Business & Finance

Heathrow’s plan for longer third runway chosen by government

Heathrow Airport’s plan for a third runway, which involves moving the M25 motorway, has been chosen by the government.

Two plans had been under consideration by the government – one from the airport itself, and another from Arora Group, led by hotel tycoon Surinder Arora.

Heathrow had unveiled its proposals for a third runway in the summer, which would be up to 3.5km long and require a new road tunnel under the airport. The rival bid from Arora Group would have involved a shorter runway at a lower cost, and did not require altering the M25.

A final decision on whether a third runway will get the green light is still years away.

Last month, the government asked for further information to help choose between the Heathrow and Arora schemes.

The Department for Transport said Heathrow’s own proposal offered the most deliverable option, and the “greatest likelihood” of getting a decision on planning approval within this parliament.

The plan that has been backed will inform the government’s review of the Airports National Policy Statement.

Once that is complete, Heathrow is expected to apply for planning permission. The government then hopes for a decision by 2029.

Transport Secretary Heidi Alexander said Heathrow was the UK’s only hub airport that supports trade, tourism and jobs.

“Today is another important step to enable a third runway and build on these benefits, setting the direction for the remainder of our work to get the policy framework in place for airport expansion,” she said.

“This will allow a decision on a third runway plan this parliament which meets our key tests including on the environment and economic growth.”

A spokesperson for Heathrow welcomed the decision but said it needed “clarity as to how the crucial next phase of the project will be regulated”.

The airport is seeking reassurance that it will be allowed to increase its fees by enough to cover the cost of the planning application, which it says it will have to start very soon to meet the government’s timetable.