Airport expansion economic case unproven

2nd Feb 2016

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Parliament is demanding that Government provides more robust economic data associated with increasing airport capacity in the UK.

House of Commons’ Treasury Select Committee chairman Andrew Tyrie has written to the Chancellor asking him to provide greater detail of the economic costs and benefits of scenarios outlined in the Airports Commission’s final report published last summer.

Mr Tyrie says that a decision as controversial as expanding airport capacity requires “as much transparency as reasonably possible” for the basis of a decision and that results need to be published at least three months before a final decision is taken.

He describes the economic case put forward by the Airports Commission in its report as “opaque” and that “a good deal more information is required”. He went on to say that the decision on airport capacity is crucial to the future of the British economy and therefore “cannot be left to the Department for Transport”. He called on the Chancellor to “take the lead”.

HM Treasury was invited to comment but a spokesman said that the Department for Transport will be responding to the letter as it takes the lead on airport expansion.

A Department for Transport spokesman said: “We are considering his questions and will respond to his letter as soon as possible.”

Gatwick airport said that the intervention of the Treasury Select Committee shows that the Airports Commission’s conclusion that Heathrow expands is “seriously flawed”. The West Sussex airport’s chief executive Stewart Wingate added: “On both economic and environmental grounds we have by far the strongest case for expansion. Our plan is fully privately financed and requires no public subsidy.”

Mr Wingate was speaking on Monday at the official opening of Gatwick’s newly refurbished pier five. The £80M project provides vertically separate arrivals and departures on the pier for passengers and four extra aircraft stands.

(Photo: Heathrow Airport Limited)

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