BAA is reported to have paused work on Terminal 2 amid uncertainty over government aviation policy.
The £2bn project could be the first casualty of government’s inability to make a decision over where to expand aviation capacity in the South East. Reports in Building Magazine suggest that a second phase of Terminal 2 at Heathrow Airport has been shelved, as it is not included in a draft of BAA’s next five-year investment plan.
The news follows the announcement of the departure of BAA’s capital director Steve Morgan.
Phase one of Terminal 2 will add capacity for another 20m passengers a year. The second phase of the project was to have taken capacity to 30m.
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