London Luton Airport: Unleashing growth and prosperity for Luton
Luton is a hub of innovation. According to the think tank Centre for Cities, Luton has the second highest number of start-ups per 10,000 people. The scale of opportunity for job creation in the town is immense – people are hungry for jobs and growth.
However, Luton is also one of the most economically challenged parts of the country with too many families are living in poverty.
Nonetheless there is plenty of reason for optimism. Luton Town Football Club had its first stint back in the English top-flight of football for over 30 years and have detailed plans for a new stadium and development which support the council’s ambitious town centre masterplan which will transform the face of Luton. This year, the town also hosted BBC Radio One’s Big Weekend – one of the UK’s most popular music festivals as tens of thousands flocked to the town.
Looking forward, London Luton Airport is bringing forward one of the biggest job creation programme opportunities in a generation. The council’s own company Luton Rising, the trading name of London Luton Airport Ltd, is aiming to expand the airport to increase the passenger capacity from 19m passengers per annum (mppa) to 32mppa.
The expansion of London Luton Airport would add up to 11,000 new jobs at the airport and in the supply chain across the region, with around 4,800 directly in Luton. It would also deliver fair, high-quality and well-paid jobs that are on average 34 per cent higher than the national average wage. The creation of new valuable and meaningful jobs is vital to drive economic growth in the region and central to the council’s bold vision for eradicating poverty.
This is on top of the airport already being the most important employer in the region, with employment in and around the airport increasing by 9 per cent in 2023 to an all-time high of 12,100 jobs, with 84 per cent of these full-time.
The proposed expansion of London Luton Airport, which would see a second terminal added while making best use of the airport’s existing runway and assets, will play a crucial role in stimulating regional economic growth by enhancing trade, attracting investment, boosting tourism, and generating jobs that benefit the entire region. If expansion is permitted, it’s anticipated to generate an extra £1.5 bn annually in economic benefits and high-paying jobs.
More broadly, Luton Council is setting the scene for economic growth in the town. Working with partners, it has established Luton’s 2040 Vision for a healthy, fair, and sustainable town where everyone can thrive, and no one has to live in poverty. It’s a vision that has been developed with residents, reflecting their aspirations for the future of the town.
The Council is also developing a Luton Economic Growth Strategy for 2025-2032, in alignment with the 2040 Vision, to establish a framework for delivering further growth, creating jobs and improving living standards, benefiting all Luton’s citizens and communities. A growing, inclusive and sustainable economy is of course not just good for Luton, but also for the wider region and nationally.
The Council is the sole shareholder in Luton Rising, so alignment of ambitions for economic growth is vital for the future prosperity of the town.
It’s why expanding the airport is so crucial as well. Some of the broader benefits of expanding the airport are linked to its distinctive position as the only airport located within the Golden Triangle of London, Oxford and Cambridge.
Additionally, Luton is globally connected with over 120 international destinations across Europe, Africa and the Middle East in easy reach from London Luton Airport. This connectivity facilitates a high level of foreign direct investment in the East of England region – around 9,300 foreign-owned companies recorded in 2018.
Luton Rising’s airport expansion plans also involve introducing a ground-breaking initiative called the Green Controlled Growth framework (GCG). London Luton Airport will introduce this environmentally-focused approach to managing growth as the airport expands and continue its reign as the most socially impactful airport in the country.
The GCG framework will introduce maximum limits for the airport’s noise, greenhouse gases from airport operations, air quality and surface access impacts. These are the areas in which, as the airport grows over time, there is more scope for impacts to increase in line with growth.
The environmental limits would be legally binding on the airport and governed by a new independent body with the ability to call a halt to growth if the airport does not keep to the limits.
Luton is clearly working hard to encourage sustainable, economic growth and dispel previous misconceptions regarding its population and output. Thanks to new-found business investments, a new government focus on prosperity and a vision for sustained economic growth for the working people, the future of Luton looks to be brighter. But, essential to Luton’s continued success is London Luton Airport, which is set to enhance environmental stewardship and economic growth for the community, helping Luton soar in the right direction.
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