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Construction & Architecture

Stansted Airport announces £1.1bn expansion program

Elizabeth BakerBy Elizabeth BakerOctober 14, 20243 Mins Read
Chancellor Rachel Reeves and Transport Secretary Louise Haigh have approved the five-year, £1.1bn (US$14bn) investment in London Stansted Airport.
Credit: Stansted Airport

The UK government has approved the five-year, £1.1bn (US$1.4bn) investment in London Stansted Airport. The plans will see Stansted extend its existing terminal to unlock the potential of its runway.

£1.1bn investment approved

The investment consists of £600m (US$780m) for the terminal extension, alongside another £500m (US$650m) to improve the existing terminal and wider airport estate. The funding will expand the existing terminal by a third, securing new air routes to key business and holiday destinations. This scheme will deliver a larger security hall, an airfield taxiway upgrade and an overhaul of gate rooms, boosting capacity and comfort for passengers before boarding.

It will also deliver Stansted’s 14.3MW on-site solar farm, which will support the airport’s current and increasing electricity demands. It follows the recent creation of a new EV charging forecourt at the airport.

The expansion plans already have planning permission to begin construction and are in line with previously agreed passenger and flight numbers. MAG (Manchester Airports Group), owner of London Stansted, is in the final stages of the procurement process, with construction expected to begin in 2025. The project will take between two and three years to complete. According to the airport, more than 5,000 jobs will be created as a result of the investment.

Boosting the UK’s economy

UK Transport Secretary Louise Haigh said, “We have been steadfast in our commitment to help British businesses grow and in turn boost the UK’s economy. This announcement is a clear signal that Britain is open for business. Transport is central to this government’s core mission of growing the economy. This is about giving companies like Manchester Airports Group the confidence to invest, boosting regional and national economic growth, and supporting the aviation sector while also meeting our existing environmental obligations.”

Ken O’Toole, CEO of MAG, added, “By investing more than £1bn in Stansted over the next five years, we will be able to connect people and businesses in London and the east of England to even more global destinations while welcoming millions more visitors to the UK. We are proud to be investing in our infrastructure in a way that will create jobs and stimulate trade, investment and tourism. Aviation is an essential enabler of the success of the UK’s key high-value industries, and we look forward to helping the government achieve the highest sustained growth in the G7 through the sustainable growth of our airports.”

Cath Bowtell, IFM Investors chair, said, “As co-owners of MAG, our commitment to this exciting new Stansted project reflects our confidence in the airport’s future growth story. As one of the world’s largest infrastructure investors, IFM has invested over decades to enhance the value to customers of the UK infrastructure we own and operate. MAG goes from strength to strength under the long-term stable co-ownership of IFM alongside Manchester and Greater Manchester local authorities.”

In related news, London Stansted first received planning permission to extend its terminal building in November 2023. Click here to read the full story.

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