Asked by: Vince Cable (Liberal Democrat - Twickenham)
Question to the Department for Transport:
To ask the Secretary of State for Transport, what assessment he has made of the effect of changes in the rate of landing charges on the business case for the expansion at Heathrow Airport.
Answered by Jesse Norman - Shadow Leader of the House of Commons
The Airports Commission found that despite an increase in airport charges, fares paid by passengers could remain level or even fall due to the benefits of expansion.
In 2016 the Secretary of State set out his ambition for airlines and Heathrow to work together to develop solutions for expansion which keep airport charges close to current levels. In April 2018, the Civil Aviation Authority published their latest consultation on ‘the economic regulation of capacity expansion at Heathrow’ which concludes that ‘there are credible scenarios in which capacity expansion can be delivered affordably and financeably, with airport charges per passenger remaining close to current levels in real terms and line with the ambition expressed by the SoS on these matters in 2016’.
The Government has been clear that increases in airport capacity must be funded by the private sector.
Asked by: Vince Cable (Liberal Democrat - Twickenham)
Question to the Department for Transport:
To ask the Secretary of State for Transport, what assessment he has made of the effect of changes in the rate of landing charges at Heathrow Airport on (a) passengers, (b) airlines and (c) the public purse.
Answered by Jesse Norman - Shadow Leader of the House of Commons
The Airports Commission found that despite an increase in airport charges, fares paid by passengers could remain level or even fall due to the benefits of expansion.
In 2016 the Secretary of State set out his ambition for airlines and Heathrow to work together to develop solutions for expansion which keep airport charges close to current levels. In April 2018, the Civil Aviation Authority published their latest consultation on ‘the economic regulation of capacity expansion at Heathrow’ which concludes that ‘there are credible scenarios in which capacity expansion can be delivered affordably and financeably, with airport charges per passenger remaining close to current levels in real terms and line with the ambition expressed by the SoS on these matters in 2016’.
The Government has been clear that increases in airport capacity must be funded by the private sector.
Asked by: Vince Cable (Liberal Democrat - Twickenham)
Question to the Department for Transport:
To ask the Secretary of State for Transport, if he will take steps to ensure that the public purse is not liable to cover costs arising from (a) increased construction costs of the expansion of Heathrow airport, (b) loss of income owing to lower than estimated passenger demand at that airport and (c) delays to the opening of the new runway and connected facilities there owing to failure to meet air quality standards.
Answered by Jesse Norman - Shadow Leader of the House of Commons
The Government has always been clear that any scheme for additional airport capacity should be financed by the private sector. The Airports Commission concluded that all three of its shortlisted schemes were financeable without Government support.
As set out in the revised draft Airports National Policy Statement, independent financial advisers have undertaken further work for the Government, and agree that all three schemes are financeable without Government support.
Heathrow has a strong track record of proven demand, which has proven resilient to previous economic downturns. However, in the extreme scenario of financial distress, there would be no predetermined basis for Government intervention.
The Government has assessed the impact of the Government’s Air Quality Plan and the latest aviation demand forecasts on the Heathrow Northwest Runway scheme’s compliance with air quality limit values. Its analysis demonstrates that the Heathrow Northwest Runway scheme can be delivered in compliance with air quality obligations, alongside a suitable package of policy and mitigation measures.
Asked by: Vince Cable (Liberal Democrat - Twickenham)
Question to the Department for Transport:
To ask the Secretary of State for Transport, whether he has plans to update passenger demand forecast models to reflect technological advances in the aviation sector; and if he will make statement.
Answered by Jesse Norman - Shadow Leader of the House of Commons
The Department published its last set of passenger demand forecasts in October 2017 – this is available at https://www.gov.uk/government/publications/uk-aviation-forecasts-2017. This includes a significant update to the assumptions (including those relating to technology) underpinning the Fleet Mix Model, which was independently peer reviewed by Ricardo Energy & Environment. The peer review - published at https://www.gov.uk/government/publications/dft-aviation-fleet-mix-model-a-review – found the model to be fit for purpose. Fuel burn rates by aircraft type were also updated in line with Ricardo Energy & Environment’s advice.
The Department will continue to update its models to take account of technological and other developments in the aviation sector.
Asked by: Vince Cable (Liberal Democrat - Twickenham)
Question to the Department for Transport:
To ask the Secretary of State for Transport, whether his Department plans to encourage the distribution of long-haul aviation traffic around the UK; and if he will make a statement.
Answered by Jesse Norman - Shadow Leader of the House of Commons
The Governments policy is to seek liberal air services agreements with our partners, enabling the widest access possible to aviation markets for consumers and businesses. The developing Aviation Strategy will look to future priorities, and how Government can support the connectivity needed by UK businesses.
Asked by: Vince Cable (Liberal Democrat - Twickenham)
Question to the Department for Transport:
To ask the Secretary of State for Transport, whether he has made an assessment of the effect of the expansion at Heathrow Airport on the (a) sustainability and (b) capacity of regional airports.
Answered by Jesse Norman - Shadow Leader of the House of Commons
The revised draft Airports National Policy Statement on new runway capacity and infrastructure at airports in the South-East of England considers impacts of Heathrow expansion on airports across the UK. It finds that a North-West runway at Heathrow delivers the best connectivity for the UK as a whole, with regional airports expected to continue displaying strong passenger growth by 2050.
The UK is one of the best connected countries in the world by air, with six airports handling more than five million passengers per annum, offering an intensive short-haul network and an increasing number of long-haul destinations. In addition almost 30 regional airports offer important direct connectivity to key business and leisure destinations.
The Government is developing a new, long-term Aviation Strategy to 2050 and beyond which aims to achieve a safe, secure and sustainable aviation sector that meets the needs of consumers and of a global, outward-looking Britain. A ‘Next Steps’ document published in April, stated that the Government will consider whether our nations and regions are suitably connected by either air or surface access transport to the rest of the UK and to key overseas markets.
Asked by: Vince Cable (Liberal Democrat - Twickenham)
Question to the Department for Transport:
To ask the Secretary of State for Transport, whether the Government has made an assessment of the potential restrictions that will be required on the expansion of regional airports in order to meet targets set in the Climate Change Act 2008 in the event that the expansion at Heathrow Airport takes place.
Answered by Jesse Norman - Shadow Leader of the House of Commons
The Updated Appraisal Report, published alongside the revised draft Airports National Policy Statement in October 2017, sets out the carbon scenarios used by the Government to address uncertainties over the future policy treatment of international aviation emissions. It confirms that expansion via a Northwest Runway at Heathrow Airport can be delivered within the UK’s carbon obligations under the Climate Change Act 2008.
The Government considers that growth in the aviation sector, including at regional airports, is compatible with the UK's climate change obligations. Even in a scenario where aviation carbon emissions are capped to the Committee on Climate Change’s planning assumption of 37.5 MtCO2, the analysis showed that passenger numbers would continue to grow at regional airports. The Government will continue to develop policy relating to carbon emissions from aviation as part of the new Aviation Strategy.