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Regulatory accounts

Heathrow is required to prepare regulatory accounts by the CAA as specified in License Condition E1. The primary purpose of the regulatory accounts is to serve the purpose of regulation by providing a means of comparing the airport’s financial performance over the price control decision period with that on which the setting of price caps was predicted. It also provides a starting valuation for the next quinquennium.

In Q6 the CAA has decided to align the regulatory year end to 31 December. This means the first year of Q6 will be a nine month period from 1 April 2014 to 31 December 2014 and subsequent years will be twelve months to 31st December.