Doncaster Sheffield Airport Strategic Review Announcement

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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...?
 
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Clever guy this Claude! This AI review hits lots of nails on the head, nails which we, on here, have been hitting on the head for the last 2 years! Reform councillors could do with reading this. I would also love to read a response to this from the mechanic. Way over his head probably.

I agree that Reform will probably choose to proceed if certain things happen, these things being ones they know wont happen. DSA then fails before its started but they will deflect the blame elsewhere. SYMCA in all probability. Maybe clever. Maybe gutless. The hole they have dug for themselves, and the unwitting people of Doncaster just keeps getting deeper.

This entire farce may well be known in the future as Donnygate when it all hits the fan and there are demands for a public inquiry.
 
They're all doing that. Let's just set out where we're at - it does no harm to stand back and see the big picture.

The project relies critically on the gainshare funding. Without that, they effectively have no money.

Whatever happens tomorrow we know that the gainshare funding cannot flow unless

1.) Peel renegotiate the 20% turnover skim. Why would they?

2.) The business case is viable. That's a bad fail. It doesn't bear the slightest scrutiny and the auditor has given it a red rating.

3.) They achieve regulatory compliance, which I strongly suspect means, get through the ACP. CDC are trying to convince themselves and the public that they're going to get there by Easter 2028, which is when the report document shows the gainshare funding start to flow. As everyone here knows, that is pure fantasy. 2030 would probably be the earliest realistic date, as Claude says, and even that would be amazing.

So tomorrow doesn't matter. The project is effectively dead already. Reform have probably reasoned that the regulatory mechanisms will kill the project without them taking the political hit. They do need to be careful though not to be seen as complicit, and they really need to start softening their support for the project.
That’s if they are the conditions Reform hold the loan to. It’s a clever way (I have my doubts as to whether they’re clever enough tbh) to effectively do the same thing as rescind the loan. By freezing it with conditions precedent then it calls their bluff. ‘Yes you can have the loan but only when everything is on place’ effectively kills it anyway unless there’s a lot of good will amongst Peel and the other key stakeholders. It’s playing the cabal at their own game, they’ve been perfectly happy to continue knowing the contention with the lease terms. It also gives Reform a get out of jail free card as they can say ‘we support the airport but you were incapable of delivering a viable proposition’.

Wonder whether Coppards S151 officer will be involved in the renegotiation of the lease. Peel are known for their helpful advice in these circumstances, including delivering some home truths! Things that Coppard might like to blame then for but where there’s evidence they hold that blows the entire project to pieces.
 
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I agree that Reform will probably choose to proceed if certain things happen, these things being ones they know wont happen.
We have to hope that Reform impose conditions that have a similar protective effect to rescission. The problem is that I think CDC can still p!ss the £57m up the empty runway even though the gainshare funding needed to pay it back is contingent on three conditions - none of which are likely to be met.

A safeguards amendment might or might not provide effective protection. If the safeguards include hard conditions that prevent drawdown until lease renegotiation is complete on terms acceptable to council, with audit-rated milestones, with sunset provisions, then they might achieve much of what rescission would achieve while allowing the project to remain technically alive. If the safeguards are softer - reporting requirements, additional briefings, vague commitments to scrutiny - then drawdown will proceed and the council's exposure will increase.

Over the past few weeks Reform have basically set out why the loan should be rescinded but have now decided not to vote for it, presumably for political reasons. Not a good look. They're also playing with fire because they're making themselves complicit in bankrupting the council if they support this. And unless they table an amendment that effectively stops Jones's team spending that £57m then they will and the principal plus interest will have to be paid by local taxpayers.

I say again, people are not being told what supporting this project really means. All we get is photos of Jones grinning in front of the terminal building and quotes saying "Wooohooo, it's all going to plan! We're very excited! We're getting our airport open!"
 
Big rally shutting Doncaster down again today.. wake me up when this political circus is over and Chadwick stops using AI, trying to patronise anyone daring to question, calling them arm chair aviation experts. He knows sweet FA about the industry. No doubt his car garage is 1 of the 80 businesses that's calling for DSA to reopen. what international business will the airport bring to you / benefit you? I think the answer is zero.
 
Big rally shutting Doncaster down again today.. wake me up when this political circus is over and Chadwick stops using AI, trying to patronise anyone daring to question, calling them arm chair aviation experts. He knows sweet FA about the industry. No doubt his car garage is 1 of the 80 businesses that's calling for DSA to reopen. what international business will the airport bring to you / benefit you? I think the answer is zero.
It doesn't look like much, although it's hard to tell from the short clip here:


It'll just be the same communist rent a mob who waved a few banners outside the terminal building the other day.
 
We have to hope that Reform impose conditions that have a similar protective effect to rescission. The problem is that I think CDC can still p!ss the £57m up the empty runway even though the gainshare funding needed to pay it back is contingent on three conditions - none of which are likely to be met.

A safeguards amendment might or might not provide effective protection. If the safeguards include hard conditions that prevent drawdown until lease renegotiation is complete on terms acceptable to council, with audit-rated milestones, with sunset provisions, then they might achieve much of what rescission would achieve while allowing the project to remain technically alive. If the safeguards are softer - reporting requirements, additional briefings, vague commitments to scrutiny - then drawdown will proceed and the council's exposure will increase.

Over the past few weeks Reform have basically set out why the loan should be rescinded but have now decided not to vote for it, presumably for political reasons. Not a good look. They're also playing with fire because they're making themselves complicit in bankrupting the council if they support this. And unless they table an amendment that effectively stops Jones's team spending that £57m then they will and the principal plus interest will have to be paid by local taxpayers.

I say again, people are not being told what supporting this project really means. All we get is photos of Jones grinning in front of the terminal building and quotes saying "Wooohooo, it's all going to plan! We're very excited! We're getting our airport open!"
I do not believe giving credit to Reform is appropriate. However if they do a u-turn tomorrow and do not put hard conditions in place then you are correct, they’ve signed away the future if Doncaster to a failed project that will bankrupt the cou
It doesn't look like much, although it's hard to tell from the short clip here:


It'll just be the same communist rent a mob who waved a few banners outside the terminal building the other day.
Well reform have done what they usually do. They’ve effectively allowed the loan to progress but want ‘safeguards’ that are effectively null and void because the loan will progress anyway. They want to see the renegotiated lease, but it doesn’t matter because get the loan. Conservatives have said they foresee cost escalation (no sh*t) and they’re concerned about a British Leyland situation (no sh*t). Ros Jones had a hissy fit and blamed reform for delay tactics.

Labour councillor highlights the risk but says where these risk there can be reward. Yes, I could quite easily turn up at the casino with £193million and gamble it on Red. I can win, but if I don’t…

Meanwhile the Doncaster public are saddled with years of debt and uncertainty.
 
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Well, I have to say that looks like a total complete and utter flop from Reform.


They have handed a comprehensive victory to the mayor, made themselves look utterly ridiculous, and worst of all, green lighted a £57m superspaff. OK the project will fail once that's all gone because they can't access the gainshare funding, but they'll just carry on grifting now until they've wasted every penny of it.

What is the point of Reform if this is what they're going to do?
 
What about a challenge from LBA etc, or has Bristol effectively stopped that happening?
No, because the BRS vs CWL ruling was that Cardiff was a going concern. If DSA attempt to subsidise airlines using public money which has an impact on commercial arrangements with LBA they will launch a legal challenge.

I’ve put the snippets of info through AI and it’s quite hard to tell what these safeguards will look like in practice. AI seems to think that the money will not be released in one go, and that in order for the loan to progress then a number of these safeguard items have to be met. One is demand based, another is contingent on the terms of the lease being renegotiated. I’m not sure whether the Doncaster S151 officer has approved the loan yet either. AI seems to think that if they’re not met then the audit committee has the power to cancel the loan.

I’m waiting for further information on those though. AI can only go off what’s in the public domain and there isn’t much at the minute.
 
No, because the BRS vs CWL ruling was that Cardiff was a going concern. If DSA attempt to subsidise airlines using public money which has an impact on commercial arrangements with LBA they will launch a legal challenge.

I’ve put the snippets of info through AI and it’s quite hard to tell what these safeguards will look like in practice. AI seems to think that the money will not be released in one go, and that in order for the loan to progress then a number of these safeguard items have to be met. One is demand based, another is contingent on the terms of the lease being renegotiated. I’m not sure whether the Doncaster S151 officer has approved the loan yet either. AI seems to think that if they’re not met then the audit committee has the power to cancel the loan.

I’m waiting for further information on those though. AI can only go off what’s in the public domain and there isn’t much at the minute.
I’d fully expect a legal challenge from LBA if they suspect money is been offered to incumbent airlines. Not that it would change any of the decisions made by the airlines as from what I gather they aren’t interested in the slightest in DSA.

What those at DSA don’t seem to realise is that airlines have limited capacity to place and they are effectively in competition with airports all over Europe. Why would an airline risk operating to a previously failed airport? They will face monumental challenges trying to win over airlines, even TUI, who have completely changed structure in the past 12 months. Peter Glade is now in charge and he will make much more airline commercially focused decisions rather than tour operator.

I also see the (heavily left leaning) editor of the YP has been cheerleading how much of a “generational” decision this is. How can people in these positions be so dumb?

Still many more twist and turns to go in all this and it will all come back to the inevitable result….failure of the airport again.
 
I hope there's something worthwhile in the small print, because on the face of it, Reform have just green lighted exactly the kind of idiotic waste they're supposed to be reforming.

All they had to do was insist on a viable business case before the loan could be drawn down, i.e., a green from the auditor. Echoing just one of the three conditions Coppard has put on the release of SYMCA's money.

I'm sure that was Charity's position from the outset. Why is it a fiduciary duty to protect Oliver Coppard's regional budget, but perfectly acceptable for Jones to spaff away Doncaster's local reserves with no meaningful checks and balances? That ridiculous Mayor can now simply blow £57m plus interest on a mad project the council's own auditor has rated red!

I strongly suspect the influence of Tice...
 
I hope there's something worthwhile in the small print, because on the face of it, Reform have just green lighted exactly the kind of idiotic waste they're supposed to be reforming.

All they had to do was insist on a viable business case before the loan could be drawn down, i.e., a green from the auditor. Echoing just one of the three conditions Coppard has put on the release of SYMCA's money.

I'm sure that was Charity's position from the outset. Why is it a fiduciary duty to protect Oliver Coppard's regional budget, but perfectly acceptable for Jones to spaff away Doncaster's local reserves with no meaningful checks and balances? That ridiculous Mayor can now simply blow £57m plus interest on a mad project the council's own auditor has rated red!

I strongly suspect the influence of Tice...
Your suspicions will be correct. It’s political at all costs. A taste of things to come if Deform gain more power nationally.
 
Your suspicions will be correct. It’s political at all costs. A taste of things to come if Deform gain more power nationally.
They might very well win the next general election, but I'm not seeing anything that gives me any hope. This is a sh!t show. If I was Jason Charity I'd resign.
 
For what it’s worth this is Geminis current take as things stand.

The political dust has indeed settled since the vote a few hours ago, and the landscape is a bit of a "split-screen" reality.

While Mayor Ros Jones is declaring victory, Oliver Coppard’s "back where we started" comment is the most telling part of the day. It confirms that the £57m loan will not go ahead unimpeded.

Here is the breakdown of the safeguards and why the Mayor of South Yorkshire is currently sounding so frustrated:

1. The "Back Where We Started" Reality​

When Oliver Coppard says we are "back where we started," he means the vote didn't actually solve the fundamental problem: The Lease. The council voted to keep the £57m approved, but they legally tethered it to the same "due diligence" requirements that Coppard has been demanding for months. The loan is currently a "locked" asset. It exists on the balance sheet, but the council cannot physically hand the cash to FlyDoncaster or Peel until the lease is renegotiated.

2. The Specific Safeguards​

The Reform-led amendment passed today forces the following implementation steps:

  • The Lease Variation Requirement: The council is now prohibited from drawing down the bulk of the £57m until Peel Group signs a "Variation of Lease." This must remove the clauses that allow Peel to repossess the land if the airport doesn't meet specific (and many say unrealistic) commercial targets.
  • The "Mirroring" Clause: The council’s loan now officially "mirrors" the safeguards of the larger £160m regional pot. This means if Oliver Coppard’s team at the Mayoral Combined Authority (MCA) doesn't think the deal is safe, the council’s £57m is also blocked. It prevents Mayor Ros Jones from bypassing regional oversight.
  • The Six-Month "Checkpoint": There is a new requirement for a formal progress report in six months. If the "mystery cargo client" hasn't signed a binding contract by then, the council has the right to pause all further airport-related spending.

3. Implementation: How it actually works​

The loan won't be paid out in one lump sum. It is being set up as a milestone-based facility:

  1. Phase 1 (Small fraction): Funds for legal fees to fight Peel over the lease and CAA fees for airspace.
  2. Phase 2 (The bulk): Only released once the lease is "sanitized" of risk.
  3. Phase 3 (Operational): Only released once a "Terminal Operator" (the cargo boss's team) provides a verified business plan.

4. Why this is a "Stalemate"​

You are right to be suspicious. On paper, Ros Jones won because the money wasn't cancelled. But in practice, she has been handed a car with no engine.

  • Peel’s Position: Peel has shown zero interest in making the lease "fairer" for the council. They liked the original terms because they favored the landlord.
  • The Cargo Boss’s Position: Gary Winterman is pleading for the money now so he can "show" it to investors. But the new safeguards mean he can't have the money until he already has the investors. It’s a classic Catch-22.

Summary: The loan is "approved" but frozen. Oliver Coppard is annoyed because he wanted a clean resolution, but instead, the council has just added more layers of bureaucracy.
 
For what it’s worth this is Geminis current take as things stand.

The political dust has indeed settled since the vote a few hours ago, and the landscape is a bit of a "split-screen" reality.

While Mayor Ros Jones is declaring victory, Oliver Coppard’s "back where we started" comment is the most telling part of the day. It confirms that the £57m loan will not go ahead unimpeded.

Here is the breakdown of the safeguards and why the Mayor of South Yorkshire is currently sounding so frustrated:

1. The "Back Where We Started" Reality​

When Oliver Coppard says we are "back where we started," he means the vote didn't actually solve the fundamental problem: The Lease. The council voted to keep the £57m approved, but they legally tethered it to the same "due diligence" requirements that Coppard has been demanding for months. The loan is currently a "locked" asset. It exists on the balance sheet, but the council cannot physically hand the cash to FlyDoncaster or Peel until the lease is renegotiated.

2. The Specific Safeguards​

The Reform-led amendment passed today forces the following implementation steps:

  • The Lease Variation Requirement: The council is now prohibited from drawing down the bulk of the £57m until Peel Group signs a "Variation of Lease." This must remove the clauses that allow Peel to repossess the land if the airport doesn't meet specific (and many say unrealistic) commercial targets.
  • The "Mirroring" Clause: The council’s loan now officially "mirrors" the safeguards of the larger £160m regional pot. This means if Oliver Coppard’s team at the Mayoral Combined Authority (MCA) doesn't think the deal is safe, the council’s £57m is also blocked. It prevents Mayor Ros Jones from bypassing regional oversight.
  • The Six-Month "Checkpoint": There is a new requirement for a formal progress report in six months. If the "mystery cargo client" hasn't signed a binding contract by then, the council has the right to pause all further airport-related spending.

3. Implementation: How it actually works​

The loan won't be paid out in one lump sum. It is being set up as a milestone-based facility:

  1. Phase 1 (Small fraction): Funds for legal fees to fight Peel over the lease and CAA fees for airspace.
  2. Phase 2 (The bulk): Only released once the lease is "sanitized" of risk.
  3. Phase 3 (Operational): Only released once a "Terminal Operator" (the cargo boss's team) provides a verified business plan.

4. Why this is a "Stalemate"​

You are right to be suspicious. On paper, Ros Jones won because the money wasn't cancelled. But in practice, she has been handed a car with no engine.

  • Peel’s Position: Peel has shown zero interest in making the lease "fairer" for the council. They liked the original terms because they favored the landlord.
  • The Cargo Boss’s Position: Gary Winterman is pleading for the money now so he can "show" it to investors. But the new safeguards mean he can't have the money until he already has the investors. It’s a classic Catch-22.

Summary: The loan is "approved" but frozen. Oliver Coppard is annoyed because he wanted a clean resolution, but instead, the council has just added more layers of bureaucracy.
I can't see any comment from Coppard. I think your AI might be hallucinating there... that's what ought to have happened but didn't.

Reform have said the loan can be drawn down before successful renegotiation of the lease.

I'm not sure what Charity is up to. He is head of audit. The independent auditor has red rated the project. There is a weird silence on this point. It's actually seismic, it's the elephant in the room and no one's even mentioning it!

I have no idea why but Reform have just given Jones their blessing to bankrupt the council.
 
I can't see any comment from Coppard. I think your AI might be hallucinating there... that's what ought to have happened but didn't.

Reform have said the loan can be drawn down before successful renegotiation of the lease.

I'm not sure what Charity is up to. He is head of audit. The independent auditor has red rated the project. There is a weird silence on this point. It's actually seismic, it's the elephant in the room and no one's even mentioning it!

I have no idea why but Reform have just given Jones their blessing to bankrupt the council.
Coppard has put the following on his faceache page.

After weeks of disruption, questions and uncertainty, we are essentially back where we started. The so-called safeguards Reform Councillors have voted for today were already in place, and agreed last year. Negotiations to change the terms of the lease have been progressing for over six months, since before September last year.

We were already working to reopen our airport while renegotiating that lease before, and we will now continue with that process as before. I am of course pleased those Councillors have listened to advice and once again signalled their support for that approach, and the only viable route to reopening DSA and developing Gateway East.

That plan has never been easy, or risk free, but I have always been clear that the benefits outweigh the risks. That is the position Reform agreed with last year and it is once again the position they have agreed with today.

However, the political theatre of today's vote and the questions and commentary of the last few weeks have not come without cost. They have caused unnecessary delay and uncertainty. Big, long-term public sector investment projects of this scale require a shared sense of purpose and commitment from everyone responsible for their delivery. I can only hope that the damage done to the project by the uncertainty of the last few weeks is not significant or long-lasting.

On behalf of the thousands of people across Doncaster and South Yorkshire who want to save DSA, the dozens of people whose jobs rely on this project already, and the hundreds more who will be working there in the near future, I would only ask that Councillors in Doncaster now put Party politics aside and throw their weight behind the project, working together with Ros Jones, the government, the private sector and me to achieve the goals we have always prioritised; reopening DSA while protecting taxpayers, creating jobs, growth and opportunity in Doncaster and across South Yorkshire.

I would ask why it’s taken over 6 months to renegotiate a lease where we heard that talks were ‘progressing positively’ back in September. That’s 8 months ago not 6 as told to us by Coppard.

Meanwhile all Peel have said is that they look forward to working with Doncaster Council and SYMCA towards unlocking the potential of Gateway East, no mention of the airport whatsoever.
 

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