Financeupdated 1h ago3 min read
John Healey Backs Heathrow Third Runway After Andy Burnham Refuses To Say
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Healey says Heathrow third runway would drive growth and jobs. Burnham refused to back expansion, triggering split with Healey.
Healey backs Heathrow growth
Chancellor John Healey said building a third runway at Heathrow Airport has "always been a case for growth" after Prime Minister Andy Burnham refused to say whether he backed the expansion. Healey spoke from the International Monetary Fund (IMF) meetings in Bangkok and said airport expansion, including at Heathrow, had been "a big part of jobs and growth" in recent decades. Heathrow chief executive Thomas Woldbye warned that not building a third runway at the UK's busiest airport would be a "huge missed opportunity," and Heathrow said the project could be delayed by four years to 2039.
The Department for Transport said it was "considering the appropriate next steps" following the public consultation on its National Policy Statement, and Healey said the consultation was closed and the government was reviewing responses. Heathrow serves more than 80 million travellers a year with its four passenger terminals and two runways, and the number of flights capped at 480,000 a year could go up to 720,000 if a third runway is built.
Burnham ducks, investors watch
Prime Minister Andy Burnham declined to endorse the third runway and said it was "a matter for London and Londoners" after he refused to say whether he backed the expansion. Healey said the government would study responses to the public consultation, which recently closed, and Healey said, "The formal position now is that the consultation is closed, led by the Transport Department." Heathrow chief executive Thomas Woldbye warned that investors could reconsider their support for the £33bn infrastructure project without the prime minister's backing.
The airport's owners include the Qatar Investment Authority, Ardian, Saudi Arabia's Public Investment Fund, and Singapore's sovereign wealth fund GIC, and the owners were expected to decide in the coming months whether to submit a formal planning permission application. The project was estimated at £33bn, and Heathrow said it would be delayed by four years to 2039 due to planning and regulatory issues.
Jobs, climate, and next steps
Heathrow's chief executive Thomas Woldbye said the airport's supply chain reaches "all the way from the north all the way to the south of the UK" and said he hoped the prime minister would "come along" with the project. The Telegraph said Ed Miliband contested the project on environmental grounds and Lisa Nandy argued it was "incompatible with our legally binding climate agreements," while Miatta Fahnbulleh said a third runway can only go ahead if it meets Britain's climate objectives and concerns about noise pollution. The Telegraph said Heidi Alexander and Jonathan Reynolds were among the most enthusiastic supporters of the project, and it said Louise Haigh had supported a third runway while she was transport secretary under Sir Keir Starmer.
The Guardian said Healey voted in favour of the third runway when the question was put to the House of Commons in 2018, and it said Healey was in Bangkok to attend the IMF annual meetings but returned to London to put the finishing touches to his 28 October budget. The Guardian said the UK was praised by the IMF this week for taking action to cut its deficit, and it said the IMF's managing director Kristalina Georgieva urged Healey to "stay the course" in his budget.