A report by independent research firm Quod has rated the addition of a third runway at London Heathrow Airport as the UK’s best value-for-money infrastructure project with a best-case benefit cost ratio (BCR) of 10.2.
The figure is based on the analysis of Airports Commission research and HM Treasury data, most notably that the Heathrow expansion project would require a public contribution of £3.9bn (US$6bn) for surface access improvements. This cost, when offset against a potential economic growth of £211bn (US$323bn) and the creation of 180,000 jobs across Britain, has created a BCR of between 4.1 and 10.2, making it ‘very high value for money’ according to Quod.
Other transport projects mentioned in the report include the railway projects HS2 with a BCR of 2.3, Crossrail with between 2.76 and 3, and Thameslink with 1.4.
John Holland-Kaye, CEO at London Heathrow Airport, said, “The expansion of Heathrow would create an economic legacy for future generations by connecting the whole country to global growth.
“The return on investment for the UK is phenomenal and our politicians can be confident in making a quick decision. Let’s get on with it.”
To read more from the press release by London Heathrow and the report by Quod click here.