Chancellor John Healey has publicly supported the pro-growth arguments for constructing a third runway at Heathrow Airport, highlighting a notable policy divergence from Prime Minister Andy Burnham. While the Prime Minister has recently downplayed the significance of the expansion, suggesting it is a matter primarily for London and local stakeholders, Healey’s stance remains firmly aligned with the project’s growth potential. However, since arriving in No 10 in July, Andy Burnham has ducked the issue of whether the runway should go ahead, suggesting it should be “a matter for London and Londoners”. However, he appeared to strike a markedly more positive note than Burnham.
Reports indicate that the Prime Minister has expressed skepticism regarding the £33bn infrastructure plan during discussions with Transport Secretary Heidi Alexander. In contrast, Chancellor Healey, who previously voted to support the runway in a 2018 House of Commons ballot, affirmed that airports have consistently served as a major engine for jobs and economic expansion throughout the UK. A recent Sunday Times report suggested the prime minister had told the transport secretary, Heidi Alexander, that he was “unconvinced” by arguments for the megaproject. “I think in recent decades, and this is true in Heathrow and airports right across the UK, that they have been a big part of jobs and growth.
Speaking from Bangkok while attending International Monetary Fund meetings, Healey noted that the government intends to review feedback from a recently concluded public consultation. He maintained that economic growth remains the central mission of the current administration. His predecessor, Rachel Reeves, had previously championed the runway as a vital step in ensuring Britain remains the world’s most connected business hub. Healey’s predecessor as chancellor, Rachel Reeves, put approval of the long-planned runway at the heart of her “growth speech” last year, saying it would “make Britain the world’s best-connected place to do business”.
Heathrow CEO Thomas Woldbye has issued a warning regarding the project’s timeline, noting that investors—including sovereign wealth funds from Qatar, Singapore, and Saudi Arabia, alongside the French firm Ardian—are becoming increasingly impatient. Woldbye stated that while shareholders have shown patience regarding the slow progress, they cannot wait indefinitely for a signal of government support before deciding whether to proceed with formal planning permission. According to heathrow’s chief executive, Thomas Woldbye, has warned that investors could reassess their backing for the £33bn infrastructure project if it does not receive the prime minister’s support. “Our shareholders would like to do this,” he, Earlier this week. “They do think that things are taking a long time, and so far they have decided to be OK with that … But of course we cannot wait for ever.”.
The Chancellor has since returned to London to finalize the upcoming 28 October budget. His economic approach recently received encouragement from IMF managing director Kristalina Georgieva, who urged the government to maintain its focus on deficit reduction. These remarks coincided with official data revealing that the UK economy experienced unexpected growth throughout August. On Thursday, official figures showed the UK economy unexpectedly continued to grow in August.
