BA agrees to OFT decision on transatlantic fuel surcharges

OFT announcement that it will impose a financial penalty of £121.5 million on British Airways for colluding with Virgin Atlantic on fuel surcharges on transatlantic ticket prices. British Airways has apparently admitted collusion. Virgin benefits from the leniency policy for reporting the cartel. Criminal charges against BA staff are still under consideration.

The notice does not provide any OFT opinion on the effect of the alleged cartel on ticket prices, or timing for the publication of a decision:

The OFT's infringement decision against BA will be taken and published in due course. It will record the full findings in this case and the basis for the calculation of the penalty to be imposed on British Airways.

The decision, once taken, can be appealed to the Competition Appeal Tribunal. Once the administrative proceedings are complete, passengers who have evidence of having been affected by the cartel will be able to seek damages through a separate claim at the Competition Appeal Tribunal.

For further information or advice please contact Franck Latrémolière.

Filed under Article 81, OFT.

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