BOB AYLING, the former chief executive of British Airways, has entered the race for Gatwick by joining a Citigroup-led consortium that will bid for the UK’s second-largest airport.

Ayling is one of a number of high-profile industry executives recruited in recent weeks by the groups vying to win the auction. Gatwick has been put up for sale by Ferrovial, the Spanish infrastructure group, ahead of a Competition Commission ruling expected to force its disposal. The winning bidder is likely to pay as much as £2 billion.

Three former BAA bosses are working for Gatwick Future Partnership (GFP), a consortium led by Babcock & Brown’s European infrastructure fund and Deutsche Bank’s infrastructure investment unit.

Margaret Ewing, the vice-chairman of Deloitte and a former BAA finance director, is part of the team, while Dominic Helmsley, who ran BAA’s international business, and Richard Jeffrey, a former boss of Edinburgh airport, are working for the Babcock & Brown fund. GFP is expected to announce a heavyweight chairman in the next few weeks.

Sir Michael Hodgkinson, who was chief executive of BAA until 2003, is advising Hochtief, the German construction and infrastructure group, on its bid. Ayling will advise Citigroup, which has Vancouver airport and American insurance giant John Hancock as part of its team. Citigroup recently successfully bid for Chicago’s Midway airport.

Ferrovial sent an information memorandum on Gatwick to interested parties last week. First-round bids are due in the new year.

Other contenders include Manchester airport, which is part of a group led by Borealis, the Canadian infrastructure fund, which is advised by Dresdner Kleinwort. Global Infrastructure Partners, the joint venture between Credit Suisse and GE that owns London City airport, is also likely to join the race.

BAA still faces regulatory hurdles, however, with the Competition Commission set to make a final report on airport ownership next year. The watchdog could step in and take control of the auction. It is keen to ensure the new owner of Gatwick promotes competition between London airports.

Meanwhile, the Civil Aviation Authority will announce on Tuesday a new set of price controls for Stansted airport.

A key issue is whether BAA will be allowed to recoup investment in a new runway at the airport over the next five years.

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