep control of Southampton and Aberdeen airports, its two smallest airports, because they did not present competition concerns.     The airports have already attracted significant interest.     Germany’s Fraport and construction group Hochtief have both declared an interest, and London City Airport co-owner Global Infrastructure Partners, Australia’s Macquarie and Manchester Airports Group are also expected to play a part.     paul.norman@egi.co.uk