Thursday, December 10 2015

Airports delay spells potential future paralysis for UK economy

The Government's decision to again delay making a decision on the Airports Commission recommendations is a breath-taking display of procrastination, according to the capital's largest and most representative business organisation.

Colin Stanbridge, London Chamber of Commerce and Industry (LCCI) Chief Executive said: "The Government's decision to further delay a decision on airport expansion is hugely disappointing. As business leaders we were expecting far more from this Government. Tonight we witnessed a shocking failure of political leadership for the UK.

"Ducking the hard decisions damages British business. What message has been given to international investors looking at infrastructure opportunities? We don't need any more reviews or reports. Just a decision.

"The Prime Minister assured Parliament in July that a clear decision would be made on the final report of the Airports Commission by the end of this year. Tonight he has broken that promise and has served up potentially damaging consequences for the economy and businesses.

"There is a pressing challenge for Government to address - filling the capacity gap over the next decade. A new runway will not be operational until the mid-2020s, therefore ministers need to act now to put in place short-term measures to boost capacity within the next decade, such as:

• improved rail links to Gatwick
• increased early morning arrivals at Heathrow
• airfield and terminal enhancements at London City Airport

"Leadership is making difficult decisions but that's why you are in power. I fear that the government's current approach on airports is an unnecessary 'mess' that perhaps owes more to political calculations related to next year's mayoral contest. However, those calculations could unintentionally ground the UK economy by eroding confidence and generating confusion among potential infrastructure investors.

"It is interesting to hear the Secretary of State for Transport say that in the long term, both Heathrow and Gatwick airports could be expanded. The Government should now take a truly bold decision to give the go-ahead to runways at both airports, future-proofing the UK economy and ensuring enough airport capacity for years to come."

ENDS

Media contact
Natalie Davison
T: +44 (0)20 7203 1897
M: +44 (0)7827 241528
E: ndavison@londonchamber.co.uk

NOTES TO EDITOR:

1. London Chamber of Commerce and Industry (LCCI) is the capital's largest and most representative business organisation, with members ranging in size from multi-national companies to SMEs and sole traders.
2. Colin Stanbridge is available for further comment and interview.