Airport’s £5.5m. loss drags Ports’ accounts into the red

While airport had revenues of nearly £12m., it lost £5.5m. over the year.

But the harbours were profitable, with revenues of £11.5m. and a £850,000 surplus.

That left Guernsey Ports with an overall deficit of £4.8m. last year.

Ports board chairman Simon Thornton said the operating loss was bigger than in 2022.

‘The £2.2m. increase in income compared to 2022, driven by improvements in passenger movements, was outstripped by the growth in costs as high inflation put pressure on pay and non-pay costs,’ he said.

Guernsey Ports has already implemented a number of above-inflation tariffs , such as mooring fees.

A second review of finances began in early 2024. It will look at other cost savings and efficiencies, which could be applied in 2025.

‘We have identified several commercial opportunities, that we will be pursuing as our limited resources permit,’ Dr Thornton said.

‘The need to balance the affordability of the proposed increases against the need to reduce requirement for taxpayer subsidies at Guernsey Ports has a remained a priority for the board throughout a period of consultation.’

The original mooring fee rises provoked anger among many in the maritime community and the matter was even brought to the States.

Dr Thornton said Ports would look carefully at the potential impact of further rises before making new proposals.

The airport has been the main problem. Despite being open seven days a week, and passenger numbers rising to nearly 700,000 last year, it is still making a loss.

‘Returning the airport to profitability and maintaining the current service levels will be a particular challenge, without central funding,’ Dr Thornton said.

It is hoped that charges introduced in April will help to close to the gap, but with passenger numbers still far below pre-Covid levels, this is expected to be challenging.

Guernsey Ports invested £2.9m. in infrastructure at the ports last year, less than in 2022. At the airport, work on the central search area was completed, with updated scanning equipment.

At the harbour, Havelet slipway and the Castle Emplacement raised walkway were repaired.

The airport employs the full-time equivalent of 127 people, compared with 98 at the harbour.