Skip to content
Search

Latest Stories

Arora hails major breakthrough in quest to build Heathrow's third runway

BRITISH business tycoon Surinder Arora has applauded a major development related to his enthusiasm to construct Heathrow’s third runway.

Arora has been making sustained efforts to take control of the airport’s extension from operator Heathrow Airport Limited (HAL).


Now, the Civil Aviation Authority has hired an independent consultant to have a detailed analysis of whether the British airport could be built and operated by more than a single business.

Heathrow and Arora, a major landowner around the airport, have been under stiff competition for the airport project.

Both have been trying to control the building of a third runway, and they reportedly appear unwilling to work jointly.

British Indian Arora said: “This was really great news, a great breakthrough, a complete game-changer. We always knew HAL was a huge machine, and they’d try to keep everyone out of their world.”

This is for the first time the UK’s aviation officials are considering to break the tight grip of the airport’s operator.

Arora has gained the support of Heathrow’s biggest customer, British Airways owner IAG. The chief executive officer of IAG Willie Walsh has favoured the prospect of competition.

Last year, the British parliament gave its nod for the proposed Heathrow’s extension. However, there are still concerns over the support by politicians and the implementation of the project.

Brought up in humble circumstances – when he arrived in Britain he could barely speak English – Surinder Arora, the founder of the Arora Group, has created one of the country’s leading hospitality businesses.

Arora, chairman and founder of the Arora property group, recently inaugurated his 16th hotel – the Hilton Garden Inn at Heathrow.

His offices are on the other side of Heathrow, opposite the Hilton Garden Inn.

According to Arora, HAL’s monopoly has pushed up prices. “Schiphol in Amsterdam has six runways, yet Schiphol’s landing charges are half of Heathrow’s. Heathrow is three times more than Dublin airport.”

Meanwhile, HAL commented that a different operator would significantly aggravate passenger service and raise expenditure.

More For You

Lloyds

Lloyds’ net interest margin rose to 3.17 per cent, up from 3.03 per cent a year

Getty Images

Inflation bites, unemployment rises, costs spike, yet how banks make billions?

  • Lloyds posts £2bn profit as higher interest rates boost margins
  • Mortgage costs rise sharply while households face growing pressure
  • Stagflation risks emerge with slower growth and rising unemployment

Even as inflation rises, unemployment edges up and household costs continue to climb, banks are reporting stronger profits. The latest results from Lloyds Banking Group highlight this contrast, with the lender posting a quarterly pre-tax profit of £2 billion, up 33 per cent year-on-year and ahead of expectations.

The gains come largely from higher interest rates. As borrowing costs rise, banks are able to charge more on loans while keeping deposit rates relatively lower, widening their margins. Lloyds’ net interest margin rose to 3.17 per cent, up from 3.03 per cent a year earlier, reflecting this shift. The bank also upgraded its outlook for net interest income to more than £14.9 billion, pointing to sustained higher rates.

Keep ReadingShow less