Cornwall Council agrees to more transparency around 'sale' of Newquay Airport

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Cornwall Council has promised more transparency over a deal to "sell" Newquay Airport following pressure from businesses.

Newquay Airport and its wider estate - which includes the Spaceport, Aerohub Business Park, Kernow Solar Park and 200 acres of undeveloped land - is currently owned and operated by Cornwall Council.

The site raises £72million for the Cornish economy every year - but Cornwall Council subsidises the airport by £4million every year.

The authority says it can no longer afford so says it has decided to find private investment following a review of its options.

Last month, Cornwall Council's Cabinet made a behind-closed-doors deal to enter into an "exlusivity agreement" with a commercial partner who could potentially develop Newquay Airport.

But Cornwall Chamber of Commerce then called for an "immediate suspension" of that decision - with its CEO John Brown raising concerns the American-owned developer Westcore's lack of experience managing airports.

Mr Brown wrote an open letter expressing his "profound disappointment" over Cornwall Council's decision to choose its preferred partner behind closed doors.

"It may well be that this is the perfect partner for the airport and for the development of the airport area as a whole," he said. "But we have absolutely no visibility into the discussions that have taken place."

Mr Brown said CBRE - a global real estate firm - was employed to find a partner for the airport and noted that Westcore is an existing client of CBRE.

He added: "Now this isn't to suggest that there is something illegitimate or inappropriate taking place, but in a void of silence, what you tend to fill it with is frustration and concern."

Other voices in Cornwall's business community also echoed fears of what may happen to the airport if it were to be mismanaged.

Louise Ellis is co-founder of Cornwall Gateway CIC, which works with food and drinks businesses. She voiced fears Newquay Airport could follow in the footsteps of the now-defunct Plymouth Airport.

"The fear is the same thing happening to Cornwall as it has in Plymouth - that will no longer have that transfer link, or of prices getting so high that it's no longer accessible to local people and local businesses.

"Almost 90% of our businesses in Cornwall are micro and small, so keeping that affordable, keeping that accessible, is key to our local economy."

On Monday 15 July, Cornwall Council has announced new plans to fully engage with the business community this summer about its deal to bring in a commercial partner for Cornwall Airport Newquay.

The Council and Chamber of Commerce issued a joint statement, saying: "The Council has agreed to immediately meet with the board of the Chamber of Commerce (as well as other business representative organisations) as soon as possible.

"These ‘round table’ sessions will be hosted by Cllr Louis Gardner who is Cornwall Council’s Portfolio Holder for Economy and Skills. These early meetings will help explain the objectives, logic and process for the current proposals."

The airport is situated in North Cornwall within Liberal Democrat MP Ben Maguire's constituency.

"Newquay Airport is the jewel in the crown of our tourist industry in Cornwall," he said.

"It's a huge asset for the business community, it quite literally connects us up to the rest of the country. So there is going to need to be serious public scrutiny of this deal."

Noah Law, the Labour MP for St Austell and Newquay, says Cornwall Council "not to rush" this process because of looming local elections next May.

"It's really important we have close collaboration with Cornwall Council as well as those other five MPs. It's important because we have to put the needs of best interests of the public first."

The final report will be made by the Conservative-run council's cabinet in September.