A new airport.... South Yorkshire Airport City?

Doncaster Sheffield Airport Strategic Review Announcement​

Forums4airports discusses the latest press release from Doncaster Sheffield airport where the airport questions the future of the airport. The owners of the airport, the Peel Group have announced they are looking at their options as the group has decided the airport is no longer viable as an operational airport. Here's the press release:

"The Board of Doncaster Sheffield Airport (DSA) has begun a review of strategic options for the Airport. This review follows lengthy deliberations by the Board of DSA which has reluctantly concluded that aviation activity on the site may no longer be commercially viable.

DSA’s owner, the Peel Group, as the Airport’s principal funder, has reviewed the conclusions of the Board of DSA and commissioned external independent advice in order to evaluate and test the conclusions drawn, which concurs with the Board’s initial findings.

Since the Peel Group acquired the Airport site in 1999 and converted it into an international commercial airport, which opened in 2005, significant amounts have been invested in the terminal, the airfield and its operations, both in relation to the original conversion and subsequently to improve the facilities and infrastructure on offer to create an award winning airport.

However, despite growth in passenger numbers, DSA has never achieved the critical mass required to become profitable and this fundamental issue of a shortfall in passenger numbers is exacerbated by the announcement on 10 June 2022 of the unilateral withdrawal of the Wizz Air based aircraft, leaving the Airport with only one base carrier, namely TUI.

This challenge has been increased by other changes in the aviation market, the well-publicised impact of the COVID-19 pandemic and increasingly important environmental considerations. It has therefore been concluded that aviation activity may no longer be the use for the site which delivers the maximum economic and environmental benefit to the region. Against this backdrop, DSA and the Peel Group, will initiate a consultation and engagement programme with stakeholders on the future of the site and how best to maximise and capitalise on future economic growth opportunities for Doncaster and the wider Sheffield City Region.

The wider Peel Group is already delivering significant development and business opportunities on its adjoining GatewayEast development including the recent deal for over 400,000 sq ft logistics and advanced manufacturing development on site, creating hundreds of new jobs and delivering further economic investment in the region.

Robert Hough, Chairman of Peel Airports Group, which includes Doncaster Sheffield Airport, said: “It is a critical time for aviation globally. Despite pandemic related travel restrictions slowly drawing to a close, we are still facing ongoing obstacles and dynamic long-term threats to the future of the aviation industry. The actions by Wizz to sacrifice its base at Doncaster to shore up its business opportunities at other bases in the South of England are a significant blow for the Airport.

Now is the right time to review how DSA can best create future growth opportunities for Doncaster and for South Yorkshire. The Peel Group remains committed to delivering economic growth, job opportunities and prosperity for Doncaster and the wider region.”

DSA and the Peel Group pride themselves on being forward-thinking whilst prioritising the welfare of staff and customers alike. As such, no further public comments will be made whilst they undertake this engagement period with all stakeholders.
During the Strategic Review, the Airport will operate as normal. Therefore passengers who are due to travel to the airport, please arrive and check in as normal. If there are any disruptions with your flight, you will be contacted by your airline in good time.
For all press enquiries, please contact Charlotte Leach at [email protected]."

"Not great news for DSA or the region"

Should the government or local council foot the bill and provide a financial subsidy to keep the airport open, thoughts...?

 

In the Lease, it says if the Airport hasn't operated as a Civil Airport for a period of 5 years then the Lease can be revoked.

The Lease was signed 20th March 2024, so the 19th of March 2029 is getting awfully near. It needs too be open and operating as a Civil Airport by that date.

That is the first target even before the first break clause in March 2031 is reached with something like 1.3-1.6m passengers and 13,000 Tonnes of Cargo a year by March 2031.

Tour Operators are already writing their Summer 2028 programmes and DSA won't feature in their plans.

So if it hasn't opened and operating by 19th March 2029 then Peel can fully pull the plug on the Lease and CDC can't do a thing about it.

 

In the Lease, it says if the Airport hasn't operated as a Civil Airport for a period of 5 years then the Lease can be revoked.

The Lease was signed 20th March 2024, so the 19th of March 2029 is getting awfully near. It needs too be open and operating as a Civil Airport by that date.

That is the first target even before the first break clause in March 2031 is reached with something like 1.3-1.6m passengers and 13,000 Tonnes of Cargo a year by March 2031.

Tour Operators are already writing their Summer 2028 programmes and DSA won't feature in their plans.

So if it hasn't opened and operating by 19th March 2029 then Peel can fully pull the plug on the Lease and CDC can't do a thing about it.

Do you have a source for this?

I think when it comes to airlines and tour operators writing their programs it’s a bit loose ended in that there will always be sufficient capacity to make strategic growth decisions. Jet2 at LGW is a case in point. They saw an opportunity to get in there and so they did, but it’s ultimately meant that people thinking they’ll be at their home base are now going to be operating out of base. The problem for DSA was, is and probably always will be that it’s not a strategic priority for most airlines. Doncaster Council can believe they’re the centre of the aviation universe with limitless untapped potential all they want, but the reason the U.K. airport framework is predominately privately ran is due to the fact that it removes the local pride aspect that the private sector (i.e airlines) tend to ignore.

I notice that Ros Jones had comments turned on for the most recent ‘olds’ regarding the appointment of the Head of Security. I now note that comments have been turned off and all previous comments have therefore vanished. Proof if any were needed that transparency and public opinion doesn’t matter. I’ve even seen some wet behind the ears councillors claiming that the Online Safety Act can be used against people with dissenting voices. This would be a gross misuse of this act, they’d be best place to learn this!

 

Do you have a source for this?

I think when it comes to airlines and tour operators writing their programs it’s a bit loose ended in that there will always be sufficient capacity to make strategic growth decisions. Jet2 at LGW is a case in point. They saw an opportunity to get in there and so they did, but it’s ultimately meant that people thinking they’ll be at their home base are now going to be operating out of base. The problem for DSA was, is and probably always will be that it’s not a strategic priority for most airlines. Doncaster Council can believe they’re the centre of the aviation universe with limitless untapped potential all they want, but the reason the U.K. airport framework is predominately privately ran is due to the fact that it removes the local pride aspect that the private sector (i.e airlines) tend to ignore.

I notice that Ros Jones had comments turned on for the most recent ‘olds’ regarding the appointment of the Head of Security. I now note that comments have been turned off and all previous comments have therefore vanished. Proof if any were needed that transparency and public opinion doesn’t matter. I’ve even seen some wet behind the ears councillors claiming that the Online Safety Act can be used against people with dissenting voices. This would be a gross misuse of this act, they’d be best place to learn this!

I was given sight of the signed Lease document and in it there is far more stuff in the Lease that hasn't been published in the media so far.

Everyone is talking about the Planning Consents that were required to be passed, power usage limits and passenger/ cargo targets that must be met.

But what has fell under the radar so far regarding media publication of the leaked lease, maybe its due to be published in time.

If it has been closed for a period of 5 years and not been open and operated as a Civil Airport then the Lease can be revoked.

The clock has been ticking since 20th March 2024.

 

The lease is on google https://www.facebook.com/share/p/1C9CcH5PkH/

 

Chadwick appears to have provided a write up of the most recent ACC meeting. Freight growth apparently will be during the day and not night. Most of the lucrative freight contracts operate primarily over night.

 

The lease is on google https://www.facebook.com/share/p/1C9CcH5PkH/

Seems to be some very unhappy bunnies looking at the comments..Blaming Peel and the Council..penny dropping that this is going to cost, not that many people, a disproportionate amount of money...The backlash begins...No wonder Jonesy wanted it kept quiet

 

The ACC is about the only thing to talk positively about until there is further news in other directions.
Having skimmed through the lease it does seem that there are more issues in there that have not been highlighted - as yet - by the press - such as a Peel associated company mandated to provide utilities etc.
Now that the content is in the open it appears to my mind at least that this will be a a very difficult task to re-negotiate to OC's satisfaction and depends entirely on Peel's goodwill. No wonder 6 months have elapsed with no news. Makes it more difficult for him to accept I would think as folk - particularly opponents - will be demanding transparency in respect of any changes in view of the incompetence and apparent recklessness with which the lease was 'negotiated' by the CDC. Time drags on with no sign of the money being released and therefore although we are told tenders are out there are unlikely to be any orders until the cash is released for equipment that is on lo...ng lead time. In the meantime the bill for CDC or whoever is paying grows as they attempt to recruit.
Catch 22!! What a mess!!!

 

The ACC is about the only thing to talk positively about until there is further news in other directions.
Having skimmed through the lease it does seem that there are more issues in there that have not been highlighted - as yet - by the press - such as a Peel associated company mandated to provide utilities etc.
Now that the content is in the open it appears to my mind at least that this will be a a very difficult task to re-negotiate to OC's satisfaction and depends entirely on Peel's goodwill. No wonder 6 months have elapsed with no news. Makes it more difficult for him to accept I would think as folk - particularly opponents - will be demanding transparency in respect of any changes in view of the incompetence and apparent recklessness with which the lease was 'negotiated' by the CDC. Time drags on with no sign of the money being released and therefore although we are told tenders are out there are unlikely to be any orders until the cash is released for equipment that is on lo...ng lead time. In the meantime the bill for CDC or whoever is paying grows as they attempt to recruit.
Catch 22!! What a mess!!!

I wonder if there’s some performative compliance going on with this. ATCO recruitment being one possible example. I don’t know whether they’ve actually recruited any ATCOs yet, but it might explain why 4 of 5 former employees who applied were rejected at application stage. Can they even afford the salaries when the main funding source is still deadlocked by an inability to get it past the SYMCA financial officer.

 

Seems to be some very unhappy bunnies looking at the comments..Blaming Peel and the Council..penny dropping that this is going to cost, not that many people, a disproportionate amount of money...The backlash begins...No wonder Jonesy wanted it kept quiet

Yes this has made its way to the Doncaster Freepress now, the comments on FB are priceless freepress FB post

I think it’s now all in the hands of Coppard & Peel. If I were Peel, I personally would not budge, why would you, they have signed it? If Coppard does not release the money, you’ve still been paid lease for an asset doing nothing, and then if the council try and do a compulsory purchase, I’m guessing it would now be difficult, because peel can show that they have tried to accommodate a deal. Peel can then develop the land of their loss leading airport and gets even more money back on it.

 

Yes this has made its way to the Doncaster Freepress now, the comments on FB are priceless freepress FB post

I think it’s now all in the hands of Coppard & Peel. If I were Peel, I personally would not budge, why would you, they have signed it? If Coppard does not release the money, you’ve still been paid lease for an asset doing nothing, and then if the council try and do a compulsory purchase, I’m guessing it would now be difficult, because peel can show that they have tried to accommodate a deal. Peel can then develop the land of their loss leading airport and gets even more money back on it.

Ahh but the YP have now stuck an article on their website within which Ros Jones has made a statement to the LDRS that the renegotiated lease is ‘almost complete’.

Doncaster Sheffield Airport: DSA lease renegotiation ‘almost completed’ - Mayor

The renegotiation of the confidential Doncaster Sheffield Airport lease agreement between the City of Doncaster Council and the Peel Group is nearing completion, Mayor Ros Jones has said.

www.yorkshirepost.co.uk

Convenient positive PR flooding ahead of two extraordinary meetings at CDC regarding this next week? The Audit Committee and Full Council. Bit cos someone leaked it before they all now have to sign a gagging order to prevent them discussing the terms of this renegotiated lease, should it exist, so that Ros Jones can blame her opposition should they decide that it’s a bad idea to continue. They’ll be the councillors who prevented DSA from happening.

Truth is though that it has to be agreed and signed off by SYMCA financial officer, so even if it’s slightly better I do wonder how much good will Peel are prepared to apply here. They’ll might renegotiate the timelines for performance, but will they remove the 20% top slice of everything? Will they allow the airport to source its energy provisions from other utility companies?

 

Looks like the council execs have been on a PR spin exercise and had the Yorkshire Post visit DSA all week. We know exactly why they’re doing it and it’s all rather unpleasant in my view. It’s unelected execs looking after their own positions by effectively strong arming public opinion and ensuring the very real concerns to be raised next week by the audit committee endowed out.

Christian Foster has once again mentioned easyjet…

 

Ah the enemy that is Yorkshire Post!! Mental that

 

All seemed sensible, balanced articles to me. The YP has been doing a good job in terms of scrutinising the project and this seems no different; they’ve reported the opinions of the people running the show and highlighted the risks. Exactly what you’d expect from good reporting in my view.

 

All seemed sensible, balanced articles to me. The YP has been doing a good job in terms of scrutinising the project and this seems no different; they’ve reported the opinions of the people running the show and highlighted the risks. Exactly what you’d expect from good reporting in my view.

It’s not the YP I have an issue with, I agree that they’ve done a good job of offering a balanced view. What I completely disagree with is the unelected council execs organising a PR stunt to try to divert attention from the very real concerns that have been raised by internal and external auditors over the airport project which is compounded by the woeful lease which most likely involved Damien Allen in the negotiations.

They still talk of a 130,000 strong petition to save the airport. This is based on old assumptions. People have lost interest, people have realised that the cabal in the council have purposefully withheld crucial information from the public that highlights the risk to the publics own finances from pushing on with this.

You may think ‘well that’s their job’ and that’s fine, but we’re justified in questioning their job when it comes to projects like this.

 

Looks like the council execs have been on a PR spin exercise and had the Yorkshire Post visit DSA all week. We know exactly why they’re doing it and it’s all rather unpleasant in my view. It’s unelected execs looking after their own positions by effectively strong arming public opinion and ensuring the very real concerns to be raised next week by the audit committee endowed out.

Christian Foster has once again mentioned easyjet…

No questions around any of the most pressing issues; funding and air space in particular in the video.

Talks around having 200 staff employed reasonable soon, but with no certainty on the release of funds by SYCMA or when opening would actually take place?

It’s clearly a piece designed to led a narrative and it’s clear Foster has no idea about running an airport. At one point he even named Azerbaijan and a new one to me….Kazarbaijan!

And yet again….we have a 2 mile runway, one of the widest in Europe. Airlines they should be speaking with simply don’t care!

This may appease the supporters, but I think many in the industry will see right through it for what it is.

 

Still pushing for 4m passengers, it’s absolute ludicrous, never going to happen

 

Still pushing for 4m passengers, it’s absolute ludicrous, never going to happen

They’d be lucky to achieve 400,000.

Still talking about long haul as well. It really seems like they just believe that because they have a long runway they can attract these flights. Never mind being one of the poorest areas of the UK.

MAI are no mugs, they must know that this sort of stuff is ridiculous and be having conversations with airlines which are actually realistic?

 

No questions around any of the most pressing issues; funding and air space in particular in the video.

Talks around having 200 staff employed reasonable soon, but with no certainty on the release of funds by SYCMA or when opening would actually take place?

It’s clearly a piece designed to led a narrative and it’s clear Foster has no idea about running an airport. At one point he even named Azerbaijan and a new one to me….Kazarbaijan!

And yet again….we have a 2 mile runway, one of the widest in Europe. Airlines they should be speaking with simply don’t care!

This may appease the supporters, but I think many in the industry will see right through it for what it is.

It’s brilliant isn’t it, he’s clearly trying to sell himself ‘people say I’m from private sector’. Well no pal, it’s quite clear you’ve worked In the public sector your entire working life.

DSA is going to be so good it’s going to invent its own Country!

I don’t know about anyone else but if I wanted to put out some compelling and positive PR I would have had MAI taking the lead on it.

This is embarrassing.

 

we have a 2 mile runway, one of the widest in Europe. Airlines they should be speaking with simply don’t care!

 

No passengers for Summer 2028 season unless they get diverts