UK Regulator To Prolong Oneworld Transatlantic Pact Due To Pandemic

UK competition regulators have imposed interim measures to address concerns over transatlantic routes operated under the Oneworld alliance’s joint business arrangement, having opted not to accept concession proposals put forward earlier this year.

Oneworld carriers British Airways and American Airlines had offered slots at London Heathrow or Gatwick to alleviate competition concerns, as a 10-year binding commitment from 2010 neared its expiry date. The original transatlantic partnership, which also included Iberia, has expanded to five airlines with the addition of Aer Lingus and Finnair.

The UK’s Competition & Markets Authority has decided to extend the terms of the 2010 commitment for another three years, until March 2024, to give the airline sector a chance to stabilize, and to allow a better assessment of the competition situation.

It had opened an investigation into the transatlantic joint-business agreement in October 2018, subsequently identifying potential competition concerns on routes between London and the US cities of Boston, Chicago, Dallas, Miami, and Philadelphia.

Full Content: Flight Global

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