Business leaders push the case for expansion of Birmingham Airport

BIRMINGHAM’S business community has been quick to push for the expansion of Birmingham Airport in the wake of the Government’s decision to opt for a third runway at Heathrow.

The Government’s decision had been expected – but those expecting it to also make a case for a second runway at Birmingham to capitalise on the benefits of HS2 were left disappointed.

One of those backing the expansion of facilities at Birmingham is Conservative candidate for West Midlands Mayor, Andy Street.

Mr Street, who had advocated for an expansion of facilities at the airport while chairman of the Greater Birmingham and Solihull Local Enterprise Partnership, said the Government announcement set very firmly the context for airport expansion nationally.
 
“Within this landscape, it’s important we now seize the moment and start setting out our case for expansion at Birmingham and, crucially, how other important aspects like planning, the environment and rail transport fit in,” he said.
 
“Businesses across the region are very clear on their desire for an expanded Birmingham airport.
 
“We certainly have momentum as unlike Heathrow we currently have under-utilised capacity, and thus we can grow now. The airport’s leadership are already exploiting this opportunity well. For the last 19 months there has been record growth, and our airport is now handling approximately 11m movements a year. That leaves good capacity on the one runway, which we can take advantage of whilst decisions are taken for London’s current airports.”
 
However, he said the process was very much long term.

Andy Street“A growing regional economy, and the advent of HS2 within the decade, give us a new opportunity which needs very careful planning. We must determine when extra capacity is brought on stream, and we must balance all the interests in the area around what will be Birmingham Interchange HS2 station. There are a number of critical business, leisure and housing uses, all of which will need to respect environmental needs,” added Mr Street.

He said he was backing the creation of an Urban Growth Company, set up by Solihull Borough Council. The company’s role would be to strike the right balance, and ensure that there was an integrated and sustainable scheme developed.

“The UGC will present its draft Masterplan later this year, and I very much hope that all interests will be able to align behind its recommendations,” he added.
 
Mr Street’s successor at the GBSLEP, Steve Hollis, agreed a clear strategy to grow major regional airports was now needed.

He said: “We welcome the Government’s decision to invest in aviation capacity at Heathrow, but with the additional runway not operational until 2025 at the very earliest, it is clear that we now need a strategy to grow major regional airports to the benefit of UK plc.

“The Secretary of State confirmed that regional airports have a vital role to play and Birmingham Airport has already shown significant growth over the past few years, with the potential to further increase passenger numbers.

“Combined with the arrival of HS2 in 2026, the airport is key to the national aviation strategy and crucial to propelling the Midlands Engine.  We look forward to working with the Government to explore these opportunities.”

Greater Birmingham Chambers of Commerce said expansion at Birmingham had to be the focus of future of aviation strategy in the UK.

Chamber chief executive Paul Faulkner said Birmingham was the answer to growing national demand.

Mr Faulkner said Birmingham Airport remained ideally placed to service the country’s increasing air capacity needs.

And he hoped Birmingham would continue to explore options for growth.

He said: “We believe that Birmingham Airport remains ideally placed to service this growing demand. Once HS2 is complete, Birmingham will sit at the heart of a world-class transport network connecting eight of 10 of Britain’s largest cities.

“Expansion at Birmingham Airport could benefit the nation as well as pushing the accelerator on the growth of the Midlands Engine.
 
“We hope to see Birmingham Airport continue to push ahead with exploring options for growth and expansion and Government backing of their proposals in due course.”

Birmingham Airport CEO Paul Kehoe is the current present of the chamber.

In his acceptance speech earlier this month he pledged to make the case for Birmingham to get a greater slice of the national infrastructure pic.

Elsewhere, Jeremy Blackburn, Head of Policy at RICS said while the decision over Heathrow had finally provided the UK with some much needed certainty, it would be naive to draw the airport debate to a close.  

“Government should also consider building additional airport capacity outside of London and across the UK in order to meet future demands. Many regional airports are already reaching operational capacity and if we are serious about the Midlands Engine, and Northern Powerhouse, we must spread capacity across multiple locations and allow the UK to reach its full potential,” he said.

Michael Synnott, Senior Teaching Fellow at Warwick Business School, who researches urban economic policy and strategy and has been a policy adviser in the UK and Australia, is available.

Dr Synnott said expansion of Heathrow illustrated the lack of policy context regarding aviation expansion.

“While there is relative silence on the implications of an expansion of Heathrow for infrastructure such as the M25 and M4, the claim is being made that Heathrow is closer to the northern cities and will therefore be more inclusive,” he said.

“It’s not just that 196 miles separates Heathrow and Manchester, but also that there is no direct rail connection to Heathrow from the Midlands or the North.

“But what is the policy objective implied by an expansion of Heathrow that will also boost growth across the Northern cities? Superfast broadband and a modernised regional rail system would bring more cheers outside the Southern bubble.”

FlybeFlybe, which is the largest airline in terms of passenger volumes at Birmingham Airport, said any final decision on the Government’s announcement on Heathrow had to incorporate assurances that it became a hub for the whole of the UK.

“Flybe calls on the Government to ensure that some of the new capacity is reserved for operators of regional aircraft at affordable prices,” it said in a statement.
 
Flybe said it had been encouraged by Heathrow’s recently announced plans to support regional flights and wanted to see these plans progressed.  

“Without such flights, the UK regions will miss out on much-needed connectivity to the capital and to long-haul destinations via Heathrow,” it added.
 
Paul Drechsler, CBI President, said the Heathrow decision would be an enormous relief to firms in every corner of the country.

“A new runway at Heathrow is really fantastic news, especially as the country has waited nearly 50 years for this decision. It will create the air links that will do so much to drive jobs and unlock growth across the UK, allowing even more of our innovative, ambitious and internationally focussed firms, from Bristol to Belfast, to take off and break into new markets,” he 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.

“This project should form part of a long-term framework for aviation capacity for the whole of the UK. Pressing ahead with key infrastructure projects like this will provide not only a welcome economic stimulus, but will show the world that we are well and truly open for business as we negotiate our exit from the EU.”

 

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