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Future of Dundee-Stansted air link secured by government deal

COURIER, DOUGIE NICOLSON, 31/03/14, NEWS.
Pic shows passengers disembarking from the flight from Stanstead at Dundee airport tonight, Monday 31st March 2014.
COURIER, DOUGIE NICOLSON, 31/03/14, NEWS. Pic shows passengers disembarking from the flight from Stanstead at Dundee airport tonight, Monday 31st March 2014.

Advocates of the air link between London and Dundee have welcomed news that the future of the route has been secured.

The public service obligation (PSO) agreed between Westminster and Dundee City Council guarantees £2.85 million to keep the route open for two years.

The Loganair tender will see a Dornier 328 making two return flights daily to London Stansted, Monday to Friday, and one return flight on Sundays.

TV personality Lorraine Kelly, a regular user of the route, has welcomed the news that it has been secured.

“I’m delighted as it is important for business and tourism in Dundee to have a regular air link with London, especially with all the exciting developments includingthe building of the V&A,” she said.

“I use the service to fly down to work on Sunday evening. It is quick and easy to get to the centre of London from Stansted and, if you book in advance, it’s very reasonable and cuts out the hassle and expense of travelling to Edinburgh.”

Councillors will be asked to back the deal on Monday at a meeting of the policy and resources committee and approve an extra £398,000 contribution, to be shared jointly by Transport Scotland and the council.

SNP administration leader Ken Guild has expressed his support for the deal.

Chief Secretary to the Treasury Danny Alexander said: “I’m delighted that the Regional Air Connectivity Fund I announced at the Spending Round 13 is delivering for Dundee.

“Dundee is a key economic hub in Scotland’s thriving economy. This will ensure that its key industries remain connected to the rest of the UK. It’s good news for the people of Dundee.”

The funding, which Dundee City Council applied for through the Regional Air Connectivity fund, is the first UK government PSO.

The fund, announced in the 2013 Spending Round, can be used to maintain important regional air connections, where they are in danger of being lost.

The Government doubled the size of the fund to £20m per year in the 2014 Budget.

The council put the service out to tender and three valid bids came in from Loganair.

A further bid from Caledonian Aviation did not meet the minimum standard required and was not considered.

Services between Dundee and Southend, Luton and Stansted were put forward, which required subsidies of £3.9m, £3.3m and £3.2m respectively.

A successful application was made to the Department for Transport for backing from the new fund to support air services between regions of the UK and London, which approved £2.8m to cover the period to the end of March 2016.

The guidelines for this fund expect that the local area will make a contribution to the cost, and over the two years Transport Scotland and Dundee City Council will add £398,000.

The council’s contribution is not required until the financial year 2016/17.