Chamber and committees

Glasgow Prestwick Airport published their Strategic Vision in October 2014. This built upon a business plan that was developed by a senior adviser and included as much of his work as possible without impinging on commercial confidentiality and the airport’s ability to operate commercially. Glasgow Prestwick Airport is finalising a new 5 year Strategic Plan for 2017 – 2022 now and this will be published shortly.

The overall aim set out in the Strategic Vision published in October 2014 was to operate the airport in a safe, cost-effective and efficient manner and to develop and enhance its variety of business interests in order to return it to profitability, with the long-term intention of returning it to the private sector.

Prestwick Airport is a non-typical airport where success is not predicated on passenger traffic or any one business area alone. There are a number of opportunities for the airport’s management team to build on, including increasing freight and passenger traffic, fixed base operations, maintenance, repair and overhaul, property and it is very well placed to provide world class facilities for the UK Spaceport program.

Any repair work or potential upgrades to Prestwick Station are the responsibility of the owner, Glasgow Prestwick Airport, who operate on a wholly commercial basis.

The budget for 2016-17 approves loan support of £9.3 million for Glasgow Prestwick Airport. The draft budget for 2017-18 allocates loan support of £9.4 million.

We plan to approve the amount of loan funding required in future years through the approval of the airport’s business plan for that year.

On 11 January, Andy Willox, FSB’s Scottish policy convenor, said: “The reasons for this divergence aren’t immediately clear".Brexit is by far the biggest threat to Scotland’s jobs, prosperity and economy. That is why the Scottish Government have always been clear that remaining in Europe – and maintaining full membership to the world’s largest single market of more than 500 million people – is the best option for our future. Last month we published a detailed set of proposals in “Scotland’s Place in Europe”. The Scottish Government will continue to use all available levers to foster economic growth.

As part of our support for the economy, the Scottish Government announced a package of action to reduce business rates as part of the draft budget. This includes expanding the Small Business Bonus Scheme from 2017 to lift 100,000 properties out of rates completely, while 8,000 business properties will no longer pay the Large Business Supplement, and the overall business rates poundage – the core tax rate that applies to the rateable value of business properties – will also be cut by 3.7% to 46.6p.

Care needs to be taken in reading too much into the results of a single survey result for one quarter. Other recent survey evidence has provided a more positive picture for Scotland. For example Lloyds Bank report ‘Business in Britain’ showed that business confidence increased markedly in Scotland in recent months whilst the latest CBI Industrial Trends Survey showed that in the 3 months to January 2017, the business optimism reading was higher in Scotland than the UK and had improved at its quickest pace since July 2014.

Glasgow Prestwick Airport published their Strategic Vision in October 2014. This built upon a business plan that was developed by a senior adviser and included as much of his work as possible without impinging on commercial confidentiality and the airport’s ability to operate commercially. Glasgow Prestwick Airport is finalising a new 5 year Strategic Plan for 2017 – 2022 now and this will be published shortly.

Yes. These accounts were also laid before Parliament and are available on the Prestwick Airport website.

The Scottish Government has not set a time limit for Glasgow Prestwick Airport to repay the loan support provided.

Glasgow Prestwick Airport operates on a wholly commercial basis and at arm’s length from the Scottish Government. Details of commercial contracts – including end dates – are commercially sensitive.

The Scottish Government budgeted £25.2 million in loan support to the end of March 2016 for Glasgow Prestwick Airport.

We have made it clear throughout the process that additional loan funding, beyond that initially set out, may be required to turn the business around and return it to the private sector.

Scottish Development International (SDI) is a tripartite arrangement between Scottish Government, Scottish Enterprise and Highlands and Islands Enterprise. SDI provides support for companies to establish and grow their businesses in Scotland and help companies to expand their international trade. Scottish Development International is continually working with Scottish companies to help them achieve their international growth ambitions. The information requested is contained in the following table, and is subject to change: