Contracts or agreements between Scottish Government and airline service providers: FOI release

Information requested

1. Please provide details on any contracts or agreements in place between the Scottish Government and airline service providers. This can include any PSO agreements that are in place.

2. Please provide details of any monies paid to any aviation service firms, regardless of roles they have fulfilled, in way of state aid, financial grants, amendments to existing contracts, rate relief or similar since 1st January 2020. If this could cover:

• Menzies
• Swissport
• Loganair
• SASSE
• World Flight Services
• ABM
• OCS
• Dalcross
• HIAL
• Glasgow Airport Limited
• Aberdeen International Airport
• Edinburgh Airport Limited

Response

1. 

Airline	Contract or Agreement
Loganair	Provision of the Glasgow  to Campbeltown, Tiree and Barra air services
Loganair	Participating airline in the Air Discount Scheme
British Airways	Participating airline in the Air Discount Scheme (doesn’t receive any direct payments from the Scottish Government)
Airtask	Provision of staff for Fisheries Protection activities

You may wish to contact other Public Bodies such as VisitScotland, local authorities and the Scottish Ambulance Service who may also have contracts or agreements in place with airlines.

2. The tables below show funding provided for each company. No payments were made to Menzies, Swissport, SASSE, World Flight Services, ABM, OCS, Dalcross or Aberdeen International Airport.

Loganair

Reason for Funding	Amount (£)
Provision of the Glasgow  to Campbeltown, Tiree and Barra air services	18,590,844.46
Reimbursement for discounts provided under the Air Discount Scheme	27,110,897.34
Provision of a skeleton service to ensure basic connectivity and service to passengers travelling to and from the Scottish Islands and the Scottish Mainland during the Covid-19 pandemic	3,420,182.78
Reimbursement of IT costs relating to upgrade of Air Discount Scheme IT system	1,058.44
Provision of additional air services to Barra during summer 2022	21,254.00

Edinburgh Airport

Reason for Funding	Amount (£)
Provision of training courses in relation to bag searching	19,800.00
Costs associated with the design and implementation of systems and facilities to safely and securely manage the receipt and dispatch of international passengers to the onward quarantine facility during the Covid-19 pandemic	97,507.40
Reimbursement of costs in relation to supporting COP 26 (paid on behalf of the UK Government)	473,068.47
The Edinburgh  Airport Low Carbon Energy System - 9.9 MW of solar PV, 3.7 MW electric battery storage and 40 electric vehicle charging points. Low Carbon Infrastructure Transition Programme Grant	2,166,999.01
Edinburgh Airport Low Carbon Heat Network – Outline Business Case development. Heat in Buildings Development Funding Invitation Grant	42,350.00
Delivery of customer care training	3,951.44

Glasgow Airport

Reason for Funding	Amount (£)
Reimbursement of costs in relation to supporting COP 26 (paid on behalf of the UK Government)	270,588.41

Highlands and Islands Airports Limited (HIAL)

Reason for Funding	Amount (£)
Resource Grant in Aid to maintain operations at HIAL's 11 airports	147,318,193.69
Capital Grant in Aid to maintain operations at HIAL's 11 airports	93,698,717.48
Capital loans to support operations at HIAL's 11 airports	6,123,857.98
Administration costs for the Air Discount Scheme	1,022,156.47

Payments listed may include VAT where it was applicable.

The firms listed in the information request may have received funding indirectly through third parties but the Scottish Government records payments to primary funding recipients. For example, the Scottish Government provides funding to local authorities that may be used to
support the provision of air services. Our funding, however, is to the local authority and the Scottish Government has no direct relationship with the airline.

While I note your reference to “rate relief” it should be noted that this is not money paid to an organisation. Rather, it’s not requiring that organisation to pay a tax. In addition, non-domestic rates are administered by local authorities rather than the by Scottish Government directly. Information in relation to rates relief for the Aviation Industry was previously published by the Scottish Government. This can be viewed on the Scottish Government web site at: https://www.gov.scot/publications/foi-202000039712/

About FOI

The Scottish Government is committed to publishing all information released in response to Freedom of Information requests. View all FOI responses at http://www.gov.scot/foi-responses.