The EC has approved a takeover of BAA's duty free shops

The European Commission has approved the takeover of BAA's chain of World Duty Free airport shops by Autogrill.

World Duty Free holds the concession for shops at seven UK airports, while Italian-based Autogrill runs airport shops in EU and non-EU countries and shops at the Eurotunnel terminal in the UK.

The Commission. which vets European mergers which could affect fair competition, said WDF and Autogrill businesses overlapped, but the proposed linkup between the two "would not significantly impede effective competition".

A Commission statement went on: "The merged entity, although it would become the leading player in airport travel retail, would continue to face a number of important competitive constraints, both in bidding for retail concessions at airports and in the operation of airport shops.

"There are several strong international players that actively participate in tenders for airport retail concessions as well as numerous smaller local and regional airport retailers.

"In addition, unlike Autogrill, WDF has not been an active bidder in tenders for airport retail concessions."