Cardiff Airport: Welsh government plan to buy from TBI

Cardiff Airport will be bought by the Welsh Government, it has been announced.

First Minister Carwyn Jones revealed on Twitter today that a deal had reached with owners TBI to bring the struggling airport into public ownership.

TBI is a company owned by Spanish conglomerate Abertis (90%) and AENA (10%), the Spanish airports operator.

The nationalisation of the airport comes after a torrid few years which have seen declining passenger numbers and the loss of a number of key routes.

Mr Jones has spoken frequently of his dissatisfaction at the airport's performance, which he labelled "not good enough" in March.

And in October, Plaid Cymru leader Leanne Wood called for a public stake in the airport.

The Welsh Government will now enter an exclusive period of due diligence that it said would take into account "financial, legal and vale for money considerations".

Mr Jones said: “Over the past 12 months, I have repeatedly emphasised the importance to Wales of a dynamic international gateway airport in Cardiff.

“During the course of the year we have developed a very constructive and positive relationship with TBI. Together we have been discussing how best to develop the airport to position it for the challenges ahead.

“I can today announce that the Welsh Government has agreed with TBI to progress towards the purchase of Cardiff Airport. Such an arrangement would enable us to develop a more coherent approach to our national infrastructure planning, and integrate the airport into our wider economic development strategy.”

Mr Jones said the Welsh Government would aim to hand control of the airport to run "on a commercial basis", but said talk of the airport becoming a sixth terminal for London Heathrow remained a possibility.

The price paid to bring the airport into public ownership will be subject to independent valuation.

Mr Jones said the airport, in Rhoose, in the Vale of Glamorgan, would retain its current staff.

He added it would not receive subsidies and must “demonstrate a return to the taxpayer”.

Although a deal has not been officially sealed, the First Minister said the initial plan under government ownership would be to increase footfall.

However, an ultimate goal is to secure long-haul flights to Middle Eastern destinations such as Dubai, as well as a North Atlantic route.

“They would be very useful to Wales,” he added.

Business minister Edwina Hart added: “The message from business leaders and tourism operators across Wales is clear; strong, international transport links are vital to our prosperity, and key to future economic growth.

“Subject to satisfactory due diligence, our investment in Cardiff Airport has the potential to create many exciting possibilities for the Welsh economy – boosting opportunities for international trade, and helping to increase visitor numbers to Wales.”

A statement released by Cardiff Airport in the aftermath of the announcement said: "Over the last few months, Cardiff Airport has engaged in positive and constructive discussions with the Welsh Government on how best to position Airport for challenges ahead.

"In the course of those discussions it emerged that a sale of the airport was one possible option.

"To explore that option further, a process has been put in place which will allow the Welsh Government to undertake comprehensive due diligence.

"Depending upon the outcome of that due diligence and other related activities it is our understanding that the Welsh may decide to proceed towards a purchase."

The airport, which dates back to 1931 in its original form, was in public ownership until it was privatised in 1985.

Prior to that it was run by South, Mid and West Glamorgan county councils.

Welsh Government to buy Cardiff Airport - more reaction

The announcement received backing from various opposition AMs, but was given a hostile reception from Conservative MP Alun Cairns, whose constituency includes the airport.

Writing on Twitter, he said: "What does the Welsh Government know about running an airport?

"How much cost to the taxpayer?

"They have ignored CWL calls for years and given little priority."

He added: "All other countries privatise, the Welsh Government renationalise.

"I feel a disaster developing."



Read more: Wales Online http://www.walesonline.co.uk/news/wales ... z2FQeKHDaV

Welsh Assembly running a business - What could possibly go wrong

Something needs to be done, when it's more convenient and cheaper for me to use Bristol airport, then you know they have issues.

Hhhmmm can't be a bad thing can it
Doesn't really excite me mind, that anglesey route will be safe

it was also far cheaper for me and my family to fly from brizzle as well (I think that's common with most sout Walians)....need to sort their prices out if they want to compete

Good idea, bristol have better routes and are cheaper at the moment, We shouldn`t need to be flying from Bristol.
More routes and less tax, cheaper prices......HOPEFULLY

just hope they don`t start pandering to Plaid Cymru wasting money

Boarding passes in Welsh as Welsh speakers don`t understand English ?

Jobs for the boys - Bilingual workers only
etc etc etc

English is the international language for air travel, so we'll be OK

Wasn't it owned by a Spanish firm? Just glad it is in Welsh hands soon hopefully. Next, the Severn Bridge.

Wasn't it owned by a Spanish firm? Just glad it is in Welsh hands soon hopefully. Next, the Severn Bridge.

Then Shrewsbury and Hereford

Wasn't it owned by a Spanish firm? Just glad it is in Welsh hands soon hopefully. Next, the Severn Bridge.

Then Shrewsbury and Hereford

Hahaha, we're going to take the f*cking lot!

Hope this will help the whole of Wales and its businesses and hopefully we will see better flights flying from Cardiff as well

The Cardiff Airport was discussed extensively in a topic a couple of weeks ago, it's good news that the airport is being taken over, hopefully it will improve and benefit the Welsh economy.

Just heared they have bought the welsh hawking center and the pleasure beach at Porthcawl.

Whilst I agree something needs to be done I didn't want monies which should be going towards education, health and other areas to be paying for it.

In my opinion this is either a publicity stunt to hopefully push other buyers to come in or yet another move by Labour WAG to blindly take Wales into a Socialist state.

Great idea

Even the countries in the former eastern block are selling off their airports yet the WAG want to take one on!!!

Great idea. Just what we need during these tough times. They are amazing people! I wonder if MP's and bankers will get the ball rolling by donating a larger sum and their bonuses?

Wasn't it owned by a Spanish firm? Just glad it is in Welsh hands soon hopefully. Next, the Severn Bridge.

Then Shrewsbury and Hereford

...and Oswestry outrageous that its in England. Along with Wrexham, the spiritual home of Welsh international football.

lets hope they read our thread on here a couple of weeks ago

ding ding round 3 or is it 4 or 5? lost count posts about airport but i see bristol manager worried about prospect, so on that basis it must be good idea!

have noticed people havnt read or heared that it will be run by a company or simular on a commercial basis!

ding ding round 3 or is it 4 or 5? lost count posts about airport but i see bristol manager worried about prospect, so on that basis it must be good idea!

have noticed people havnt read or heared that it will be run by a company or simular on a commercial basis!

also it was revealed that charter flights are roughly same for both airports in passenger numbers, its non charter flights that bristol as edge on us!