Business & Economy
Heathrow to pledge to use UK steel and boost growth in third runway proposal | Heathrow third runway
Heathrow will submit third runway proposals to the government this summer, pledging to use UK steel and boost growth, the airport has confirmed.
Its chief executive, Thomas Woldbye, will formally spell out plans for a third runway to follow a multibillion-pound upgrade of the London airport’s existing terminals and facilities, in a speech at the British Steel plant in Scunthorpe on Wednesday.
The announcement comes a fortnight after the chancellor, Rachel Reeves, signalled her support for airport expansion, including the long-thwarted Heathrow runway, in pursuit of economic growth.
An additional runway is likely to mean another 240,000 flights a year at Britain’s biggest airport, with a consequent increase in carbon emissions as well as noise and pollution around London.
The “pathway to a runway” that Heathrow will lay out this summer will attempt to navigate opposition from overflown communities and sceptical airlines as well as environmental objections.
Although Reeves and the Labour government, with a large majority, has signalled firm backing, it is understood that the airport will seek further assurances and policy announcements before submitting detailed plans.
That includes confirmation that the airspace modernisation and new flight paths will be put in place and leaning on the regulator, the Civil Aviation Authority (CAA), to allow Heathrow to set charges in a way that will fund expansion. It also wants to see promised planning reforms to minimise further legal challenges of the kind that have previously held up its runway plans.
Woldbye is expected to say: “A third runway is critical for the country’s future economic success, and I confirm we will submit our plans for a third runway to government this summer.
“Ahead of then, as part of a phased expansion programme and supported by the government’s clear backing, I am today confirming multibillion-pound investment plans, 100% privately funded, to upgrade our terminal buildings, enhance passenger experience, and improve resilience and sustainability.
“This is vital investment and will ensure Heathrow remains globally competitive and a jewel in the country’s crown – the UK’s gateway to growth.”
A Heathrow-commissioned report by Frontier Economics, cited by Reeves, has estimated that more than 60% of growth from building another runway would accrue in regions outside the south-east of England.
Several hundred thousand tons of steel would be needed, and Woldbye is expected to sign a charter in Scunthorpe pledging to maximise the use of UK steel in the runway’s construction.
Gareth Stace, director-general of the trade body UK Steel, said it was “a vital commitment to strengthening Britain’s industrial backbone”, adding: “Backing UK steel means backing UK jobs, innovation, and long-term industrial growth, ensuring the benefits of Heathrow’s expansion are felt nationwide.”
Heathrow is insisting that expansion can be delivered “responsibly” with “strict environmental safeguards” – a claim rejected by most green groups.
Woldbye will add: “This project can only go ahead if we meet the rules on noise, air quality and carbon that the government sets out in the airports national policy statement – it’s as simple as that.
“I want to assure you that we are committed to listening and working with our local communities to provide them with the certainty they deserve, ending years of doubt.”
Passenger numbers at Heathrow last month passed 6.3 million, a record for January, and 5% higher than in January 2024, fuelled by booming transatlantic travel to the US.
Meanwhile, airlines are stepping up calls for the CAA to clamp down on charges to fly from Heathrow. An alliance including British Airways and Virgin Atlantic claimed that customers were paying in total £1.1bn more each year than they would if charged in line with other major European airports – and warned that expansion plans would make Heathrow even more expensive.
Article by:Source: Gwyn Topham Transport correspondent