London Heathrow Airport has confirmed a significant new investment programme aimed at upgrading its existing infrastructure and laying the groundwork for a future third runway.
The announcement comes just weeks after the Chancellor expressed support for expansion at the UK’s largest airport. The programme will be entirely privately funded and is set to begin this year.
In an address at British Steel Scunthorpe, Heathrow CEO Thomas Woldbye outlined the airport’s phased expansion plans, which will be submitted to the government by summer. The investment aims to modernise terminals, improve passenger experience, enhance punctuality, and strengthen sustainability measures.
Heathrow CEO Thomas Woldbye said:This privately funded programme will upgrade existing infrastructure while laying the groundwork for a third runway, boosting UK investment and economic growth, with tangible benefits felt this year. Heathrow is proud to answer the Chancellor's call to get Britain building.
The programme will include:
- Terminal Upgrades: Capacity expansions for Terminal 2 and operational improvements at Terminal 5
- Airfield Enhancements: Reconfiguring aircraft stands to improve punctuality and operational resilience
- Sustainable Transport Links: Strengthening bus and coach connections to encourage sustainable travel
- Environmental Sustainability: New infrastructure designed to use sustainable power sources in line with Heathrow’s Connecting People and Planet strategy
The investment programme aligns with the UK government’s focus on economic growth, with an emphasis on supporting UK industry, including steel manufacturing. To reinforce this commitment, Heathrow signed the UK Steel Charter, pledging to maximise opportunities for domestic steel producers.
A study by Frontier Economics suggests that a third runway at Heathrow could contribute an additional 0.43% to UK GDP by 2050, with 60% of the benefits expected to reach regions outside London and the South-East. However, the plans have alsobeen deeply controversial, with debates centring on environmental concerns, financial implications, and community impact.
As Heathrow prepares to submit its full proposals to the government, it will engage with airlines, local communities, and key stakeholders to refine its plans. Woldbye emphasised that the project aims to balance economic benefits with environmental considerations, ensuring Heathrow’s long-term competitiveness as the UK’s primary aviation hub.
