Go Back  PPRuNe Forums > Flight Deck Forums > Rumours & News
Reload this Page >

UK capacity and LHR both appear as Parliament opens

Wikiposts
Search
Rumours & News Reporting Points that may affect our jobs or lives as professional pilots. Also, items that may be of interest to professional pilots.

UK capacity and LHR both appear as Parliament opens

Thread Tools
 
Search this Thread
 
Old 19th Dec 2019, 13:16
  #1 (permalink)  
Thread Starter
 
Join Date: Oct 2002
Location: London UK
Posts: 7,660
Likes: 0
Received 21 Likes on 17 Posts
UK Government new laws on airline insolvencies

Proposed in the Queen's Speech at start of new Parliament today. Page 97 etc here in the published speech

https://assets.publishing.service.go...fing_notes.pdf

Can't see how that will work, allowing the carrier to continue under special legislation to do the repatriation. If they have a debt for landing fees or fuel overseas, nothing the UK can legislate for can stop the aircraft being seized there in accordance with their own national laws.
WHBM is offline  
Old 19th Dec 2019, 13:20
  #2 (permalink)  
 
Join Date: Mar 2019
Location: French Alps
Posts: 326
Likes: 0
Received 0 Likes on 0 Posts
Agreed.
Obviously a reaction to the demise of Thomas Cooke, aimed at the public, not the profession.
Fly Aiprt is offline  
Old 19th Dec 2019, 13:49
  #3 (permalink)  
 
Join Date: Feb 2007
Location: England
Posts: 521
Received 344 Likes on 139 Posts
Originally Posted by WHBM
Proposed in the Queen's Speech at start of new Parliament today. Page 97 etc here in the published speech

https://assets.publishing.service.go...fing_notes.pdf

Can't see how that will work, allowing the carrier to continue under special legislation to do the repatriation. If they have a debt for landing fees or fuel overseas, nothing the UK can legislate for can stop the aircraft being seized there in accordance with their own national laws.
Agreed. The paper says
Establishing and enhancing a repatriation ‘toolkit’ of mechanisms for
companies and passengers, including making it easier for the Civil Aviation
Authority to grant a Temporary Airline Operating Licence so that an airline can
continue repatriating passengers following insolvency.
Someone needs to tell the government that its jurisdiction stops at UK borders. If they think that UK legislation will override other countries' protection for their own companies who are owed cash by a bust airline, they will find out their error at the first airline failure.

Territorial extent and application
The legislation’s provisions would extend and apply to the whole of the UK.
Civil aviation and insolvency are reserved matters.
Sallyann1234 is online now  
Old 19th Dec 2019, 14:15
  #4 (permalink)  
 
Join Date: Apr 2003
Location: Northumberland
Posts: 8,587
Received 94 Likes on 64 Posts
Presumably even a temporary AOC would need funds to operate, so may not be an issue? That might be part of the "toolkit"
SWBKCB is online now  
Old 19th Dec 2019, 14:36
  #5 (permalink)  
 
Join Date: May 2011
Location: Hampshire
Age: 76
Posts: 821
Likes: 0
Received 0 Likes on 0 Posts
Surely, the whole thing revolves around the administrator's view of things. If an administrator takes over an insolvent airline and determines, from the books, that there is no money to pay airports, fuel suppliers, crew etc nothing is going to happen.
KelvinD is offline  
Old 19th Dec 2019, 15:57
  #6 (permalink)  
 
Join Date: Feb 2001
Location: UK
Posts: 162
Likes: 0
Received 0 Likes on 0 Posts
The CAA can’t organise an inebriated celebration at an alcohol distillation establishment. It’s laughable that anyone would think them capable of running an airline....even a “temporary one”!
a5in_the_sim is offline  
Old 19th Dec 2019, 16:41
  #7 (permalink)  
 
Join Date: May 2010
Location: UK
Age: 79
Posts: 1,086
Likes: 0
Received 0 Likes on 0 Posts
Not difficult, set up an airline "Rescue Air" then a quick splash of paint over the logo of the defunct airline.
Administrator sells aircraft to Rescue Air, CAA issues new registrations.
Rescue Air does not owe money to anyone.
Creditors can fight it out with the administrator.
The Ancient Geek is offline  
Old 19th Dec 2019, 16:46
  #8 (permalink)  
 
Join Date: Mar 2019
Location: French Alps
Posts: 326
Likes: 0
Received 0 Likes on 0 Posts
Originally Posted by The Ancient Geek
Not difficult, set up an airline "Rescue Air" then a quick splash of paint over the logo of the defunct airline.
Administrator sells aircraft to Rescue Air, CAA issues new registrations.
Rescue Air does not owe money to anyone.
Creditors can fight it out with the administrator.
;-)
Great idea, provided it can be done in less than 2-3 days.

Fly Aiprt is offline  
Old 19th Dec 2019, 17:01
  #9 (permalink)  
 
Join Date: Jan 2004
Location: hector's house
Posts: 173
Received 1 Like on 1 Post
Good luck finding enough people to crew the operation, everyone will be off on job interviews.

hec7or is offline  
Old 19th Dec 2019, 17:19
  #10 (permalink)  
 
Join Date: Feb 2007
Location: England
Posts: 521
Received 344 Likes on 139 Posts
Originally Posted by The Ancient Geek
Not difficult, set up an airline "Rescue Air" then a quick splash of paint over the logo of the defunct airline.
Administrator sells aircraft to Rescue Air, CAA issues new registrations.
Rescue Air does not owe money to anyone.
Creditors can fight it out with the administrator.
​​​​​​Will the airport, fuel supplier etc allow the plane to depart just because the ownership has changed?
If someone blocks the plane in a foreign airport, the new owner will have to take legal action to release it in the foreign courts. How long will that take?
​​​
Sallyann1234 is online now  
Old 19th Dec 2019, 18:14
  #11 (permalink)  
 
Join Date: May 2011
Location: Hampshire
Age: 76
Posts: 821
Likes: 0
Received 0 Likes on 0 Posts
And where does "Rescue Air" get the funds to buy the aircraft? If the administrator sells the aircraft for £1, they will find themselves in trouble with the Insolvency Service, creditors et al. And as the sale would probably need to include multiple aircraft, it gets more complex and more expensive.
KelvinD is offline  
Old 19th Dec 2019, 18:19
  #12 (permalink)  
 
Join Date: May 2009
Location: somewhere in the middle
Posts: 338
Likes: 0
Received 1 Like on 1 Post
Monarch had enough cash to pay all bills until about February - about 5 months. It was the CAA’s (absolutely correct) requirement for 12 months cash that, coupled with the lack of a buyer, meant it was no longer a going concern. its passengers could have been repatriated under this new law (in principle) under this new law.
thetimesreader84 is offline  
Old 19th Dec 2019, 20:03
  #13 (permalink)  
Paxing All Over The World
 
Join Date: May 2001
Location: Hertfordshire, UK.
Age: 67
Posts: 10,152
Received 62 Likes on 50 Posts
UK capacity and LHR both appear as Parliament opens

These two articles are reported in the UK newspaper: The Independent.
Boris Johnson unveils plan to increase number of flights, despite global climate emergency: 'A total disregard for the planet'

New aviation bill promises to squeeze more flights into same airspace and growth for sector

Ministers say growth will be "sustainable" and that supposedly outdated practices "limit the number of flights the airspace can safely accommodate".
How reassuring that the politicians know that we have outdated practices and that we can increase capacity. Obviously they have discussed this with the EU for any new traffic entering via their airspace ...
The Independent

ON THE SAME DAY
LHR R3 delayed (no surprise)
Heathrow’s owners have blamed the Civil Aviation Authority (CAA) for delaying the opening of the planned third runway at Britain’s busiest airport.

Expansion was originally promised for 2026. But Heathrow Airport Limited says that, after a ruling by the CAA on development costs, the additional runway will not be ready until some time between early 2028 and late 2029.

In order to deliver the controversial third runway by 2026, Heathrow wanted to spend £2.9bn (at 2014 prices) in advance of planning permission being granted. But a CAA paper on the early costs associated with expansion describes the 2026 target as an “aggressive schedule”. Were planning permission not to be granted, it says, airport charges and passenger fares might rise because of the “sunk costs”.
So we get More and Less in the same day. Who said the politicians weren't brilliant?
The Independent
PAXboy is offline  
Old 19th Dec 2019, 22:28
  #14 (permalink)  
 
Join Date: Jan 2000
Location: Berkshire
Posts: 543
Received 1 Like on 1 Post
Heathrow appears only as an example of stacking. Airspace changes are under consideration already.
Trinity 09L is offline  
Old 20th Dec 2019, 07:58
  #15 (permalink)  
Thread Starter
 
Join Date: Oct 2002
Location: London UK
Posts: 7,660
Likes: 0
Received 21 Likes on 17 Posts
Heathrow’s owners have blamed the Civil Aviation Authority (CAA) for delaying the opening of the planned third runway at Britain’s busiest airport.

Expansion was originally promised for 2026. But Heathrow Airport Limited says that, after a ruling by the CAA on development costs, the additional runway will not be ready until some time between early 2028 and late 2029.

In order to deliver the controversial third runway by 2026, Heathrow wanted to spend £2.9bn (at 2014 prices) in advance of planning permission being granted. But a CAA paper on the early costs associated with expansion describes the 2026 target as an “aggressive schedule”. Were planning permission not to be granted, it says, airport charges and passenger fares might rise because of the “sunk costs”.
I believe that's not quite what it states. The actual issue is Heathrow looking to add the costs of this work NOW to their asset base, on which their regulated charges are based. There's nothing stopping them making the investment now, holding the cost on the balance sheet, and then if/when the runway is approved putting them into the project costs. The whole Heathrow costs/asset base thing is a bit of a money-go-round for trying to maximise their revenue. A similar thing happened with CAA rejection when they overstated what they were going to charge as costs for the Crossrail railway line extension.

You also have to wonder just what another £2.9bn being spent on advance planning work only, not a shovel into the ground of the actual runway, could possibly be spent on, after all the umpteen designs already produced. And maybe the CAA wondered as well.
WHBM is offline  
Old 20th Dec 2019, 08:32
  #16 (permalink)  
 
Join Date: Nov 2018
Location: back out to Grasse
Posts: 557
Received 28 Likes on 12 Posts
Adding the cost of work now at todays prices will also mask the true costs to be incurred in 2026, does the team think that if they were required to take a reserve at 2026 prices it would still happen?

IG
Imagegear is offline  
Old 20th Dec 2019, 12:36
  #17 (permalink)  
Paxing All Over The World
 
Join Date: May 2001
Location: Hertfordshire, UK.
Age: 67
Posts: 10,152
Received 62 Likes on 50 Posts
You also have to wonder just what another £2.9bn being spent on advance planning work only, not a shovel into the ground of the actual runway, could possibly be spent on ...
Those Directors and Consultancy fees don't grow on trees you know !!
PAXboy is offline  
Old 20th Dec 2019, 17:05
  #18 (permalink)  
 
Join Date: May 2003
Location: uk
Posts: 713
Likes: 0
Received 0 Likes on 0 Posts
Originally Posted by Fly Aiprt
Agreed.
Obviously a reaction to the demise of Thomas Cooke, aimed at the public, not the profession.
"The profession"??
chrisbl is offline  
Old 21st Dec 2019, 08:42
  #19 (permalink)  
 
Join Date: Jan 2008
Location: Reading, UK
Posts: 15,822
Received 206 Likes on 94 Posts
Originally Posted by The Ancient Geek
Not difficult, set up an airline "Rescue Air" then a quick splash of paint over the logo of the defunct airline.
Administrator sells aircraft to Rescue Air, CAA issues new registrations.
Rescue Air does not owe money to anyone.
Creditors can fight it out with the administrator.
Doesn't work like that, unless the other party is extremely naive.
DaveReidUK is offline  

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off



Contact Us - Archive - Advertising - Cookie Policy - Privacy Statement - Terms of Service

Copyright © 2024 MH Sub I, LLC dba Internet Brands. All rights reserved. Use of this site indicates your consent to the Terms of Use.