Transport SoS sets out government’s position on SE airport expansions and SAFs

Transport Secretary Heidi Alexander has outlined the government's position on airport expansion and sustainable aviation fuels. In a written statement to Parliament, coinciding with Chancellor Rachel Reeve’s announcement in support of a third runway at Heathrow and expansion at Gatwick and Luton, the Transport Secretary clarified the government’s position regarding the transition to greener aviation.

The Statement says:

“The government recognises that air connectivity plays a vital role in supporting economic growth across the country, contributing £14 billion to our GDP in 2023 and over 140,000 jobs across the UK in 2022.

“However, capacity constraints are hindering the country’s ability to reap the growth benefits of aviation. There is a particular capacity challenge in the south east of England. Heathrow Airport, the largest airport in Europe by passenger traffic, the most internationally connected airport in the world and the UK’s only hub airport, plays a critical role in enabling international connectivity for both passengers and freight. This supports productivity and economic growth. Around 75% of UK long haul flights go from Heathrow and 60% of UK air freight goes through Heathrow. But Heathrow is running at nearly full capacity, which is limiting our potential to compete with major European hubs and holding back growth.

“Tackling capacity constraints at Heathrow Airport could unlock growth benefits that a world-class aviation sector can provide. That’s why the government supports and is inviting proposals for a third runway at Heathrow, to be brought forward by the summer.

“Expansion could inject billions into our economy, create over 100,000 extra jobs, strengthen Heathrow’s status as a global passenger and air freight hub, and deliver major benefits for passengers, including lower fares and reduced delays.

“Once proposals have been received, the government will move at speed to review the Airports National Policy Statement (ANPS), which provides the basis for decision making on granting development consent for a new runway at Heathrow. Any scheme must be delivered in line with the UK’s legal, climate, and environmental obligations.

“The government is committed to ensuring that the economic benefits of airport expansions are delivered in a way that considers and addresses environmental and social responsibilities. We are already making great strides in transitioning to greener aviation. Earlier this month, the Sustainable Aviation Fuel (SAF) Mandate became law, requiring 2% of this year’s aviation fuel supply to be from sustainable sources, with the targets reaching 10% in 2030 and 22% in 2040. SAF is one of the key measures required to reach net zero emissions from aviation by 2050: it reduces GHG emissions by around 70% on average when replacing fossil kerosene (jet fuel).

“Today (29 January 2025), I am pleased to announce that we will invest £63 million over the next year for the Advanced Fuels Fund, supporting SAF producers across the UK including in areas like Teesside. We have also published the government’s response to the consultation on a revenue certainty mechanism (RCM), which, once implemented, will encourage investment into the nascent UK SAF industry. Next steps on the RCM will be set out imminently.

“Taken together, our SAF commitments will support thousands of jobs, bring down our transport emissions, support our energy security and make the UK a clean energy superpower.”

Reacting to the announcement on a third runway at Heathrow Airport, Environmental Audit Committee Chair, Toby Perkins MP, said, “The new era for cleaner, greener aviation promised by Ministers must now be turbocharged as the Government gives its backing to a third runway at Heathrow. I welcome the Chancellor's commitment that any proposal must meet strict rules on noise, air quality and carbon emissions, but more detail is desperately needed on how this will be achieved. Aviation could be the largest emitting sector in the UK by 2050, and noise and air pollution from Heathrow already has a significant effect on the urban environment of west London.

“I reiterate calls from our predecessor Committee for the Government to honour its 2021 commitment to legislate to include international aviation emissions in Carbon Budgets from 2033, and to consider urgently the policy measures required to mitigate other environmental impacts such as soot emissions and aviation sulphur compound emissions. If Sustainable Aviation Fuel is considered the silver bullet, efforts to secure a globally recognised definition of acceptable SAFs must be ramped up, and the SAFs to be developed in the UK and used in aviation services at UK airports must be truly sustainable. Ministers must demand that the industry deliver the promised year on year emissions reductions which underpin current Government strategy.”

Transport Committee Chair Ruth Cadbury also responded, “The Chancellor’s drive for economic growth and investment in infrastructure is welcome. But the Transport Committee now wants to unpick how clear the links between airport expansion and growth – across the whole country – truly are. We will hold an evidence session on this question in the next few weeks. 

“Having more planes in the air and passengers moving to and from airports also needs to be weighed against our obligations to cut carbon emissions. These proposals should also be set in the context of other transport networks that would serve our major and regional airports, as well as changing trends in consumer habits and costs. In due course, the Committee will carry out detailed scrutiny of the Government’s strategic approach to air travel, and how all the pieces of the puzzle might fit together.”