11 DECEMBER 2017

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Article from BTNews 11 DECEMBER 2017

Major expansion for Luton

Today (Monday 11 December), London Luton Airport Limited (LLAL), a company owned by Luton Council, is expected to announce a major expansion plan to double the size of the facility over the next decade.  

Luton is continuously voted Britain’s worst airport and lags well behind the poorly-positioned Stansted in terms of passenger numbers.

The airport has already confirmed plans for a 1.4-mile light rail link connecting Parkway Station with the airport due to be operational by 2021 (BTN  3 July). 

Very much under way is an £110m extension said by one expert to be “papering over the cracks”. It includes an impressive shopping mail but, controversially, no user-friendly landside passenger arrangements including short-term parking.  

More positive news is that talks are under way to extend the validity of the London Oyster card to the terminal. The DfT says it is will be valid for travel on Thameslink by 2018.

From a practical point of view, LLAL in turn has let a concession to operate the airport to London Luton Airport Operations Ltd (LLAOL), whose majority owner is Franco/Spanish.

According to Luton Council, the total concession fee paid by the concessionaire to LLAL in the year to 31 March 2017 is £40.8m. A council statement said: “From this, LLAL pays a dividend to its shareholder and has a substantial development programme. LLAL, backed by its shareholder, is currently investing £420m in developing the asset.”

www.london-luton.co.uk

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