Lack of capacity at Heathrow airport costing UK £14bn
A report commissioned by Heathrow airport said that a lack of capacity at the airstrip is costing the UK economy £14 billion every year in lost trade. The report also said that the figure could rise to £26 billion per year by 2030.
Top authorities are planning to build a third runway at the west London Airport, but the government has ruled it out for the time being. A commission headed by Sir Howard Davies has been asked to advise the government about the UK airport’s future capacity plans.
An interim report is expected to be to be presented to the government by the end of 2013 and a full report is due in the summer of 2015, after the next generation elections.
A report known as ‘One hub or none’ was prepared for the airport by consultants Frontier Economics in regards to Heathrow Airport. A hub airport is one where passengers from another airport are brought in, so that they can transfer onto ongoing flights. About one-third of the passengers flying into Heathrow transfer onto other flights. The report also said that the choice for the UK was not between two hubs or one but instead the choice was between one hub or none.