Updated: Heathrow expansion approved – reaction
The expansion of Heathrow has been approved by cabinet ministers this morning.
A final decision on the third runway will be put to a vote of MPs at the end of 2017, after a public consultation.
The decision follows last summer’s official recommendation from Sir Howard Davies’ Airport Commission that Heathrow should be expanded.
The expansion of Heathrow has been approved by cabinet ministers this morning.
A final decision on the third runway will be put to a vote of MPs at the end of 2017, after a public consultation.
The decision follows last summer’s official recommendation from Sir Howard Davies’ Airport Commission that Heathrow should be expanded.
Construction is unlikely to begin before 2020..
Transport secretary Chris Grayling said the new runway would boost the economy by £61bn, creating 77,000 jobs.
He said: “I am proud that after years of discussion and delay this government is taking decisive action to secure the UK’s place in the global aviation market – securing jobs and business opportunities for the next decade and beyond.”
But London mayor Sadiq Khan described the decision as the wrong decision for London and Britain and said he would challenge it.
His former challenger for mayor, Zac Goldsmith, MP for Richmond Park which is underneath the flight paths, is set to resign in protest after campaigning against the expansion for years.
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Foreign secretary Boris Johnson, who has campaigned with Goldsmith, told reporters as he left the cabinet this morning he would also continue to challenge the decision.
Khan said: “Most urgently, the government must set out how it’s possible for Londoners not to suffer from the additional air and noise pollution that we know will be created by an additional runway at Heathrow.
“They also need to guarantee that they will fully fund the billions of pounds needed to improve road and rail connections to Heathrow – Londoners cannot be expected to pick up the bill for this.”
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David Sleath, SEGRO chief executive, said: “As a company, we have been clear from the outset that for Britain to succeed in a global economy, we need more capacity at a hub airport, and Heathrow is the right solution.”
He added: “We urge the whole country to come together and do what is right for the nation as a whole, which is to support the delivery of a third runway at Heathrow.”
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Gerry Hughes, chief executive at Bilfinger GVA, which endorsed the recommendation last year, said: “After nearly 50 years of deliberation from countless administrations, not to mention the billions lost each year in trade, it has been imperative for government to decide on the principle and geography of a new runway.
“As such, it is welcome and positive news that ministers have identified Heathrow for expansion.”
But he said that it was disappointing that there would now be a ‘lengthy’ consultation and called for no further delays.
CBRE London managing director Adam Hetherington said the decision would boost the office and industrial market within easy reach of the airport.
He said: “From an occupier perspective, this decision provides reassurance to office and industrial occupiers across the whole of London and the South East that a key element of the region’s infrastructure will be retained and enhanced.”
Heathrow already demands the highest rents and land values for warehouse space, greater than £15.50 per sq ft and £2m per acre, Colliers International head of industrial and logistics Len Rosso, said.
He said: “The outcome is also great news for the future for West London which will no doubt benefit economically from the creation of new jobs and the increased investment and commerce this huge project will bring.”
And Chris Selway, BNP Paribas head of national infrastructure and compulsory purchase, warned the airport would need to provide sufficient compensation to the communities around Heathrow.
He said: “Forward funding of land acquisition and provisions for hardship cases are major priorities.”
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Melanie Leech, chief executive of the British Property Federation, said: “We welcome the government’s decision on London airport capacity expansion which is long overdue, even though we recognise this is part of a process rather than an end in itself.”
Mark Boleat, policy chairman at the City of London Corporation, said the City finally had a positive outcome to benefit business.
“What this also does is send a signal to our international trading partners that we are still an outward looking country, and very much open for business,” he added.
The argument for Gatwick is unlikely to go away.
Gatwick chief executive Stewart Wingate said: “We are disappointed as we do not believe this is the right answer for Britain. Gatwick has put forward a credible financeable and deliverable plan for expansion.
“It is a plan that can guarantee growth and guarantee certainty for Britain. We look forward to studying the full reasons behind the Government decision in detail.
“The challenges facing Heathrow have not changed. Our message today is that Gatwick stands ready to proceed when the time comes.”
Jeremy Blackburn, head of policy at RICS, said: “While the decision over Heathrow has finally provided the UK with some much needed certainty during a time of great economic and political change, it would be naive to draw the airport debate to a close. All three proposals were feasible and given the projected population growth in the south east of England, the expansion of Gatwick should not be dismissed out of hand.”
But Croydon Council leader Tony Newman, who has backed Gatwick expansion along with neighbouring councils in south London, said the decision was “calamitous”.
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He said: “It is clear whatever side of the argument you’re on, the only option that can realistically deliver is Gatwick. Heathrow will be mired in consultations and judicial reviews for decades to come and will never happen.”
And Carl Dyer, partner at Irwin Mitchell, agreed, saying: “Fundamentally the government has made the wrong decision. Heathrow already has an unhealthy dominant position in the market, and promoting its further expansion will only exacerbate and consolidate that position.”
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Construction and engineering consultant AECOM chief executive Richard Robinson said the decision was not a moment too soon.
“The collective sigh of relief following today’s long-awaited decision is almost audible,” he said. “The focus now must be on accelerating delivery. Quickly securing the right legal mandate via the necessary environmental and planning approvals is vital.”
And Al Watson, head of planning & environment at Taylor Wessing, and who was part of the legal team at both Heathrow Terminal 5 and Stansted expansion, said: “A government’s willingness to support the project is important – but the government’s will, on its own, does not and cannot deliver the project.
“Governments change, politicians change, and momentum is lost.”
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