"So are you saying that AMP have effectively cornered the North East market and will start to co-ordinate prices to improve returns, meaning airlines will look to DTVA as an alternative? "
The main problem AMP face at both airports is the huge debt and losses. They need find a balance that means they make enough profit to start paying the growing debts back. The easiest way for AMP to achieve this will be to start increasing the landing fees and airport charges at both airports as the current deals end.
Once that starts happening it is more likely that surrounding airports like Durham Tees Valley, Doncaster Sheffield, Humberside, Manchester will start picking up some routes that would have went Newcastle airport and Leeds Bradford airport.
"You may find that with AMP Capital reportedly paying off some if not all its debts owned as part of the deal when it acquired LBA from Bridgepoint Capital, They will now be in an even better position to offer new and improved incentives to the airlines and tour operators to set up shop there "
Less debt will make it easier to make profit at Leeds Bradford Airport but the airports business still needs make a lot money before AMP see any profit on the deal. The crazy incentives are the main reason Leeds Bradford has lost over £100 million in the last 10 years.
Leeds Bradford airport is going need more support from Newcastle airport because Leeds Bradford has lot more competition for passengers & flights due to its location. It's also held back by poor location and facilities.