Doncaster Sheffield-3
Someone being mischievous. Nothing more.
The people of south Yorkshire have a choice... either let DSA be owned by any credible company as long as it agrees to reopen the airport (and I defy anyone to say MAG is not credible as an airport operator)... or let Peel turn the site into a business park. The planned CPO will take years to come to fruition with very big questions about where the money will come from or who will manage and operate the airport. If there is an election or change of politicians, the CPO can easily be deprioritised. I'm not saying MAG want to buy DSA... but there aren't a lot of tangible options to reopen DSA right now - reopening DSA via a CPO is tenuous at best. Westminster shows only token interest at best. The "Save Manston" campaign has been going for a long time without a clear airport re-opening date. I really doubt politicians or the CMA would ask lots of questions if DSA as an airport were to be substantially reopened. A bird in the hand really is worth two in the bush.
Old people die and people move home... the local collective good memories of flying to/from DSA will fade along with the interest of local voters to spend big quantities of money to revive DSA as time passes. Other issues of importance to the electorate will appear, some urgent and critical, and local Govt cannot ignore them at the expense of saving DSA. Whether we like it or not, the "Save DSA" momentum is gradually fading.
Old people die and people move home... the local collective good memories of flying to/from DSA will fade along with the interest of local voters to spend big quantities of money to revive DSA as time passes. Other issues of importance to the electorate will appear, some urgent and critical, and local Govt cannot ignore them at the expense of saving DSA. Whether we like it or not, the "Save DSA" momentum is gradually fading.
Last edited by davidjohnson6; 25th Mar 2023 at 12:02.
Whilst the Council understands that there have been credible financial offers to purchase DSA, to date none of these has been accepted by current owners, Peel. Peel has recently offered a lease of the airport to City of Doncaster Council. Discussions are taking place to progress this option and to explore whether a lease at a longer term and on a different commercial basis than that initially offered by Peel could provide a basis upon which to achieve the Council’s objectives.
City of Doncaster Council’s Cabinet is being asked to ring-fence over £3million towards the legal and programme costs associated with its ongoing fight to save Doncaster Sheffield Airport.
On Wednesday April 12, City of Doncaster Council’s Cabinet will discuss a report that sets out the current position in relation to Doncaster Sheffield Airport (DSA) and the extensive activity being undertaken to secure the future of the airport. It also outlines the initial programme costs of up to £3.1m if a Compulsory Purchase Order is required.
Doncaster Sheffield Airport closed at the end of 2022 following a short strategic review by its owners, despite the offer of financial support from South Yorkshire Mayoral Combined Authority (SYMCA) and City of Doncaster Council. The project to re-open DSA has been called South Yorkshire Airport City. It aims to re-open the airport and grow a cluster of businesses and commercial activity that complements traditional aerospace functions, including logistics. The wider airport city development could incorporate employment, Research & Development, retail, leisure and residential opportunities, with excellent transport links, supporting new inward investment into Doncaster and South Yorkshire.
Given the significant number of jobs and the major economic potential of Doncaster Sheffield Airport, the report highlights the council’s intention that the airport should be acquired from Peel with a view to its reopening. Whilst the Council understands that there have been credible financial offers to purchase DSA, to date none of these has been accepted by current owners, Peel. Peel has recently offered a lease of the airport to City of Doncaster Council. Discussions are taking place to progress this option and to explore whether a lease at a longer term and on a different commercial basis than that initially offered by Peel could provide a basis upon which to achieve the Council’s objectives.
The Council will continue discussions with Peel over the potential sale but is continuing preparations in the event that a CPO becomes necessary.
It is hoped that the legal and programme costs will ultimately be covered by regional funding recovered from a loan previously extended to Peel, with a decision by SYMCA on this funding anticipated in June 2023. Mayor of Doncaster Ros Jones said: “Sadly, our award-winning airport has now closed, but the fight is not over! Our aim is to reach agreement on the acquisition of the airport with Peel, but if necessary we will seek to compulsorily purchase the site and we are preparing for that eventuality now, should it be required.
“The acquisition process will take time and it will not be cheap. However, this airport has the potential to be the jewel in the crown of the Doncaster and South Yorkshire economy. It is an investment in the future of this great city and the region. That is why this report to Cabinet sets out the latest position and asks for the support to progress our endeavours for the site’s future. I hope a sale can be achieved but, if not, we have to plan for other ways to secure the airport for the aviation industry, our communities and our economy.”
On Wednesday April 12, City of Doncaster Council’s Cabinet will discuss a report that sets out the current position in relation to Doncaster Sheffield Airport (DSA) and the extensive activity being undertaken to secure the future of the airport. It also outlines the initial programme costs of up to £3.1m if a Compulsory Purchase Order is required.
Doncaster Sheffield Airport closed at the end of 2022 following a short strategic review by its owners, despite the offer of financial support from South Yorkshire Mayoral Combined Authority (SYMCA) and City of Doncaster Council. The project to re-open DSA has been called South Yorkshire Airport City. It aims to re-open the airport and grow a cluster of businesses and commercial activity that complements traditional aerospace functions, including logistics. The wider airport city development could incorporate employment, Research & Development, retail, leisure and residential opportunities, with excellent transport links, supporting new inward investment into Doncaster and South Yorkshire.
Given the significant number of jobs and the major economic potential of Doncaster Sheffield Airport, the report highlights the council’s intention that the airport should be acquired from Peel with a view to its reopening. Whilst the Council understands that there have been credible financial offers to purchase DSA, to date none of these has been accepted by current owners, Peel. Peel has recently offered a lease of the airport to City of Doncaster Council. Discussions are taking place to progress this option and to explore whether a lease at a longer term and on a different commercial basis than that initially offered by Peel could provide a basis upon which to achieve the Council’s objectives.
The Council will continue discussions with Peel over the potential sale but is continuing preparations in the event that a CPO becomes necessary.
It is hoped that the legal and programme costs will ultimately be covered by regional funding recovered from a loan previously extended to Peel, with a decision by SYMCA on this funding anticipated in June 2023. Mayor of Doncaster Ros Jones said: “Sadly, our award-winning airport has now closed, but the fight is not over! Our aim is to reach agreement on the acquisition of the airport with Peel, but if necessary we will seek to compulsorily purchase the site and we are preparing for that eventuality now, should it be required.
“The acquisition process will take time and it will not be cheap. However, this airport has the potential to be the jewel in the crown of the Doncaster and South Yorkshire economy. It is an investment in the future of this great city and the region. That is why this report to Cabinet sets out the latest position and asks for the support to progress our endeavours for the site’s future. I hope a sale can be achieved but, if not, we have to plan for other ways to secure the airport for the aviation industry, our communities and our economy.”
https://doncaster.moderngov.co.uk/do...0BODY%20JG.pdf
Financial Implications [Officer Initials: MS | Date: 24/3/23 ] 43.As stated above the initial costs associated with the CPO are estimated at £3.1m. These costs are expected to be funded using grant from SYMCA (subject to approval in June). This report recommends of acceptance of that grant is delegated to the Assistant Director of Finance, in consultation with the Mayor. Prior to acceptance of the grant, the detailed terms and conditions will need to be reviewed. These are likely to include provisions for clawback should the funding not be spent as planned and may include clawback if specific outputs or outcomes aren’t achieved. 44.Should the funding not be approved an alternative funding plan is outlined above involving the use of the Revenue Contribution to Capital earmarked reserve. There is sufficient funding in the reserve but if it has to be used for the airport CPO costs then only a small balance will be available for other purposes. 45.The nature of the costs means they need to be carefully managed to value of for money and that expenditure is contained within the approved funding. The £3.1m budget includes a contingency of nearly £0.3m. Further approval will be needed if expenditure exceeds £3.1m and/or for the acceptance of other external funding.
Financial Implications [Officer Initials: MS | Date: 24/3/23 ] 43.As stated above the initial costs associated with the CPO are estimated at £3.1m. These costs are expected to be funded using grant from SYMCA (subject to approval in June). This report recommends of acceptance of that grant is delegated to the Assistant Director of Finance, in consultation with the Mayor. Prior to acceptance of the grant, the detailed terms and conditions will need to be reviewed. These are likely to include provisions for clawback should the funding not be spent as planned and may include clawback if specific outputs or outcomes aren’t achieved. 44.Should the funding not be approved an alternative funding plan is outlined above involving the use of the Revenue Contribution to Capital earmarked reserve. There is sufficient funding in the reserve but if it has to be used for the airport CPO costs then only a small balance will be available for other purposes. 45.The nature of the costs means they need to be carefully managed to value of for money and that expenditure is contained within the approved funding. The £3.1m budget includes a contingency of nearly £0.3m. Further approval will be needed if expenditure exceeds £3.1m and/or for the acceptance of other external funding.
I think the big question is do Doncaster Council think that they have a good chance with a CPO and follow through with all of the talk about a CPO or do they take the route that suits them and Peel by taking up a leasehold and Doncaster having an airport but Peel still retain the land.
They are going to have to publish their proposals in the coming months either way, and behind those will need to be a fairly solid business plan. My interpretation is that the Council intend to recruit a private sector operator to run it, I think managing to find one will be the deciding factor as to whether they go down the leasehold route or not. Either way, I hope they have deep pockets.
If they have someone in line to operate the airport with very deep pockets and can get good terms on a lease they won't bother with a CPO as it is last resort. They claim there are interested parties but the only party to have talks were the the UAE consortium and as confirmed by Nick,Peel and dsamole, The Council are saying they have intrested parties but who exactly are going to have deep enough pockets to get all the licences and make drastic improvements to DSA and be able to attract enough carriers.
Whilst we don’t know the details regarding how they came to the conclusion that the airport is viable it’s hard to judge, but I feel that they are being a bit irresponsible by not managing expectations. I have a feeling they’ve consulted a yes-man organisation to act as their expert advisors. Have they consulted/canvassed any airlines?
Having closed and lost all the business the airport has, passenger and cargo what is the business case for resurrecting the site as a commercial airport?
Does anyone seriously believe the likes of TUI and Wizz will come running back, and where are the other carriers that would turn an erstwhile money pit into a financial gold mine for the local authority?
Does anyone seriously believe the likes of TUI and Wizz will come running back, and where are the other carriers that would turn an erstwhile money pit into a financial gold mine for the local authority?
Having closed and lost all the business the airport has, passenger and cargo what is the business case for resurrecting the site as a commercial airport?
Does anyone seriously believe the likes of TUI and Wizz will come running back, and where are the other carriers that would turn an erstwhile money pit into a financial gold mine for the local authority?
Does anyone seriously believe the likes of TUI and Wizz will come running back, and where are the other carriers that would turn an erstwhile money pit into a financial gold mine for the local authority?
easyjet have no base on he Eastern side of the U.K. between Luton and Edinburgh, if Doncaster was the viable proposition people claim it is, then easyJet would have been flying from there now. The reason I say that is that all other airlines have a big presence at Leeds or East Midlands. When they flew from Doncaster last time it wasn’t exactly a raging success, might explain why they have kept their distance and instead maintained a token presence at LBA.
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There was a post from the mayor last year stating they had agreed in principle for operators to base should it reopen.
Could be nonsense, but surely they aren't naive enough to plough on without some certainty there would be operators interested.
Could be nonsense, but surely they aren't naive enough to plough on without some certainty there would be operators interested.
But then we are talking about local politicians here!
The proposals, which are due to be presented to cabinet on April 12, give an indication of the council's plans for the site and also show how much money it will initially cost the local authority. The report estimates that councillors will need to agree to set aside £3.1 million for the project.
This money covers the legal costs of a compulsory purchase order (CPO) for the airport and not the cost of the land itself. The news comes after landowners Peel offered a lease of the airport to the council but the terms of the lease are described as "not acceptable" in the report.
This money covers the legal costs of a compulsory purchase order (CPO) for the airport and not the cost of the land itself. The news comes after landowners Peel offered a lease of the airport to the council but the terms of the lease are described as "not acceptable" in the report.
The South Yorkshire Airport City (SAYC) project highlights that the 800 acre airport site has potential for further development. It points to ample space for new hangars and aviation activities which complement the main terminal developed in 2005.
The report claims that these factors, combined with constraints at other airports, present opportunities to significantly increase both passenger numbers and freight capacity at DSA.
The report claims that these factors, combined with constraints at other airports, present opportunities to significantly increase both passenger numbers and freight capacity at DSA.