Draft Airports Slot Allocation (Alleviation of Usage Requirements) Regulations 2026 Debate
Full Debate: Read Full DebateLuke Taylor
Main Page: Luke Taylor (Liberal Democrat - Sutton and Cheam)Department Debates - View all Luke Taylor's debates with the Department for Transport
(1 week ago)
General Committees
Luke Taylor (Sutton and Cheam) (LD)
I think it is helpful to look at the consultation responses from airlines and airports when changes were announced. Only two out of 38 airlines opposed the changes, whereas airports were unanimously opposed to the measures. Airlines argued that, without a hand-back mechanism, they would not be able to adjust their schedules early enough to provide passengers with meaningful notice, even where known risks to operations existed. Airlines also considered the 10% limit on hand-backs too low and pushed to increase that to 20%-plus; generally speaking, we support the restriction to 10%, to reduce the potential impact on consumers.
Airport respondents opposed the proposal; they were not against alleviation in principle but against the hand-back mechanism specifically. They argued that the existing justified non-utilisation of slots provisions are sufficient to enable cancellations where operational constraints, including fuel shortages, arise. For instance, JNUS has already come into effect, providing slot alleviation to operators because of airport and airspace closures from the disruption in the middle east.
It is worth noting that, given that there is no fuel shortage now and none is expected according to Government data and airline bosses, this approach risks appearing to be unjustified, disproportionate and not entirely required, given that the measures in place are already helping with those issues. There is a risk that, instead of ensuring reliable services as stated, it could undermine consumer confidence and growth and investment opportunities.
The Liberal Democrats recognise that flexibility during this tumultuous period is important; as we have seen, events can move very quickly in the middle east. We want to protect the long-term financial sustainability of the airline sector. We do not want airlines using slots for empty or near-empty ghost flights, where demand is insufficient, in order to maintain the historical rights to slots, but these changes would result in flight cancellations with little notice, with huge disruption to consumers.
The proposal to allow hand-backs with as little as 14 days’ notice is contrary to the stated aim of preventing disruptive late cancellations, and it is unnecessary given that JNUS can be used at this late stage if a genuine fuel shortage occurs. In a cost of living crisis, with flight prices already through the roof, customers will be forced to spend more money on replacement flights at the last minute or lose money on hotels or onward travel.
It is also the case that 14 days’ notice is too short a period for airports and other users to make effective use of the vacated slots, as airports typically need six weeks’ notice to reallocate slots commercially. This means that we would likely have unused slots, which reduces income to airports and reduces investment in passenger and freight infrastructure.
Slot alleviation on its own cannot be considered the solution to fuel resilience issues; other action is needed. The Government must outline what other steps they will take to ensure the continued, resilient supply and availability of jet fuel in the UK. That includes going further and faster on the adoption and scaling up of sustainable aviation fuel projects, so that the UK is able to secure supplies of SAF and both ensure the lack of disruption to flights and enable further decarbonisation of aviation.
Will the Government commit to formally monitoring hand-backs under the flexibility offered by this legislation in order to ensure that they are the result of genuine fuel shortages, are undertaken in a timely manner and are not being abused? I also echo the concerns of the Conservative spokesperson, the hon. Member for Broadland and Fakenham, about the impact on consumers. I will be voting against the draft regulations.
I thank the shadow Minister, the hon. Member for Broadland and Fakenham, and the Lib Dem spokesperson, the hon. Member for Sutton and Cheam, for their remarks. I will deal with each point they raised in turn.
First, on the question about timing asked by the hon. Member for Broadland and Fakenham, I confirm that the slot alleviation measures will be extended to winter 2026. I find his link to broader questions on the refining sector admirably creative, but I am not sure that they have a direct bearing on the measures that we are considering. Our domestic refineries are still able to produce kerosene and jet fuel to a solid and viable extent. I remind him that we are not passing these measures directly in response to a shortage of jet fuel, but to pre-empt any future shortages that may arise, even though we believe that the supply is currently as it should be.
I also remind the hon. Member that we implemented a similar pre-emptive framework during the covid-19 pandemic to deal with similar disruption. This is a measured approach to be able to manage any potential fluctuations in supply as they occur.
The hon. Members for Broadland and Fakenham and for Sutton and Cheam are right to point to the concerns raised by airports through the consultation and to consumer protections for the travelling public. I will address both of those points together. We very much recognise airports’ concerns about the potential impacts. That is why these measures are strictly temporary, limited in scope and affect only a small proportion of slots—up to 10%.
The hon. Member for Sutton and Cheam pointed to the fact that a lot of airlines thought that the figure should be higher. The Government took a different view to make sure that the impact on the airports sector is contained.
Allowing these regulations to reallocate slots that are handed back ensures that airport capacity is not wasted. That provides flexibility for airlines while ensuring that we have efficient use of airport infrastructure. We believe that 10% strikes the right balance.
On passenger protections, airlines are required to provide passengers with at least 14 days’ notice of any flight cancellations, but that is not the intention of this policy. It is designed so that airlines have a longer lead-in time to be able to see where potential disruption might lie, and to be able to reallocate those slots efficiently to protect the travelling public and ultimately give them more security and better forewarning about disruption, where it may occur.
Where UK law applies, if a flight is cancelled by the airline, passengers are entitled to a choice between a full refund or being re-routed under comparable transport conditions to their final destination at no extra cost.
The shadow Minister asked why winter, and why the measures do not extend just to the summer. There is an important point about using the retained EU law functions that we have now to ensure that we have a long-term approach to managing disruption across the rest of the year. As he pointed out, measures in the Civil Aviation (Consumer Protection and Regulatory Reform) Bill will provide us with greater flexibility on slot reform, which we can use going forward.
On the Lib Dem spokesperson’s points on JNUS—I have never said JNUS out loud before—the justified non-utilisation of slots is triggered when a fuel shortage is materially occurring. The regulations give us a forward look that allows us to build in contingencies well in advance, and not just when a fuel shortage reaches its bite point. That is why a longer-term approach is necessary, but he is right to hold my feet to the fire.
Luke Taylor
There is an interesting dynamic between the impact of a fuel crisis, which is likely to have quite a short lead time, and these regulations, which give almost a six-month warning. Does the Minister recognise the need for oversight of how the rules are used to ensure that this happens in response to a fuel crisis and not for business reasons, or to expand the flexibility given by the existing JNUS rules?
The Lib Dem spokesperson makes a valid point. The data shows that a lot of the cancellations we have seen, which so far have not been above average for UK aviation, have arisen to a large extent from people re-routing away from the middle east. We would expect these measures to be used only when disruption occurs directly in relation to fuel, but he is right to say that the Government need a proactive approach to monitoring hand-backs and how they are used. We will of course do that through consultation with industry stakeholders, such as airlines and AirportsUK. We will certainly keep a close watch on the implementation of the measures and make sure that that is done in the interests of the travelling public.
The regulations represent a practical and proportionate response to a period of uncertainty for the aviation sector. They protect passengers by enabling greater certainty and earlier communication. They will support airlines in maintaining viable and realistic schedules and will help to ensure that scarce airport capacity is used efficiently and responsibly. Above all, they demonstrate a forward-looking approach, acting early to prevent disruption rather than responding reactively. I hope that the Committee has found my answers informative and that it will join me in supporting this instrument.
Question put.