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CITY AIRPORT: GIVE US OUR WINGS EXCLUSIVE GUY TAYLOR THE BOSS of London City has said the airport’s expansion is “critical” to the UK’s business community, as it finds its plans to do so blocked by Newham council. Robert Sinclair (right) told City A.M. that extended hours and higher passenger numbers would be vital to London retaining its spot as Europe’s number one financial destination. The airport remains the capital’s business travel hub, with the relative
number of passengers transiting through the airport for work reasons greater than at London’s other airports. City Airport has been locked in a battle with Newham Council over plans to expand its passenger capacity from 6.5m to 9m by extending flying hours. Estimates suggest the expansion would create over 4,000 jobs and contribute around £700m in GVA to the capital. However, last month, Newham’s strategic
development committee voted to block the proposals, citing concerns over noise pollution. The airport promptly launched an appeal against the decision in a bid to keep the project alive. Both sides now await a verdict from the Planning Inspectorate. Sinclair believes the post-Brexit capital is “facing challenges from other global cities… for capital, for talent and for
business” and would need to work harder to maintain its spot at the top table. “There are challenges out there from Frankfurt, from Dubai, from Singapore, from Paris, from New York and I think one of the things that has always made London so attractive is its connectivity,” the Kiwi-born chief said. “Retaining that air travel and connectivity is critically, and I’ll use that word critically, important to London’s future.” Sinclair said the evidence suggested that business travel was returning faster than many thought after the pandemic.
NOW FOR THE TOUGH BIT
Friday GDP data ‘good as it gets’ JAMES SILVER ANALYSTS expect UK GDP to have eked upwards in June, with official confirmation coming on Friday of this week. Resilience in consumer spending and better-thanexpected PMI figures suggest the Office for National Statistics will declare the economy grew in June when it releases its monthly data later this week. Oxford Economics expects the ONS to confirm a 0.2 per cent month on month increase from May into June, with the King’s coronation – and an extra bank holiday – providing a helpful comparator. Lower fuel prices have also helped. That would leave output across the whole second quarter growing 0.1 per cent on the first three months of the year. The second half of the year is expected to be tougher for the UK economy, as increases in the interest rate filter through to the wider economy. This week’s readout “could be as good as it gets for a while,” said Michael Hewson, chief markets analyst at CMC Markets. “With rates now at their highest levels for over 15 years and more and more fixed rate mortgages set to be refinanced, the second half of the year for the UK economy could well be a lot more challenging,” he added.
Now even Zoom tells staff to head back to the office as remote honeymoon ends JESS JONES
CITY leaders have long been predicting this September could signal a sea change in the ‘work from home’ debate, with more bosses insisting staff return to their desks more often once the summer holidays are over. CEOs may well be emboldened after
Zoom – the video-conferencing platform that has become synonymous with remote working – called on employees to return to the office more often over the weekend. Staff who live within 50 miles of a Zoom office should be in at least twice a week, the firm has said. “We believe that a structured hybrid approach – meaning
employees that live near an office need to be onsite two days a week to interact with their teams – is most effective for Zoom,” a company
spokesperson told Business Insider, explaining the shift in strategy. Zoom did not immediately respond to City A.M.’s request for comment regarding whether the changes apply in the UK. The unexpected U-turn comes at a time when many
other companies have started requiring employees to head back to the traditional office space. In May, Chancellor Jeremy Hunt, said the office should be the “default” location for capable workers as he expressed concerns that working from home could lead to a “lack of creativity” amongst employees.
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