The concession has been running for several years now but as each year passes the potential return on new investment decreases as the remaining years tick by. No company is going to spend vast amounts of new money on new infrastructure only to see it potentially handed over to another company before a return on the investment has been made.
Quite correct! It's rumoured that ACDL wants a significant extension to the Concession term but there are legal issues that complicate matters. ACDL is quite prepared to invest heavily in its 'new airport' proposal as this could ultimately, become a totally separate operation from the existing (i.e. old) site (a fact that's not escaped the attention of Luton Council, which is very concerned at the prosect of losing the 'unearned income' it presently receives).
But the hot rumour is that significant additional expenditure on the existing site of the amounts required to maintain and expand ACDL's business, is not now favoured unless the Concession can be extended.
Watch this space!!
