Heathrow fined for breaching competition law over car park charges
Heathrow Airport has been fined £1.6m for restricting competition on parking prices with the operator of the Sofitel hotel at Terminal 5.
The fine follows an investigation by the Competition and Markets Authority (CMA), which found that Heathrow and the hotel’s operator, Arora Group, breached competition law.
Heathrow initially faced a £2 million penalty but was slapped with a smaller fine for agreeing to settle.
Arora Group will not be fined as it was granted immunity for coming forward under the CMA’s leniency programme, designed to encourage companies to co-operate if they think they might be involved in wrong-doing.
The investigation centred on a clause in the lease for the hotel which restricted how parking prices should be set by Arora for non-hotel guests.
The CMA investigated whether the pricing restriction prevented the Arora Group from charging non-hotel guests cheaper prices than those offered at other car parks at the airport.
As part of its work, the CMA has sent letters to other airports and hotel operators warning against similar anti-competitive agreements.
It is the first time the CMA has taken competition law enforcement action in a case involving a land agreement.
Ann Pope, the CMA’s senior director for antitrust, said: "Airport car parking charges are paid by millions of people and any agreements to restrict price competition are not acceptable.
"Competition law applies to land agreements at airport car parks in the same way as any other type of business arrangement.
"This fine should act as a strong warning to all companies that the CMA will take action to make sure businesses are free to compete on price."
The CMA has a dedicated reporting hotline for cartels (020 3738 6888) and recently launched a campaign to encourage more people to come forward with information about suspected illegal behaviour.
The UK Civil Aviation Authority assisted the CMA in its investigation and will be issuing an Open Letter to airport operators and other relevant parties.
The CMA operates a rewards policy under which it may pay a financial reward of up to £100,000 in return for information which helps it to identify and take action against cartels.
Bev
Editor in chief Bev Fearis has been a travel journalist for 25 years. She started her career at Travel Weekly, where she became deputy news editor, before joining Business Traveller as deputy editor and launching the magazine’s website. She has also written travel features, news and expert comment for the Guardian, Observer, Times, Telegraph, Boundless and other consumer titles and was named one of the top 50 UK travel journalists by the Press Gazette.
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
France prepares for a massive strike across all transports on September 18
Turkish tourism stalls due to soaring prices for accommodation and food
CCS Insight: eSIMs ready to take the travel world by storm
Germany new European Entry/Exit System limited to a single airport on October 12, 2025
Airlines suspend Madagascar services following unrest and army revolt