London Gatwick’s growth plans could provide significant economic boost to UK-China connectivity
- China was the UK’s fifth largest trading partner in 2024.
- The airport has reported 265% year-on-year growth in passenger volumes to and from China.
- If approved, London Gatwick’s Northern Runway plans would allow for more services and generate £1 billion for the UK economy every year.
London Gatwick’s expansion plans could significantly boost the economy and UK-China connectivity as demand continues to grow, with an almost 265% year-on-year rise in passenger volumes between Gatwick and China.
The airport saw almost 550,000 passengers travelling to China in 2024, up from more than 150,000 in 2023. China’s three largest carriers already fly from London Gatwick, with 33 services a week to China, with Air China, China Southern and China Eastern flying to Beijing, Shanghai, Guangzhou, and Zhengzhou.
London Gatwick plays a key role in that continued growth and if plans to bring its Northern Runway, currently a backup, into routine use are approved by the Government next month, it will allow for even more international services, including from China.
The Northern Runway project represents a £2.2 billion shovel-ready privately financed investment which could be operational by the end of the decade. The plans will create a further 14,000 jobs and generate £1 billion in economic benefits every year.
Jonathan Pollard, Chief Commercial Officer, London Gatwick said: “China accounts for 5.1% of total UK trade and is the UK’s fifth largest trading partner in 2024. As demonstrated by the Chancellor’s recent visit to China, this market is vitally important to the UK economy in terms of both inbound visitors and trade and we are pleased to offer significant connectivity between the two nations from London Gatwick.
“We have seen huge demand for growth of these routes, from airlines and passengers. If approved, our Northern Runway plans could provide even greater opportunity to support communities the economy and the Government’s wider plans for growth, through enhanced capacity for vital long-haul services.”
NOTES
- The Northern Runway plans are expected to see passenger numbers grow from just over 40 million to 75 million by the late 2030’s.
- VisitBritain estimated 647,000 visits from China to the UK in 2024, a 76% increase on 2023. The tourist board also expects visits from China to the UK, and visitor spending, to return to 2019 levels in 2025 - equating to more than 873,000 visits and £1.71bn in spending.
With 41 million annual passengers, London Gatwick is the UK’s second largest and one of Europe’s top ten airports. It is a vital piece of national infrastructure that drives both the national and regional economies by generating £5.5 billion GVA and supporting over 76,000 jobs (2023). Almost 60 airlines fly from the airport to over 150 short-haul and more than 50 long-haul destinations. With a declared capacity of 55 movements an hour, London Gatwick is the most efficient single runway airport in the world.
The airport is located 28 miles south of the UK capital and is extremely well-connected, with more than a quarter of England’s population (15 million people) – including all of London – less than one hour away by road or rail. A six-year, £2 billion sustainable growth programme includes an ambitious plan to be a net zero airport by 2030 and to increase capacity by bringing the airport’s existing Northern Runway into routine use, alongside its Main Runway. Vinci Airports owns a 50.01% stake in the airport, with Global Infrastructure Partners managing the remaining 49.99%.
The world’s leading private airport operator, VINCI Airports operates more than 70 airports in 14 countries. Thanks to its expertise as a global integrator, VINCI Airports develops, finances, builds and manages airports by providing its investment capacity and its know-how in optimizing operational performance, modernizing infrastructure and managing their operations and environmental transition. VINCI Airports is the first airport operator to have committed to an international environmental strategy in 2016, to achieve the goal of net zero emissions across its entire network by 2050.
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Global Infrastructure Partners (GIP) is a leading infrastructure investor that specializes in investing in, owning and operating some of the largest and most complex assets across the energy, transport, digital infrastructure and water and waste management sectors. With decarbonization central to our investment thesis, we are well positioned to support the global energy transition. Headquartered in New York, GIP has offices in Brisbane, Dallas, Hong Kong, London, Melbourne, Mumbai, Singapore, Stamford and Sydney.
GIP has approximately $115 billion in assets under management. Our portfolio companies have combined annual revenues of approximately $71 billion and employ over 116,000 people. We believe that our focus on real infrastructure assets, combined with our deep proprietary origination network and comprehensive operational expertise, enables us to be responsible stewards of our investors' capital and to create positive economic impact for communities. For more information, visit www.global-infra.com.
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London, UK, 9 December 2024
Businesses urge government to support London Gatwick’s expansion plans in drive for growth
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