Cardiff Airport - General Thread

[Aviador]

Re: Cardiff Airport - Main Thread

[textarea]Cardiff Airport accounts show operating loss

The future viability of Cardiff Airport is being questioned, after the latest accounts show a significant operating loss.

But the airport's finance director says the company has the resources to continue to operate for the forseeable future.

Source and video report: http://www.bbc.co.uk/news/uk-wales-19522251[/textarea]

The report suggests Helvetic Airways and Vueling will will help turn the tide on the bad fortunes of the airport.
Has the airport not been told Helvetic Airways are ceasing flights this winter?

 

[TheLocalYokel]

Re: Cardiff Airport - Main Thread

The report suggests Helvetic Airways and Vueling will will help turn the tide on the bad fortunes of the airport.
Has the airport not been told Helvetic Airways are ceasing flights this winter?

As is often the case with airlines Helvetic haven't actually spelt out that they are not operating from CWL this winter - they've simply axed the route from their winter timetable.

The South Wales news media doesn't seem to have realised that Helvetic is gone for the winter and the airport is unlikely to tell them unless they are asked directly.

2013 should see the double digit percentage annual passenger declines of the five years since 2007 (nearly 50% overall) at least bottom out. It seems likely that 2013 might even see a small percentage gain.

The passenger figures are now so low (1 mppa) that it won't take many additional punters to show a percentage gain next year. If/when that happens just sit back and listen to the airport management crow about being one of the country's fastest growing airports.

I don't blame them actually. Most people in Wales (and in the UK as a whole) take no close interest in aviation and will merely hear the press talk about a fast-growing airport and believe they have a successful facility in Wales: success breeds success (perhaps real success in the fullness of time for CWL)

 

[Ray Finkle]

Re: Cardiff Airport - Main Thread

Seems the welsh media have finally caught up. The article states the two parties are in discussion about it returning next year with a decision due end of Oct.

Swiss airline quits Cardiff Airport - and switches to Bristol

 

[TheLocalYokel]

Re: Cardiff Airport - Main Thread

Seems the welsh media have finally caught up. The article states the two parties are in discussion about it returning next year with a decision due end of Oct.

They must read Forums4Airports.

The web newspaper report heading is a bit misleading. The flights haven't switched to Bristol - they've been flying there all summer and for most of last winter.

The rationale according to the man from the university business school is that there are more people in the Bristol area likely to take winter breaks, particularly ski holidays.

That is undoubtedly so but BRS is well set up for ski flights in the winter season already. In the recent winters there have been between 14 and 17 weekly ski flights together with over 30 scheduled ones each week to ski destinations with easyJet flying up to 18 x weekly to Geneva alone.

It has to be hoped there is enough left at the table for Helvetic.

 

[TheLocalYokel]

Re: Cardiff Airport - Main Thread

[textarea]First Minister vows to help "rebrand and refresh" Cardiff Airport as new routes are announced

First Minister Carwyn Jones announced a new service between Cardiff and Malaga would take to the air next summer, run by operator Vueling. In his monthly press conference he said the Welsh Government will launch a new marketing campaign in Catalonia in an attempt to attract tourists from the Spanish region.

It was also announced today that a weekly charter flight between Vienna and Cardiff will run next summer with Austrian tour operator Prima Reisen.

Carwyn Jones was today chairing the latest meeting of the Commission for Economic Renewal and following the meeting said: "I want Cardiff Airport to realise its potential to be a modern, well connected success at the heart of our national infrastructure."[/textarea]

Full report at http://www.itv.com/news/wales/2012-09-2 ... next-year/

The Vueling Malaga route was in the public domain before today's Wales Government announcement.

The Vienna weekly charter route is aimed at bringing Austrian visitors to Wales. Similar ventures have occurred at Exeter and Newquay airports in recent summers involving bringing German and Austrian tourists to Devon and Corwall.

The First Minister also said that an approved programme was in place to rebrand and refresh the airport in time for the 2013 summer season.

Last year the EU authorised the Wales Government to inject £5 million into CWL to spruce the place up. The WG wanted the Spanish owners, Abertis, to invest four times this sum as a condition of receiving the public money. The owners declined.

Because of the short time span (summer 2013) I can't see this will be a £20 million amelioration. I hope it's not politicians' smoke and mirrors. Any rebrand and refresh needs to be tangible and worthwhile. A decent route network is far more useful because most punters will travel if the fares are right for them and won't care too much what the airport looks like.

The Wales Government also said it was hopeful that the Helvetic Zurich service (discontinued this winter) would return in summer 2013.

CWL has had more than one bit of positive news in recent days and it looks as though it might be reaching the bottom of its horrendous five years.

Back in the summer the First Minister confidently predicted that CWL could catch up and then overtake its bete noire BRS. Looks as though the challenge starts from next spring. Might take a year or two though to get up to 6 mppa from the current 1 mppa.

 

[TheLocalYokel]

Re: Cardiff Airport - Main Thread

Further developments in the near future?

In addition to the recent announcement that Vueling will return next summer, that there will be a service next summer bringing inbound tourists to Wales from Austria and some sort of revamp of the airport over the winter, it now appears that CWL may be having additional charter flights next summer to Palma and Faro.

They are advertised on lowcostholidays website and timings etc do not correspond with anything proposed by TOM or TCX. Wiki, not always the most reliable of sources, shows the carrier as Small Planet with the season commencing in the third week of July.

There are also rumours circulating of another imminent announcement or announcements, possibly to be made this coming week.

 

[Em0866]

Re: Cardiff Airport - Main Thread

Thanks for this Local. I was aware of the inbound Austrian charters but that was all. It will be interesting to see what announcement will be made in the next few weeks.

As for Palma and Faro, maybe Vueling have something up their sleeve? Just a thought.
Not sure if they have flights to Faro though. All we can do is sit and wait it out, and see what happens!

 

[TheLocalYokel]

Re: Cardiff Airport - Main Thread

[textarea]Plaid Cymru call for public stake in Cardiff Airport

A public stake should be taken in Cardiff Airport, the leader of Plaid Cymru claimed today.

Leanne Wood made the call during a debate in the Senedd chamber on the future of the hub, following a report released in July from the Enterprise and Business Committee on international connectivity through Welsh ports and airports.

She said that taking a Welsh Government stake in the ailing airport could "transform" its fortunes and boost the economy.

First Minister Carwyn Jones has been vocal in his criticism of the hub and the impression it gave visitors - leading to the creation of the Cardiff Airport Task Force.

In her speech during the debate, Ms Wood said that she was "surprised" there had been no consideration of ownership in the committee's report.

She said a public stake could mean more resources for route development, investigation for route development and further investigation into joint funding to improve facilities and a long-term strategy rather than a "headline-grabbing quick fix".[/textarea]

Full report at http://www.walesonline.co.uk/news/wales ... -31960522/

Well, well. Can this be the same Plaid Cymru that has been calling on the Westminster Coalition Government to introduce a tax on aviation fuel and use the money to improve the public transport network and reduce rail and long-distance bus fares?

 

[Aviador]

Re: Cardiff Airport - Main Thread

Yes it's all becoming a bit of a joke now.

 

[Em0866]

Re: Cardiff Airport - Main Thread

A lot of political hot air from PC, if you ask me....nothing new there though

 

[TheLocalYokel]

Re: Cardiff Airport - Main Thread

http://www.walesonline.co.uk/business-i ... -32044815/

The above link points to a business article in a major Wales online newspaper that predicts outstanding growth at CWL over the next 13 years.

The claim is that by 2020 the airport will be handling three million passengers a year (currently one million) with a target by 2025 of overtaking Bristol Airport which currently is approaching 6 mppa and likely to be somewhat higher than that by 2025.

The writer of the article (the newspaper's business editor) says this will result from 'a focused public-private partnership approach and investment in transport infrastructure significantly widening Cardiff’s passenger catchment area'.

He's talking about improved rail connectivity and better bus links. In addition he foresees a big expansion by Lufthansa, the arrival of Emirates or a similar high profile Middle East airline, a major low-cost airline base and various initiatives to bring in tourists to Wales: oh yes, and a devolved APD to go with the new spirit of co-operation between airport, the Wales Government and local business and commerce.

This is very much the wish list of the First Minister of Wales who made similar extravagant claims recently about CWL catching then overtaking BRS in passenger numbers.

A cycnic might say that the business editor is the FM's poodle but I'm not a cynic. :rockon:

What I will say is that if there is any chance of all this happening parties will be queuing up to buy CWL because 2013 to 2025 will see sensational growth from 1 mppa to almost certainly 8 or 9 mppa.

I now await the BRS CEO asserting that by 2025 BRS will be busier than LHR.

 

[Aviador]

Re: Cardiff Airport - Main Thread

http://www.walesonline.co.uk/business-i ... -32044815/

The above link points to a business article in a major Wales online newspaper that predicts outstanding growth at CWL over the next 13 years.

The claim is that by 2020 the airport will be handling three million passengers a year (currently one million) with a target by 2025 of overtaking Bristol Airport which currently is approaching 6 mppa and likely to be somewhat higher than that by 2025.

The writer of the article (the newspaper's business editor) says this will result from 'a focused public-private partnership approach and investment in transport infrastructure significantly widening Cardiff’s passenger catchment area'.

He's talking about improved rail connectivity and better bus links. In addition he foresees a big expansion by Lufthansa, the arrival of Emirates or a similar high profile Middle East airline, a major low-cost airline base and various initiatives to bring in tourists to Wales: oh yes, and a devolved APD to go with the new spirit of co-operation between airport, the Wales Government and local business and commerce.

This is very much the wish list of the First Minister of Wales who made similar extravagant claims recently about CWL catching then overtaking BRS in passenger numbers.

A cycnic might say that the business editor is the FM's poodle but I'm not a cynic.

What I will say is that if there is any chance of all this happening parties will be queuing up to buy CWL because 2013 to 2025 will see sensational growth from 1 mppa to almost certainly 8 or 9 mppa.

I now await the BRS CEO asserting that by 2025 BRS will be busier than LHR.

There is every chance Middle Eastern airlines will serve just about every UK airport in that timescale so he might not be far wrong on that one.

You usually refer to Airports as being like football teams in many respects, I suspect this guy should be on the Cardiff Airport's 'dream team' ?

 

[bluebird94]

Re: Cardiff Airport - Main Thread

Plans to transform Cardiff from regional airport to international hub revealed

Ambitious plans to transform Cardiff from an under-performing regional airport into an international hub operation will be submitted to the UK Government today.

In a first-stage vision for the Spanish-owned airport a group of transport experts and entrepreneurs believe a relatively modest investment of £250m could elevate the airport into a “western gateway” facility – potentially providing hub and point-to-point flights to global destinations such as North and Latin America – while also helping to address the taxing political issue of where to provide additional hub airport capacity in the UK.

Backers of what is being called the Western Gateway Project, will submit details to the UK Government’s Department for Transport as part of its consultation on aviation policy.

It will then look to make a fuller submission to the independent commission, chaired by Sir Howard Davies, set up by the Prime Minister to look at options for new hub capacity in the UK.

As well as founder and entrepreneur Rudi Plaut the group’s other members include enterprise academic Professor Brian Morgan and transport experts Martin Evans and Stuart Cole.

Over the past decade there has been an impasse on where to locate much-needed new hub airport capacity in the UK –with a political stumbling block being Government fears over a loss of votes around Heathrow if it backed expansion there.

As a result the Davies Commission will not report until after the next general elections.

A number of increased hub capacity solutions in the south-east of England have been put forward. These including a third runway at Heathrow, a new airport championed by London Mayor Boris Johnson in the Thames Estuary, a dual hub between Heathrow and Stanstead through improved rail links, as well as new runway capacity at Gatwick after its expansion restriction expires in 2019.

Birmingham, with the benefit of the proposed High-Speed Two rail investment from London, has also stated its hub aspirations.

Bristol, which is approaching six million passengers, has land capacity issues, but not Cardiff – which could feasibly serve both hub and point-to-point services to North and Latin America.

The Western Gateway group will now look to work with the Welsh Government to develop a more in-depth business case for a hub airport for consideration by the Davies Commission. Cardiff Airport has seen its passenger numbers in recent years decline to around one million, having once been as high as 2.5m.

In its submission the group also notes that in the longer term, Cardiff and Bristol airports could work together if a road and rail link formed part of a Severn Barrage, as well as highlighting the benefits of a new high-speed rail network from the south-east of England to South Wales.

While the group has not at this stage put projected passenger numbers from any hub operation, the current terminal has capacity to accommodate three million without need for significant investment.

With Bristol constrained by space an investment of around £70m would be needed to lengthen and widen Cardiff’s existing runway to ensure it can accommodate full-load freight and passenger flights serving destinations as far west as California.

The existing terminal would also need to move to the north to allow more room for aircraft stands. The group said the hub would need to be supported by further investment in rail and road infrastructure to the airport, which, although not identified in its submission, includes a spur off the Vale of Glamorgan line into a new train station at the airport.

Aviation studies show that every additional million passengers at an airport creates around 1,000 jobs.

Mr Plaut, who is also chairman of Northmace said: “It is great to get this up and running with the coming together of business, consultants and academics, with a common thrust for a project that would revolutionise the economy of South Wales.

“A hub airport would also act as a catalyst for new inward investment activity into Wales and it also chimes with the aviation maintenance facilities around the airport and at St Athan and plans to develop an aviation-focused enterprise zone in the Vale of Glamorgan.”

Mr Evans said a “build it and they will come” strategy should be adopted at Cardiff Airport.

He said: “The success of the hub airport does depend on attracting an airline partner to build a route network. I can point to a number of airports that have the infrastructure, but are never going to become hub airports.

“If the current Silk Commission leads to the devolution to Wales of powers over Airline Passenger Duty, we may have the mechanism to attract an airline partner if the powers are used wisely.”

A potential issue would be whether current owners Abertis would have the appetite, even with the potential support from the Welsh Government through new borrowing powers, to make such an investment.

However, a UK Government endorsement for hub activity at Cardiff would make it a far more attractive acquisition target if Abertis opted to sell.

Commercial director of Cardiff Airport Stephen Hodgetts said: “ We have submitted an official response to the UK Government consultation in which we call for recognition of and support for an enhanced role for Wales’ airport.

“We understand that other, unofficial, submissions are being made and we are pleased to see that widespread support for the growth of Cardiff Airport continues.”

A spokesman for the Welsh Government said: “We want Cardiff Airport to realise its potential to be a modern, well-connected success at the heart of our national infrastructure.

“The airport is a gateway to Wales and should provide a fitting welcome to business and leisure visitors to Wales and play a key part in our economic growth.

“That is why the First Minister created the Airport Taskforce – and we are committed to working with the owners, the business community, and all those with an interest in the airport to achieve this aim.

“Mr Plaut’s proposals are currently being considered.”

In its submission to the Department of Transport the group says: “The Western Gateway project allows radical solutions to be proposed and examined so as to break the current aviation policy stalemate.

“There are no insuperable technical, strategic or market problems and the solution can be provided at a lower financial and impact cost than south east England-based proposals

“There is Welsh Government support for the Western Gateway and broad stakeholder support, something entirely lacking in the south-east England-based proposals.”

http://www.walesonline.co.uk/business-i ... -32133491/

 

[TheLocalYokel]

Re: Cardiff Airport - Main Thread

An interesting concept which is heavy on rhetoric but light on detail, though it is said this will be worked up in due course.

What seems absolutely certain is that a large amount of public money would be involved, and not only in improving the road and rail systems.

It's one of a number of submissions to the Westminster government's aviation policy consultation from airports around the country.

It will certanly be up against Birmingham Airport, already well connected to rail and road with a runway extension work starting (may have already started), and capacity to double its 9 mppa almost immediately. CWL, whose runway is shorter than BHX's current runway without the extension, would need its own runway lenghtened to become a serious player.

It would be excellent news for Wales if any significant progress was made towards this goal. My instinct is that it will go the same way as the various Severnside Airport proposals down the years.

Incidentally, when did CWL handle 2.5 mppa? Its best year was 2007 with just under 2.1 mppa.

 

[pug]

Re: Cardiff Airport - Main Thread

This is a complete non starter by CWL, not enough passengers as simple as that.

I'd like to know if these people suggesting that places like CWL and DSA, perhaps even BHX have consulted the airlines they are hoping to attract?!

 

[Aviador]

Re: Cardiff Airport - Main Thread

To be fair, unlike Cardiff airport, Birmingham does have the catchment to warrant greater capacity. Like you say though, Cardiff airport is unlikely to attract any major players just by providing a longer runway and bigger terminal facilities.

 

[pug]

Re: Cardiff Airport - Main Thread

I think Birmingham certainly does, but I was refering more to the idea that regional airports can just 'pick up the slack' from a constrained Heathrow..

 

[TheLocalYokel]

Re: Cardiff Airport - Main Thread

Silk Commission Report

This is slightly old news but I've been away and as no-one else has mentioned it I thought I would as, potentially, it has important ramifications for Cardiff Airport.

Briefly, the Silk Commission was set up by the then Secretary of State for Wales about a year ago to make recommendations regarding fiscal powers and borrowing for the Wales Assembly Government.

On 19 November this year the Commission presented the first part of its report and made 33 recommendations. Amongst them were that long haul air passenger duty should be immediately devolved to Wales and eventually all APD should be devolved to Wales.

It seems odd that the Commission has recommended only devolvement of long haul APD in the first instance. I expected that all APD would be recommended. It's even odder because CWL has no long haul flights at the moment and the ones likely to be brought into the fold if long haul APD was to be significantly reduced would be charter flights to the likes of Florida and the Caribbean which would take money out of the Welsh economy in the form of holiday makers spending their money abroad rather than taking home-based holidays.

Last year the Westminster government held a consultation on APD which resulted in the question of devolving it to Wales and Scotland held in abeyance (in the too-hard-to-do basket it seems because of the effect it might have on some English airports).

There are also two further enquiries into UK aviation which the government may well want to await before coming to a decision. This would also provide the happy (for them) result that any decision could await the next general election. The enquiries are:

The Davies Commission, set up by the Westminster government, will examine future UK airport strategy and it's difficult to see how APD will not impact on its report in some way. The Davies Commission will not present its final report until 2015.

The Commons Transport Select Committee is also examining aviation issues and APD is a specific feature in its remit with a report due out about six months before the Davies report.

Naturally the reactions of the managements of CWL and BRS are in stark contrast as this newspaper report makes clear.

http://www.walesonline.co.uk/business-i ... -32264983/

 

[TheLocalYokel]

Re: Cardiff Airport - Main Thread

[textarea]Cardiff Airport: Welsh government plan to buy from TBI

The Welsh government wants to buy Cardiff Airport from its current owners, First Minister Carwyn Jones has announced.

He said an agreement had been reached with owner TBI and it will work towards a purchase over the next few months.

The airport would be run on a commercial basis by an independent operator on behalf of the government.

It will not receive subsidies and should make a "return to the Welsh taxpayer", Mr Jones said.

Plaid Cymru welcomed the announcement and said the airport needed to be a "shopfront" for Wales, but Conservatives demanded evidence that nationalisation would provide value, and Liberal Democrats warned it would become a "money pit" for public funds.[/textarea]
Full report at: http://www.bbc.co.uk/news/uk-wales-20769091

Interesting concept in that this reverses the trend of public sector-owned airports being sold into the private sector. CWL used to be local authority-owned before it was sold to TBI which is now part of Abertis, the Spanish Infrastructure Group.

Some are surprised that the Wales Government has the cash to pay for the airport in these economically-straitened times.

It will be fascinating to see if this can restore the airport's fortunes. Opinions of those who take an interest in such matters are so far mixed as to whether this is a good thing.

 

[Em0866]

Re: Cardiff Airport - Main Thread

Hi Local. This is an interesting news item. I have mixed feelings about it though. On one hand, I think running CWL if WG do purchase will, I believe, be a money pit and in this current climate what with cuts across the public sector, can WG really be able to afford to do this?

On the other hand, when the 3 Glamorgan councils operated it, it worked really well. We shall wait and see what happens as the weeks and months roll on. Watch this space!