Airport loses rates appeal
07.09.08
Robin Hood Airport - already reported to be losing £1m a month - faces higher operating costs after councillors refused to bail it out with hardship relief worth nearly £4m, the Free Press reports. Peel Holdings - the owner of the airport - lost its appeal for exemption from paying business rates for 4 years at a council meeting on Friday.
Airport bosses had argued the business rates represented a ‘very significant overhead’ and not paying them would have allowed it to increase its overseas marketing to encourage more airlines to use the hub. If granted, the local authority would have had to pass on a shortfall in its income of nearly £1m to tax-payers, which would have seen council tax bills rise by 1.1%.
Airport bosses said that, as a result of the decision, they cannot now afford to market the airport and Doncaster overseas in a bid to attract more people to the area, which does seem like a hollow threat, as it would clearly benefit the airport too.
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