Heathrow chief executive Thomas Woldbye is due to outline the airport’s investment plans in a speech at the British Steel plant in Scunthorpe today, ahead of presenting proposals for a third runway to the government this summer.
Woldbye will confirm a multibillion-pound, privately funded investment in Heathrow’s Terminals 2 and 5 will go-ahead while detailed plans for a third runway “are being worked up” when he signs a UK Steel Charter in a ceremony at the steel works.
He will announce “the largest investment programme” to upgrade and expand the airport in Heathrow’s history using “100% private funding”, just two weeks after Chancellor Rachel Reeves confirmed government backing for a third runway.
Woldbye is due to say: “Heathrow is proud to answer the Chancellor’s call to get Britain building.
“This privately funded programme will upgrade existing infrastructure while laying the groundwork for a third runway, boosting UK investment and economic growth.”
He will argue: “A third runway is critical for the country’s future economic success, and I confirm we’ll submit our plans for a third runway this summer.
“Ahead of then, as part of a phased expansion programme, I’m today confirming multibillion-pound investment plans, 100% privately funded, to upgrade our terminal buildings, enhance [the] passenger experience, and improve resilience and sustainability.
“This is vital investment and will ensure Heathrow remains globally competitive.”
Full details of the investment programme and “the pathway” to a third runway will form part of Heathrow’s proposals to government this summer.
But plans announced on Wednesday will include new investment in Terminal 2 infrastructure and passenger capacity at Terminal 5, investment in reconfiguring the airfield layout to increase the number of aircraft stands, investment in improved bus and coach connections, and infrastructure to allow greater use of sustainable power sources.
The investment programme will start with projects within the airport’s existing boundary, aimed at making the airport “more efficient, more reliable and more sustainable”, and will “build on the £2.3 billion in accelerated investment” Heathrow announced in December.
Woldbye will pledge to engage with “key stakeholders” including airlines and local communities to develop and finalise the airport’s proposals.
He will commit to demonstrating the project can deliver for the economy and the environment, saying: “Expanding Heathrow with strict environmental safeguards will prove the UK economy can be grown responsibly and deliver on commitments to future generations.
“This project can only go ahead if we meet the rules on noise, air quality and carbon that the government sets out in the Airports National Policy Statement.”
Woldbye will insist: “We’re committed to listening and working with our local communities to provide them with the certainty they deserve, ending years of doubt.”
The UK Steel Charter which he is due to sign is intended to maximise the opportunities for UK steel producers.
UK Steel director-general Gareth Stace said: “Signing the UK Steel Charter is a vital commitment to strengthening Britain’s industrial backbone, ensuring our steel industry continues to support high-quality jobs, drive investment and play a central role in the UK’s economic future.”
British Steel chief executive Zengwei An said: “We’re proud to be backing a third runway and the proposed expansion of Heathrow.
“Major developments like this, which require huge volumes of steel, demonstrate why the UK must have a strong and vibrant steel manufacturing sector. As Britain’s only manufacturer of heavy constructional steel sections, and rail, we have a critical role to play in helping this country meet its many infrastructure needs.”
Craig Beaumont, executive director of the Federation of Small Businesses, said: “Getting growth means moving forward with a strong plan for a third runway at Heathrow.
“If we can finally get a move on with the project after so much delay it will put a neon sign above the UK that we’re open for business.”
Community general secretary Roy Rickhuss welcomed Heathrow’s support for the charter saying: “This is a generational opportunity to procure hundreds of thousands of tonnes of UK-made steel – supporting high quality jobs across the UK.
“It’s important we seize this opportunity and use it as a springboard to ensure other major infrastructure projects utilise UK Steel.”
GMB union national secretary Andy Prendergast added: “An expanded Heathrow is crucial for our country’s future prosperity. The extra runway will create tens of thousands of good, union jobs.”