The review will focus on the CAA’s efficiency and effectiveness in delivering its services; its role, form, function and delivery model and the corporate governance and assurance mechanisms underpinning the organisation.
The CAA’s relationship with the Department for Transport and how the two organisations work together will also be assessed, as well as how its priorities match up to the government’s wider objectives, taking into consideration its role as an independent regulator.
Transport secretary Grant Shapps said civil aviation regulation is the "lynchpin" of an industry which pre-pandemic carried millions of passengers every year, contributed £22 billion to the UK economy and supported nearly one million jobs.
"This review will ensure UK civil aviation regulation continues to be world-leading on safety, security, environmental considerations, economic regulation and consumer protection – and which often supports other countries in driving up global standard," he added.
Sir Stephen Hillier, chair of the Civil Aviation Authority, welcomed the opportunity the review presents to highlight the "dedication, skill and continuous learning culture" of the organisation, whilst identifying any areas for improvement.
"At the Civil Aviation Authority, we work tirelessly on our mission to achieve improvements in aviation and aerospace for consumers and the public," he added.
"It will help ensure that we continue to be a diverse, innovative and future-focused regulator, dedicated to improving aviation safety, security, and consumer interests and enabling a thriving aerospace sector."
The review forms part of a wider programme looking at public bodies across government, announced in April this year. It comes as the aviation industry continues to recover from the pandemic and will also run in parallel, but entirely separate to, the International Civil Aviation Organisation safety audit due to take place.
Jeremy Newman, an independent panel member at the UK’s Competition and Markets Authority, will lead the review, which will run until Spring 2023.