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Industry reacts to Heathrow expansion approval

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A third runway at the airport will bring economic benefits of up to £61 billion

The government has approved a third runway at Heathrow to expand UK airport capacity.

A new runway at Heathrow will bring economic benefits to passengers and the wider economy worth up to £61 billion over 60 years. 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.

“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.”

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 boost to trade.

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.

In addition, the government proposes new legally binding noise targets, encouraging the use of quieter planes, and a more reliable and predictable timetable of respite for those living under the final flight path. The airport has also pledged to provide more than £700 million for noise insulation for residential properties.

Modernising use of the air space will also boost the sector and will help to further reduce noise and carbon emissions.

In response to the announcement, Philippa Oldham, head of transport and manufacturing at the Institution of Mechanical Engineers, said: “This is so near and yet so far. Without clear view from government on its support for expansion at Gatwick and Birmingham airports, investors are still unable to take a long-term view on how to future-proof UK airport capacity.

“The year of consultation means yet more uncertainty, at a time when we need to be definite about our industrial strategy. We need to use airport capacity in the South East to boost the whole UK economy. Air freight is an important contributor, with a particularly important role in supporting trade with countries outside the EU. This delay is therefore particularly worrying following the Brexit vote.

“For local communities, the expansion of capacity helps support economic growth and employment as well as training and apprenticeship opportunities.  A key factor for Heathrow is that government should look to incentivise electric and hybrid technology to the vehicles that service the airport.”

Mick Rix, GMB union's national officer for transport and distribution, commented: “This not only protects the 80,000 jobs directly employed at the airport but will increase to a further 114,000 jobs that will be needed, and 10,000 local apprenticeship schemes. Expansion also means that the delays people experience in their current Heathrow travel experience, will be severely minimised."

The Mayor of London, Sadiq Khan, added: “This is the wrong decision for London and the whole of Britain. The government is running roughshod over Londoners' views – just five months ago I was elected as Mayor on a clear platform of opposing a new runway at Heathrow, a position that was shared by the Conservative, Liberal Democrat, Green and UKIP candidates in that election.

“A new runway at Heathrow will be devastating for air quality across London – air pollution around the airport is already above legal levels of NO2.

“Heathrow already exposes more people to aircraft noise than Paris CDG, Frankfurt, Amsterdam, Munich and Madrid combined. A third runway would mean an extra 200,000 people impacted, exposing 124 more schools and 43,200 more schoolchildren to an unacceptable level of noise.

“An expanded Gatwick would have boosted our economy without causing these huge air and noise pollution problems and it could be built quicker and cheaper.”

Paul Everitt, ADS group chief executive, commented: “As demand for air travel increases, UK airlines are expected to invest around £60 billion in new aircraft over the next 20 years. For UK aerospace companies this represents major opportunities for growth and a sustained economic return for the nation’s finances.”

Grahame Carter, operations director at engineering recruitment specialist Matchtech, added: “The expansion of Heathrow will inject a great sense of confidence into the infrastructure sector. There is a substantial pre-existing talent pool in the UK, particularly within the Buildings and Highways sectors, and this coupled with transferable skills from other infrastructure markets as well as the upskilling of existing workforces means we are well prepared to deliver this flagship aviation project.

“While we are well prepared within the UK, the scale of the Heathrow expansion will inevitably call for skilled professionals from overseas. Depending on the nature of the UK’s departure from the European Union, we may face challenges importing qualified engineers, which would significantly narrow the talent pool available for this scheme.”
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