Heathrow today admitted that the rapid return to travel last year was operationally challenging as Covid travel curbs which “deeply scarred” the aviation sector were lifted.
Passenger numbers trebled year-on-year to 62 million as borders reopened in March after two years of closures, described as being tougher in the UK than in other major markets.
“This increase alone was equivalent to fitting virtually all of Frankfurt’s 2022 passengers into Heathrow,” the airport said.
“The rapid growth was challenging operationally for all companies on the airport, but we were successful in getting as many people on their way as possible by keeping supply and demand in balance.”
The London hub continued to be loss-making in 2022 despite the rebound in travel. Annual losses almost halved from £1.27 billion to £684 million, but inflation, lower passenger numbers and “insufficient regulated charges” impacted underlying profitability.
Heathrow insisted that service is getting back to pre-pandemic levels after it was forced to impose a cap on departing passenger numbers last summer.
“The border closures and loss of skills deeply scarred the global aviation sector and it will take some time to fully recover,” the airport said as it issued 2022 financial results.
“Over 25,000 people have started work at Heathrow in the last 18 months and resource levels are now close to pre-pandemic levels.
“The focus is now on improving skills, experience and building resilience. We are seeing the benefits in a successful Christmas and half-term getaway. In 2019, passengers ranked Heathrow as one of the top 10 in the world and we are determined to get back there.”
The results come ahead of the aviation regulator’s expected ruling on charges the airport can impose on airlines next month.
The final decision by the Civil Aviation Authority in March will determine investment levels in passenger service over coming years.
Meanwhile, Heathrow has created a £38 million incentive scheme to encourage airlines to switch out kerosene for sustainable aviation fuel (SAF).
Outgoing chief executive John Holland-Kaye said: “2022 may have been a year of recovery, but 2023 is shaping up to be a year of renewal for Heathrow.
“Our teams have already delivered a successful Christmas and half-term getaway, and with a great investment plan in place, we are determined to once again rank in the top 10 airports for service.
“I couldn’t be prouder of how far Team Heathrow has come in my nine years as CEO – from transforming customer service, to securing Parliamentary approval for expansion to surviving two years of border closures and rebuilding the business.
“My successor will take on a fantastic team who are making Heathrow a world leading hub that Britain can be proud of.”