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Heathrow considers shorter third runway amid cost-cutting measures

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Heathrow considers shorter third runway amid cost-cutting measures
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Rachel Reeves, Chancellor of the Exchequer of the United Kingdom | Official Website

London Heathrow Airport (LHR) is considering building a shorter third runway than originally planned in an effort to cut costs in its multibillion-pound expansion plan, according to a report by the Financial Times (FT).

Weighing all possible options

London Heathrow Airport is considering all options before deciding on a proposal for a third runway, according to the FT. One option being explored is a northwest expansion, which would feature a shorter third runway and avoid the need to reroute London’s M25 motorway through a tunnel.

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The original plan to build a third runway at Heathrow Airport included rerouting the M25 motorway into a tunnel and demolishing 750 homes, a school, and an energy plant. However, the plan, priced at £14 billion in 2014, was put on hold due to the global COVID-19 pandemic in 2020.

Although the third runway is now being considered shorter, Heathrow's management has stated that they still prefer the northwest runway plan, which has undergone years of scrutiny and planning, according to the FT. Heathrow Airport CEO Thomas Woldbye said a proposal for a third runway would be submitted this summer. His comments came shortly after the UK government backed the project.

In a speech on January 29, 2025, Rachel Reeves, Chancellor of the Exchequer of the United Kingdom, expressed that she has always been clear that a third runway at Heathrow Airport would result in economic growth and make the UK more open and connected.

“And now the case is stronger than ever because our reforms to the economy – like speeding up our planning system, and our strengthened plans to modernize UK airspace – mean the delivery of this project is set up for success.”

As such, Reeves affirmed that the current UK government supported Heathrow Airport’s ambitions for a third runway and invited interested stakeholders to submit their proposals by the summer.

It is worth noting that building a third runway will require a change of policy, particularly regulations related to airspace modernization and regulatory and planning reforms. The country’s busiest airport admitted that, despite the wider economic benefits, the expansion will be challenging for some in the local community.

Related

London Heathrow's 3rd Runway Gets Government Greenlight: What Comes Next?

The government invited interested stakeholders to put forth proposals for London Heathrow Airport's third runway by the summer.

Record passenger traffic in 2024

The report about cost-cutting initiatives in the airport’s expansion comes shortly after releasing passenger traffic figures for 2024. According to data, it was a record-breaking year with British airport welcoming its highest number of passengers in single calendar year.

"2024 underscores why Heathrow is th eUK’s gateway growth," said Woldbye . "Our colleagues welcomed record number passengers good service cargo volumes increased boosting British trade invested over improve facilities boost resilience creates more value customers Britain’s front door."

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