Heathrow is planning to cut charges for airlines flying domestic routes from the London hub airport by a third and will make up the shortfall by increasing the charges attached to noise and pollution.
The airport hopes the move will provide more incentive for airlines to fly cleaner and quieter planes.
Some fares should fall as Heathrow is proposing to give a £10 discount to the average £29.59 per passenger charge for domestic flights, although the charges are levied on airlines rather than customers so are not necessarily passed on.
Only seven domestic routes now operate out of Heathrow, compared with 18 in 1990, and the airport hopes to reverse the decline and prove its worth as a national hub airport with domestic connections as it seeks to win approval for a third runway. About 7% of its 73.2 million passengers each year fly on domestic routes.