The controversy of Cornwall Council funding the running of Newquay airport was raised at two meetings this week. Cornish taxpayers subsidise the airport by over £4m each year.
Questions have been asked about the airport’s operational costs this week after it was revealed that its Public Service Obligation (PSO) flights to London, which are partly funded by taxpayers, have been running with only 20 per cent of their seats sold since November.
It has also come to light that Eastern Airways, which ran the PSO service and went bust late last year, owes the airport £1.6-million – a figure which will never be repaid.
Skybus is now running the interim service, which has recently gone out to tender for a new operator.
Cornwall Council’s Liberal Democrat leader Cllr Leigh Frost said at a full council meeting on Tuesday that there is a limit to how much the authority will pay towards the PSO and if it becomes too expensive, it will stop paying.
At a budget scrutiny meeting on Wednesday, January 21 the former Independent leader of the council, Cllr Julian German, questioned whether it was worth Cornwall Council funding Newquay airport at all.
Cllr German said the council needed to look at where large cost savings can be made.
“The first one is the airport – we know the airport is costing the council taxpayer money, so why do we continue to deliver this service; a service which very few councils deliver?
“The councils which do have airports have found different ways of delivering it which don’t cost them money, so why are we still in this position?”
Cornwall Council Leader Cllr Leigh Frost said: “Obviously it is a cost to the council to support the airport. There is no shying away from that.
“However, the last economic analysis said that the airport brings in around £100-million of gross value added (GVA) to the Cornish economy. It also underpins defence activity, it supports the air ambulance, search and rescue, wider emergency and operational services.
“It also is a core part of our economic infrastructure, it supports local businesses, brings in investment, tourism skills and access to national networks. It also sustains skilled jobs which exist because the airport exists.”
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