The British Government has given the go-ahead for a £344million expansion plan for London City Airport (IATA: LCY). The announcement was made on July 27 by Chancellor of the Exchequer, Philip Hammond, Transport Secretary Chris Grayling and Communities Secretary Sajid Javid. The three ministers announced the approved plans for an extended terminal plus new a new aircraft taxiway and extra parking stands.
London City Airport estimates that the scheme will create 1,600 airport jobs for staff, together with 500 construction jobs, and could potentially contribute £1.5 billion to the UK economy by 2025.
The move is expected to bring more flights at peak times, with bigger, newer and, most importantly, quieter aircraft. A number of investments will also be made in transport links around the airport, including funding the cost of additional Docklands Light Railway rolling stock (£2.6 million), investing in a bus and taxi access scheme and improving walking and cycle routes to the airport.
The Chancellor of the Exchequer, Philip Hammond described the approval as: “a real vote of confidence in the resilience of our economy.”
Companies will be able to bid for construction and procurement contracts worth £294 million.
The government also said that a generous compensation package will be provided by the airport to support local residents affected by the increase in air traffic.