GovWire

More than5,000 jobs will be created as a result of a 5-year, 1.1 billion investment in London Stansted Airport, welcomed today (14 October 2024) by Chancellor Rachel Reeves and Transport Secretary Louise Haigh.

The plans were unveiled by the Prime Minister at the flagship International Investment Summit in London and will see Stansted unlock the potential of its runway through the extension of its existing terminal.

The funding will expand the existing terminal by a third, securing new air routes to key business and holiday destinations boosting local supply chains and further cementing the UKs place on the international stage.

The investment consists of 600 million for the terminal extension, alongside another 500 million to improve the existing terminal and wider airport estate.

It will also deliver Stansteds 14.3 megawatt on-site solar farm, which will support the airports current and increasing electricity demands. It follows the recent creation of a new electric vehicle charging forecourt at the airport.

Manchester Airports Group (MAG), owner of London Stansted, is in the final stages of the procurement process, with construction expected to begin in 2025. The project will take between 2 and 3 years to complete.

This scheme will significantly improve passengers experience at each stage of their journey from check-in to immigration.It willdeliver a larger security hall, an airfield taxiway upgrade and an overhaul of gate rooms, boosting capacity and comfort for passengers before boarding.

The expansion plans already have planning permissions to begin construction and are in line with previously agreed passenger and flight numbers.

Transport Secretary, Louise Haigh, said:

We have been steadfast in our commitment to help British businesses grow and in turn boost the UKs economy. This announcement is a clear signal that Britain is open for business.

Transport is central to this governments core mission of growing the economy. This is about giving companies like Manchester Airports Group the confidence to invest, boosting regional and national economic growth and supporting the aviation sector while also meeting our existing environmental obligations.

Ken OToole, Chief Executive Officer of MAG which owns London Stansted, Manchester and East Midlands Airports, said:

By investing more than 1 billion in Stansted over the next 5 years, we will be able to connect people and businesses in London and the east of England to even more global destinations, while welcoming millions more visitors to the UK.

We are proud to be investing in our infrastructure in a way that will create jobs and stimulate trade, investment and tourism.

Aviation is an essential enabler of the success of the UKs key high-value industries, and we look forward to helping the government achieve the highest sustained growth in the G7 through the sustainable growth of our airports.

Cath Bowtell, IFM Investors Chair, said:

As co-owners of MAG, our commitment to this exciting new Stansted project reflects our confidence in the airports future growth story.

As one of the worlds largest infrastructure investors, IFM invests over decades to enhance the value to customers of the UK infrastructure we own and operate.

MAG goes from strength to strength under the long-term stable co-ownership of IFM alongside Manchester and Greater Manchester local authorities.