American and Iberia are moving at London Heathrow — here's what you need to know

If you're passing through London's Heathrow Airport (LHR) in the coming months, listen up: there are some big terminal changes in the works.

Both American Airlines and Iberia are vacating Terminal 5 and moving to Terminal 3 instead.

The move will take effect on Tuesday, July 12, with all American flights departing the U.S. on Monday, July 11, parking at Terminal 3 when they land in the U.K.

American was previously operating up to 11 daily flights from Terminal 5, which is home to the airline's Atlantic joint-venture business partner British Airways.

In July 2020, American consolidated all of its operations into Terminal 5 when Terminal 3 closed at the height of the pandemic. Terminal 3 reopened in summer 2021, and American moved all of its flights back there (except for New York-JFK services, which remained in Terminal 5). Earlier this year, the airline started operating Dallas/Fort Worth (DFW), Los Angeles (LAX) and Miami (MIA) routes from Terminal 5, leaving the others in Terminal 3.

For American and Iberia, co-locating in Terminal 5 gave connecting travelers a more seamless transit experience. Those connecting onto British Airways flights didn't have to take a bus to a different terminal.

Originally, the plan was for American to co-locate for the duration of the summer travel season (through Oct. 30). But now, American's residency in Terminal 5 is coming to an abrupt end nearly four months early.

The reason: British Airways can't handle its own flights in Terminal 5, let alone American's and Iberia's.

British Airways has had a challenging start to its summer operations and to improve the customer experience, BA plans to operate the majority of its flights out of Terminal 5. As a result, BA asked American and Iberia to consolidate operations elsewhere.

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There have been numerous reports of mishandled baggage, overcrowded security lines and general chaos at Terminal 5 during peak periods. By moving American and Iberia out of the terminal, British Airways seemingly hopes that it will help solve some of the issues. (Note that American will handle Iberia's above and below-the-wing operation in Terminal 3.)

In a statement, an American Airlines spokesperson shared that:

Starting on July 12, our operations at London Heathrow (LHR) will be consolidated in Terminal 3. The temporary partial co-location of our operation with our Atlantic Joint Business partner British Airways was planned only for the summer season and we continue to explore options for joint operations with all of our AJB partners at LHR in the future.

Customers whose connecting flights may be impacted as a result of this adjustment will be contacted directly with alternate travel options that get them to their destinations.

Perhaps the biggest implication of the move is that the minimum connection time needed at Heathrow will increase by 50% for those connecting to and from British Airways.

Currently, the shortest connection that American or Iberia can sell within Terminal 5 is 60 minutes. Now, with the move to Terminal 3, that number jumps to one-and-a-half hours, according to ExpertFlyer's travel information.

While 90 minutes is the minimum connection, many travelers will likely want to book a longer transit time, given that the trek between terminals requires taking a bus, re-clearing security and possibly boarding a train to a remote pier of gates.

American has already loaded its schedule change and affected travelers should be able to check their bookings for updated travel information. Those with illegal connections will be contacted by American.

Just like passengers, checked bags will also have a longer journey between terminals. Travelers may thus want to plan some additional time for the carriers to transfer luggage between terminals. (Don't forget to pack an AirTag in your bags, either.)

While the terminal move is certainly disappointing for those connecting to British Airways flights, it's certainly good news for premium-cabin passengers with lounge access.

Terminal 3 at London Heathrow is largely regarded as the best for those with lounge access. Oneworld premium-cabin and elite flyers will have access to the Cathay Pacific, Qantas and British Airways lounges.

Additionally, American Express' new Centurion Lounge in Heathrow is located in Terminal 3, so those with the issuer's top cards will enjoy easy access.

Finally, American plans to reopen its Admirals Club in Terminal 3 in mid-August, a carrier spokesperson confirmed to TPG.

Meanwhile, British Airways has a stronghold on the lounges in Terminal 5. The main Galleries Club Lounge leaves a bit to be desired, especially when compared to the far superior Cathay Pacific and Qantas lounges in Terminal 3.