Analysis of the Negative Impacts of UK Aviation Sector on Economy

This report examines the negative impacts of the UK aviation sector on the economy, focusing on political, economic, and environmental factors. The report highlights how increased security, high taxation, and strict regulations affect the airline industry, leading to customer loss and economic instability. It discusses the impact of economic downturns on the aviation sector, including job losses and the challenges posed by competitors. Furthermore, the report analyzes the environmental consequences of aviation, particularly the rise in carbon emissions and noise pollution, and criticizes the government's decision to expand Heathrow Airport. The author concludes that the aviation industry, while important, has significant negative effects and that the government's expansion plans are detrimental to the environment and the well-being of citizens.

DEBATE

Table of Contents
INTRODUCTION ..........................................................................................................................1
MAIN BODY...................................................................................................................................1
CONCLUSION................................................................................................................................3
REFERENCES................................................................................................................................4

INTRODUCTION
The aviation sector plays a very important role in the UK economy and it is third largest
network in the world. The contribution made by aviation sector is about £20 billion per year as
well as directly supporting 230000 jobs (Grant, 2016). Aviation sector leads to both positive and
negative impact on the economy of the country. In this present report, the negative impact of
aviation sector on the Political, Social and Environmental factors will be discuss.
MAIN BODY
Political Factor- There are numerous factors which are presently affecting the airline
sector such as increased security, high taxation etc. Increased security has adversely affected the
Airline industry specially after the incidence of 9/11. Political factors are greatly affecting the
airlines industry which interrupts in the economy (Taylor and Derudder, 2015). In UK, there are
strict regulation for the aviation industry and it is only because of major risk which are
unavoidable. Insecurity is the major primary factor that leads negative impact on the airline
sector. Only because of this, customers are losing there customers. Furthermore, some other
regulation such as policy of strict visa as well as border control. Increasing of terrorism is also an
another issue which are decreasing the travellers to travel to other destination. Still, government
of the country is investing huge fund on making the airports as well as expanding the old one. In
addition to this, inflation is also an another factor which also deceases the amount of travellers in
UK. Thus, there is no need of expansion of aviation network in United Kingdom. No airline
wanted Britain to vote leave in last year's referendum. Government is fasting their fund in
expanding the third runway and sixth terminal (Cheshire and Hay, 2017). Government should
invest there fund in others which will be very helpful for the people living in the country.
Economic Factors- This is very important factor of the economy of United Kingdom.
Aviation sector has largely depended on the economic conditions. Aviation sector is influenced
by the economic factors and does not support the economy when there is instability. For
instance, when United Kingdom has faced the period of recession when the economic growth is
very slow, at that time aviation industry is also facing the downturns. Not only premium classes,
even premium classes saw decline (Burghouwt, 2016). It is fact that, downturn in economy or in
aviation industry does not only influence the profit and growth but it directly leads to a very bad
impact on employment. Thousands of jobs were losses when UK has faced the period of
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rescission. What does it show!!! It shows that, aviation industry has no role without the
economy. UK is facing many challenges from many countries. There are many airports like
Amsterdam's Schipol, Frankfirt AmMain and Paris Charles de Gaulle are the main hubs of
competitors of Heathrow and they are developing vert fast which resulted in declining the
position of Heathrow airport. In addition to this, increasing in the price of fuels resulted in
raising the operational cost of the airline's company. They have to adopt various strategies in
order to control or reduce the cost of operations (Cornelissen, 2017). Across the world, people
are becoming very price sensitive and they are preferring more which are low in cost. Almost all
the airline industries in UK has learned the lesson from the economic fluctuation that how to
survive in the economy but government has not understanding and they are investing huge
amount. It is not a right decision the government has approved the plan for a 3rd runway at
London Heathrow. The recession of 2009, cleared that the aviation industry cannot able to work
for the economy or do not contribute anything when UK economy faced the bad times. The
decision of UK government is not fruitful for the economy of the country.
Environment Factor- Now the discussion comes to the most important factor of the UK
economy. The effect of environment factor on the aviation industry is more than compare to
other industries in United Kingdom. The decision of Government to approve the plan of
expanding London Heathrow airport is totally wrong. It is not in the favour of the citizens living
in the nations as well as the surrounding or biodiversity. The aviation industries leads to raise the
carbon emission in the surroundings which is not accepted by the environment. In today's era,
people are becoming highly concerned as well as aware of environment issues and they are
preferring only those airlines which are environment-friendly (Griggs and Howarth, 2016). It is
fact that, aviation industry is answerable for 3.5% change in weather which might be grow up to
15% in the coming days. However, airline industry are developing the programmes of corporate
social responsibility in order to address the environmental issues. But still these programmes are
not up to the mark. The expansion of airport is the very critical subjects of the environment
objection of recent periods. Indeed, during the pre-white paper consultation, it becomes crystal
clear that number of previously approved proposals which are constructing of new airport at Cliff
in Kent in Warwickshire will not get off the ground. It is true that, aircraft emission are
recognised to be pollutant (Button, 2017). The Transport departments admits that approximately
40000 people living near too the Heathrow Airport suffered from the poor quality of air and
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water. In addition to this, Research have proved that the noise of aircraft has seriously damaging
the heath of people continuously. It is very important that government should take necessary
action and should balance the economic interest of airlines. People who are leaving near to
Heathrow have rights to sleep (McManners, 2016). Thus, the decision of government for the
expansion is not good and it will not be supported.
CONCLUSION
The above report concluded that, aviation industry is one of the most important industry
for the economy of United Kingdom but it is leading negative impact on the entire economy.
This report does not support the decision of expansion of Heathrow Airport by discussing the
fact of the studies. Impact of political, economical and environment factors was discussed in this
report.
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REFERENCES
Books and Journals:
Burghouwt, G., 2016. Airline network development in Europe and its implications for airport
planning. Routledge.
Button, K., 2017. Wings across Europe: towards an efficient European air transport system.
Routledge.
Cheshire, P.C. and Hay, D.G., 2017. Urban Problems in Western Europe: an economic analysis.
Routledge.
Cornelissen, S., 2017. The global tourism system: Governance, development and lessons from
South Africa. Routledge.
Grant, R.M., 2016. Contemporary strategy analysis: Text and cases edition. John Wiley & Sons.
Shaw, S., 2016. Airline marketing and management. Routledge.
Griggs, S. and Howarth, D., 2016. The politics of airport expansion in the United Kingdom:
Hegemony, policy and the rhetoric of ‘sustainable aviation’.
McManners, P.J., 2016. Developing policy integrating sustainability: A case study into
aviation. Environmental Science & Policy, 57, pp.86-92.
Taylor, P.J. and Derudder, B., 2015. World city network: a global urban analysis. Routledge.
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