Green light for Heathrow expansion
The UK Government has given the green light to plans for Heathrow expansion. The proposal for a third runway at Heathrow was chosen when the UK Prime Minister Theresa May chaired a meeting of the aviation subcommittee this morning.
As previously reported, the Heathrow scheme was competing with a proposal to add a new runway to Gatwick Airport.
A public consultation will now be held before the final decision is put to MPs for a vote in about a year’s time.
Sources report that the UK Foreign Secretary Boris Johnson (who previously served as Mayor for London) is still opposed to the Heathrow expansion and that he will issue a statement to this effect later today. Meanwhile, Zac Goldsmith is reported to be standing down as the Conservative MP for Richmond Park in protest.
Boris Johnson’s successor as Mayor for London, Sadiq Khan, is also opposed to the third runway plan and he responded to the government backing with this tweet: “I will continue to challenge this decision and I am exploring how I can best be involved in any legal process over the coming months.”
In a statement regarding the UK Government decision today, the Department for Transport said: “A new runway at Heathrow will bring economic benefits to passengers and the wider economy worth up to £61 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.”
The DfT also said: “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% 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.”
The UK Transport Secretary Chris Grayling commented: “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.”
While London Mayors Past and Present remain opposed to the Heathrow plans, there have been other voices across the political spectrum who have argued that the problem with the government’s decision today is that it is not decisive enough. They would like to press ahead with the expansion, rather than wait another year.
For example, James Stamp, global head of aviation at KPMG, said in a statement sent to Post&Parcel: “Unfortunately, while the cabinet commitment to a Heathrow scheme is positive, the additional delay sends a mixed and somewhat indecisive message to business and global investors. In the U.K., it means businesses still can’t really plan. To the rest of the world, this country looks increasingly isolated, and unable (or unwilling) to move forward with pace and vision.
“The debate about new runways in the UK has not just about where to lay 3000 metres of concrete; it’s fundamentally about how we secure our future economic prosperity. The reality is stark: currently London is not directly connected to 128 of the biggest cities in the world; we lack connections to 194 of the 309 cities that will have populations over two million in 2030; and our competitors already connect to 41 of these global growth engines.
“A truly positive statement would have gone a long way to alleviate the concern that we are missing those global connections that are now so important for business, jobs, and growth. However, the partial commitment does nothing to really reassure investors that we are moving forward to establish our place in a post—Brexit world.”
Meanwhile, Peter Kavanagh, the London and Eastern regional secretary of the union Unite, said: “The government’s approval for a third runway at Heathrow is welcome news, but it needs to fast forward the final decision and construction of the project.
“With every day that passes rival airports like Frankfurt and Charles de Gaulle in Paris rub their hands at the prospect of gaining a competitive advantage.
“We cannot have a never-ending holding pattern of inaction, which postpones the economic boost and jobs a third runway would bring to the UK economy at a time when we should be demonstrating that Britain is open for business.
Interestingly, Unite’s Kavanagh found himself in broad agreement – on this issue at least – with the CBI President Paul Drechsler, who said: “With contracts to tender for, apprentices to recruit and supply chains to build, this decision must be taken forward swiftly, giving businesses the confidence to invest. Our aviation capacity is set to run out as early as 2025, so it’s crucial we get spades in the ground as soon as possible to reap the benefits for jobs and growth, precisely when the country needs them most.”
