Doncaster Sheffield Airport: Mayor claims company has 'credible' takeover offer

Peel Group said it is closing the airport, which employs about 800 people, due to “a fundamental lack of financial viability” and it has begun winding down operations.

However, local leaders are urging the owner to sell Doncaster Sheffield Airport (DSA) so it can remain open and they have identified a number of investors.

Ms Jones said “a credible offer” has been submitted to Peel Group by “one of the interested parties we introduced to them”.

She added: “I request that our new Prime Minister put pressure on Peel to reverse the closure, to carefully consider the offer that has been put to them and to save DSA.”

It comes after the mayor announced that Doncaster Council is taking legal action – by applying for an injunction – to prevent the owner from removing “key assets” while talks about a potential takeover are ongoing.

The mayor has previously said the council would use a Compulsory Purchase Order to buy the site without the owner’s consent, if no agreement can be reached over the airport’s future, but this would take several years and not prevent the closure.

She also said the council’s offer to provide Peel Group with £7m to underwrite the airport’s losses so it can remain open for up to two years “remains on the table”.

In a statement issued earlier this week, Peel Group said it has invested more than £250m in DSA over the last 25 years and “pursued all viable commercial aviation opportunities”.

It added: “Despite this significant investment, the airport has never to date made any profit. Due to competition from other key regional airports including Leeds Bradford, Manchester, East Midlands and Humberside, DSA has never reached the critical mass required to do so.

“This, combined with the unilateral withdrawal of the Wizz Air based aircraft in June 2022 and other changes in the aviation market, has contributed to Peel’s clear view that the airport is and will remain unviable."