North East airports at risk as Heathrow fills up
Nov 12 2008 by William Green, The Journal
THE North East faces losing crucial air links if a third Heathrow runway is rejected and the region’s economy left “devastated” by a new aviation tax, according to airport bosses.
Ed Anderson, executive chairman of the Airport Operators Association, said air links between the region and London were under constant threat because Heathrow is full.
Flights operate out of Newcastle and Durham Tees Valley airports, although calls for a third Heathrow runway are facing opposition with a Government decision expected soon.
A total of 110 MPs have signed a Commons motion opposing a third runway but backing a new high-speed rail network and examining whether regional airports could handle more long-haul flights. Mr Anderson said both airport expansion and high-speed rail links should be considered as he warned of a growing risk of business switching to European airports – such as Paris – which had more runways.
“It is bad for UK plc so the impact of that spreads through the country, including the regions, because Heathrow is full.
“There is a constant threat to those regions that still have a connection to Heathrow because those airlines may decide to use them for long-distance routes,” said Mr Anderson.
He also claimed a new £2.5bn aviation tax – up from the current £2bn bill – would prove highly damaging and force up ticket prices. Chancellor Alistair Darling is expected to release further details of the tax within weeks.
Mr Anderson said the tax would disadvantage new more fuel-efficient but larger planes, with the duty based on aircraft weight.
“If you are flying from Newcastle to South America via Heathrow you will then pay the tax on each leg on each part of each flight,” he said.
But he said passengers would only pay the tax, being introduced next November, once if they flew to Amsterdam, for example. “The more passengers that do that, the less viable the Newcastle to Heathrow service becomes. The other problem is that it will hamper regional airports in their enormous efforts to get direct routes to new destinations.
Graeme Mason, Newcastle Airport’s head of planning and corporate affairs, has warned acute pressure on congested slots at Heathrow pose a real threat to regional services. On aviation duty, he said: “We are extremely concerned that this tax will have a serious and potentially devastating impact on our business and on our geographically marginalised region. If government is serious about developing our regional economy, it should be looking for measures to support aviation in this part of the country, not actively helping to destroy it.
“Aviation duty needs to be revised significantly if the Government is to protect fragile economic regions like ours from losing vital air services.”
