Taxpayers’ airport sweetens the deal to win military flights and millionaires’ private jets

PRESTWICK airport has slashed costs for military and private jets, industry sources claim.

We can reveal bosses at the loss-making Ayrshire airport – which owes the taxpayer more than £30m – are charging up to 80% less than rival airports for servicing US military flights transporting troops over the Atlantic.

The airport is on the lookout for its fourth chief executive in three years after ex-boss Ron Smith suddenly left after just 15 months in post and business development director Mike Stewart resigned on medical grounds last month.

We can also reveal that Prestwick’s contract with its last remaining passenger carrier, Ryanair, runs out in four months’ time and no new deal has been agreed so far.

Labour MSP Jackie Baillie, who heads up Holyrood’s public audit committee, said: “It is disgraceful that Scottish taxpayers are effectively subsidising foreign military forces, including the United States, through these discount rates.

“How can we have any confidence that we will see the tens of millions of pounds of loans repaid?

“Enough is enough, the Scottish Government needs to stop burying its head in the sand over Prestwick and work out a way forward for the airport.”

A plan to return it to private ownership within the next five years cites increasing military traffic, whereby overseas forces use Prestwick as a refuelling stop, as a key part of the turnaround.

The airport made just over £1m in revenue from military flights in 2016/17.

Bosses refuse to say which overseas armed forces they deal with but aviation enthusiasts have spotted military aircraft arriving at Prestwick from countries including the United States, Canada and Kuwait. The Sunday Post has seen documentation which shows Prestwick is charging £280 to service military flights compared to just under £2100 for the same type of flight at a rival airport.

It is understood the same low charges are being offered to private jets transporting VIPs and business leaders.

Golf at Turnbery, where a round can cost £350, has also been arranged for some personnel involved in booking flights into the airport as bosses move to win repeat business.

Economist Tony Mackay, who has written extensively about the country’s publicly-owned airports, said: “Prestwick has experienced a large fall in passenger numbers in recent years and incurred huge financial losses.

“The Government should cut its losses and pull out.

“The best solution is for Prestwick to forget the scheduled passenger market and concentrate on military business, charter flights and other specialist services.

“If it stopped scheduled passenger flights the airport could reduce its costs enormously and begin to make profits.”

Latest accounts for Prestwick – bought by the taxpayer for £1 in 2013 – show a £9.21m loss in 2015/16.

SNP ministers have set aside £9.4m for the nationalised hub.

This will take the amount of taxpayers’ cash tied up in loans to the airport to £40m.

An airport spokesman said: “Glasgow Prestwick Airport is an important strategic infrastructure asset for Scotland.

“Our military and cargo activities provide significant revenue streams which supplement our passenger operations, and are an important part of our five year strategic plan to return the airport to profitability.”