Heathrow third runway developer decision due end of November

A decision on which developer will build Heathrow’s third runway is due by the end of November, the transport secretary has confirmed.

Two rival bids are under scrutiny: one from Heathrow Airport itself and another from the Arora Group, led by hotel tycoon Surinder Arora.

Heidi Alexander confirmed the timeline in Parliament. She also revealed she is launching a review of the government’s blueprint for airport expansion, the Airports National Policy Statement (ANPS).

Labour MP John McDonnell called Heathrow’s expansion a “white elephant”, adding “‘it is almost like watching HS2 all over again”.

In the summer, Heathrow Airport revealed its £49bn plans to build a third runway and accompanying infrastructure, including a new road tunnel under the airport, and widening the M25 motorway between junctions 14 and 15.

In contrast, Arora Group’s bid includes proposals for a shorter runway and not altering the M25, with a lower price tag of £25bn. But additional infrastructure would be needed.

The transport secretary said it also received other applications but was now only considering the two bids.

Alexander told the House of Commons: “We are seeking further information on the two proposed schemes with a view to reaching a final decision on a single scheme to inform the remainder of the ANPS review by the end of November.”

The ANPS provides the basis for deciding whether to grant a new runway at Heathrow and was last updated in June 2018.

Alexander said the chosen plan had to meet four key tests: boosting economic growth, complying with air quality and noise standards, and aligning with climate change laws, including net zero targets.

The independent Climate Change Committee would also be consulted.

In January, Chancellor Rachel Reeves confirmed the government’s backing for a third runway to boost growth, investment, and connectivity.

This was echoed by Heathrow CEO Thomas Woldbye, who said: “Expanding Heathrow is one of the most powerful ways to do that, and we’re grateful for ministers’ continued support.

He described the proposals as being “shovel-ready” and claimed it offered the most benefits with the least disruption, adding: “It’s also the only option that can be approved by 2029 and be up and running within a decade.”

The government has already approved a string of other airport expansion plans, most recently a second runway at Gatwick Airport.

However, the plans face opposition from environmental groups, politicians, and local residents.

Labour MP John McDonnell told the House of Commons the transport secretary had been given an impossible task, saying “she knows there is no way we can meet our climate change targets if this goes ahead”.

He warned it would make meeting climate targets impossible and raised concerns for his constituents in Hayes and Harlington, who live near the airport.

McDonnell said up to 15,000 people could lose their homes and questioned how communities would be affected.

“Where are they going to live, where are their children going to be educated and what will happen to their overall community?”

London Mayor Sadiq Khan previously criticised the expansion, citing noise, air pollution, and climate impact.

Green Party MP Sian Berry accused the government of prioritising wealthy frequent flyers above the needs of people on the ground.

She warned the project could blow the UK’s carbon budget and urged ministers to focus instead on helping people with the basics such as energy bills and housing.