Heathrow expansion delayed until new Tory leader elected

The government said on Thursday it has deferred deciding on whether to expand Heathrow airport until a Conservative party leader and prime minister is elected.

The decision, reported by BBC News, makes a resolution this year less likely. The Conservative party had until midday on Thursday to submit nominations for the party leadership, and the new leader will be in place by 9 September.

An announcement on Heathrow expansion was due to be made by David Cameron in mid-July, but uncertainty surrounding the EU referendum and his resignation has delayed the decision.

Baroness Jo Valentine, London First chief executive told BBC News: “Clearly this is disappointing. Nothing can be more vital for a trading island than sufficient air links, especially after the referendum result.

“There should be no question that whoever takes over from David Cameron must keep the government's commitment to open a new runway by 2030."

Confederation of British Industry (CBI) president Paul Drechsler said: “More than ever before, it is absolutely critical that the government sends a signal, loud and clear, that the UK is open for trade with markets across the globe.

“Last year the CBI showed that delays to getting a decision on airport expansion by 2030 could see the UK lose out on over £30 billion in lost trade with the BRIC economies alone.

“Our new analysis shows that our European rivals with spare capacity will be gaining at the UK’s expense, cashing in on their own thriving connectivity, if we fail to get on and build a new runway. By 2030, better capacity will see German trade with the BRIC economies alone grow by an additional £15 billion, and French trade grow by £7.5 billion – trade that could and should be coming here.

“We could still avoid this scenario, if the new Prime Minister makes a decision with a clear timetable for action immediately after entering Downing Street, so that construction can begin by 2020.”

Last year the Airports Commission said Heathrow should be expanded with a third 3,500m runway north of the two existing ones, at a cost of about £18.6bn demolishing nearly 800 homes. But the commission said it could add £147bn in economic growth and 70,000 jobs by 2050.

The commission dismissed plans to build a new runway at Gatwick, Heathrow’s main challenger, despite claiming they had the resources to add air-capacity.

The decision was previously delayed after concerns were raised about pollution, noise and cost.

Prominent Conservative party leadership contenders have also voiced concerns about Heathrow expansion.

Former London Mayor and Brexit campaigner Boris Johnson criticised building a third runway as “investing in decline”. He previously proposed building a new airport on the Thames estuary dubbed ‘Boris Island’, but was disregarded by the commission.

Home Secretary Theresa May also had apprehensions about noise pollution at the airport.