Virgin boss Sir Richard Branson is reported to be interested in buying Gatwick Airport.

The tycoon is considering adding his name to a list of bidders for the prized south east terminal if BAA is forced to sell, according to The Daily Telegraph.

The Competition Commission recently published a preliminary report on Britain’s airports industry suggesting that BAA’s ownership of three London airports - Heathrow, Gatwick and Stansted - was against the public interest.

Any break-up of BAA, which could also involve the sale of Stansted and either Glasgow or Edinburgh, depends on a final report early next year.

Zaher Deir, managing director of London Ashford Airport at Lydd, welcomed the likely disposal of two of BAA's three London airports, saying that Manston and Lydd stood to benefit from any sale of Gatwick and Stansted.

Speaking a fortnight ago, Mr Deir said: "We are pleased with the decision of the Competition Commission in regards to the BAA ownership. I believe the whole dynamic of south east airports will be more competitive, plus the fact that regional airports will benefit a great deal.

"The congestion at the main airports will not change due to them operating at maximum capacity, however smaller airports will enjoy the spill over and will be able to build on the increase of the number of aircraft movements and passenger numbers."

He added: "While the proposed break-up of the BAA monopoly is welcomed, the lack of foresight of successive governments to look at the issue of airport provision is a difficult one to solve, because breaking up the existing monopoly is only the start of the problem.

"Regional airports such as London Ashford Airport have a significant role to play, because by taking care of some of the short haul intra-European traffic, this allows airports such as Heathrow and Gatwick to focus on long haul flights."

Virgin is expected to seek partners, especially on the financial side, to join it in any bid. Sir Richard told the paper: "We are open to being courted by anyone who is interested in bidding."

Airlines have been fierce critics of BAA, claiming that without competition, Spanish-owned BAA has raised costs beyond reasonable levels and delivered poor service to airlines and passengers.

Over-crowding, poor baggage handling and computer failures that separated thousands of passengers from their luggage, as well as the chaos surrounding the opening of Heathrow’s Terminal 5 have been blamed on BAA.