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Scottish Heathrow expansion site comes a step closer as search for ‘Logistics Hubs’ ramps up

Chamber News, Member News 13th June 2018

  • Ten Scottish sites remain in the running to help build Britain’s new runway – including Mossend, Hunsterston & Glasgow Prestwick Airport
  • A Scottish hub is guaranteed as a key commitment in Heathrow’s plan to boost jobs and growth in Scotland from the project
  • The winning location will pioneer off-site manufacturing to help build expanded Heathrow – kicking-off the creation of up to 16,000 new jobs and up to £17 billion in growth that Heathrow expansion will deliver across Scotland

This week (13th June), Scotland will get one step closer to helping deliver an expanded Heathrow, as representatives from the UK’s only hub airport tour the remaining six longlisted ‘Logistics Hubs’ in the running to potentially become off-site construction centres for Heathrow expansion. The sites will help to ensure that Scotland plays a key part in the construction of Britain’s new runway.

The Heathrow delegation will visit six sites located across the west of Scotland; Glasgow Airport Investment Area, Mossend, Eurocentral, Queenslie Industrial Estate, Glasgow Prestwick Airport and Hunterston. The Scottish tours started in March 2018 initially, when the delegation surveyed four sites – Westfield, Rosyth Business Park, Forth Ports Rosyth and Longannet. During the visits, the prospective bidders have the opportunity to showcase the unique strengths of their sites.

Heathrow expansion is set to create up to 16,000 new jobs and deliver up to £17 billion worth of economic growth across Scotland. The additional capacity expansion will bring could also create the potential for new domestic services to Scottish airports boosting the country’s tourism and trade.

Heathrow has a longstanding relationship with Scotland, and it is the only part of the UK that is guaranteed a Logistics Hub, a commitment outlined in the airport’s MoU with the Scottish Government. Heathrow is keen to utilise skills and construction expertise across the country to deliver the UK’s largest infrastructure project. The 10 longlisted sites will not only need to illustrate engineering prowess, they will also need to demonstrate a skilled and dedicated workforce, capability to collaborate on the nationwide project and good connectivity allowing output to be easily transported to Heathrow.

Once established, the Scottish Logistics Hub will ensure that Scotland plays a key part in the airport’s supply chain, enabling Britain’s new runway to deliver a legacy of construction excellence for the nation. As well as the direct benefits, research from WPI Economics shows that, if adopted more widely, the ‘Logistics Hubs’ approach could spur growth in off-site construction and lead to a productivity boost worth £30 billion for the industry outside of London by 2025.

The sites will be used to pre-assemble components of an expanded Heathrow before transporting them in consolidated loads to the airport. Logistics Hubs are essential in ensuring Heathrow expansion delivers for the whole country by spreading jobs, boosting productivity and modernising the construction industry outside of London and the South East. The approach will ensure that 60% of procurement spend occurs outside of London, allowing the airport to spread the benefits of investment up and down the country and engage essential skills and expertise from across Britain.

Lord Deighton, Chairman at Heathrow Airport said:

“The Heathrow Expansion project is a once in a generation opportunity to transform the UK construction industry, build for the future and deliver a lasting skills legacy for future generations. These Logistics Hubs and Business Summits are instrumental in our aim to ensure that expansion spreads tens of billions of pounds of economic benefits across the nation.

“We’re delighted the Government has finally tabled the NPS to be voted on, enabling MPs from Scotland to show their support for the expansion project and the benefits it will bring.”

Economy Secretary Keith Brown said:

“Expansion at Heathrow will bring major investment and job creation opportunities to Scotland. The establishment of a logistics hub in Scotland is one of the key commitments secured in the Memorandum of Understanding we signed with the airport. We are very pleased to see bids from across Scotland being given detailed consideration by the Heathrow team and this round of visits will improve the delegation’s understanding and knowledge of what we have to offer.”

Locations in Scotland longlisted for Heathrow’s Logistics Hubs:

Promoter Site Site Name Site Location
Babcock Marine Rosyth Limited Rosyth Business Park Rosyth
Forth Ports Limited Forth Ports Rosyth Rosyth
Glasgow Prestwick Airport Glasgow Prestwick Airport Prestwick
Glasgow City Region / Glasgow Airport Eurocentral / Mossend Motherwell
Glasgow City Region / Glasgow Airport Glasgow Airport Investment Area (GAIA)/Westway site Renfrew
Glasgow City Region / Glasgow Airport Queenslie Industrial Estate Glasgow
Scottish Enterprise Hunterston Hunterston
Scottish Enterprise Longannet Longannet
Scottish Enterprise Mossend Bellshill
Scottish Enterprise Westfield Lochgelly

For more information visit: https://your.heathrow.com/takingbritainfurther/wp-content/uploads/2017/04/Heathrow_Logistics_Brochure_25.04.17.pdf

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