Heathrow investors need ‘confidence’ to commit to third runway

Heathrow has urged the aviation regulator to give investors “confidence” to forge ahead with a third runway.

 

The call came as the capacity-constrained London hub projected only “incremental” growth from 84.5 million passengers in 2025 to 85 million this year.

 

Heathrow reported increased revenue of £3.6 billion but a flat adjusted earnings [ebitda] of £2 billion, as the benefit of higher passenger numbers was offset by lower airport charges set by the Civil Aviation Authoeity, increased maintenance costs and “expenditure needed to support operational performance”.  

 

Adjusted pre-tax profits fell by 39% year on year to £275 million.

 

Noting that 2025 was Heathrow’s busiest year to date, securing its position as Europe’s busiest hub airport, the company warned that the third runway expansion project “remains complex”.

  

Heathrow said: “It can only proceed once the necessary regulatory and policy frameworks are firmly in place to enable the next phase of delivery.

 

“To deliver the full benefits to customers and the country and to ensure it is fully privately financed, the CAA must put in place the framework that gives investors confidence.

 

“Decisions on these key issues are expected throughout 2026. This includes in the autumn when Parliament will be asked to vote on the final Airports National Policy Statement (ANPS) - a decision which will enable Development Consent Order (DCO) approval by 2029. The first flights from a third runway could be in a decade.” 

 

Heathrow is to spend £1.3 billion over the coming year, kickstarting work to revamp Terminal 4, progress with the new baggage system design for Terminal 2 and drive improvements to services for passengers with accessibility needs, “all of which will contribute towards making Heathrow more user-friendly and resilient for our customers”. 

 

The airport pointed out that 4.2 million more passengers flew on time compared with 2024 and baggage and security performance continued to strengthen.

 

As many as 97.3% passengers waited less than five minutes for security and baggage load rates were close to 99% “resulting in smoother, more reliable journeys” for passengers.  

 

Heathrow chief executive Thomas Woldbye said: "Last year everyone at Heathrow rallied behind our ambition to deliver exceptional operational performance for our customers.

 

“Not only did we meet that goal, we surpassed it and achieved record‑breaking service levels.

 

“With strong foundations in place and with the airport now operating very close to capacity, the next chapter is crucial to our success.

 

“Expansion will unlock significant economic benefits and create an extraordinary airport, fit for the future. In 2026, we’ll continue progressing our plans so we can deliver for both our customers and for the country."