Birmingham’s biggest airline challenges Heathrow on high operating costs

EUROPE’S largest regional airline, Flybe has made a stand for UK regional airlines against the high costs of operating out of Heathrow Airport.

The airline, the largest carrier out of Birmingham Airport has suspended plans to take up available slots at Heathrow that would have enabled it to operate a number of selected routes to and from Scotland from the end of October.

The airline said it was taking the stance because it was not viable for many regional airlines to operate services from Heathrow to the rest of the UK because it was simply too expensive.

While the capital is a massive market for any airline, if the costs are too high to operate regular services then many may look elsewhere to where there is greater capacity and costs are more viable.

Birmingham’s attractiveness to carriers has been highlighted in the past week, with airline and holiday operator Jet2.com announcing a massive expansion of services by launching 15 new routes out of the airport, starting next summer.

Flybe, which announced last week it was expanding its winter schedule out of Birmingham with a new service to Geneva, said it hoped the decision to suspend the Scottish services would prompt relevant stakeholders – Heathrow being a principal one – to rethink costs.

“A decision regarding Flybe’s start of commercial operations to and from Heathrow is now wholly dependent on the relevant stakeholders, led primarily by Heathrow. A regional airline with smaller aircraft cannot connect the UK regions viably to Heathrow without appropriate concessions and support,” said Flybe CEO, Saad Hammad.
 
“It is clear that the allocation of Heathrow slots to domestic regional operators is futile if the airport’s rigid charging regime cannot be adjusted to accommodate smaller aircraft. It is unreasonable to expect operators of 78-118 seat aircraft to absorb the same charges levied on carriers operating those with 850 or more.
 
“We have been encouraged by the constructive spirit with which Heathrow in particular was making towards reaching a mutually agreeable outcome. We welcome the £10 per passenger discount they have, for example, proposed for domestic airlines as of January 2017. Sadly, however, this is not enough. Flybe is keen to give Heathrow and other stakeholders time for a rethink.”
 
In the interim, and running alongside the ongoing debate on Heathrow or Gatwick expansion plans, Flybe said it would continue lobbying the government for RAF Northolt in north London to be utilised for scheduled commercial flights.

It said this readily available option could immediately link underserved regional airports to London, either for point to point travel or for onward connections to Heathrow, which is only a few miles away from the main airport.