Heathrow Airport unveils fresh plans for £49bn third runway and Liverpool city region could benefit from supply chain contracts and support for domestic air routes. Tony McDonough reports
Heathrow Airport has come back again with fresh plans for a third runway after seeing its last attempt struck down by the courts in 2020.
Under new proposals announced in the last few days Heathrow said the project would be entirely privately financed. It added it could be delivered within a decade, “unlocking jobs and growth across the whole of the UK”.
It consists of three elements: £21bn for the new runway and airfield infrastructure, £12bn for new terminal and stand capacity – the brand new T5X – and £15bn for modernising the current airport through expanding Terminal 2 and ultimately closing Terminal 3.
In 2020 the Court of Appeal struck down the then Conservative Government’s approval for the Heathrow third runway. The court said the Government did not adequately take into account the UK’s climate change commitments under the Paris Agreement.
However, Heathrow hopes its commitment to reach net zero by 2050, as well as setting targets on noise reduction and air quality, will see it overcome those hurdles this time around.
It claims to be already ahead of target on its decarbonisation push, cutting carbon from flights by around 10% since 2019, and carbon on the ground by 15%. There are also plans to ramp up the use of so-called sustainable aviation fuel.
This project is designed not just to benefit the economy in London and the South East but also boost the supply chain across the UK with tens of thousands of employment opportunities during design, construction and operation.
Crucially, 60% of the wider supply chain spend will go to companies outside London and the South-East. Before the last proposals were shut down five years ago Liverpool city region businesses were in line for work from the project.
In 2018 Birkenhead shipyard Cammell Laird put its hat in the ring to provide pre-assembly facilities. It secured a place on a 65-strong UK-wide shortlist, along with the Port of Liverpool, from which four locations were to be selected.
A high-level delegation from Heathrow visited Cammell Laird to take a closer look at the two sites the company put forward – Campbeltown Road and the MEA Park Wirral Waters in Beaufort Road.
City region Metro Mayor Steve Rotheram has previously given his backing to the project as long as it does truly benefit the rest of the UK. In particular, he insists airports such as Liverpool John Lennon (LJLA) get access to valuable landing slots at Heathrow.
Last time Heathrow promised to establish a fund to support regional air routes which would include access to highly prized landing slots.
A hub link with Heathrow, and its almost unrivalled global connectivity, has long been the Holy Grail for LJLA. There was a link between the two via British Midland in the late 1980s.
A direct connection between LJLA and the world’s premier aviation hub would be seen as a valuable prize. LJLA has seen a resurgence in passenger numbers post-COVID and is keen to maximise its potential.
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Mr Rotheram told LBN in January: “The third runway at Heathrow has the potential to bring huge economic benefits to the UK.
“But it’s vital that those benefits aren’t limited to London and the South East. We have to ensure that regional airports, like Liverpool John Lennon, get a fair share of the new slots.
“Right now, we’re the largest city region in Europe without a hub airport connection. That’s not just an inconvenience – it’s a major barrier to growth. Direct global access would be a game-changer for our businesses, unlocking international trade, tourism, and investment that’s long overdue.”
Heathrow claims the 3rd runway would unlock at least 30 new destinations, serving up to 150m passengers on up to 756,000 flights each year.
As long as there is appropriate support from Government Heathrow will consult with airlines, the local community, local authorities, businesses and others from next year. A planning application is expected to be submitted in 2028.
Chambers of Commerce across the country have given their support. Paul Cherpeau, chief executive of Liverpool Chamber, told LBN: “Liverpool is always high on the list of international travellers to the UK and Heathrow is responsible for large numbers who use it as an entry point to embark on trips around our country.
“As we bid to attract greater inward investment into our city region, it’s fair to assume that Heathrow will have an important role to play in that regard too, given its location next to one of the world’s largest financial centres.
“As a Chamber that serves the interests of businesses in Liverpool city region, naturally our support for Heathrow’s third runway is conditional on the proviso that it can and should support economic growth here as well as nationally.
“Unlocking capacity, boosting cargo values, expanding route options for our businesses should be enhanced alongside supply chain investment or greater direct transport links to the region. Put simply, if the goal is to create greater opportunity, then we must be connected to that.
“Of course, Heathrow cannot deliver that promise on its own, and the wider infrastructure needs to be in place to create that type of seamless, instinctive experience the UK deserves.”
Thomas Woldbye, chief executive of Heathrow, also said: “It has never been more important or urgent to expand Heathrow. We are effectively operating at capacity to the detriment of trade and connectivity.
“With a green light from Government and the correct policy support underpinned by a fit for purpose regulatory model, we are ready to mobilise and start investing this year in our supply chain across the country.
“We are uniquely placed to do this for the country; it is time to clear the way for take-off.”