Shannon International Airport

British and Irish airport investments continue busy merger and acquisition activity

If there was any doubt that the UK & Ireland remains one of the most dynamic air transport markets in the world that suspicion was dispelled by the level of recent and potential activity in airport M&A.

With Edinburgh Airport about to change hands, Glasgow Prestwick and Manston (Kent) airports may follow this year, as will London Stansted, later. Cardiff Airport’s CEO resigned after a politician complained about lack of investment by the operator and there are plans to re-open Plymouth Airport under new ownership.

Meanwhile, in Ireland, the case has been made for a change of ownership at Shannon Airport - but not an outright privatisation – signaling the potential break-up of the Dublin Airport Authority.

Ryanair in the dock

Ryanair may have to repay millions of euros as Germany’s highest court ruled fees it has received to operate from airports may amount to subsidies in breach of EU competition rules. Lufthansa and airberlin have been awarded the right to pursue legal action accordingly. Together with the other difficulties the Irish airline faces in Germany could this be the beginning of the end for its operations there? Or might there be even more significant outcomes?

Irish Government and DAA announce incentives to encourage traffic growth; Ryanair still not happy

Following news last week that the Irish Government is considering scrapping its EUR10 travel tax, the government this week announced plans to reduce the tax to EUR3 per departing passenger as part of its 2011 Budget. The temporary reduction will be effective 01-Mar-2011 and will be reviewed again next year.