Gloucester council delegates completion of Gloucestershire Airport sale, citing financial strain and protections for operations

Gloucester City Council voted at a special meeting to delegate authority to the managing director, in consultation with the chief finance officer and the council leader, to complete the sale of Gloucestershire Airport to the recommended bidder, subject to final due diligence and legal safeguards.

The leader, Councillor Hilton, who led the recommendation, said he was a "reluctant seller" but argued the airport has run losses for years and requires substantial capital to maintain the runways, build hangars and install operational radar. He told councillors the procurement process produced two shortlisted bids and the council is recommending "bid 1," which his office judged to have stronger aviation experience and a higher equity share. "There will be covenants in place to protect the airport and protect the operations," Hilton said, adding the buyer has asked to complete in about 12 weeks.

Why it matters: councillors said the council lacks the capital and in-house expertise to make the investments the airport needs and that continuing ownership risks deeper losses or closure. Supporters framed the sale as a way to secure private investment, protect jobs and recover funds that will be returned to council accounts after debt is repaid. Opponents warned that sale terms must guard against future development that would end airport operations.

Public questioners and councillors pressed for legal and financial safeguards. David Ridgewell, speaking for transport user groups, asked, "How strong will that covenant be against future development...and are we making sure that the successor authority...are actually going to take account of protecting that airport as an operational airport?" Hilton replied the covenants and overage charges "will be robust" and would be negotiated in detail and transferred to any successor local authority, but he acknowledged some limits on the maximum covenant period the council can impose in sale documents.

Councillors raised three recurring concerns: the legal durability and length of covenants, the design of overage provisions that would return value to the council if the land later changes use, and transparency about commercial figures. Councillor Alastair Chambers criticized redactions in the exempt papers and called for longer or permanent overage protections, saying residents were being short-changed. Councillor Pulliam described the airport as a "financial noose" but said Labour members would support the sale to protect jobs and businesses. Councillor Bell argued the land could serve housing needs, urging the sale proceeds be returned to local taxpayers.

What the council approved: the motion asked that delegated authority be given to the managing director, in consultation with the chief finance officer and the council leader, to complete the sale to the recommended bidder identified in the exempt appendix, "subject to final due diligence." Councillors agreed to a recorded vote; the chair announced the motion was carried and gave the tally reported in the meeting as 25 for, 4 against and 2 (the transcript phrasing was ambiguous on the final two counts). The council will proceed with completion steps and officers will work with Cheltenham Borough Council and solicitors to finalize the disposal.

Numbers and next steps: councillors were told the bidder requested a 12-week completion period. The leader said the sale proceeds would first clear airport debts in the report and any remaining capital receipts would be shared between the two councils and go into council accounts; one councillor noted the report states receipts are ring-fenced for capital. Officers will continue to negotiate covenant and overage drafting in the legal documents before final sign-off.

The meeting closed after the recorded vote. The council's delegated authority resolution does not itself change operational protections; those protections will depend on the final legal agreements negotiated in the coming weeks.