The Welsh Government are giving Cardiff Airport an extra loan of £21 million.
Raising concerns with the Welsh Labour First Minister, the amount of loans given to the airport has now increased to more than £50 million, nearly as much as the cost of buying the airport back in March 2013.
Despite being run by the Welsh Labour Government, the number of passengers going through the airport has continued to increase but is still below the 2 million passengers achieved in 2007 and the losses made by the airport have continued to grow.
In December 2012, the airport made a loss of just over £1 million however, in 2018 this had increased to £5.71 million.
Commenting on the losses, former bank manager for Lloyds TSB and Welsh Conservative Leader, Paul Davies AM, said:
“Something doesn’t add up. The airport has continued to make substantial losses and yet the Welsh Labour Government has decided to loan the airport more money, with the airport now owing more than £50 million.
“It is also concerning that despite increased passenger numbers the size of the loss continues to grow. Before being elected to the Welsh Assembly I worked in the banking sector helping small Welsh businesses to grow. However, based on the figures produced by the airport I would want to see how it can make its way back into profit and the viability of the business before extending its loan facilities.
“The airport is a vital transport hub for Wales but after 6 years of Welsh Government control something needs to change, and we can no longer give the airport a blank cheque. Even a Welsh Government senior civil servant agrees that to get it back to the private sector a new business model is needed.
“People are rightly asking what this extra £21 million could be spent on. With this extra funding we could have an additional 400 GPs, nearly 900 nurses or 700 teachers.”