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...?

 

However when DSA was open for near 20 years the vast majority of people from SY DID fly from other airports and mostly shunned DSA…..Airlines came and went as they couldn’t attract a market base - if travel to other airports is so difficult perhaps you can explain why these airlines tried and failed…..and before you say no it wasn’t anything to do with landing fees
As to Teeside I think you will find there are a significant and growing number of locals who are now challenging why public funds are being used to prop up a loss making venture which despite Houchens words has failed to attract a low cost operator to bad even one aircraft there.

If its anything like the situation at Teesside, people pledge their undying support, but when the flights happen theyre either too expensuve or not at the right time- so they fly from Leeds or Newcastle instead. They arent prepared to be flexible to support the airport.

I see lots of requests for flights to 'the Canaries' but you can guarantee unless its to the specific island they want they wont support their airport.

There are also objectors, either to what the see as inappropriate use of funds or noise.

I want to see Doncaster re-open but the model needs to include at lot more than passenger and cargo flights if its to succeed. I just dont see there being enough support for passenger or cargo flights to make the airport viable.

 

while you have negative feeling towards south Yorkshire having an airport, people living in the area do not.
if your view was the same in the rail industry there would not be a single train running in the uk .
I disagree with you about people in Sheffield preferring to travel to Manchester airport , then Doncaster. after living in Sheffield for over 20 years and travelling to Manchester 100's of times. I dreaded travelling over Woodhead in the winter months, sometimes it was closed for weeks at a time, I have had to travel the night before and had the added cost of an hotel. if TUI return they will be more than happy , any other airline will be a bonus.
I disagree with you that the people of south Yorkshire will not want to use the gainshare to support the airport
I do not see the people protesting about the costs to keep teeside airport open, in fact I think houchen would not have got reelected without is involvement in keeping the airport running.
I disagree with you when you think the money Peel made from selling land at the airport should not have be included in the profits of the airport.
when it opens I do not think it will ever , be as big or successful as EMA or LBA.
but as CDC aim is to attract business to set up around the area, with the offer of very attractive priced land and amazing transport links. if this happens and creates 10,000 - 20,000 jobs they will have reached their goals.

The railway industry is not a good comparison with aviation. Railways are key parts of transport infrastructure that can often justify local or central subsidies to help develop and run for the betterment of local communities and businesses. Aviation is for the most part a totally private and profit driven industry. This was demonstrated over the 17 years of operation of DSA, there simply wasn't enough demand for it to turn a profit, which meant it had to close.

Nothing has changed in that respect, the catchment area and population is largely the same, and indeed expansion is taking place to the airports west and north of DSA meaning any hope of expanding that area have reduced. Nobody doubts that South Yorkshire folk would prefer to head to Doncaster than Manchester, but the former is never going to get close to competing to the latter in terms of routes and prices. And with LBA not far off getting more capacity people closer to there are hardly likely to go somewhere with far less to offer. So DSA would be left with numbers not likely to be any greater than those that caused it to fail, indeed maybe less.

As for encouraging new businesses, if reopened DSA would never be much more than a regional airport for package holidays to the sun, people aren't going to be flying to Doncaster for business. So any new business investment in the area could be achieved without an airport, as few would need it as part of their key operations. So why waste money opening DSA for it to almost certainly fail again when that money could go directly into encouraging new businesses to take up options on the land that would otherwise be empty save half a dozen flights a day?

 

The railway industry is not a good comparison with aviation. Railways are key parts of transport infrastructure that can often justify local or central subsidies to help develop and run for the betterment of local communities and businesses. Aviation is for the most part a totally private and profit driven industry. This was demonstrated over the 17 years of operation of DSA, there simply wasn't enough demand for it to turn a profit, which meant it had to close.

Nothing has changed in that respect, the catchment area and population is largely the same, and indeed expansion is taking place to the airports west and north of DSA meaning any hope of expanding that area have reduced. Nobody doubts that South Yorkshire folk would prefer to head to Doncaster than Manchester, but the former is never going to get close to competing to the latter in terms of routes and prices. And with LBA not far off getting more capacity people closer to there are hardly likely to go somewhere with far less to offer. So DSA would be left with numbers not likely to be any greater than those that caused it to fail, indeed maybe less.

As for encouraging new businesses, if reopened DSA would never be much more than a regional airport for package holidays to the sun, people aren't going to be flying to Doncaster for business. So any new business investment in the area could be achieved without an airport, as few would need it as part of their key operations. So why waste money opening DSA for it to almost certainly fail again when that money could go directly into encouraging new businesses to take up options on the land that would otherwise be empty save half a dozen flights a day?

Whilst we await the much anticipated operator and business plan, there are other soundbites that have been dropped by the Mayors.

Advanced Manufacturing is mentioned. I’m not sure who they think will be doing this advanced manufacturing, or what they will be manufacturing, Boeing? They’re at Sheffield and aren’t exactly in a great position at the moment given what’s going on Stateside with employee relations. Whilst that sort of investment would be great, it still doesn’t need an active airport as evidenced by the fact the Sheffield facility is built on the former SZD runway! It also seems to be a hollow soundbite to tick a box on the Governments own targets which, depending on who you listen to, that industry is likely to atrophy leaving just low paid low skilled manufacturing in the U.K.

Sustainable Aviation, well HAV have received a £7m grant to move into an industrial estate north of Doncaster so don’t appear to be looking to take up residence at DSA. Just as well really, not sure how well airships would mix with conventional heavier than air aircraft. So what are they on about? Again another soundbite to suggest they are working towards Government targets to get support.

At the moment these things are meaningless and are not suggestive of anything that would need a functioning airport to develop from.

I think the plan will have growth models based on catchment area leakage for passengers and some similar projections for freight justification - I.e the exact same information the previous operator(s) was running with. What it absolutely needs is commitment from airlines and freight operators from the off, because growth projections are meaningless and subject to questionable assumptions by a given consultant without any credible stakeholder backing. Certainly if it’s just a departure point for some package holidays and ad/hoc freight it’s not likely to contribute much to GVA at all, meanwhile the links businesses need continue to be served from MAN in abundance.

 

The latest rumour…

Company & Business

Company & Business

www.munich-airport.com

Very odd one that one. There’s a lot that seems very wrong with it and not really in keeping with their strategy. Why would a successful airport in Germany want anything to do with a failed airport in South Yorkshire?

 

Have I missed something here?
I can't see any mention of DSA on the attachment.

 

Have I missed something here?
I can't see any mention of DSA on the attachment.

No it’s just another baseless rumour that’s doing the rounds is all. People have mentioned Fraport, the Irish lot, Emirates (since when did they operate airports?) and Vinci over the last year.

Thing is if you mention enough you’re more likely to get it right. Out of all of the ones mentioned I’ve never been able to establish what would be in it for them.

 

Whilst we await the much anticipated operator and business plan, there are other soundbites that have been dropped by the Mayors.

Advanced Manufacturing is mentioned. I’m not sure who they think will be doing this advanced manufacturing, or what they will be manufacturing, Boeing? They’re at Sheffield and aren’t exactly in a great position at the moment given what’s going on Stateside with employee relations. Whilst that sort of investment would be great, it still doesn’t need an active airport as evidenced by the fact the Sheffield facility is built on the former SZD runway! It also seems to be a hollow soundbite to tick a box on the Governments own targets which, depending on who you listen to, that industry is likely to atrophy leaving just low paid low skilled manufacturing in the U.K.

Sustainable Aviation, well HAV have received a £7m grant to move into an industrial estate north of Doncaster so don’t appear to be looking to take up residence at DSA. Just as well really, not sure how well airships would mix with conventional heavier than air aircraft. So what are they on about? Again another soundbite to suggest they are working towards Government targets to get support.

At the moment these things are meaningless and are not suggestive of anything that would need a functioning airport to develop from.

I think the plan will have growth models based on catchment area leakage for passengers and some similar projections for freight justification - I.e the exact same information the previous operator(s) was running with. What it absolutely needs is commitment from airlines and freight operators from the off, because growth projections are meaningless and subject to questionable assumptions by a given consultant without any credible stakeholder backing. Certainly if it’s just a departure point for some package holidays and ad/hoc freight it’s not likely to contribute much to GVA at all, meanwhile the links businesses need continue to be served from MAN in abundance.

To be honest CDC's growth model seems to be based on the notion that if they "build it they will come", on the back purely of the signatures from around 130K local residents. In which case most medium sized towns around the country should be shouting up for their own international hubs...

 

To be honest CDC's growth model seems to be based on the notion that if they "build it they will come", on the back purely of the signatures from around 130K local residents. In which case most medium sized towns around the country should be shouting up for their own international hubs...

What it all stems from is this, the seed was sewn by Peel. However, it was all halted by this, and quite rightly too.

The ‘Power Up The North’ project led by Peel would have generated significant land value for…. Peel! They wanted to build a new town basically. Their jewel in the crown - and object of influence and political leverage - was DSA, and hence we saw all the promotional videos and documents with artist impressions of large terminals the size of MAN with piers full of large jet aircraft. As unlikely as that scenario would have been the case, nor will it be if it does reopen, Ros Jones appears on the Power Up The North video claiming it to be oven ready and she, the local business leaders and consequently the residents of Doncaster and surrounds fully believe that they’ve been short changed by it all. We then have the juxtaposition of Peels plans being viable (and this Power Up The North was Peels vision!), but at the same time their plans were to close the airport and build on it? Doesn’t really add up does it..

£300m in 2020 money was not value for money, I expect the DfT, as part of their ‘rigorous assessment’, consulted the ECML franchise owners who also probably said they didn’t fancy extra stops which would have contributed to longer journeys between London and the cities it serves. Note the airport spokesperson slamming outdated passenger forecasts ‘because Wizzair have just committed to a base’, well that comment didn’t age well either did it.

Just a very cynical ploy by Peel to drive up land value, which is the exact same thing they said about the roads to the airport (which were not built to serve the airport!), imagine if the Government had given the go ahead to the ECML.. Perhaps the airport would have suffered a slightly prolonged death but the inevitable would have happened regardless.

So yes, they’re applying a build it and they will come principle, just like Peel did when they built the airport, like the people said would happen when the link road was in place, like they were saying about the ECML spur, and like they’re now saying with the ‘right operator to unlock the potential of the airport’.

I know there are some in SYMCA who are not confident that the OBC for DSA was completed with due scrutiny, they are also not convinced by the impact it might have on regional GVA (which is how it’s being sold), and they also aren’t too happy about how the FBC is being completed behind closed doors in the name of commercial sensitivity. This is echoed by various influential figures in Sheffield City Council. Outwardly they support the development, but I do wonder whether this might change when the FBC is issued, whether that be in the next couple of weeks or early next year.

Meanwhile I anticipate CDC playing a game of brinksmanship by possible putting a named operator out there ahead of the FBC release, to weaponise public support for the project.

 

Someone reported apparently they're repainting the lines on the runway? not sure how true etc, but still odd considering nothing due to land for well over a year still if lucky

 

They are but apparently its just directional lineage pointing to EMA, MAN, HUY and LBA

 

They are but apparently its just directional lineage pointing to EMA, MAN, HUY and LBA

And the big X's at either end to ensure nobody mistakes it for an airport.

 

Someone reported apparently they're repainting the lines on the runway? not sure how true etc, but still odd considering nothing due to land for well over a year still if lucky

Maybe so, but it’s nothing to read into. The Council have been maintaining the site since they took on the lease earlier in the year, and this will probably form part of that work along with making sure weeds aren’t growing through cracks in the paved areas etc. They probably have a duty to do this, but also it’ll look better if they make some big announcement at some point.

 

Maybe so, but it’s nothing to read into. The Council have been maintaining the site since they took on the lease earlier in the year, and this will probably form part of that work along with making sure weeds aren’t growing through cracks in the paved areas etc. They probably have a duty to do this, but also it’ll look better if they make some big announcement at some point.

i glad you said paved areas, my associates tarmaced the runway!

 

A further word regards their business plan. They have openly stated that the environmental implications will be offset by the redistribution of flights from other airports to DSA. So they’re quite clearly basing their plans on taking airlines from other airports.

Not to mention the fact that their ‘sustainable aviation industry’ plans are based on something that doesn’t exist. It’s like putting in plans for air roads for flying cars, or a teleportation terminal. Just so obviously hollow so as to placate the environmentalist factions of SYMCA!

 

A further word regards their business plan. They have openly stated that the environmental implications will be offset by the redistribution of flights from other airports to DSA. So they’re quite clearly basing their plans on taking airlines from other airports.

Not to mention the fact that their ‘sustainable aviation industry’ plans are based on something that doesn’t exist. It’s like putting in plans for air roads for flying cars, or a teleportation terminal. Just so obviously hollow so as to placate the environmentalist factions of SYMCA!

Well I very much doubt Ryanair will be going anywhere near an airport whose viability is based upon a Labour run authority…….looks like they are proceeding with their threat to axe flights.https://corporate.ryanair.com/news/ryanair-condemns-labour-govt-airtravel-tax-increase/

 

Well I very much doubt Ryanair will be going anywhere near an airport whose viability is based upon a Labour run authority…….looks like they are proceeding with their threat to axe flights.https://corporate.ryanair.com/news/ryanair-condemns-labour-govt-airtravel-tax-increase/

I doubt that the Council will give it that much thought. I understand they’re going to push on no matter what, the money is there to be spent even if other things are going to have to go without.

If it does reopen, and if/when it fails again, I hope whoever has pushed on with this shoulders the consequences. I will only ever support it if it is successful in actually bringing something new to the table, but like I said previously, they’re expecting airlines to leave other local airports to fly from there. It could get very messy very quickly.

 

I doubt that the Council will give it that much thought. I understand they’re going to push on no matter what, the money is there to be spent even if other things are going to have to go without.

If it does reopen, and if/when it fails again, I hope whoever has pushed on with this shoulders the consequences. I will only ever support it if it is successful in actually bringing something new to the table, but like I said previously, they’re expecting airlines to leave other local airports to fly from there. It could get very messy very quickly.

What they fail to see due to their rose tinted Doncaster spectacles enhanced by their newly promoted city status is that Doncaster offers nothing to entice airlines in comparison to its competitors. Compared to the cities of Nottingham, Leeds and Manchester Doncaster is a small bit player in an area of eco and social deprivation pretty much unheard of as a city outside the U.K.. I know even LBA with the city of Leeds behind it struggles with recognition from overseas airlines who see Leeds as just a provincial city close to Manchester airport…..imagine then the task of marketing Doncaster!!

As to their hopes of enticing airlines form elsewhere - if that’s what they’ve based their business plan on it failed before and will fail again….Id suggest senior stakeholders in the Council look up the definition of insanity!

 

What they fail to see due to their rose tinted Doncaster spectacles enhanced by their newly promoted city status is that Doncaster offers nothing to entice airlines in comparison to its competitors. Compared to the cities of Nottingham, Leeds and Manchester Doncaster is a small bit player in an area of eco and social deprivation pretty much unheard of as a city outside the U.K.. I know even LBA with the city of Leeds behind it struggles with recognition from overseas airlines who see Leeds as just a provincial city close to Manchester airport…..imagine then the task of marketing Doncaster!!

As to their hopes of enticing airlines form elsewhere - if that’s what they’ve based their business plan on it failed before and will fail again….Id suggest senior stakeholders in the Council look up the definition of insanity!

I’m sure the airlines will be flocking there when the two train stations get built at DSA. Yes I did mean to write two, because that’s apparently part of the plan.. I know we haven’t seen it yet, and to be honest I don’t think we are likely to in full due commercial sensitivity (or intentional lack of transparency if you prefer), but I guarantee this project will be costing a lot more than £138m if their plans are ti be realised,

Part of me thinks maybe they really have managed to get some significant foreign investment to attempt to realise the ambitions Peel had for the site that I linked to earlier? Cos really why would they be so excited in anticipation of this when in actual fact the fundamental problems of lack of enough trade and intense competition is what saw it off before. Or maybe they’re just muppets. I hope it’s the former, would quite like a major airport to pop up nearby, would save me the hassle of putting miles on my car - perhaps I could finally go and get that EV I’ve been eying up.

 

Seriously what airlines are DSA planning on 'snatching' from other airports?

TUI is the only likely airline to go back in.. will they stop all LBA ops on W patterns if they go back to DSA? No I highly doubt it as they have always had LBA presence and even base when DSA was open. Maybe they will get the EMA based AC back..

Wizzair - apparently happy at LBA and preforming better.

Ryanair - not going to shut LBA/EMA base for DSA..

easyJet - tried once at DSA and failed, slowly building LBA presence up.

Virgin/BA/Emirates - No. not even worth talking about - laughable people even suggest.

Jet2 - No. CEO stated no plans for new bases.

This has been spoken about so much already. But seriously there's nothing else / no other options.

Its been open for 17 years and had nothing more then TUI base and Wizz, which was succesful. what has changed now? Nothing.

 

Seriously what airlines are DSA planning on 'snatching' from other airports?

TUI is the only likely airline to go back in.. will they stop all LBA ops on W patterns if they go back to DSA? No I highly doubt it as they have always had LBA presence and even base when DSA was open. Maybe they will get the EMA based AC back..

Wizzair - apparently happy at LBA and preforming better.

Ryanair - not going to shut LBA/EMA base for DSA..

easyJet - tried once at DSA and failed, slowly building LBA presence up.

Virgin/BA/Emirates - No. not even worth talking about - laughable people even suggest.

Jet2 - No. CEO stated no plans for new bases.

This has been spoken about so much already. But seriously there's nothing else / no other options.

Its been open for 17 years and had nothing more then TUI base and Wizz, which was succesful. what has changed now? Nothing.

And because they are hiding behind commercial sensitivity, the business case is apparently not undergoing the scrutiny it needs to before more money is spent on it.

Perhaps someone on here might know, but I believe they’re aiming to submit FBC on 12th November to SYMCA for funding release. What are the mechanisms for this? Do SYMCA board then have a period to scrutinise the plans prior to agreeing to funding or is this done behind closed doors prior to the meeting? Because there is a call when spending so much on a project for public scrutiny.

I’m sure whoever they’ve got on board to operate the airport has said how they will be able to attract all the airlines etc, but Peel did just this during the public enquiry of 2003/4 and they had a list of airlines that lent their support to the project. I’m trying to keep an open mind on it as much as I can, I do not believe Peel mismanaged it but perhaps since closure there has been a shift in airline appetite for it? Perhaps the Council and the operator has some tangible interest from airlines and freight companies?

The OBC stated quite clearly that financially it’s a high risk investment, that private sector were unlikely to be able to borrow due to the previous failure of the business. The only way I can see sufficient investment is if they’ve managed to get the backing of foreign investors or they are asking for more money at the regional level - I.e other regional authorities may need to invest their share of gainshare funding into it, they do keep saying it’s a collaborative effort after all!

But I do think this needs to be discussed openly in public, perhaps in the form of a public enquiry, prior to steamrollering it through Cabinet without any scrutiny either from SYMCA own advisors (some of whom are not convinced) or by industry experts independent of the consultants commissioned to complete the FBC. I do feel they are misleading the public on the back of falsehoods about Peel or about the true viability of the airport.