Gatwick Airport Expansion Faces Major Hurdles as Costs and Transport Challenges Mount

Gatwick Airport’s ambition to launch a second runway by 2030 faces mounting obstacles as business rates and transport logistics take centre stage in negotiations. Outgoing chief executive Stewart Wingate remains “optimistic” about the airport’s £2.2 billion expansion, yet warns the project remains in jeopardy without urgent government intervention.

Gatwick proposes converting its northern relief airstrip to become a fully operational second runway, a move that would elevate the airport’s capacity to 80 million passengers per year by the end of the next decade—on par with today’s Heathrow. Central to the planning conditions is the requirement for 54 per cent of passengers to arrive or depart via public transport. Currently, the airport maintains that this is only achievable if the Department for Transport steps in to improve train timetables and pricing, making rail journeys to Gatwick a compelling option for travellers.

Wingate expressed concern about a potential sixfold surge in business rates, which could see Gatwick’s annual bill soar from £39 million to as much as £240 million. Such an increase would nearly match the airport’s annual wage expenditure, he pointed out. Discussions with the Treasury remain ongoing, with operators urging government to strike a balance between fiscal policy and investment viability.

Gatwick encountered slower-than-expected passenger growth in the first half of this year, with numbers rising marginally from 19.9 million to 20 million. Lower-than-anticipated passenger loads have impacted revenue growth, despite increased airline fees, as retail activity in terminal shopping areas declined. Coupled with heightened staffing costs due to the recruitment of additional security personnel, operating profits dipped slightly to £188 million.

Local opposition has grown more vocal, with communities campaigning for stricter control of noise pollution and measures to mitigate increased road congestion. The airport has set aside £350 million from its own funds for road improvements, and asserts that it has met government standards for noise insulation around the expanded site.

Should the project win final approval by the end of October, Gatwick aims not only to strengthen its primarily European flight roster but also to attract additional intercontinental routes. This growth, the airport claims, will add £1 billion a year in economic benefits nationwide and support the creation of 14,000 jobs, ensuring Gatwick’s place in the top league of international aviation hubs.