Doncaster Sheffield Airport closure: 800 jobs at risk as airport closure announced

At least 800 workers at Doncaster Sheffield Airport could lose their jobs as the announcement it is set to close was made on Monday.

The Peel Group announced that the Strategic Review at Doncaster Sheffield Airport (DSA) has ended and “regretfully, no tangible proposals have been received regarding the ownership of the airport or which address the fundamental lack of financial viability”.

The high fixed costs associated with running a safe, regulated airport, together with recent events materially reducing prospective future aviation income streams, mean that a break-even business plan cannot be identified for the foreseeable future, the group said.

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The airport is now set to close during the week commencing Monday, October 31, 2022.

Doncaster Sheffield Airport closure: 800 jobs at risk as airport closure announcedDoncaster Sheffield Airport closure: 800 jobs at risk as airport closure announced
Doncaster Sheffield Airport closure: 800 jobs at risk as airport closure announced

Robert Hough, Chairman of Peel Airports Group, which includes Doncaster Sheffield Airport, said: “We recognise that this will come as a great disappointment to many. The intractable problem remains the fundamental and insufficient lack of current or prospective revenue streams, together with the airport’s high operating costs. Our employees have always been DSA’s greatest asset, and we are grateful to them all, past and present, for their dedication and diligence over the years. The immediate priority remains to continue engaging closely with them over the next few weeks.

“As such, DSA will now begin a formal process of consulting with team members. We will do everything we can to minimise the impact of these proposals and work closely with local authorities and agencies to support our employees through what we know will be an extremely difficult period. DSA has remained in contact with union representatives on site throughout and we are committed to ensuring they are updated through every step of this next phase.”

Steven Underwood, Chief Executive, Peel Group said: “We recognise that we are living in uncertain times, and we understand that our announcement will be difficult to hear for the Doncaster and wider South Yorkshire communities in which we have worked and invested for over two decades. However, as has been seen many times before in industries undergoing structural change, although change brings uncertainty it can also bring significant opportunity.

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“As the Strategic Review concludes, we look forward to collaborating with our partners to create a vibrant, long-term vision for GatewayEast and the airport site. We will not accept any public sector grant to cover the costs of an airport that is not viable due to its lack of adequate forward revenues and high operating costs. Accepting funds from SYMCA may postpone the inevitable for another thirteen months, but it will divert funds away from services on which communities throughout South Yorkshire rely.

“Instead, we intend to continue working closely with local and national stakeholders to develop a forward-thinking strategy for the airport site, in conjunction with the £1.7 billion GatewayEast development next door, to help unlock vibrant, job-creating alternatives to ensure future growth and prosperity. We have the potential to attract cutting-edge, future-tech businesses to South Yorkshire, but only if we are able to collaborate with our local stakeholders and community in South Yorkshire.”

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