London City Airport – for sale, but caught up in a political game

After years of speculation it seems as if Global Infrastructure Partners (GIP) is set finally to dispose of London City Airport (LCY, to give it its IATA code), one of the world's few facilities that caters in the main to business travellers, and where it is a 75% shareholder.

The airport's ownership has changed twice already, during a period when it progressed from being something of a gamble to a successful money earner to a pawn in a political game. But the reasons for the disposal are not yet readily identifiable and can only be surmised.

LCY, which was originally going to be called London Churchill Airport after the wartime leader, serves the London financial district and is a major business aviation facility as well as supporting commercial scheduled flights. The airport is located on a former Docklands site three miles from Canary Wharf and six miles from the central business district, the City of London, which is in the east of the wider downtown area, accessible by the London Underground in 22-25 minutes.