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Heathrow Airport expansion: 'It's about time'

Leading business groups and trade unions have welcomed the Government's decision to approve a third runway for Heathrow, but some also expressed concern about any delay before the airport can expand.

Analysis by the Airports Commission estimates that airport's expansion will create up to 180,000 jobs and provide £211bn in economic benefits and growth across the UK by 2050.

The director general of the British Chambers of Commerce, Adam Marshall. said the businesses will now want assurances from Westminster that construction can begin as soon as possible.

"Put simply, it's about time," he said of the decision.

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"This new runway must be viewed as much about connecting the regions and nations to the world as it is about capacity for London and the South East," he added.

:: Heathrow Airport expansion: Now (NYSE: DNOW - news) comes the hard part

Mike Cherry, national chairman of the Federation of Small Businesses (FSB), welcomed the decision as "a welcome boost for British business."

"We now need to see budgets committed and shovels in the ground as soon as possible," he added.

The general secretary of the TUC, Frances O'Grady, has echoed this sentiment, calling on the Government to "ensure Heathrow expansion is put in the fast lane".

Mick Rix, national officer for transport and distribution at GMB, the union that represents airport workers, said the decision is a "win, win for everyone".

He added that the union has supported a third runway at the airport for the best part of a decade and that expansion has a "clear-cut case".

But no frills carrier Ryanair, which has long campaigned for more competition and choice between runways, criticised the decision to approve just a third runway at Heathrow.

"Approving a third runway at Heathrow over Gatwick is not the way forward," said Ryanair's CEO Michael O'Leary.

"London now benefits from three competing airports and the best way to deliver additional runways in a timely and cost efficient manner is to approve three additional runways, one each at Heathrow, Gatwick and Stansted."

International Airlines Group (IAG) CEO Willie Walsh warned: "We're pleased that a decision has finally been made but the cost of this project will make or break it.

"The Government's directive to cap customer charges at today's level is fundamental.

"Heathrow is the world's most expensive hub airport so it's critical that new capacity is affordable. The airport has consistently argued that the British economy will benefit if the third runway is approved.

"Heathrow want it, argued for it and now must ensure it's the UK and the travelling public who get the benefits from the runway, not the airport's owners."