Regional Airports

Mike Kane Excerpts

Tuesday 2nd February 2016 Westminster Hall

[Mike Kane (Wythenshawe and Sale East) (Lab)]

I congratulate my hon. Friend the Member for Newcastle upon Tyne North (Catherine McKinnell) on securing this debate.

In the short time available to me, I will just refer quickly to the right hon. Member for Saffron Walden (Sir Alan Haselhurst), who made a premier league analogy. Well, if someone already has Manchester airport, they already feel like they are in the premier league, and it is great that we will invest £1 billion in new infrastructure, including new terminals, to welcome Pep Guardiola to the city as the new Manchester City manager.

With 23 million passengers a year, which will rise to 43 million a year by 2025, Manchester airport is a serious world international airport. It has the capacity, with the two runways, to go to 55 million passengers a year. A total of 100,000 tonnes of goods are exported out of Manchester airport and it generates 21,000 jobs. There was a jobs fair just last week, with 4,000 new jobs coming on stream; 7,000 people applied, so it was massively oversubscribed.

It was great to welcome President Xi Jinping and the Prime Minister to Manchester airport just a few weeks ago to announce the development of Airport City, an £800 million investment in new, high-tech sectors both south and north of the city. The joke around Manchester was that it was awful to see the Prime Minister kowtowing to the leadership of a one-party state, but there you go—welcome to Manchester.

However, the point that I will address today is rail connectivity, the importance of which was pointed out by the hon. Member for Solihull (Julian Knight), who also talked about current capacity. There was a Mancunian entrepreneur and industrialist called Daniel Adamson. In 1860, he saw the north developing a continuous economic region—a powerhouse, as he described it—from the banks of the Mersey estuary to the banks of the Humber, to create a single economic market. In 1886, he then decided to build the Manchester Ship canal. He got halfway there, but there is now an opportunity—in the years ahead of us—to create that single market.

Current rail access to Manchester airport means that the population within a two-hour catchment of it using public transport stands at around 8 million. Currently, the only city that can be reached in that time period is Manchester. However, with the right rail improvements things would improve. Transport for the North, which was funded by the Chancellor in the last autumn statement, is considering three options at the moment. We estimate that if we put in the right transport links from east to west we would create a catchment area for the airport of 18 million people, bringing in Liverpool city region, Sheffield, Liverpool itself and Leeds, with all of them being within around 30 minutes of Manchester and Manchester airport. It would widen the airport’s catchment area massively.

High Speed 2 will bring journey times to Manchester down from the current time of 2 hours 24 minutes to 59 minutes. We can connect our airports and our cities more effectively if we have the right vision, guts and gravitas.

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[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

It is a pleasure, as always, to serve under your chairmanship, Ms Vaz. I will try to jet through my comments, as there are quite a lot. I congratulate the hon. Member for Newcastle upon Tyne North (Catherine McKinnell) on securing this debate, because it is important. She talked about the importance of UK airport capacity, and I think there was general agreement on that point. Members were also in general agreement on the impact on tourism, jobs and exports across the piece. On the critical decisions on airport strategy by the Government, the hon. Lady rightly used the expression, “kicked the can”. Lots of other phrases could be used. She also said that growth and sustainability lose out from inaction. All those things are correct. I call for an end to the dither and delay, and I will speak about that in a moment.

There is lots to agree on, but one thing to disagree on—the hon. Lady will have picked this up around the room—is the subject of APD. The hon. Member for Strangford (Jim Shannon) correctly called it a regressive tax. We also heard that it creates a social and economic divide, which it does. The average family of four in Scotland pays more than £100 more because of APD. That is not right. It seems odd to me that the Labour party position is that APD is wrong and we should get rid of it, but not in Scotland, because it is not right to do it there. But I say that it is right to do it there. And by the way—I must say this, because the issue was brought up—when Kezia Dugdale talks about APD, she has already spent the APD money 10 times over on housing, health and education, despite the fact that getting rid of APD creates no new money. I would not go to her for advice on taxation.

Getting back to the main points that we can agree on, there needs to be action, and soon.

[Mike Kane]

Will the hon. Gentleman give way?

[Drew Hendry]

I will not, because I am going to make progress; I have very little time to get my points in. My hon. Friend the Member for Paisley and Renfrewshire North (Gavin Newlands) talked about Glasgow airport and the 7,000 jobs and more than £200 million a year it adds to the economy. He also called on the Minister to confirm that the matter will not be dealt with under EVEL rules, as was suggested by a Scotland Office Minister some time ago. We have heard about the impact of airport expansion on the different nations of the UK, so I hope the Minister will come back with an answer on that.

The right hon. Member for Saffron Walden (Sir Alan Haselhurst) correctly said that the UK has never been good with big projects. That is especially the case with the fudge over airport expansion. He also said that it was essential for island nations to have good links, and he is absolutely correct about that. I think I also heard him use the phrase, “You’ve got to decide”, and the Government have got to decide. The main thing is to get on with it. Whether it is Gatwick, Heathrow, no new runways or something else, the point is that the industry is in a condition of stasis across the piece.

My hon. Friend the Member for Central Ayrshire (Dr Whitford) talked about Prestwick. She is a big champion for the airport. She pointed out the clear weather that we get there, and in other debates she has mentioned it as a location for a possible space port. She talked correctly about the 60-minute rule. One of the things that the Davies commission pointed out was that for regional airports to work properly and share in any expansion, there must be a point-to-point public service obligation decision taken by the Government. They must put regional airports at the heart of any decision and ensure that when we talk about links, it is not just links to London, but to specific hub airports. That is important, because some 90% of international visitors to Scotland come through air travel, and more than a third of them come through the Heathrow hub. Over the past 10 years, while destinations and routes from Scotland have doubled, flights to London have fallen by more than a third. We are not getting the protection that we require for those routes. Speaking of regional expansion, I am delighted to note that the First Minister of Scotland has announced a £20 million expansion of Aberdeen airport that will create a 50% gain in size. That is a real vote of confidence for the north-east.

I will try to bring my comments to a conclusion, but there is so much more that I could have said. There is a need for the Government to make a decision on airport expansion and ensure that regional airports are at the absolute heart of those decisions.