The UK government has announced it is backing the expansion of Europe’s busiest airport, which is owned by French infrastructure fund manager Ardian and several global sovereign wealth and pension funds.
UK chancellor Rachel Reeves said today that the development of a third runway at Heathrow Airport would “unlock further growth, boost investment, increase exports and make the UK more open and more connected”.
More than a fifth of Heathrow Airport Holdings is owned by Ardian, while Qatar Investment Authority, Saudi Arabia’s Public Investment Fund and Singapore’s GIC own 20%, 15% and 11.2%, respectively, according to Heathrow.
The remaining shareholders are Australian Retirement Trust (11.2%), China Investment Corporation (10%), Spanish construction company Ferrovial (5.25%), Canadian institutional investor CDPQ (2.65%) and the UK’s Universities Superannuation Scheme (2.1%).
The shareholders either did not respond or declined to comment on the speech by Reeves, who said the UK government was inviting proposals for the new runway before the summer.
In a statement, Heathrow CEO Thomas Woldbye said: “We welcome the chancellor’s support for the aviation industry and recognition of the critical role we play for the economy and in delivering growth across the UK.
“Heathrow is the UK’s gateway to growth and prosperity. A third runway and the infrastructure that comes with it would unlock billions of pounds of private money to stimulate the UK supply chain during construction. Once built, it would create jobs and drive trade, tourism and inward investment to every part of the country.
“It would also give airlines and passengers the competitive, resilient hub airport they expect, while putting the UK back on the map at the heart of the global economy. With strict environmental safeguards, it would demonstrate that by growing our economy responsibly we can ensure our commitments to future generations are delivered.”
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