New study underlines economic case for development of London Ashford Airport (Lydd)

With latest figures showing that unemployment in Lydd is more than double the average for the South East, continued investment at the airport is needed to help lift the economic gloom and offer hope to future generations, says the report.

The study was requested by Shepway District Council which asked for further information on the anticipated socio-economic impacts of the development proposals for London Ashford Airport (LAA). The local authority is evaluating two planning applications for a new terminal building capable of handling up to 500,000 passengers a year and for a 444 metre extension to the existing 1,505 metre runway.

LAA commissioned an independent planning consultancy, London-based Indigo Planning, and its conclusions provide further proof that upgrading the airport on Romney Marsh will have an overwhelmingly positive impact on a region in need of an economic boost.

According to the report, unemployment in Shepway in August 2007 was 2.8%. This is double the average for the South East and well above the national average of 2.3%. The jobless picture is even more depressing in Lydd, where unemployment was 3% in August. Long term unemployment of more than 12 months is a particular problem for the district.

Economic activity rates in Lydd are well below those for the district, with particularly low levels of economic activity for women. The population of Lydd is poorly qualified by local and national standards. Only 8.8% of local people have higher level qualifications at NVQ Level 4 and above, compared with 14.4% for Shepway and 20.4% for Britain as a whole.

The report adds: “Shepway faces a range of significant economic and social challenges. These include relatively high unemployment, low rates of economic activity, low wage levels, a poorly skilled workforce and benefit dependency. The communities close to LAA in Lydd ward and Romney Marsh ward contain pockets of deprivation and disadvantage and these communities are relatively fragile in economic and social terms, with few large employers, insufficient local job opportunities and problems associated with their remoteness.”

The report says that the regeneration and economic development priorities for Shepway, Kent and the wider South East are clear - the need to create jobs, the need to develop skill levels and the need to promote investment in strategic infrastructure, including transport infrastructure.

It goes on: “The development proposals for LAA will make a significant contribution to all three of these core themes and will support the delivery of regeneration and economic development priorities at local, sub-regional and regional levels.”

The analysis of the employment impacts of the expansion proposals for LAA explains that when operating at 500,000 passengers per annum LAA will generate a total of between 300 and 500 jobs. This represents a net addition of between 182 and 393 jobs. When operating at 300,000 passengers per annum LAA will generate a total of between 180 and 300 jobs - a net addition of between 64 and 182 jobs.

The construction of the new terminal building will create 28 full time equivalent jobs and the construction of the runway extension will create four full time equivalent jobs.

The report adds: “In overall terms, given the shortage of large employers locally and the relatively fragile nature of the communities close to LAA, we would expect the employment opportunities, along with the potential for related skills development and training initiatives, to make a significant contribution to the delivery of regeneration and economic development priorities for this part of Shepway.“

The expansion of LAA to 500,000 passengers per annum will have a positive impact on the tourism industry in Shepway and the wider region by generating increased visitor spend from overseas tourists and associated direct, indirect and induced jobs in tourism-related activities. The potentially negative tourism impacts generated by increased aircraft noise as a result of the expansion proposals are likely to be minor. “

The relatively low volume of aircraft movements in the 500,000 passengers per annum scenario is unlikely to be sufficient to cause a noticeable contraction in tranquility-based tourism in the vicinity of the airport. The positive impacts on tourism outweigh the potentially negative impacts of the expansion proposals for LAA,” the report adds.

For more information visit www.lydd-airport.co.uk