Council seeks private sector Cornwall airport partner

Cornwall Airport is located on the outskirts of Newquay, in St Mawgan

Cornwall Council is looking for a "private sector partner" to jointly run Cornwall Airport Newquay.

In a scrutiny meeting on Tuesday, councillors and officers discussed plans to bring in an investment partner for the 650-acre (260-hectare) site.

The airport provided a contribution of about £72m to the local economy annually, the council said.

It said a recommendation on the preferred partner would be taken to cabinet in June.

Cornwall Council owns and operates Cornwall Airport Newquay

In a strategic review report, senior officers at Cornwall Council confirmed the airport received "a significant subsidy" each year, about £4m last year.

The local authority said while there had been economic growth at the airport, including the Aerohub Business Park, the development of the site had "not proceeded at the rate originally hoped".

Efforts to find a partner to run for the whole airport estate were already under way, the report revealed.

The report also said interested parties had already been invited to submit an expression of interest, and council officials were working through the responses.

'Quick-buck Johnny'

In its strategic review, the council made it clear keeping the airport open was one of its main aims, adding its aspiration was for "a long-term, mutually beneficial partnership".

It said it hoped investment in the site as a whole, including about 200 acres (80 hectares) of undeveloped land, would serve as "a catalyst for sustained growth" for both partners.

Conservative councillor David Harris, deputy leader of the council and portfolio holder for resources, said the council was looking for a "serious investment partner".

He said: "Cornwall Council in one shape or form has had an interest in that airport for 20 years, and it has never made the wider estate work properly.

"We are looking for a serious investment partner, not some fly-by-night, turn a quick-buck Johnny, to come in with us, into a real partnership, where we can make what's an incredible site overall work, and also get rid of our dreadful liability of subsidising the actual airport business itself to the tune of £4m a year."

'Worried'

Tim Dwelly, independent councillor for Penzance East, said he did not think a private sector partner would protect the airport's future long-term.

He said: "Where we don't want to be, being a long way from a lot of places, is where Plymouth Airport went to."

Plymouth City Airport closed in December 2011 after its operators said it was no longer viable.

Mr Dwelly said: "We're worried you could end up with a summer-only flight airport and lose our connections to London, Manchester, and Glasgow."

Newquay Airport brings about £72m to the local economy annually

Jayne Kirkham, Labour councillor for Falmouth Penwerris, said the airport was "absolutely crucial" for the county's economic future.

She said in a meeting on Tuesday, the council discussed commissioning a strategic masterplan for the site.

Ms Kirkham called for clarity on what the partner intended to do with the site.

Kim Conchie said businesses in Cornwall needed "absolute assurance" about the future of the airport

Kim Conchie, chief executive of Cornwall Chamber of Commerce, said he thought a private sector operator who could give "real long-term security" to the airport would be "fantastic".

He said: "I mean Cornwall Council are not, obviously, airport operators, but the starting point for me…is that there is no thriving economy in the world without a functioning airport…"

Mr Conchie said what businesses in Cornwall needed most was "absolute assurance" the airport was there for good.

Cornwall Council confirmed any negotiations with a preferred bidder on the final contractual arrangements would come back to cabinet for final approval in the autumn.

The local authority has been approached for further comment.