Heathrow airport has cut domestic passenger charges by £10 as it aims to promote growth outside of London.
The new domestic charge of £19.10/passenger is over a third cheaper than 2016, with Heathrow proposing the discount lasts until 2037.
Airlines are under no obligation to reduce ticket prices following the move with Heathrow saying the reduction will “reduce the pressure on airlines” that operate domestic routes by making them “more commercially attractive”.
Although airlines including British Airways, Aer Lingus and Flybe will be obliged to take account of the reduced charge when displaying the breakdown of domestic fares from Heathrow.
During the long-running expansion debate Heathrow came under pressure to help drive economic growth to regional airports.
Flybe told BBT it welcomed Heathrow’s “commitment to enhanced regional connectivity”, and said it was a key factor in its decision to start flights to Edinburgh from Heathrow in March.
Heathrow’s CEO John Holland-Kaye said that the move would put “over £500 million back into the pockets of British families and businesses”, helping to “spur growth in every part of the UK”.
BBT has contacted the airlines for comment.