BAA could be forced to sell three of its airports after the Competition Commission criticised the company for what it said was decades of poor service to airlines and passengers.

The commission wants to break up BAA's monopoly control of airports in the South East and Scotland. It proposes that BAA sell two of its three airports in the London area, which almost certainly means that Gatwick and Stansted will be auctioned next year. BAA will also have to sell either Edinburgh or Glasgow but will be allowed to keep Aberdeen and Southampton.

In a provisional report published yesterday, the commission said that BAA's monopoly had resulted in poor passenger service and a lack of ambition in developing these vital pieces of infrastructure. Christopher Clarke, the chairman of the commission's inquiry, said: “We just seem to have been stuck in a time warp for the past two decades.”

The Competition Commission began its investigation into BAA last year after a report by the Office of Fair Trading into business practices at the airports. The final report will be published by next March, and any potential airport sales could be forced through by the end of 2009.

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The commission's key complaints are that the monopoly has made BAA complacent about responding to airline needs because there are few viable alternatives to its facilities. It also criticised poor service standards, a complaint that has been voiced by passenger groups and businesses. Long check-in and security queues, crumbling infrastructure and cramped conditions have made BAA's airports a national - and international - embarrassment. Heathrow, the world's busiest international airport, was ranked 90th out of 101 airports for overall passenger experience last year by the Airports Council International. Gatwick was 75th and Stansted 74th.

Colin Matthews, the chief executive of BAA, said: “There is a very strong feeling that improvements are needed in our airports and that is something we have to be realistic about. But I don't see how the commission's findings will make much difference to passengers in the short term and may even delay improvements.”

BAA, which is owned by Ferrovial, of Spain, said that the Competition Commission's inquiry could lead to delays in adding airport capacity, such as a third runway at Heathrow. Potential buyers have expressed an interest in BAA's assets, including Manchester Airports Group, Fraport, which operates Frankfurt airport, and some infrastructure funds.

The commission said that it wanted the Civil Aviation Authority to acquire enhanced regulatory powers that would enable it to grant and revoke operating licences as a means of influencing airport owners.

Jim Callaghan, head of legal affairs for Ryanair, said: “Competition works, monopolies don't. BAA has long ignored the needs of its airline users and the travelling public and provided inefficient, gold-plated facilities, encouraged by an ineffectual regulator, the CAA.”

Nigel Turner, the chief executive of bmi, said that the BAA monopoly had resulted in higher costs and price increases that could not be sustained in a competitive environment.

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