Bloomberg
Southend airport, seeking to become London’s sixth hub even though it’s almost an hour away on the North Sea, will operate its own flights in a bid to demonstrate the viability of an expanded timetable to carriers frustrated by capacity curbs at the far bigger Heathrow and Gatwick bases.
The services to cities in mainland Europe will employ planes from Southend’s sister company Stobart Air, tapping unused slots outside of peak hours with the aim of showing customers including EasyJet Plc that the timings can be profitably utilized, company spokesman Charlie Geller told Bloomberg News.
Southend, part of Stobart Group Ltd., aims to lift its passenger tally above 2.5 million by 2018 from less than 1 million in 2015 as a lack of operating slots elsewhere presents an opportunity for expansion. While the airport is 45 miles from the center of London, compared with 15 miles for Heathrow, about 30 for Gatwick and just six for London City, it benefits from a rail service direct to Liverpool Street station at the heart of the U.K. capital’s financial district.
EasyJet, headquartered at London Luton and with its main base at Gatwick, began flights from Southend in 2012 and now serves 16 destinations including Paris, Amsterdam, Venice and Barcelona, according to the airport’s website. Stobart Air normally operates planes for Flybe Group Plc and Aer Lingus, the Irish subsidiary of British Airways owner IAG SA.
Increased Stakes
Stobart Group has more flexibility over its airline operation after last week lifting its stakes in both Stobart Air — the former Aer Arann, bought in 2010 — and leasing company Propius Holdings Ltd., which provides the carrier’s planes.
Stobart will acquire Invesco’s 33 percent of Propius for 12 million pounds ($14.8 million) taking its ownership to 66 percent, according to a statement on Oct. 19. The other third is held by Aer Lingus. It has also struck a conditional deal to buy as much as 40 percent of Stobart Air’s holding company Everdeal for 500,000 pounds, increasing its stake above 80 percent.
Though sited on the Essex coast, Southend was reclassified as London Southend by the International Air Transport Association in 2012 and added EasyJet as a client the same year. The airport has had 100 million pounds of enhancements since 2011, including a new control tower, longer runway and bigger terminal.
The rail journey to Liverpool Street takes 53 minutes.