State-backed Prestwick Airport posts a fresh loss

PRESTWICK Airport remains stuck in the red, but it is making headway on cutting losses, new accounts for the state-owned asset are expected to show.

The airport, which was taken into public ownership by the Scottish Government in 2013, reported a total loss of £3.8 million, including loan interest, for the 12 months ended March 31. It made a total loss of £7.6m the year before. A statement released by the airport last night signalled that operating losses had been cut to £1m over the period from £3m last time, while revenue grew by 35% to £24.6m.

And it declared the airport, which is owned by TS Prestwick Holdo, a private company wholly-owned by the Scottish Government, has made a “significant operating” profit for the first six months of the current financial year, without disclosing a figure.

Chief executive Stewart Adams said: “The turnaround of the business is continuing apace. The long-term strategic goal of developing all our potential revenue opportunities whilst strictly controlling our cost base is producing positive results. We are far from complacent, but the signs are very encouraging.”

The statement issued yesterday said growth at the airport has been driven by “additional non-passenger and other aviation activities”.

The airport said: “Cargo growth was strong, and we expect this growth to continue as we expand our business development activity in this sector and further develop discussions with other dedicated cargo carriers.

“Glasgow Prestwick continues to be a vital strategic transatlantic fuel stop location for both military and commercial aircraft.”

No information was provided yesterday on the loan provided to TS Prestwick Holdco by the Scottish Government. The most up to date accounts for Prestwick show TS Prestwick Holdco had a loan of £38.4m from the government at March 31, 2018. The interest was £986,000 for the year to that date.