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According to Oxford Dictionary, Luggage is the usual word in BrE ("There �s room for one more piece of luggage", "You stay there with the luggage while I find a cab") but Baggage is also used, especially in the context of the bags and cases that passengers take on a flight ("excess baggage", "baggage handlers", "Never leave baggage unattended"). In AmE, Baggage is normally used.
Etymology: Middle English bagage, from Middle French, from bagues belongings, baggage
Date: 15th century
1: suitcases, trunks, and personal belongings of travelers :luggage 2: transportable equipment especially of a military force 3: intangible things (as feelings, circumstances, or beliefs) that get in the way <emotional baggage>
