Passenger figures down at City Airport
The first sign the recession has hit London City Airport came this week.
Despite figures showing the Royal Docks airport had a record 2008, its chief executive Richard Gooding admitted this year had been slower, with January and February both down 10 per cent on passengers.
Mr Gooding said: "We're going through a rocky patch and that's for us, our customers and those who use us.
"Last year was our most successful with 3.3million using the airport but there has been a bit of a decrease.
"The first half of 2008 was 20 per cent up, while the second half was flat. We've seen that continue. Perhaps we are at the bottom of the curve, we don't know."
Mr Gooding also blamed the snow in February as well as a slight decrease in business passengers for the overall reduction in the last few months.
He said: "It was minus in October and November but plus in December. The weather was not too bad in December but we got it all in February. That affected all airports.
"Leisure tends to do well here because of the large amount of skiing and even though that's mainly financial services workers it seems to have held up. However, business travel is down a bit."
Despite the results, the chief executive said he felt positive about the long term health of the airport, which this week was voted second most popular in the UK in Which? Holiday magazine.
"I've been through six recessions and they have all shared one characteristic - that they have ended," he said. "I can safely predict this one will end too.
"We have to keep our service level up and take a long term view.
"We've just finished off the refurbishment of the departure lounge. We've continued to invest through the downturn we've seen."
He added another positive sign was British Airways' recent investments.
The airline announced flights to New York will take off from City in October, while its subsidiary, BA CityFlyer, is launching a new fleet of Embraer aircraft this year.
Mr Gooding was speaking at an event to mark the testing of the Embraer aircraft at City Airport on Tuesday.
The Embraer 190, which features state-of-the-art fly-by wire technology, was performing a series of steep approach landings which will lead to certification for flights in October.
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Mr Gooding been through 6 recessions. How old is this man 90+ this is the forth in 80 years not including the depression in the 30's.
Get it right if your going to make such statements please. This man runs London City Airport? Oh dear!
Just in case Mr Gooding needs to check his dates? Or he's forgotten he's age. here is a list of the recessions for this century.
1. 1919-21 depression 1919-1921 ~3 years 10.9% 1919
6.0% 1920
8.1% 1921[1] The end of the First World War Deflation ~10% in 1921, and ~14% in
1922.[2]
2. Great Depression 1930-1931 ~2years 0.7% 1930
5.1% 1931[1] US Depression. Reducing demand for UK exports, also high interest rate defending the gold standard.[3] UK came off gold standard Sept 1931. 3-5% deflation pa. UK much less affected than US.
3. Mid 1970s recession 1973-75 2 years
(6 out of 9 Qtr) 3.9%[2] [4]
3.37%[5] 1973 oil crisis
Took 14 quarters for GDP to recover to that at start of recession[2]
4. Early 1980s recession 1980-82 ~2 years
(6 - 7 Qtr) 6.1%[6] Cause - possibly monetarist government policies to reduce inflation ? See 1979-1983 Company earnings decline 35%. Unemployment rises 124% from 5.3% of the working population in Aug 1979 to 11.9% in 1984[7] Took 13 quarters for GDP to recover to that at start of 1980[2]
5. Early 1990s recession 1990-92 ~2 years
(5 Qtr) 2.5%[8] US savings and loan crisis leading to the Early 1990s recession. Company earnings decline 25%. Peak budget deficit ~8% of GDP. Unemployment rises 5.5% from 6.9% of the working population in 1990 to 10.7% in 1993[7] Took 13 quarters for GDP to recover to that at start of recession[2]
6. Late 2000s recession 2008-? ? (started in May or June 2008) 2.2% to end 2008.
Forecasts ~5-6.2%[9] 'Credit crunch' or Financial crisis of 2007-2009 Manufacturing output down 7% by end 2008. Unemployment 1.97M at end 2008
CBI forecast manufacturing output to drop 10% in 2009. Unemployment forecast to rise to 3.0M (9.4%) in 2010.[10]
"I've been through six recessions and they have all shared one characteristic - that they have ended,"
Common knowledge that the US has had six recessions so he has no doubt gone through them in his 45 year career in aviation. This is maybe why he has an Order of the British Empire and you rely on Wikipedia for your facts.
"Order of the British Empire"
Get you a real Gooding Nerd :-)
Isn't it great to get such an award for someone who runs a business that breaks planning law for the last 8 years. Another show of how to get ahead in aviation.
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