|Quoting AirbusA6 (Reply 62):|
What benefit does the UK get from even more people flying via London
I think you may have answered your own question:
|Quoting AirbusA6 (Reply 62):|
Expanding LHR, just so that BAA and BA can make more money
These are both British companies. They employ British workers - more business, more income, more jobs. They pay British Corporation Tax. Their employees pay British Income Tax and National Insurance. Their employees spend most if not all their income in the UK paying VAT to the British government on all their purchases excepting expenditure on food, children's clothes and reading materials.
When a traveller flies from, say, Canada to, say India, with BA
then the expenditure (with BA
) on their ticket is significant. A ticket from YYZ
flying out on 6 and back on 22 January can be booked today for:
Y Class: Canadian $ 1,070 (£672)
W Class: Canadian $ 2,233 (£1,402)
J Class: Canadian $ 5,160 (£3,240)
So if three J Class passengers every day were to book to fly BA
between Canada and India at the above (mid-week and therefore not the highest) fares the British economy (in the form of our GDP) would be approximately £3.25 million larger than if they did not. So the expendiure by such passengers on their tickets and on anything spent while transitting LHR
directly adds to the size oif the Britis h economy.
It is simply not true that if the above happened - and it does - that it would be "just so that BAA and BA
can make more money". If it were then the same could be said by any money spent in the UK by you, me or any other British resident. But in this case the expenditure made in Canadian Dollars is even more important than our own local Sterling expenditure. We need foreign currency to buy imports ranging from food to raw materials for our manufacturing industry. Without suchforeign income these would be necessities that the UK could not afford.
It has been suggested elsewhere in this thread that LHR
is an O&D operation and handles less transit traffic than other European hubs. I have no current data that disputes this. However in a Press Release titled "A new British Airways takes off today" dated 10 June 1997, BA
claimed that 60 per cent of their passengers werre not British. At the same time they claimed that 40 per cent of BA
passengers arriving a LHR
on an international flight connected to another BA
international flight without going land-side.
In looking at the O&D situation this is clearly an understatement of the proportion of BA
passengers then using LHR
as a hub. There are two reasons for this. It clearly excludes those passengers arriving at LHR
and spending the night at one of LHR
's many hotels before boarding another flight the following day. It also excludes all passengers arriving at LHR
on a BA
domestic flight and then immediately departing on a BA
international flight and, of course, those arriving on an international flight and then departing on a domestic flight.
Quantifying the numbers falling into these two groups is difficult. Suffice it to say that approximately ten per cent of all BA
's passengers fly on domestic routes and that a far from insignificant proportion of those passengers are likely to be transferring to or from an international flight.
As I mentioned above it has been claimed in this thread that the proportion of O&D traffic at LHR
is significantly higher than at other European hubs. As my data is both limited and is 15 years old I would much appreciate a source for the data on which these claims are based.
According to the CAA the number of passengers travelling to and from LON on scheduled flights in 2011 was 126,966,767. This seems to me to be a very high figure if it is overwhelmingly O&D traffic. Compare it with, for example, the number of scheduled passengers handled at the UK's next busiest airport, MAN
. There the equivalent 2011 figure was around one-tenth of this figure at 13,614,261. And if a significant proportion of LON traffic is transfer traffic, I would expect most of such traffic to be at LHR
where the transfer opportunities are much greater. Further the operations of airlines like FR
(who are dominant at STN
) and U2
(who are by far the largest LGW
operator) simply do not attract transfer passengers.