Sale of Gloucestershire Airport will be used to settle councils' debts
The remaining income would then be shared equally between the councils.
Last updated 4th Mar 2025
Part of the income from the sale of the £25m Gloucestershire Airport will be used to pay off any outstanding debts.
Gloucester City and Cheltenham Borough Council, who jointly own the Staverton airport each agreed to borrow up to £7.5m to revamp the site in 2020.
The up to £15m revamp was agreed to pay for resurfacing the runway, improving draining, installation of new energy efficient LED lighting as well as making sure the runway continues to meet Civil Aviation Authority guidelines.
The site was put up for sale in October last year and has a guide price of £25,000,000.
And the 350-acre Staverton site, which was established in the 1930s, will be sold in its entirety.
The airport generated around £3.5m in operational income last year.
While the Meteor Business Park generates around £680,000 a year while the South East Camp business park generates around £582,000 in rental income per annum.
Gloucester City Council leader Jeremy Hilton (LD, Kingsholm and Wotton) told last week’s budget meeting at North Warehouse that money from its sale will be used, in the first instance, to settle any debts the airport owes to the two authorities.
The remaining income would then be shared equally between the Cheltenham and Gloucester authorities.
David Redgewell, a member of the public, asked what would happen when the sale of the airport goes through, and whether money would go towards protecting jobs and services.
“What happens, will there be a capital receipt for this council and Cheltenham Borough Council from the sale of Gloucestershire Airport,” he asked.
“And would that protect jobs and services the people working there.”
Councillor Hilton said they are still waiting for advice on the bids they have received.
The deadline for first stage bids for the property and business closed on January 27.
He said the first thing that would be done is debts would be settled.
“One of the conditions is that we expect the applicants to put in a proper business plan and investment plan in order to deliver further success for the airport,” Cllr Hilton said.
“Any capital we see is shared fifty-fifty between Gloucester City Council and Cheltenham Borough Council. And any debts that the airport owes will be the first to be paid off and there’s a loan for the runway.”