Heathrow Chair Sir Nigel Rudd Mulls Take-Off

Sir Nigel Rudd, the chairman of Heathrow airport's owner, is in talks about extending his tenure as the company prepares to outline its vision for the future of Britain's aviation capacity.

Sky News understands that Sir Nigel is deliberating over whether to remain at the helm of one of the country's most important companies during a critical period that will determine its commercial future.

One of Britain's best-known businessmen, Sir Nigel has chaired Heathrow and BAA, its predecessor, since 2007.

He is said to have the backing of both boardroom colleagues and Heathrow's major shareholders, who are keen for him to stay on beyond the end of his current three-year term in September.

Insiders said on Tuesday that among the options that would be discussed would be extensions of either one or three years to Sir Nigel's chairmanship. He could, one insider acknowledged, also decide to step down after six years in the role.

One factor weighing in favour of him remaining at the helm is that Invensys (LSE: ISYS.L - news) , the industrial group chaired by Sir Nigel, is the subject of an agreed takeover bid by Schneider Electric (Other OTC: SBGSF - news) of France, a deal that if completed would see him step down.

As the former chairman of Boots and Pilkington, Sir Nigel has often been labelled a member of the coterie of senior boardroom figures who have overseen the sale of chunks of Britain's industrial heritage to overseas predators.

During his time at Heathrow's parent, he has brought in a number of sovereign wealth and pension funds from Canada, China and Qatar to invest alongside Ferrovial, the Spanish infrastructure group which bought BAA in 2006.

Sir Nigel is also, however, one of the UK's most seasoned industrialists and has played an important role in constructing international trading relationships at the companies at which he has served.

On Wednesday, Heathrow will outline a series of options for the future of aviation capacity to the Government-commissioned review being led by Sir Howard Davies.

People familiar with its plans suggested it would reject the proposal for a third runway that BAA backed in 2003 and would set out for the first time the cost of its various options.

Heathrow, whose chief executive Colin Matthews will argue the company's case, is expected to stop short of recommending a single preferred option, instead saying that the decision is more appropriate for Government than a private company representing its own commercial interests.

The owners of Gatwick said on Tuesday that they preferred the idea of a "constellation" of London airports that would be cheaper than the proposal of Boris Johnson, the London mayor, for a new-build airport costing well over £60bn.

Stewart Wingate, Gatwick Airport's chief executive, said: "The evidence we have been gathering clearly shows that our country’s aviation capacity issue will be best served by three competitive London airports - Gatwick, Heathrow and Stansted - with Gatwick first in line to get the next new runway, making extra capacity more easily deliverable."

Heathrow declined to comment on Tuesday.