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19 April 2013
London Gatwick Airport has outlined the case for competition to be allowed to deliver increased connectivity for London and the UK with the rest of the world.
Gatwick said that the Airports Commission should not accept Heathrow’s argument that a traditional “hub” airport is the only way to retain the UK’s existing links to the world in the airport’s response to the Airports Commission’s connectivity and economy paper submitted today.
According to Gatwick’s submission, the UK already has excellent air connectivity and London serves more destinations than any other European city. Having recently announced new direct links to Moscow and Jakarta, Gatwick now serves half of the world’s fastest growing economies.
Gatwick’s view is that the Commission should recommend making the most of existing capacity in the short to medium term, and not be swayed by demands for an expanded or new “hub” airport in order to improve connections with emerging markets. IATA figures show that the majority (93 per cent) of journeys using London airports are for passengers that either begin their journey from our airports or fly to them as a final destination. As a result, at only 7 per cent of journeys, the importance of ‘transfer’ passengers is exaggerated.
Gatwick believes the cost of air travel should be a vital consideration in the Commission’s research. Connectivity is not just about availability, but also affordability. Gatwick’s vision for the future of UK aviation capacity is one where true competition between the UK’s major airports will drive greater connectivity and greater passenger choice, convenience and cheaper fares.
Stewart Wingate, CEO of Gatwick Airport said: “It is true we will need additional capacity in the future. Without it, connectivity will be severely affected and the passenger experience will be impacted by unacceptable delays and rising prices.
"However, relentless suggestions that traditional “hubs” are the answer is misleading. Evidence shows that the London market is predominantly an Origins & Destinations market which means that most passengers begin or end their journey in London. A mega-hub airport therefore would be yesterday’s solution to tomorrow’s problem. “We must not be blindly led to believe that because some of our European competitors serve more marginal routes to emerging markets, that we are falling behind them or that this is happening because Heathrow is full. If real competition is allowed to flourish, as it has at Gatwick, new routes will be created where there is market demand. For example, already this year Gatwick has added a route to Indonesia, demonstrating that competition is capable of delivering the connectivity needed by London and the UK. easyJet has also added a route to Moscow providing lower fares than the competing routes from Heathrow, again showing that competition is the answer ”
To view London Gatwick’s full report, click here.ENDS
Goldman Sachs Asset Management adopted the term ‘growth markets’ to describe how they view some of the world’s most dynamic economics. Eight countries satisfy this criteria: Brazil, Russia, India, China, Mexico, Korea, Turkey and Indonesia. For further details see: http://www.ivci.com.tr/Uploads/GoldmanSachsTurkeyBRIC.pdf
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About London Gatwick
Gatwick Airport is the UK’s second largest airport and the most efficient single-runway airport in the world. It serves more than 200 destinations in 90 countries for more than 38 million passengers a year on short and long-haul point-to-point services. It is also a major economic driver for the South-East region, generating around 21,000 on-airport jobs and a further 10,000 jobs through related activities. The airport is 28 miles south of London with excellent public transport links, including the Gatwick Express. Gatwick Airport is owned by a group of international investment funds, of which Global Infrastructure Partners is the largest shareholder.
In its December 2013 interim report, the Airports Commission included London Gatwick and Heathrow on its shortlist of potential locations for a new runway in the UK. Expansion at Gatwick will best meet the UK’s aviation needs for the future, can provide the greatest economic boost with the least environmental impact, and a new runway can be operational by 2025. For further information, see: www.gatwickobviously.com
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