Third runway will cost £15 per passenger, Heathrow boss claims

Heathrow expansionAdd to myFTGet instant alerts for this topicManage your delivery channels hereRemove from myFTThird runway will cost £15 per passenger, Heathrow boss claimsComments by Thomas Woldbye come as Britain’s hub airport awaits crucial ruling by regulator Heathrow’s plan to build a new runway has led to warnings from airlines about its potential impact on their costs, as well as criticism from environmental groups © Neil Hall/EPA/ShutterstockThird runway will cost £15 per passenger, Heathrow boss claims on x (opens in a new window)Third runway will cost £15 per passenger, Heathrow boss claims on facebook (opens in a new window)Third runway will cost £15 per passenger, Heathrow boss claims on linkedin (opens in a new window)Third runway will cost £15 per passenger, Heathrow boss claims on whatsapp (opens in a new window) Save Third runway will cost £15 per passenger, Heathrow boss claims on x (opens in a new window)Third runway will cost £15 per passenger, Heathrow boss claims on facebook (opens in a new window)Third runway will cost £15 per passenger, Heathrow boss claims on linkedin (opens in a new window)Third runway will cost £15 per passenger, Heathrow boss claims on whatsapp (opens in a new window) Save Peter Campbell in LondonPublishedFebruary 25 2026Jump to comments sectionPrint this pageUnlock the Editor’s Digest for freeRoula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.The boss of Heathrow airport has said a third runway would cost only the equivalent of £15 per passenger over the course of more than a decade, as Britain’s sole hub airport laid out its final arguments for the controversial project ahead of a crucial ruling by the regulator. “The submission we gave the government last September indicates that what we need in additional revenue to deliver the third runway is £15 per passenger,” Heathrow chief executive Thomas Woldbye told the FT. “That’s what it costs you to take the Elizabeth Line from central London to Heathrow. For that amount of money, we can deliver an almost new airport.” Heathrow’s plan to build a new runway and terminal complex — as part of a longer-term £49bn investment plan spread over 20 years — has been backed by chancellor Rachel Reeves as part of the government’s push to grow the economy. But it has been met with warnings from airlines about its potential impact on their costs, as well as criticism from environmental groups.

The Heathrow Reimagined campaign, which includes carriers British Airways and Virgin Atlantic, said it had calculated that the true figure for the runway project would be closer to £60 a person — which would add £240 to the cost of a holiday for a family of four. The competing numbers come ahead of a crucial ruling by the Civil Aviation Authority that will either pave the way for a runway decision, or make the deal less likely to happen. The aviation regulator is considering changes to Heathrow’s regulated business model that allows it to pass costs on to airlines. The CAA is expected to give details in the coming weeks on the shape of the future model before a final decision is made later in the year. The new model is required before a final investment decision from Heathrow’s owners, which include private equity fund Ardian and sovereign wealth funds from Qatar, Saudi Arabia and Singapore. While Heathrow’s investors have warned that changes that are too radical will prevent them from investing in expansion, airlines have said they cannot afford to pay significantly higher costs for landing at the airport. Woldbye’s comments came as Heathrow on Wednesday reported a one-third fall in annual pre-tax profits to £575mn, on the back of non-cash valuation changes in some of its property. Once these were stripped out, the airport said profits were flat. Revenues were up 2 per cent to £3.6bn, on the back of record passenger numbers of 84.5mn in the 2025 calendar year. It has warned that profits will fall slightly this year as it faces rising costs from business rates, as well as higher national insurance contributions. The company also reinstated dividend payments for the first time in five years, paying its investors £550mn. “Shareholders in this company have not had any return for five years, since before Covid,” Woldbye said. “Healthy companies pay dividends . . . we just felt now that with a solid cash flow performance, solid operational performance, airlines being really happy with the operational outcomes that they’ve seen in 2025, this was the right time to do that,” he added. Reuse this content (opens in new window) CommentsJump to comments section Follow the topics in this article Heathrow expansion Add to myFT UK infrastructure Add to myFT UK airports Add to myFT Civil Aviation Authority UK Add to myFT Thomas Woldbye Add to myFT Comments