Legal Commentary on Heathrow Hub Ltd & Anor v. The Secretary of State for Transport: Upholding the Airports National Policy Statement

Legal Commentary on Heathrow Hub Ltd & Anor v. The Secretary of State for Transport

Introduction

The case of Heathrow Hub Ltd & Anor v. The Secretary of State for Transport ([2019] EWHC 1069 (Admin)) is a pivotal judicial review concerning the designation of the Airports National Policy Statement (ANPS). This designation, made under the Planning Act 2008 (PA 2008), endorsed the expansion of Heathrow Airport through the construction of a third runway, known as the North West Runway (NWR) Scheme. The Claimants, Heathrow Hub Limited (HHL) and Runway Innovations Limited (RIL), supported the expansion but opposed the NWR Scheme, advocating instead for the Extended Northern Runway (ENR) Scheme.

Summary of the Judgment

The High Court examined several grounds put forth by the Claimants challenging the ANPS designation. Grounds 1 through 5 addressed issues ranging from alleged breaches of European Union (EU) law to procedural unfairness and lack of adequate reasoning in the ANPS. The court meticulously analyzed each ground, ultimately finding that all were unsubstantiated. Ground 2, concerning legitimate expectation, was deemed arguable but ultimately failed due to insufficient evidence of a clear and enforceable expectation. Grounds 4 and 5, related to capacity and safety, were dismissed based on robust assessments by the court. Ground 1, alleging abuse under Articles 106(1) and 102 of the Treaty on the Functioning of the European Union (TFEU), was likewise rejected. The court concluded that the Secretary of State’s decision to endorse the NWR Scheme was lawful and adequately reasoned.

Analysis

Precedents Cited

The judgment referenced several key cases and legal principles to shape its reasoning:

  • R (Mott) v. Environment Agency [2016] EWCA Civ 564: Emphasized judicial restraint in areas involving expert determinations.
  • R v Devon County Council ex parte Fewings [1995] 1 WLR 1037: Defined categories of consideration in public decision-making.
  • Ambulanz Glückner v Landkreis Südwestpfalz [2002] 4 CMLR 21: Addressed how state measures can affect competition under TFEU.
  • Hoffmann-La Roche v Commission EU:C:1979:36: Clarified that dominance alone does not constitute abuse under TFEU.

Legal Reasoning

The court employed a structured approach to assess each ground:

  • Grounds 1 and 2: Focused on potential breaches of EU law and legitimate expectations. The court found that the Secretary of State did not breach any such expectations as there was no clear, unambiguous promise binding the decision-making process.
  • Grounds 4 and 5: Dealt with capacity and safety concerns. The court upheld the ANPS’s assessment that the NWR Scheme offered superior capacity and resilience, supported by expert analysis. Safety concerns related to the unprecedented nature of the ENR Scheme were deemed adequately addressed.
  • Ground 1: Examined potential abuses under Articles 106(1) and 102 TFEU. The court determined that there was no evidence of dominance abuse by HAL and that the state's measures did not facilitate any such abuse.

The court emphasized the importance of objective deliverability over promoter-specific factors, aligning with the Airports Commission’s recommendations and ensuring that the decision was based on merit rather than commercial guarantees.

Impact

This judgment reinforces the principles of administrative law, particularly regarding judicial reviews of governmental policy designations. It underscores the necessity for clear, objective reasoning in policy endorsements and limits claims based on perceived procedural unfairness or expectations without substantive legal backing. For future cases, this serves as a precedent that complex policy decisions, especially those involving infrastructure and regulated markets, require robust, merit-based justifications that can withstand legal scrutiny.

Complex Concepts Simplified

Deliverability

Deliverability refers to the feasibility of implementing a proposed development considering factors like environmental impact, capacity, and financial viability. In this case, the NWR Scheme was deemed more deliverable than the ENR Scheme due to established operational frameworks.

State Measure

A State Measure encompasses laws, regulations, and administrative actions by the government that can influence market competition. The court assessed whether the Secretary of State’s actions constituted such a measure under EU law.

Legitimate Expectation

Legitimate Expectation arises when a public authority makes a promise or follows a consistent practice that individuals rely upon. The Claimants argued that they had an expectation the Secretary of State would consider their Scheme without needing a commercial guarantee from HAL, which the court found unsubstantiated.

Conclusion

The High Court's judgment in Heathrow Hub Ltd & Anor v. The Secretary of State for Transport reaffirms the necessity for governmental decisions, especially those with significant economic and infrastructural implications, to be grounded in objective assessments and expert recommendations. By dismissing the Claimants' grounds, the court affirmed the legitimacy of the Airports National Policy Statement's endorsement of the NWR Scheme. This case sets a clear benchmark for the depth and robustness required in judicial reviews of policy decisions, ensuring that such processes are insulated from unfounded claims of procedural impropriety or illegitimate expectations, thereby maintaining the integrity of public administration and policy formulation.

Overall, this judgment emphasizes the judiciary's role in upholding lawful and reasoned decisions by public authorities, especially in matters of national infrastructure and economic significance.

Case Details

Year: 2019
Court: England and Wales High Court (Administrative Court)

Judge(s)

MR JUSTICE HOLGATELORD JUSTICE HICKINBOTTOMMR JUSTICE MARCUS SMITH

Attorney(S)

Martin Kingston QC, Robert O'Donoghue QC, Satnam Choongh and Emma Mockford (instructed by DAC Beachcroft LLP) for the ClaimantsRobert Palmer QC, Alan Bates, Richard Moules and Andrew Byass (instructed by Government Legal Department) for the Secretary of State for Transport

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