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THE AIRPORT OPERATOR THE OFFICIAL MAGAZINE OF THE AIRPORT OPERATORS ASSOCIATION TAG FARNBOROUGH The UK’s booming business airport Features EAST MIDLANDS AIRPORT SOCIAL MEDIA TOOLS Ambitious for growth A guide for airports GLASGOW AIRPORT LIVERPOOL AIRPORT SUMMER 2018 Fight back begins New CEO aims high 3 ED ANDERSON Introduction to the Airport Operator THE AIRPORT uncertainty, capacity constraints and OPERATOR A very Air Passenger Duty. THE OFFICIAL MAGAZINE OF THE AIRPORT OPERATORS ASSOCIATION warm Faced with this challenge, UK AIRPORT OPERATORS ASSOCIATION airports need political support. We welcome need more certainty about what the Ed Anderson deal for aviation will be after Brexit. Chairman to the Even more than that we need the Karen Dee summer Government to focus on what it can Chief Executive do domestically to support airports Peter O’Broin edition in their growth plans. That would Senior Policy Manager ensure that we don’t slip behind of the at just the time when connectivity Henk van Klaveren Senior Public Affairs & PR Manager Airport Operator, will be more important than ever to facilitate the trade and investment on Roger Koukkoullis which our economy depends. Operations, Safety published to coincide with & Commercial Director our annual reception at When Karen Dee and her colleagues Claire Humphries in the AOA team talk to Ministers Events & Member the House of Commons. and officials, particularly about These are exciting and challenging Relations Manager Brexit, they find an impressive level times for UK airports. We have seen Patricia Page of understanding about the issues the National Policy Statement on Executive Assistant that need to be resolved and the Heathrow laid in Parliament, further & Office Manager outcomes that would make a positive progress on the Aviation Strategy Richard Atkin difference and we appreciate that. We and a new Government statement Accounts Executive recognise also that they face multiple on making best use of existing challenges and conflicting pressures. Jeff Bevan capacity. All these things show that Nevertheless, if the UK aviation Policy & Public Affairs Officer the Government is going in the sector is to continue to be one of the right direction. The AOA’s job now AIRPORT OPERATORS ASSOCIATION UK’s success stories, it will require a is to help shape that and make sure 3 Birdcage Walk, supportive policy environment from that the Government delivers an London SW1H 9JJ Government and we will continue to ambitious strategy for growth that United Kingdom work hard to secure that. enables us to support the economy as we approach Brexit. One of the messages that we are T: +44 (0)20 7799 3171 always keen to get across relates E: [email protected] Many of our airports continue to to the diversity of UK airports and F: +44 (0)20 7340 0999 report record passenger numbers, the importance of ensuring that W: www.aoa.org.uk but there are also some warning Government policies appropriately signs flashing to which the reflect that mix. As you read this Government should pay attention. Michael Burrell edition of our magazine you will Our pan-European trade association, Editor get a very good flavour of that ACI Europe, has just published a new diversity as our interviews with the report on connectivity for airports Chief Executives of East Midlands, across the European Union and its THE AIRPORT OPERATOR Glasgow, Liverpool John Lennon and MAGAZINE IS PRODUCED BY findings are striking. TAG Farnborough Airports convey The UK is the only country in the the huge variety of opportunities and report where direct connectivity is challenges that they face. Shimon Speigel not growing. Every other country’s I hope that you will enjoy reading Creative Director airports report continuing growth those interviews, as well as articles Jessica Horton and the UK itself had seen growth on Airports Safety Week, our 2018 Graphic Designer until last year, when Heathrow, for Security Conference and our new example, saw 7% growth. But now GENIUM report that sets out our views on Studio 27 that growth is no longer being what needs to be done to ensure Quadrant Business Centre recorded and it is a worrying sign. that passengers arriving at UK 135 Salusbury Road There are several reasons why UK airports will encounter a smooth and London NW6 6RJ airports are finding it increasingly improved Border, whether they are difficult to deliver the connectivity T: +44 (0)20 7089 2622 visiting us for leisure or business. E: [email protected] that will support our economy W: www.geniumcreative.com and they certainly include Brexit Ed Anderson, AOA Chairman 4 THE AOA IS PLEASED TO WORK WITH ITS CORPORATE PARTNERS, AND GOLD AND SILVER MEMBERS Corporate Partners Gold Members Silver Members WWW.AOA.ORG.UK 5 BUSINESS BOOMS AT UK’S ONLY DEDICATED BUSINESS AVIATION AIRPORT Business aviation airport, TAG Farnborough, has recorded its busiest day on record – as US jet manufacturer, Gulfstream, announced plans to build a new aircraft service centre at the airport. THE AIRPORT OPERATOR SUMMER 2018 6 he record-breaking day for jet movements at the airport Ton 25 May followed a period between January and April this year when flight movements were up 20% compared to the same period last year. TAG Farnborough CEO, Brandon O’Reilly, attributes his airport’s recent success to three factors: international entrepreneurs investigating new business opportunities in the UK as the country prepares for Brexit, the squeezing out of business aviation from London’s largest commercial airports and regular closures to civilian traffic at RAF Northolt, which must prioritise military requirements. The squeezing out of business 80% of its movements were private O’Reilly says that, following aviation from London’s largest jet movements, but now, O’Reilly an earlier peak around the airports, Heathrow and Gatwick, has says, “there are regular closures London Olympics in 2012, TAG been a long-term trend, but O’Reilly at Northolt for civilian traffic. Civil Farnborough’s traffic was largely suggests that this could now also aviation is being pushed away. That stable until the Brexit referendum be beginning to be a factor at other is the present position and there is in 2016 “when we started to see London area airports, such as Luton, no sign of it changing”. quite a marked upturn in business which has historically been the UK’s aviation”. He speculates that this busiest airport for private jets. Along with Biggin Hill and Oxford, might have been partly linked to the TAG Farnborough, with its plentiful fall in the value of sterling and partly RAF Northolt’s VIP private jet spare capacity is in a good position because “the type of people who terminal has long been prized by to benefit. The airport markets itself use the airport are always seeking its customers for its proximity to as “a one-stop shop for business business opportunities ahead of the central London and its use by visiting aviation” and sees that claim being curve and the referendum result heads of state. In the past over created change opportunities”. WWW.AOA.ORG.UK 7 The current run of good news at “We welcome this investment, which will TAG Farnborough is something of a contrast to the situation that benefit the regional economy and underpin the O’Reilly found himself in shortly after arriving as CEO in 2006. airport’s role in supporting jobs and economic Farnborough was the UK’s first operational airfield, established development. As Europe’s leading business in 1905. Originally a Government airfield, it was declared surplus to aviation airport and a London gateway, requirements by the Ministry of Defence in 1991 and had been in we are well-placed to meet the specific the process of development since requirements of Gulfstream and its customers.” 2000. A new terminal building had just been completed. Further strengthened by the announcement “because TAG Farnborough is a developments were being planned from Gulfstream that it has London gateway airport dedicated when the global financial crisis decided to construct a new, larger, exclusively to business aviation”. hit. Aircraft movements at TAG purpose-built maintenance, repair O’Reilly echoed that explanation. Farnborough plummeted from and overhaul operation at TAG He said: “We welcome this 28,000 a year to 23,000. “We had Farnborough. The new service investment, which will benefit the to take stock” he said “Our owners centre, which will be up to 220,000 regional economy and underpin the are long-term investors. We took the square feet and will include a new airport’s role in supporting jobs and decision to assess the market and hangar able to accommodate up to economic development. As Europe’s we waited until just before 2010 to 13 large business jets, is set to open leading business aviation airport and start work again on a further round in 2020. a London gateway, we are well-placed of infrastructure investment”. to meet the specific requirements of Gulfstream said it had chosen TAG Gulfstream and its customers”. Farnborough because the London area has the highest volume of Gulfstream traffic in Europe and THE AIRPORT OPERATOR SUMMER 2018 8 A total investment of £200 million shopping. Passengers flying in to The fact that Farnborough’s has created an award-winning TAG Farnborough can have their passengers are generally keen airport that is well-placed to deliver passports checked by Border Force to see as little of the airport as what O’Reilly describes as “a five- on their aircraft before stepping in to possible presents some unique star service to customers and crew their car waiting for them at the foot business challenges. The kind of with no compromise” and, not least, of the aircraft steps and speeding non-aeronautical revenues on which the one thing that customers value off to their destination.