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The airport
was owned by the Borough of Luton and, even in those early days, it was
considered that Luton ought to be designated the northern terminal for London.
During the war
years, the airport was a base for 264 Fighter Squadron. It was also an
important manufacturing site at which the Percival Aircraft Company designed
and built a series of aircraft for both civil and military use.
Development of the
civil use of the airport resumed after the war and in 1952 a new control tower
was opened. The 1950's and 1960's saw the birth
of affordable holidays which combined the transport and accommodation
arrangements into a single 'package'. The 'package holiday' enabled many people
to travel abroad for the first time and laid the foundations of the immensely
successful inclusive tour holiday market.
London Luton Airport played
an important role in the development of the inclusive tour holiday business in
the UK. A key event in the growth of charter
traffic at Luton took place in 1962 with the formation of a new charter airline
called Euravia. At the end of 1964 Euravia changed its name to Britannia
Airways. Now, Britannia is one of the world's
largest charter airlines and is still based at the airport. In 1968, another
charter operation, Monarch Airlines, was formed. Monarch also developed its
business over the years and continues to have its base at Luton.
The growth of the
inclusive tour market at london Luton Airport was such that in 1969 a survey
revealed that a fifth of all holiday flights from the UK departed from Luton
Airport.
By 1972
Luton had become Britain's most profitable airport. Luton suffered a major
setback in 1974 when a major tour operator, Clarksons and its airline Court
Line, went into liquidation. This sent shockwaves throughout the travel
industry but had a major impact on Luton where Court Line was a large airline
operator.
A
Government White Paper published in 1978 recognised Luton as an integral part
of the London airports system. The airport's
committee began to prepare to take London Luton Airport into the 1990s and on
to five million passengers per annum. As part of
the development, a new international terminal building was opened by HRH The
Prince of Wales in 1985 which is still in use today. In 1986 Monarch Airlines started Monarch Crown Service scheduled
flights to Spain and Irish airline Ryanair launched scheduled services from
Luton to Ireland. This was the start of the growth of scheduled air services
from London Luton Airport which have now become over 70 per cent of the
business volume.
Another key event in 1986 was the Airports Act that required local authority
owners of airports to establish their airports as companies with a Board to
manage the business.
In 1987 Luton International Airport became a Limited Company with
Luton Borough Council as sole shareholder. The
airport was renamed London Luton Airport in 1990 to reflect its true standing
in the London airport network. By 1990 the
scheduled service traffic was growing substantially due largely to Ryanair. It
was therefore a major blow to the airport when in 1991 Ryanair moved most of
their business to the newly opened terminal at Stansted Airport.
This caused another sharp decline in the number
of passengers using london Luton Airport and put the business back into loss.
In 1991 following local elections, and after an unsuccessful attempt to sell
the airport, a new management team was appointed to stop the losses being made
by the airport and reverse the decline in passenger numbers. This changed the role of Luton Borough Council to an arm's length
shareholder. The brief to the new management team
was to run the airport on a commercial basis and produce benefits to the
Borough through the development of new business and growth of employment.
These upgraded facilities included a new air
traffic control tower, new cargo centre, the extension and refurbishment of the
passenger terminal, new access road, extension of the car parking
adjacent to the passenger terminal and the installation of Category 3
Instrument Landing System. During this period the core inclusive tour business
was boosted by the start of Airtours flights from Luton. |
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