UPDATE 2-Britain extends airport slot waiver into summer to help airlines

(Recasts with govt statement)

LONDON, Jan 29 (Reuters) - Britain said it would extend a
waiver on airport slot rules for the summer holiday season
meaning airlines don't have to fly to keep their takeoff and
landing windows, helping carriers hamstrung by the COVID-19
pandemic.

Rules governing takeoff and landing rights at once-busy
airports have been suspended since last year, freeing airlines
from the obligation to use 80% of their take-off and landing
spots or else cede them, so-called "use it or lose it" rules.

The Department for Transport said in a statement on Friday
that the move "provided flexibility to airlines to support them
during this difficult time" and reflected the current low demand
for air travel.

COVID-19 restrictions in Britain currently ban holidays and
many airlines are struggling financially after close to a year
with minimal revenues.

While longer-established airlines such as British Airways
and Virgin Atlantic with a big airport presence will
welcome the extension, low cost players like Ryanair and
Wizz Air are impatient to see a return to normal rules.

Both have said that the suspension stops them from adding
new flights and creating competition.

Airport Coordination Limited (ACL), an independent slot
co-ordination company, said in an earlier statement that
alleviation would be granted in the UK for the Northern Summer
2021, subject to slots being returned three weeks or more in
advance of the planned operation.

It added that newly allocated slots are excluded from the
alleviation.

Britain's move to extend the waiver could see it diverge
from an EU proposal made in December to restore some slot
competition this year. It is the UK's first decision on airport
slot rules since it left the European Union's orbit on Dec. 31.

The move also means that airlines do not need to fly "ghost
flights". Before the waiver was introduced, some carriers ran
empty flights to avoid losing slots, sparking outrage among
environmentalists and the wider public.

(Reporting by Sarah Young; Editing by Alistair Smout, Kirsten
Donovan)