AQW 29691/17-22

Mr Stewart Dickson
Alliance Party
East Antrim

Tabled Date: 14/02/2022
Answered On Date: 22/02/2022
Priority Written: No

Question:
To ask the Minister for the Economy what action he is taking to support (i) domestic; and (ii) transatlantic air travel from Northern Ireland.

Answer:

My Department launched the NI Domestic Aviation Kickstart Scheme (NIDAKS) in June 2021, which provided unprecedented support to maintain and enhance NI’s domestic air connectivity with GB during the period June to October 2021. Each of NI’s airports and their related airlines welcomed the support provided by the Scheme.

In March 2021 the Executive agreed to fund the City of Derry Airport (CoDA) – London Public Service Obligation (PSO) route for a further two years to the end of March 2023. The funding is split 50/50 between my Department and the UK Department for Transport (DfT), and equates to c£1.0m per annum of support from DfE for the CoDA - London PSO route.

As demonstrated by NIDAKS, my Department is always willing to consider requests for support, and work collaboratively with the aviation sector to seek outcomes that deliver Value for Money; are within the policy remit and legal vires of the Department; and are compliant with the UK’s policy on subsidy control and its legally binding commitments in international trade agreements.

We have been approached by two potential airlines interested in operating transatlantic routes and those discussions are ongoing. In parallel, we need to determine what is possible in respect of support to airlines under the EU-UK Trade and Co-operation Agreement (TCA). This will be critical to the development of any Route Development Scheme for international travel for Northern Ireland.

I recently wrote to the Transport Secretary to seek clarification on how to interpret the conditions detailed in Article 367, paragraph 15 of the TCA which details conditions for Subsidies to Air Carriers. I requested that he expedite publication of the TCA guidance as soon as possible.

Meanwhile Tourism Ireland continues to provide cooperative marketing support to airlines operating to all three NI airports. Cooperative marketing is the funding mechanism that has been successfully used, previously, to secure transatlantic routes.