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UK airlines 'not seeking financial aid from Government'

British Airways and bmi British Midland say they have not asked for subsidies from the UK Government.

But they have expressed concern that US airlines may gain a competitive advantage if around $17.5 billion in aid is paid to them following last week's terror attacks.

Commenting on yesterday's meeting with Transport Secretary Stephen Byers, a BA spokesman says all they are asking for is a "level playing field".

This has been echoed by British Midland, with a spokesman saying: "We impressed upon the Government that a level playing field must be maintained within the global airline industry.

"In addition, the operational consequences of enhanced security measures was also raised for discussion."

Elsewhere, Irish-based Ryanair has written to the European Commission urging it not to alter its policy on state aid to flag carrier airlines, saying: "If any such aid is considered, it should be applied equally to all airlines and all passengers."

Ryanair suggested this should be done by means of "reducing passenger taxes" or "landing and passenger charges".

Air France has said it's less vulnerable than US airlines to further disruption stemming from last week's terror attacks.

A spokeswoman for Air France declined to be drawn directly on the question of whether a European Union aid package for airlines might be justified. But she said Air France's US operations represented only 18% of total sales.

She said the US attacks were likely to weigh on Air France's activities, but it was still to early to forecast the exact effect.

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