Outlook for the UK’s airports improves as the number of passengers handled and air transport movements both witness growth in 2013
Posted: 7 August 2014 | Key Note Ltd | No comments yet
According to Airports 2014, a new Market Report from the business intelligence provider Key Note, the total number of passengers handled by UK airports in 2013 rose by 3.5% on the previous year…
According to Airports 2014, a new Market Report from the business intelligence provider Key Note, the total number of passengers handled by UK airports in 2013 rose by 3.5% on the previous year.
Despite the apparent economic difficulties the industry faced during the 2008/2009 global recession, the market has improved somewhat of late, with passenger numbers at UK airports returning to growth from 2011 onwards. Increasing passenger volumes and higher revenues for airports, in addition to economic recovery consolidating in the UK and globally, have presented a welcome boost to the industry, with prospects now somewhat more promising when compared with a few years ago.
Over the past few years, the airport industry in the UK has evolved considerably in terms of ownership, largely as a result of Competition Commission (CC) rulings requiring BAA Ltd to divest of a number of its holdings. As a result, Gatwick Airport, Stansted Airport and Edinburgh Airport have all since been acquired by competitors.
One of the most pressing issues currently facing the airports market in the UK finding a viable long-term solution to the issue of capacity-constrained airports within the south east of England. Should the Government choose to act constructively upon the Davies commission’s recommendations in 2015 — which are widely anticipated to call for airport expansion — this will offer a considerable boost to the airport that is chosen for expansion.
Key Note forecasts that in the next few years, terminal passengers, aircraft movements and total freight handled will all continue to grow at a moderate pace, and that as a result, revenues at UK airports will also continue to grow.