Stansted airport gets expansion go-ahead

By Tim Castle

LONDON (Reuters) - The government granted London's third-largest airport Stansted permission on Thursday to increase flight capacity by 10 percent, overruling a local authority which had banned the expansion on environmental grounds.

New Transport Secretary Geoff Hoon said the airport, operated by BAA, would be able to raise flights to 264,000 a year from 241,000.

The maximum number of passengers allowed to use the single runway airport in Essex would climb to 35 million a year from 25 million, he said.

"This is great news for the millions of leisure and business travellers who depend on Stansted to keep them connected with Europe and the wider world," said the airport's managing director, Stewart Wingate.

But the move was condemned by local councillors who had refused permission because of noise and environmental concerns.

"Residents already find the level of aircraft noise extremely disturbing and allowing BAA to increase the amount of air traffic marks a further erosion of our quality of life, particularly for all those living near Stansted Airport," said Jim Ketteridge, leader of the local Uttlesford District Council.

The decision came a day after a local authority gave permission for London City Airport near the capital's Canary Wharf financial district to expand to 120,000 flights a year from 80,000.

The airport is half-owned by American insurer AIG, which is selling its stake to co-owner Global Infrastructure Partners to help repay up to $85 billion (49 billion pounds) borrowed from the U.S. government.