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...?

 

If the Council had accepted that the airport will probably fail, then blowing the huge cost on reopening it is bordering on criminal. It's public money, better spent on other things rather than frittered away on a vanity project .

Frankly, the two Mayor's need to give themselves a good shake .

Problem is, as they have an outline business case for it they have the mandate to push ahead. It’s when it comes to FOBC that things will need ti start looking more solid. Which is why the organisational structure is important. Is the Operator going to simply be an operator on behalf of the council/peel or are they going to have their own share in the development? If the latter, and there is a firm commitment, then it’s more chance of succeeding. If they are just coming in to run the operation as specialists but are then expected to cover the costs after an agreed period (2 years?) then what is to stop them pulling out after that period should, as we expect, the support from stakeholders is underwhelming?

 

There are those that genuinely want to see it reopen because they used to work there and you cannot argue with that, you have those that used to like being able to fly from an airport nearby but these people tend not to really know all that much about it other than it takes them on holiday. You then have the ones that maybe know a little bit but it’s more of the political mechanisms for getting the funding and they do not appear to understand the way the airlines work.

This is why there is so much focus on LBA, because like you say, it’s quite clear that the two cannot co-exist.

I used to know a chap who worked at LBA for Servisair as it was back then. He moved to work at DSA saying it was going to see all the big airlines like Virgin and Emirates. I have often wondered what happend to him in the end. Even back then as the airport was still new we all wondered how things would pan out. Our wise notable elders, many now deceeced were bob-on with their assessment of how DSA would effect LBA. Diddly squat was the answer. The very idea you have to rely on the demise of an airport to make another work makes their business case floored.

 

I used to know a chap who worked at LBA for Servisair as it was back then. He moved to work at DSA saying it was going to see all the big airlines like Virgin and Emirates. I have often wondered what happend to him in the end. Even back then as the airport was still new we all wondered how things would pan out. Our wise notable elders, many now deceeced were bob-on with their assessment of how DSA would effect LBA. Diddly squat was the answer. The very idea you have to rely on the demise of an airport to make another work makes their business case floored.

Conversely I work/have worked with a fair amount of people who jumped ship from DSA over the years (way before the closure announcement) who could see the writing on the wall.

Airtours (as was) back in the early days before the public enquiry had supported the building of DSA stating that there was a clear divide between passengers using LBA and those envisaged to be using DSA. I do not believe they flew much out of EMA - stand to be corrected - they also flew a fair bit from HUY. I believe they had plans for an MRO at DSA and it was one of the early drivers for pushing DSA along. Alas, they were by 2002 a dying business (as were most of the traditional bucket and spade IT outfits) and I fully believe DSA was built on both an outdated business model on the one hand, and by then an outdated low cost model on the other. Airport operators can be dynamic and by the time DSA opened as the flagship Peel Airport, MAG and LBA had wisened up to the low cost model and basically DSA opened too late to capitalise on the use of secondary airports.

I would just like to add that I feel sorry for the former staff at the airport, and can fully understand that there are those who believed more could have been done to save it. Having been in a similar situation in the past, sometimes it’s important to look beyond internal grievances of what could have been. Most of the decline was outside of Peels hands and a lot of the people running the airport and in charge of developing it were high calibre people. It wasn’t Peel running the show in the simplest sense.

 

Article just popped up on my phones news items...

Exciting News: Doncaster Sheffield Airport Plans To Reopen With £138 Milion Fund - Travel Radar

Doncaster Sheffield Airport plans to reopen after closing in November 2022. With a budget of £138 million and with The South Yorkshire Mayoral Combined

travelradar.aero

 

Some very poor English in that report.

 

I have just tried to leave a comment, as the article asks you to, but it will not let me.

 

I have just tried to leave a comment, as the article asks you to, but it will not let me.

It must know you're pro LBA!

 

Some very poor English in that report.

To be fair the writer seems to be of Eastern European origin. What did make me chuckle was the picture showing about a dozen people milling about outside DSA. Pretty much sums up the whole debacle.

 

Lousy article. I wasted ninety seconds reading it and I want them back!

 

What a load of rubbish. They seem to be linked to Delta and if that is the standard of their reporting is just cut and paste anything they can lay their hands on. Won't be on many folks bedtime reading list.

 

The article just emphasises the poor standard of journalism today.

 

The plans to reopen Doncaster airport have this week been made indirectly even harder as Sheffield City Council announced its plans to prevent airlines from advertising on its billboards around the city. The move which the council said was to prevent advertising that it doesn't view as ethically correct. The move will also see advertising from companies like McDonald's pulled.

Nanny state comes to mind.

 

The plans to reopen Doncaster airport have this week been made indirectly even harder as Sheffield City Council announced its plans to prevent airlines from advertising on its billboards around the city. The move which the council said was to prevent advertising that it doesn't view as ethically correct and it will also see advertising from companies like McDonald's pulled.

Nanny state comes to mind.

Bizarre, what on earth are they thinking of. Maybe they should stop advertising for supermarkets, with the produce coming on lorries , plus the beef from cows considering the amount they contribute to climate change !!

 

The plans to reopen Doncaster airport have this week been made indirectly even harder as Sheffield City Council announced its plans to prevent airlines from advertising on its billboards around the city. The move which the council said was to prevent advertising that it doesn't view as ethically correct. The move will also see advertising from companies like McDonald's pulled.

Nanny state comes to mind.

It’s ingenious in its stupidity. Clearly not everyone is pulling in the same direction on this.

 

The full list of products banned are detailed in this article here.

Sheffield to ban ads for “harmful” products including junk food and vaping - Prolific North

From next month, adverts for vaping, gambling, airlines and certain infant milk formulas will be banned from Sheffield City Council advertising.

www.prolificnorth.co.uk

 

Meanwhile, Ros Jonee has announced the leasehold agreement with Peel has been signed for 125 years. Announced cynically a couple of days before purdah prior to elections in May.

Next step of course is to appoint an operator, news of which is expected ‘in spring’.

 

Meanwhile, Ros Jonee has announced the leasehold agreement with Peel has been signed for 125 years. Announced cynically a couple of days before purdah prior to elections in May.

Next step of course is to appoint an operator, news of which is expected ‘in spring’.

Be interesting to hear the terms in due course. If they can't persuade anyone to take it on, I guess they are stuck with it???

 

Be interesting to hear the terms in due course. If they can't persuade anyone to take it on, I guess they are stuck with it???

I doubt it, they will probably be able to back out on it due to certain circumstances such as being unable to secure the necessary funding and/or appoint an operator.

We mustn’t forget here that the Council are obligated to be responsible in such agreements to ensure the tax payer isn’t getting unduly shafted. There is no way you can sign a fully committed lease agreement without knowing what the business model will be. There is supposedly to be a third party involved in this after all.

Be interesting to see what that will look like, I.e is the council going to pay them to run it or are they expected to invest and in it themselves? That’s the up in the air bit.

 

Major of Doncaster just been on Look North News and was questioned on why they have agreed a lease on an airport that has always lost money. She basically replied by saying the important thing is the benefits & inward investment the airport brings, and putting GB on the international stage. Ummm…so you’re saying then your local community will be paying the bills then for the foreseeable future?

 

Major of Doncaster just been on Look North News and was questioned on why they have agreed a lease on an airport that has always lost money. She basically replied by saying the important thing is the benefits & inward investment the airport brings, and putting GB on the international stage. Ummm…so you’re saying then your local community will be paying the bills then for the foreseeable future?

She's in denial! There is very little inward investment or benefits unless the airport attracts sufficient business. DSA didn't last time and it's unlikely to do so next time either. The quoted benefits to the S.Y regional finances are ludicrously exaggerated, being considerably more than those quoted by LBA with a considerably greater 7m passengers.

Meanwhile, the decision taken by Sheffield City Council to ban all airline and airport advertising in the city whilst the local mayor commits £138m towards reopening DSA is plain comical . So if DSA does open again, there'll be no advertising it, or it's (probable) single airline partner, in the airports biggest potential catchment area. Now that's a funny way to roll out the welcome mat to any new airport operator or airline. It suggests to me that Sheffield Council are actually opposed to the airport rather than supportive and even if they're not, this barmy ban could be a real turn off to prospective investors.

Is the timing if this coincidence? It feels like it isn't to me on the day they announce a 125 year lease from Peel. It feels like deliberate undermining going on.