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Heathrow A www.canongate.org publication sponsored by Heathrow

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Flybe flights herald lower fares for passengers

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Distributed with The Times Scotland 2 February 2017

Working together with Scotland

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Logistics hub bound for Scotland

Scotland’s gateway to the globe

“Connecting more Scottish businesses and people to the world” Page 2

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Inverness enjoys boost in visitors


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heathrow

overview

2 February 2017

Heathrow

Heathrow has the critical mass of passengers, cargo-handling capacity and connections to support frequent direct flights to global markets

This publication is sponsored by Heathrow. Editorial content has been written by www.canongate.org in conjunction with Heathrow.

2 OVERVIEW Nation stands on the brink of a huge opportunity

3 FLYBE Connecting with UK’s largest international airport

4 PARTNERSHIP Walkers Shortbread MD on Heathrow’s importance

5 SHOWCASE Scottish produce on display in award winning terminal

6 LOGISTICS Proposed Prestwick hub will be a key part of expansion

7 TOURISM Jacobite Cruise MD on growing international visitors

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How will Heathrow expansion benefit Scotland? A third runway will connect more Scottish exports, businesses and people to the world By William Peakin

Heathrow is published by Canongate Communications distributed in The Times Scotland. All rights reserved. Neither this publication or part of it may be stored, reproduced or transmitted, electronically, photocopied or recorded without prior permission of the Publisher. Heathrow is published and exclusively distributed in The Times Scotland. We verify information to the best of our ability but do not accept responsibility for any loss for reliance on any content published. If you wish to contact us, please include your full name and address with a contact telephone number.

Scotland stands on the brink of a huge opportunity. As an historic trading nation, it has always been at the forefront of ingenuity, innovation and export. Scottish airports are going from strength to strength. As the UK’s only hub airport, Heathrow complements that success; where a direct flight from Scotland isn’t available, it fills the gaps to reach the new and prosperous markets Scotland needs. Economic growth in the world is soaring in Asia, Africa and the Americas, markets you can only get

to frequently and directly from a hub airport like Heathrow. As one of only six airports in the world that fly to over 50 long-haul destinations, Heathrow has the critical mass of passenger numbers, cargo-handling capacity and connections that will support frequent and direct flights to key global markets. Within the UK, Heathrow is unique in combining passengers and cargo, with £290m worth of Scottish salmon passing through Heathrow to reach clients in China and North America in the bellyhold of ordinary commercial planes. Heathrow can connect more Scot-

tish exports, businesses and people to more growing markets across the globe, more conveniently. Scotland must be connected to every corner of the globe to thrive. Economies outside of Europe are growing

quickly and the UK must improve its links with these countries to deliver the trade, jobs and economic growth that could otherwise go to European competitors. With 80% of the country’s long-haul routes and almost 65% of its air freight travelling through the airport, Heathrow is crucial to the success of UK businesses. Not only does it connect Scottish businesses to emerging regional markets, but it is one of Scotland’s key links to trade and investment opportunities in Europe, Asia and America. And Heathrow provides a gateway for international travellers exploring the natural wonders and cultural richness of Scotland. Expansion plans are backed by the Scottish Chambers of Commerce, the Scottish Council of Development of Industry and airports in Glasgow, Aberdeen and Inverness. Garry Clark, head of policy at Scottish Chambers of Commerce, said its members were supportive of increased capacity at both Scottish airports, and also at Heathrow. He said that until recently connectivity with Heathrow had diminished. An increase would not only be important for Scotland’s business with London and the south-east, but also through Heathrow’s status as a hub connecting Scotland globally. “Heathrow has undertaken a huge amount of work in terms of measuring the potential benefits to Scotland and other parts of the UK that could result from airport expansion and in developing plans to address the needs of Scottish businesses,” he said. “Our priority is to ensure that investors around the world have access to Scotland and to strengthen our businesses’ ability to compete for global growth. This plan will deliver more jobs for our region, boost our economy and ensure Scotland continues to grow as an attractive place to live and work.” Businesses and politicians welcomed the UK Government’s support for Heathrow expansion. Scottish

Government Cabinet Secretary for Economy, Jobs and Fair Work Keith Brown said: “We have been clear from the start of this process that we wanted the best deal for Scotland and building a third runway at Heathrow provides the most significant benefits to the country’s economy and connectivity.” His Labour counterpart Jackie Baillie added: “Heathrow expansion is the right option for Scotland. New routes and cheaper fares will open up opportunities for businesses and create jobs.” Adam Marshall, director general of the British Chambers of Commerce, said: “Building this runway will not only boost business confidence, it will also help firms access export opportunities, and attract investment from both UK and overseas businesses. For business communities around the rest of the UK, connectivity into an expanded Heathrow is critical, even as regional airports develop their own links to overseas business destinations. This new runway must be viewed as much about connecting the regions and nations to the world as it is about capacity for London and the South East.” Expansion is also supported by trade unions. Frances O’Grady, the TUC’s General Secretary, said: “Heathrow expansion is absolutely vital for Britain. It will help our economy grow faster and stronger. This investment has the potential to create thousands of high-quality jobs and apprenticeships right across the UK.” Expanding Heathrow is forecast to create up to 16,00 jobs in Scotland. Businesses across Scotland stand to benefit from a new supply chain hub which Heathrow has pledged to create, an assembly depot for materials that will become Europe’s largest private infrastructure project. The hub was announced alongside six guarantees designed to build a stronger economy for Scotland, including delivering the connectivity


FLYBE

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HEATHROW

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Bombardier Dash 8 Q400, the principal aircraft on the new routes

Scotland needs once new capacity becomes available. This includes working with easyJet to start new flights to Glasgow, Edinburgh, Aberdeen and Inverness, and working with the Scottish Government to connect Dundee to Heathrow for the first time. A spokesman for AGS Airports, owner of Aberdeen, Glasgow and Southampton Airports, said: “We have consistently supported the expansion of Heathrow on the basis of the onward connectivity it provides and the fact it’s the UK’s only hub airport. It plays an important role in supporting the Scottish economy, so it is imperative that an expanded Heathrow delivers further access for both Aberdeen and Glasgow airports.” Inglis Lyon, managing director of Highlands and Islands Airports, added: “This is the right decision for Scotland. If business and tourism are going to continue to thrive in the Highlands, then we need access to the rest of the world - a quality connection to a hub airport like Heathrow is vital.” INTERNATIONAL competition for

jobs and trade has never been more intense. A country’s success in this global race depends on the strength of its links with existing and potential markets in Asia, Africa and the Americas. The aviation debate isn’t just about laying concrete – the UK is full of runways with enough point-topoint capacity to last 100 years. This debate is about how the UK maintains its status as a global aviation hub. With a national asset like Heathrow, which can reach these far-off markets with frequent and direct flights, Scotland and the rest of the UK has a huge competitive advantage. Heathrow is the best-located hub airport in the world with 95% of the global economy within range of a direct flight.

Greater choice, lower fares Increasing Scotland’s connections with the US, Asia, Africa and the Middle East BY WILLIAM PEAKIN

“Heathrow has undertaken a huge amount of work in terms of measuring the potential benefits to Scotland” Garry Clark As the UK’s only hub airport, Heathrow is a national asset. Only six airports in the world have regular flights to over 50 long haul destinations – with 82 it shows how rare and valuable Heathrow is to the UK. Leisure and business passengers can access 81 different airlines and airline alliances to 180 destinations in 85 countries. A hub benefits passengers, airlines and business because it brings together domestic traffic (from Scotland and the rest of the UK) together with short haul traffic (from European airports) and freight to ensure more people and goods are pooled together. This pool of passengers and freight fills the spare capacity of each plane and makes long haul routes more viable for airlines. The additional route then helps British businesses access new markets and creates more opportunities for trading, boosting local economies across the UK.

Flybe, Europe’s largest regional airline, is heading to Heathrow for the first time to connect the UK’s largest international airport with Scotland, offering a choice of more than 40 scheduled flights a week from Aberdeen and Edinburgh. The new routes, operating from 26 March, complement Flybe’s well-established London City flights from the two Scottish airports. The route expansion means that, from 26 March, Flybe will offer up to 18 flights a day between London and Edinburgh, and 10 between London and Aberdeen. Flights are conveniently timed for both business and leisure travel and fares are from £39.99 including taxes and charges. Travel industry observers say that the new flights are already having an effect; pushing down the average cost for travellers on the route. “Flybe’s new route to Heathrow is a real bonus for Scottish travellers,” said Malcolm Ginsberg, editor in chief of Business Travel News. “British Airways has already reduced its fares in the face of what will be strong competition.” He added: “International flyers to and from Aberdeen and Edinburgh via Heathrow will no longer have to transfer from the airport’s Terminal 5 to the Central Area if their onward carrier is other than BA. “The new services go into Terminal 2, the home of the Star Alliance airline grouping, and even if the

next flight is Terminal 3 on Virgin Atlantic, or its Delta Airline partner, it is a very simple process to follow the Flight Connection signs and take a very short bus ride. At T3 Upper Class passengers can take advantage of the splendid Virgin Clubhouse.” The advantages will be more than just convenience: “Improving the connections into Heathrow from all around the UK will be vital in helping to secure the economic future of communities in every corner of the nation,” said Heathrow’s chief executive, John Holland-Kaye. “The measures we’re introducing, such as the £10 reduction on domestic passenger charges, are already working to secure vital links. More airlines flying routes to Scottish airports means more flights, more competition and choice for families, and more visitors to Scotland. “With Flybe based at Terminal 2, it also means additional direct access from Heathrow to markets such Colombia, Taipei and Auckland – meaning more opportunity for Scottish businesses looking to reach new export markets.”

our members, should be seen as a vote of confidence in the region and supplements the existing support of British Airways.” Flybe will be using Heathrow’s Terminal 2 and will offer ‘One Stop to the World’ connectivity to its codeshare and interline partners. Last month, Virgin Atlantic and Flybe announced they were extending their codeshare agreement to include Heathrow. The new Flybe flights from Aberdeen and Edinburgh will connect customers onto Virgin Atlantic flights to the US, Asia, Africa and the Middle East. Travellers from Scotland can now book flights to international destinations including Johannesburg, Los Angeles, Boston, Seattle, Hong Kong, Shanghai and Dubai – thanks to closer cooperation between Virgin Atlantic and Europe’s leading regional airline, Flybe. The new Flybe codeshare flights to Heathrow will operate from 26 March – offer-

JAMES BREAM, research and policy

‘With Flybe based at Terminal 2, it also means more opportunity for Scottish businesses looking to reach new export markets”

director at Aberdeen and Grampian Chamber of Commerce, said: “Our connections to global markets are vital to the continuing prosperity of the North-east, with more than half of our members rating access to Heathrow as either important or critical to their business. Over half of Oil & Gas business is done in international markets “Our Chamber declared its support for Heathrow expansion, the airport was willing to put its money where its mouth is by supporting the North-east with connections. Flybe’s recent decision gives more choice to

John Holland-Kaye

ing four services per day from Edinburgh Airport, and up to three services per day from Aberdeen Airport. The agreement will mean customers can seamlessly connect between Flybe and Virgin Atlantic with a single check in and bag drop. It will also open many new destinations for Scottish travellers, and help boost inbound tourism and investment. ERIK VARWIJK, executive vice-pres-

ident commercial at Virgin Atlantic commented: “Our partnership with Flybe will bring the world a little closer to Scotland with exciting new Virgin Atlantic destinations available across the US, Asia, and Africa. We look forward to offering easy connections to some of our most popular destinations such as the US cities of San Francisco and Boston, as well as helping to boost business and investment with access to major hubs such as Hong Kong and Dubai.” Vincent Hodder, Flybe’s chief revenue officer, added: “Flybe is especially delighted that this extension of our valued codeshare partnership with Virgin will enable us to better serve Scottish travellers and global visitors, further realising our ambition of being a ‘One Stop to the World’ for the UK regions. “We greatly look forward to cementing our commitment to Scotland and welcoming even more Virgin passengers on board our new Heathrow flights from Aberdeen and Edinburgh when they start at the end of March.” Virgin Atlantic offers flights from London Heathrow to Atlanta, Boston, Delhi, Dubai, Hong Kong, Johannesburg, Lagos, Los Angeles, Miami, New York, San Francisco, Seattle, Shanghai and Washington.


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PARTNERSHIP

Best in the world in 2016; Terminal 5 had its highest passenger satisfaction score performance

A golden taste From welcoming Team GB to sampling whisky, Terminal 5 is the place to be BY MATILDA BORGSTROM Heathrow has achieved its best quarterly airport service quality passenger satisfaction scores, from an independent survey by the Airports Council International, following a year of investment in improving services at the UK’s only global hub airport. More than 84% of total passengers, or 15.3 million, using the airport from October to December 2016 rated their Heathrow experience as excellent or very good in the survey. This is an increase of 640,000 passengers compared with the same period last year. The scores follow the introduction of several additional passenger services across Heathrow, including a new personal shopping lounge and Harry Potter shop in Terminal 5, which had its best passenger satisfaction score performance and was voted best airport terminal in the world in the Skytrax World Airport Awards, for the fifth year running. Heathrow provides a great opportunity for Scottish companies to sample products with international travellers. For example, during December, the Tomatin Distillery took part in British Airways’ Christmas Whisky Festival, providing passengers with the chance to sample an exclusive selection from their duty-free range. Gold Executive Club and First Class lounge passengers at terminals three and five and the T5 Concorde lounge had first taste of the distillers’ new duty-free range. “Travel-retail is a priority market for us over the next few years so the festival is a great opportunity to get the brand in front of audiences at the departure gates,” said Tomatin sales director Stephen Bremner. “Most

customers will have an average dwell time of around 90 minutes which gives us time to promote the brand story to a captive audience. “Single Malt is a very competitive market within travel-retail so we have developed a range that stands out from the crowd and includes age statement expressions to offer something different to many of our competitors. We’ve had encouraging sales from Belgium and the Nordics so far and we now have our sights firmly set on the UK duty-free market.” Overall, 2016 proved a highlight year for Heathrow. It celebrated 70 years of history as ‘Britain’s front door’, welcoming a record 76 million passengers alongside 1.5 million tonnes of cargo travelling through the UK’s hub. Larger, quieter and more efficient aircraft continued to be a driver for growth in passenger volumes at Heathrow. In 2016, around 40 per cent of Heathrow’s long haul passengers travelled on cleaner and quieter new generation aircraft, such as Airbus A380s, A350s and Boeing 787 Dreamliners – up from around 25 per cent in 2015 and helping to reduce the airport’s impact on local communities. In a major boost for the economy, the Government announced its support for a new runway at Heathrow – the first full-length runway in the south east since the second world war. The Government will begin consulting on a national policy statement early this month. Heathrow chief executive John Holland-Kaye said: “Heathrow celebrated 70 years as the country’s front door in 2016 and I’m proud that we were able to end this year on such a high note. Whether it was welcoming back a triumphant Team GB from Rio or giving that special Heathrow service to a record number of passengers, increasing Britain’s trade with the rest of the world or securing Government support for expansion – Heathrow is Britain’s airport and we will continue to help all of our country thrive for decades to come.”

Working together with Scotland Businesses and families stand to reap significant economic benefits over the next 20 years BY WILLIAM PEAKIN Jim Walker is in Cologne this week, and he’s thinking about Christmas. “This is a really busy time of the year for us,” said the managing director of Walkers Shortbread. “We work a year ahead and all our large customers are looking now at products for December.” Walker is at ISM, the world’s largest trade fair for sweets and snacks involving 1,650 suppliers from 68 countries attracting more than 38,000 trade visitors from 150 countries. ISM and the Winter Fancy Food Show in San

Francisco are both key events for the company: “We are always there; it’s such a great way to see your customers in a short space of time,” he said. Established in 1898, Walkers is run by the grandchildren and great grandchildren of the founder. A unique combination of provenance quality, presentation and variety, coupled with a programme of continued innovation, has enabled Walkers to grow consistently over the last 40 years. The largest family run UK biscuit manufacturer, it is the only major shortbread manufacturer which is still independent. Walkers employs more than 1,700 people at peak times at six factories in Speyside and its products are now distributed in over 90 countries, through a network of quality distributors. With approximately 40 per cent of its products exported, the brand has the highest export percentage in the

2 February 2017

UK biscuit industry and is Scotland’s leading branded food in the export market. In 2010 Walkers won its fourth Queen’s Award to Industry for Export Achievement, making it the only food manufacturer to have won the award this many times. Walkers products are all packaged in a traditional Scottish image that has become iconic. The famous painting of Bonnie Prince Charlie’s Farewell to Flora MacDonald has been part of Walkers logo for approximately 50 years and Walkers shortbread market the widest range of shortbread tins and cartons in the world. Distribution is mainly by land and sea freight, but for Walkers Heathrow is vital. “It has always been important,” said Walker. “We use it to courier emergency orders, samples, testing products and prototypes. Our people use Heathrow to travel overseas, sourcing and selling products, and our A unique combination of quality and innovation, has enabled Walkers to grow consistently over the last 40 years


PARTNERSHIP

2 February 2017

HEATHROW

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Jim Walker and his brother Joe. The company employs more than 1,700 people at peak times at six factories in Speyside and its products are now distributed in over 90 countries

customers regularly use it to visit us. Heathrow is also a great shop window for our brand looking out on to the world; the retail and duty free side puts our products in front of a global audience.” Partnership between Heathrow and Scotland is a recurring theme; towards the end of last year, Edinburgh-based flight search firm Skyscanner worked with the airport to create the first comparison tool within social media, ‘Go Heathrow’. Created through Skyscanner’s White Label platform, it is the first time an airport has offered travel search technology to users within Facebook. GO HEATHROW allows Facebook users to search and book their Heathrow flights directly from the social media page. The tool is easy to use and is designed to ensure users find the most competitive fares for their chosen destination across a wide range of airline and travel websites. It is the first time Heathrow has directly supported airline partners with ticket sales, bringing together over 180 destinations in 85 countries from the airport together in one place. “[It] gives Heathrow passengers a useful and innovative tool for getting the best fares and journey plan that suits their individual needs,” said head

of passenger communications, Marc Ellams. “This new technology aims to make planning the next adventure as simple as possible, bringing the world to our customers’ fingertips.” Mike Ferguson, senior commercial manager for Skyscanner added: “This travel search mechanism represents an exciting new way for travellers to engage with Heathrow and find their next holiday, all within their Facebook feed.” Heathrow’s partnership with the nations and regions of the UK is also set to result in £500m of savings for leisure and business travellers, through the reduction in domestic passenger charges by £10 - more than a third compared with last year. The discount is a key part of Heathrow’s plan to encourage growth outside London by making it cheaper to travel beyond the capital and is scheduled to last up to twenty years. Airlines are already responding to the new discounted charges, with Flybe launching new domestic routes from Scotland to Heathrow, beginning next month, that will increase choice and competition for families and business. The airport commissioned economic consultancy Frontier to carry out research into the impact of the discount, which revealed that pas-

sengers flying to Edinburgh could save the most money at an estimated £130m over 20 years. This is followed by Aberdeen (£82m), Glasgow (£73m) and Inverness (£23m).

“Heathrow is a great shop window for our brand looking out on to the world” Jim Walker

THE AIRPORT IS also working with

SMEs on a strategic level, via its annual business summits, including one in Glasgow. The goal of Heathrow, as Britain’s international gateway to the world, is to enable more and more UK SMEs to connect to new opportunities for growth locally, nationally and internationally. For nearly 20 years, it has been creating new opportunities for business through the Heathrow Business Summit. Since these events began, companies have won new business worth an estimated £90m. Opportunities at the summit, which was preceded by events around the UK, including Glasgow, comprise partnering with procurement and supply management specialists to assist SMEs with advice on how to maximise procurement opportunities with Heathrow; and connecting SMEs to international markets by making the most of its supply, export and growth opportunities. Ian Ballentine, the airport’s procurement director, said, “Heathrow is a cornerstone of the UK’s economic

security, connecting businesses of all sizes with international markets across the globe. “As a national asset, we are in a unique position to connect SMEs to local, national and international markets, and with expansion we now have the opportunity to do even more. Heathrow expansion will create up to £211 billion in economic growth and up to 180,000 jobs across the UK.” By forging connections, the summit is an opportunity for all UK SMEs to use the airport’s international presence to project their brand and ingenuity globally. The economic value that was created with the construction of the new Terminal 2: The Queen’s Terminal gives a taste of the potential that expansion at Heathrow will generate across the UK. It created 34,000 jobs in infrastructure, engineering and construction and Heathrow used hundreds of suppliers to deliver the £2.5bn infrastructure project, of which many were small and medium-sized businesses. “Heathrow expansion will create up to £211bn of economic growth and 180,000 jobs across the whole UK. Scotland alone will see £14bn of growth and 16,000 new Scottish jobs. This is a significant prize.” said Heathrow’s chief executive John Holland-Kaye.


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LOGISTICS

2 February 2017

Securing the best deal The potential for a logistics hub in Scotland is an important part of the Heathrow offer BY WILLIAM PEAKIN The Scottish Government announced its support for plans to build a third runway at London Heathrow Airport, after securing key commitments for Scotland. The Government said that the expansion plans offer the greatest strategic and economic benefits to Scotland, creating thousands of jobs and providing a significant boost to the country’s connectivity. The airport’s commitments include: l Creating of up to 16,000 new jobs across Scotland from the new capacity. l Working with the Scottish Government to investigate Glasgow Prestwick Airport as a potential site for a logistics hub to support the building of the third runway. l Spending £200m in Scotland during planning and construction. l Establishing a £10m route development fund to help support new domestic routes. l Reducing by £10 per passenger landing charges paid by airlines operating services from Heathrow to Scotland. This will benefit existing services from Aberdeen, Edinburgh, Glasgow and Inverness and incentivise the introduction of new services. l Promoting all that Scotland has to offer with a significant, long term marketing campaign at Heathrow. l Hosting a procurement event in Glasgow to enhance opportunities for Scottish firms to win business with Heathrow suppliers. HEATHROW MADE these commit-

ments in a memorandum of understanding signed with the Scottish Government. Cabinet Secretary for Economy, Jobs and Fair Work Keith Brown said: “We have been clear from the start of this process that we

wanted the best deal for Scotland and building a third runway at Heathrow provides the most significant benefits to the country’s economy and connectivity. “We have engaged extensively with both airports during this process and considered all options very carefully. Gatwick’s proposals are also to be commended. However, Heathrow’s plan offers significant job creation, major investment opportunities and, crucially, seeks to address how all of Scotland’s airports benefit from the new runway capacity when it comes and also in the lead-up period. “The potential for a logistics hub to be based at Glasgow Prestwick Airport is also an important part of the Heathrow offer. It would support the

“Heathrow’s plan offers significant job creation, major investment opportunities and seeks to address how all of Scotland’s airports benefit” Keith Brown

pre-fabrication of components for the construction phase, with potential for future work beyond the launch of the third runway, bringing strong economic benefits to the airport and the wider Ayrshire economy. “Growing the number of direct international air routes to and from Scotland remains a priority for this Government, but the proposals from Heathrow offer all our airports a range of benefits that will help them grow passenger numbers and continue to build on their successes.”

John Holland-Kaye, chief executive of Heathrow Airport with Cabinet Secretary for Economy, Jobs and Fair Work Keith Brown

JOHN HOLLAND-KAYE, Chief Executive of Heathrow Airport, said: “An expanded Heathrow will create up to 16,000 jobs in Scotland. It would facilitate more airlines flying routes

to Scottish airports, meaning more flights, more competition and choice for families and businesses across the nation. That also means more visitors to Scotland, more destinations for Scottish tourists and more opportunity for Scottish businesses to reach new export markets. “This partnership demonstrates how Heathrow expansion can work for every region and nation of the UK. Now is the time for the UK Government to make the right choice and back Heathrow.”

Heathrow and FSB showcased the work of SMEs from across the UK via social media channels, including examples such as Gourmets Choice Ltd in Portsoy, Scotland, a 5th generation family owned and managed company producing smoked salmon for the past 108 years and LC Energy Ltd in Guildford, which develops renewable energy products. FSB national chairman Mike Cherry said: “We’re delighted to partner with Heathrow in the launch of the SME guarantees and to celebrate the great ingenuity of UK small businesses - not least in helping to build Heathrow.” Heathrow procurement director Ian Ballentine added: “For us at Heathrow – SMEs are the often unseen and untold success stories that

make up our supply chain. We know the crucial role they play in building the world-leading infrastructure here at the airport and how they use that work to provide jobs and growth in their own regions and communities.” Salmon’s importance to British exports was highlighted recently in a speech by Heathrow chief executive John Holland-Kaye: “The biggest export through Heathrow by volume is high quality salmon, worth £290m to the Scottish economy. Regular connections from Heathrow mean fresh salmon can get from the farm in Scotland to the seafood market in Tokyo within 24 hours. Think how much more could we export, with more flights from Scottish cities to Heathrow, connecting to 40 new long haul destinations.”

A commitment to business Heathrow sets out five clear pledges to guarantee more business for the UK’s SMEs BY MATILDA BORGSTROM Heathrow has launched a series of commitments to guarantee SME involvement in future work at the airport. The commitments are the latest output from the long-standing collaboration between Heathrow, the Federation of Small Businesses (FSB) and Chambers of Commerce across the country, to increase the number of SMEs who benefit directly and indi-

rectly from the economic opportunities provided by the UK’s only hub airport. Heathrow’s five SME guarantees are: l Develop the successful Heathrow Business Summits across the UK. These bring together SMEs with Heathrow’s procurement team and the airport’s principal suppliers; l As a signatory to the Prompt Payment Code, ensure suppliers are paid on time and ensure this practice flows down through the airports supply chain into SMEs; l Establish a new Innovation Networking Forum to reach out to SMEs and start-up organisations in the innovation and technology sector; l Offer SMEs access to the millions of international passengers at Heathrow, by brokering deals between stockists

and World Duty Free and other retail tenants; l Establish a grants programme offering awards up to £2k for SMEs to spend on travel and trade missions to help SMEs reach new markets. Last year, the airport celebrated 20 years of its Business Summit, which gives SMEs throughout the UK the opportunity to get a foot in the door and capitalise on the business opportunities available through Heathrow’s supply chain. During that time Heathrow has spent billions on capital development projects across the airport including building brand new terminals 2 and 5, and Heathrow’s use of SMEs has risen, so that they now make up a third of the airport’s Tier 1 supply chain.


TOURISM

2 February 2017

The cruise company that’s flying high New Heathrow route is increasing visitors from Asia and the US BY WILLIAM PEAKIN Freda Newton has just returned from a trip to India with VisitBritain. The managing director of Loch Ness by Jacobite, the Dochgarroch-based cruise and tour company, gained insights into the travel preferences of overseas visitors: “Interestingly, they like to start in the north and then work their way down.” With a three-strong fleet – two catamarans and one single hull boat – the company took more than 220,000 people onto Loch Ness last year. Looking ahead to next year, the company is planning to add another boat to its fleet, bringing the number of people it can host on Loch Ness at any one time to 800. “Growth has been pretty continuous since we took over in 2002,” said Newton, who was made an MBE in the New Year’s Honours for services to economic and community development in the Highlands and Islands. “Connectivity is everything for us. We are looking forward to the duelling of the A9 and the more flights into Scotland the better.” In May 2016, after an absence of almost 20 years, British Airways reconnected Scotland’s ‘capital of the Highlands’, Inverness, to Heathrow

with a new daily service. It is on course to become one of Heathrow’s most successful short haul year-round new routes. The relaunch of British Airways’ flight between Inverness and Heathrow has had a noticeable effect. From the route’s launch in May to September 2016, Loch Ness by Jacobite saw business boosted by 12 per cent more than the same period the year before. “The breakdown of passenger numbers shows that Loch Ness welcomed new visitors from each region of the world,” said Newton, “with a three per cent increase from the emerging economies of Asia and four per cent from North American tourists - all hoping to catch a glimpse of the elusive Nessie’ from the deck! “A link between Heathrow and Inverness has been the boost that the Highlands and Islands needed to build on Scotland’s natural strengths and capitalise on the international appeal that our region holds. It is from a direct link to a hub airport – where passengers can easily transfer from around the world – that this jump in visitors has occurred to benefit the Scottish regions and economy and I hope it will encourage more links to Scotland from an expanded Heathrow in the future.” HASSLE-FREE access to the world from Inverness is vitally important to the increasingly young and entrepreneurial population who live and work in the region. Half of inhabitants are

BY MATILDA BORGSTROM All airports, as we experience them today, owe a huge debt to Scottish pioneers, namely McAdam, the inventor of the road surfacing material known best known as Tarmac, Watson-Watt, the developer of radar, Graham-Bell, inventor of the telephone and LogieBaird, creator of the television. Heathrow is known for celebrating these pioneers - and not just engineers, scientists and inventors; Scotland’s natural produce and food and drink maestros are recognised too. In 2015, working with Glasgowborn and based textile artist and designer Jilli Blackwood, a graduate of The Glasgow School of Art, who’s most famous for creating the outfits for the Scottish team at the 2014 Commonwealth Games, the airport gained its own unique purple-hued

tartan was used to tag Scottish exports within the airport’s walls. Inventions including ATMs, invented by John Shepherd-Barron, televisions and telephones were covered in the bespoke plaid. But it was not just the airport’s fixtures and fittings that had a Celtic makeover, as even the Scottish food and drink sported a tartan design. During the initiative, travellers visiting Gordon Ramsay’s Plane Food restaurant in T5 enjoyed a set menu of smoked salmon and sourdough with a special tartan butter, followed by the traditional Scottish pudding Cranachan with a white chocolate tartan garnish, both of were developed by the head chef Andrew Winstanley and given a special twist with Heathrow’s new tartan. For those who were looking for a little tipple before take-off, the Made in Scotland Martini, served in a specially created tartan glass, was bursting with Scottish ingredients including Hendrick’s gin, Drambuie and Tayside raspberries. Talking at the time about creating the tartan, Jilli Blackwood said: “It’s

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Launch of the Jacobite Rebel on Loch Ness in 2015 as part of company’s £1m tourism investment in the Highlands

under 44 and it is home to 21,000 businesses, according to Highlands and Islands Enterprise. Analysis of the first two months’ usage showed that more than half the passengers on the route out of Inverness were using Heathrow as a hub for an onward connection to destinations such as Zurich, New York, Madrid, Hamburg and Geneva, while international visitors to Inverness via Heathrow flew mostly from Zurich, New York JFK, Paris Orly, Toronto and Boston airports. To mark the first six months of the new route, members of the Clanranald Trust for Scotland, the educational and cultural organisation, were in Heathrow’s Terminal 5 before Christmas, along musicians Licence to Ceilidh and replicas of the Calanais Standing Stones, promoting the ease of travel between the two. “It was great to be able to bring a lit-

tle taste of the Highlands to Heathrow – a hugely important airport not only for our domestic visitors, but as a hub for passengers from around the globe,” said Malcolm Roughead, chief executive of VisitScotland. “By collaborating with partners, we are able to showcase Scotland on an international platform and highlight the ease of access to the country. The stunning scenery and rich culture of the Highlands are famous throughout the world, but some may not realise just how easy it is to get there.” INGLIS LYON, managing director of Highlands and Islands Airports, added: “The London Heathrow to Inverness route has helped attract thousands of extra visitors to the North of Scotland, supporting tourism initiatives in the Highlands such as the popular North Coast 500 tourism route. “Inverness Airport’s passenger num-

Made in Scotland Heathrow makes a point of recognising historic and contemporary links

HEATHROW

bers have increased 21 per cent in the first six months of the financial year, which we believe is one of the strongest performances of any European airport. The initial British Airways flight numbers are encouraging and prove the significance of Heathrow as a UK hub for Scotland, flying in visitors quicker and more efficiently from all over the world. The service offers tremendous opportunity for our regions excellent tourism businesses.” And last December, Inverness was hailed as one of the top holiday destinations for European travellers after online travel firm eDreams Odigeo recorded an 80 per cent rise in bookings compared with 2015. Its European Traveller Insights report said demand had been fuelled by the fall in the value of sterling following the EU referendum, and British Airways reinstating its daily HeathrowInverness flight.

From Tarmac to telephones, in some way Heathrow was actually made in Scotland

been really exciting working on this project with Heathrow. Being asked to work with the airport’s iconic colours was challenging and forced me to think outside of the box. The final design is instantly recognisable to all as a tartan, yet one based on such bold and contemporary colours. It’s a brilliant symbol of Scotland and Heathrow’s relationship and has been used in some really interesting ways.”

In addition to the tartan, Heathrow’s runway, which has seen approximately 770,0000 planes fly to Scotland carrying over 42m passengers was renamed the John McAdam Runway in homage to the Scottish inventor of tarmac. An estimated 378,000m2 of tarmac has been used across the two runways – that’s enough to fit ten and a half Edinburgh Castles. As well as being made from a Scottish invention, it is expected

that a third runway at Heathrow would create up to 16,100 new skilled jobs in Scotland and deliver up to £14bn in economic growth. As part of the week-long celebration in 2015, Passenger Ambassadors at Heathrow sported limited edition tartan sashes and spoke to interested passengers about the makeover. Commenting on the Made in Scotland event, Emma Gilthorpe, strategy director at Heathrow said: “Scotland has always played an important role in innovation and export and it’s fair to say that we wouldn’t be where we are today without the originality of some great Scots. “From John Loudon McAdam, to Preston Watson and Alexander Graham Bell, Scotland is the birthplace of many revolutionary inventions and it’s these revolutionary inventions, which make Heathrow the UK’s Hub airport that it is today. From Tarmac to telephones, some could argue that, in some way, Heathrow was actually made in Scotland so we simply wanted to pay homage to the Scots by hosting a week-long celebration. Thank you Scotland.”


Heathrow supplement in The Times Scotland  
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