+ ON THE SOAPBOX: Dale Keller CEO BAR UK

With the majority of our member airlines expecting summer 2023 passenger volumes close to or above all previous levels, now is an opportune time to refresh positions and evaluate priorities to achieve sustainable long-term growth.

While 2019 serves as a useful benchmark, previous passenger and cargo volumes do not provide a particularly useful comparison to the fundamentally changed landscape we are all operating in. Major shifts in markets, route demand and passenger demographics demonstrated the need for rapid responses and those states and businesses that acted appropriately have strengthened their position.

At a UK level, it is now 10 months since the Government published its medium-term strategic framework for the aviation sector titled ‘Flightpath to the future’ following a period of industry engagement. This far into the election cycle it is important to highlight to all our politicians the need for consistency and a clear progression into a longer-term strategy for aviation under the next Government.

Looking again at the 10-point plan, what immediately springs to mind is that BAR UK doesn’t have a lot of new asks of Government. Industry requested a renewed strategy for aviation and we now have a good framework that allows flexibility in getting the policies to fit.  Speaking to our airlines, what is clear is that they would like to see a real focus on implementation and delivery across all aspects of the plan. Pushing forward with continuous improvement, sustainability and efficiency gains will be the real measure of the UK providing a best-in-class operating environment for the world’s airlines. 

A key recommendation was the setting up of an Aviation Council, something keenly supported by airlines. I think it is fair to say that UK industry in general has seldom shown a lack of ideas or knowhow – more so a period of decline in ambition, or added complexity that holds up progress when we should be fast tracking for success. Airlines will be expecting the council to identify that the right policies are in place to deliver success and that those accountable for delivery are on track. I look forward to participating in the second meeting of the council this month where we will be seeking opportunities to bring forward positive initiatives from the plan – in effect identifying the low hanging fruit.

One policy area that we have raised is the need for clarity on the huge swathe of retained EU law that will revoke under sunset clauses on 31 December this year. That includes almost all aviation regulation plus a host of other matters including UK employment protection law.

The Retained EU Law (Revocation and Reform) Bill, which is currently with the House of Lords, is the legislation required to rollover or amend all retained EU law into UK law or to let them sunset and fall off the statute book. Once passed, this Bill enables government to address the shambles that is the air passenger rights Regulation EU261/2004, currently applied as UK261. To do nothing and simply roll the regulation over as is could mean all historical court judgments will no longer apply, effectively changing the legislation by default.

Therefore, a significant opportunity exists for the UK Government to implement amendments along the lines of those that it had previously proposed and had endorsed with the EU Commission. These proposals went much further than a previous compromised attempt to amend the regulation for UK domestic flights only and were worthy in their intention to remove ambiguity from the regulation, maintain a high level of protection for consumers and significantly reduce the number of claims that go to claims companies or clogging up the courts.

Consumers, airlines, the Civil Aviation Authority (CAA) and wider travel trade will all benefit from much needed clarity through revised legislation that is finally fit for purpose. Surely, it is better to have clarity for UK consumers through a Brexit benefit than abandon the well thought out UK proposals gathering dust on a shelf in Brussels!

Another item that cannot have escaped attention was the long and gruelling economic regulation process for Heathrow, recently completed by the CAA subject to any legal challenge. It is perhaps understandable that relationships between airlines and airports have been under some strain as all parties faced the challenge of rebuilding their businesses against a backdrop of rising costs, workforce challenges and geopolitical unease. However, it should be abundantly clear to all that the regulatory process for Heathrow is not working well for consumers, airlines, the airport or the regulator.

This matters to everyone since the global competitiveness of Heathrow as the UK’s primary gateway infrastructure is of National importance and transcends the interests of the airport operator, airlines and customers directly using the airport. Therefore, in our response to the independent review of the CAA, airlines strongly encourage a specific review of the laws, policies, processes and tools the CAA has at its disposal to undertake effective economic regulation.

It does feel like time for a reset where all parties can move forward positively under a new framework – something that will be essential if airport capacity expansion is to be revisited.

Finally, as we all concentrate on delivering a great experience for many more customers this summer, our hope is that our politicians, civil servants and industry can collectively aim higher and attain the level of ambition our amazing aviation sector deserves.

Dale Keller has been Chief Executive of The Board of Airline Representatives in the UK (BAR UK) since 2012, with a career spanning over 35 years in the aviation, travel and tourism sector. At BAR UK his primary role is presenting a vital international perspective of the airline industry at a local UK level through close engagement with government ministers, departments and industry stakeholders.

He currently represents the interests of over 70 airlines on the recently formed Aviation Council and previously he was instrumental in guiding the airline community through the unprecedented crisis caused by the Covid pandemic. His engagement with the UK Government included sitting on the International Travel Expert Steering Group (ESG) and presenting industry positions through engagement with the Global Travel Taskforce.

He commenced his aviation career as part of the start-up team at Ansett New Zealand and since moving to the UK in 1990, the New Zealand born professional has been Director of a travel PR consultancy and held a number of airline management roles.

www.bar-uk.org

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READERS' COMMENT

All comments are filtered to exclude any excesses but the Editor does not have to agree with what is being said. 200 words maximum

Susan Oaks, London

I thought this to be a well thought out introduction for April and clearly BAR UK is in good hands. In spite of a less than helpful Government during the peak of the pandemic air transport has emerged stronger and well sorted for the future.

Barry HUMPHREYS, Dorking

An excellent article Dale.