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The United States government has launched a strategy to ease congestion at New York's LaGuardia airport, according to reports.

America's transportation department intends to auction off valuable slots at the airport, most of which are owned by major carriers such as American Airlines and US Airways.

It is hoped that reduced access to slots at LaGuardia will force airlines to fly more people on larger planes, consequently cutting congestion in the airport, Reuters reports.

US transport secretary Mary Peters explained that the initiative could also have benefits in terms of boosting competition, consequently increasing choice and lowering fares for passengers.

'This proposal increases choices for passengers and adds competition, which is proven to lower fares,' she said.

'It also cuts delays and funds new aviation capacity projects for the region.'

The plans have not proved popular with the industry, however, with Jim May of the Air Transport Association describing the strategy as 'mystifying' and 'ridiculous'.

LaGuardia is a popular hub for business travellers in New York and has historically been one of America's worst airports for congestion and delays.

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