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Heathrow runway expansion gets govt approval

LONDON, October 26, 2016

The UK government has announced its support for a new runway at Heathrow – the first full length runway in the south-east since the Second World War.

A new runway at Heathrow will bring economic benefits to passengers and the wider economy worth up to £61 billion ($74.5 billion). Up to 77,000 additional local jobs are expected to be created over the next 14 years and the airport has committed to create 5,000 new apprenticeships over the same period.

Transport Secretary Chris Grayling said: “The step that government is taking today is truly momentous. I am proud that after years of discussion and delay this government is taking decisive action to secure the UK’s place in the global aviation market – securing jobs and business opportunities for the next decade and beyond.”

“A new runway at Heathrow will improve connectivity in the UK itself and crucially boost our connections with the rest of the world, supporting exports, trade and job opportunities. This isn’t just a great deal for business; it’s a great deal for passengers who will also benefit from access to more airlines, destinations and flights.”

“This is an important issue for the whole country. That is why the government’s preferred scheme will be subject to full and fair public consultation. Of course it is also hugely important for those living near the airport. That is why we have made clear that expansion will only be allowed to proceed on the basis of a world class package of compensation and mitigation worth up to £2.6 billion, including community support, insulation, and respite from noise – balancing the benefits and the impacts of expansion,” he added.

Expansion at the airport will better connect the UK to long haul destinations across the globe and to growing world markets including in Asia and South America, bringing a significant boost to trade.

Heathrow already handles more freight by value than all other UK airports combined, accounting for 31 per cent of the UK’s non-EU trade, and its expansion will create even more opportunities for UK business to get their goods to new markets.

While there are clear gains for business, passengers will also benefit from a greater choice of airlines, destinations and flight times. The Airports Commission, chaired by Sir Howard Davies, anticipated that a new runway would bring in new capacity to meet demand and allow greater levels of competition, lowering fares even after taking into account the costs of construction.

Expansion costs will be paid for by the private sector, not by the taxpayer. It will be for the Civil Aviation Authority (CAA), as the independent industry regulator, to work with Heathrow Airport Ltd and airlines operating at the airport, on the detailed design and costs to ensure the scheme remains affordable. The government expects the industry to work together to drive down costs to benefit passengers. The aim should be to deliver a plan for expansion that keeps landing charges close to current levels.

This new runway will deliver major economic and strategic benefits to the UK, but it must be delivered without hitting passengers in the pocket. The Airports Commission was clear that this is achievable as is the CAA.

A third runway will also support new connections to the UK’s regions as well as safeguarding existing domestic routes. Heathrow has proposed a further six new routes to Belfast International, Liverpool, Newquay, Humberside, Prestwick and Durham Tees Valley to be added after expansion.

The eight existing routes offered today are: Edinburgh, Glasgow, Inverness, Aberdeen, Belfast City, Manchester, Newcastle and Leeds Bradford. This would provide 14 domestic routes in total, and spread benefits right across the country.

Government will also take all necessary steps including, where appropriate, ring-fencing a suitable proportion of new slots for domestic routes, to ensure enhanced connectivity within the UK.

Despite the increase in flights Heathrow Airport Ltd has made firm commitments to noise reduction. The government will propose that a six-and-a-half hour ban on scheduled night flights will be introduced for the first time at Heathrow and will make more stringent night noise restrictions a requirement of expansion. The timing of this ban will be determined through consultation. – TradeArabia News Service




Tags: Airport expansion | Heathrow runway |

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