Agenda item

Doncaster Sheffield Airport

Minutes:

The Council considered a report, which was introduced by the Mayor of Doncaster, Ros Jones, which related to the announcement by the Board of Doncaster Sheffield Airport Limited (DSAL) on 13th July, 2022 of a review of strategic options for Doncaster Sheffield Airport (DSA), after concluding that aviation activity on the site may no longer be commercially viable and provided an update on the legal options available to potentially secure the future of DSA as an operational Airport.

 

It was reported that since the strategic review announcement, Doncaster Council, the South Yorkshire Mayoral Combined Authority (SYMCA) and other local partners had made extensive efforts to keep the Airport open and there had been considerable cross-party and public support for retaining an Airport in South Yorkshire.  Subsequently, the Council and SYMCA had identified significant investor interest in DSA and made a financial offer to enable the Airport to continue operating for a bridging period whilst a potential sale was progressed.  However, The Peel Group chose to decline this offer of financial support and the opportunity to keep the Airport running, and that on 26th September, The Peel Group announced that the Strategic Review had ended and that it would begin winding down the provision of aviation services at DSA during week commencing Monday, 31st October, 2022.

 

Members were informed of the significant consequences of DSA closing which would result in a large number of job losses and have a major impact on local businesses during a cost of living crisis, and in the face of a looming national recession.  Therefore, since the closure announcement, further investor interest in DSA had been identified by Doncaster Council resulting in a number of interested parties engaging with Peel and the submission of two financially credible offers to purchase the Airport leasehold in October and November, 2022.  Despite obvious and demonstrable market interest in the acquisition of DSA, it had become clear through negotiations that The Peel Group was a reluctant seller and was unwilling to dispose of the Airport at a reasonable market value.

 

In conclusion, Members noted that if The Peel Group continued with its plans to close the Airport, but retain the site, legal intervention could be the only course of action available to local partners to secure aviation operations at DSA.  On 2nd November, the Council filed legal proceedings seeking a Judicial Review of the decision to close the Airport and the process followed by Peel in reaching that decision, and although a successful Judicial Review would not prevent the closure of the Airport, it was hoped to ensure that the critical infrastructure at the Airport would remain in place and provide further time for a potential sale to be concluded.  If The Peel Group remained unwilling sellers and were determined to close the Airport, the Council had the option of seeking a Compulsory Purchase Order for the site.

 

In accordance with Council Procedure Rule 21.4, a recorded vote was taken on the recommendations contained within the report, which was declared as follows:-

 

For - 45

 

The Chair of Council, Councillor Ian Pearson, the Vice-Chair of Council, Councillor Duncan Anderson, the Mayor of Doncaster, Ros Jones, the Deputy Mayor, Councillor Glyn Jones, and Councillors Nick Allen, Bob Anderson, Nigel Ball, Iris Beech, Joe Blackham, Laura Bluff, Glenn Bluff, Nigel Cannings, James Church, Phil Cole, Jane Cox, Steve Cox, Aimee Dickson, Susan Durant, Yetunde Elebuibon, Sue Farmer, Sean Gibbons, Julie Grace, John Healy, Leanne Hempshall, Charlie Hogarth, Mark Houlbrook, Debbie Hutchinson, Jake Kearsley, Majid Khan, Jane Kidd, Sue Knowles, Tracy Moran, John Mounsey, Emma Muddiman-Rawlings, Tim Needham, David Nevett, Thomas Noon, Andy Pickering, Cynthia Ransome, Rob Reid, Andrea Robinson, Glynis Smith, Sarah Smith, Gary Stapleton and Austen White.

 

Against - 0

 

Abstain - 0

 

On being put to the meeting, the recommendations contained within the report were declared CARRIED.

 

RESOLVED that

 

(1)      the report and the significant benefits delivered by Doncaster Sheffield Airport and the actions taken to date (Judicial Review), be noted; and

 

(2)      all appropriate legal remedies be explored to secure aviation operations at Doncaster Sheffield Airport (Compulsory Purchase Order).

Supporting documents: