Cardiff Airport Passenger Numbers Rise 9% Amid Legal Challenge Over Subsidy
Cardiff Airport Sees 9% Passenger Rise Amid Subsidy Legal Battle

Cardiff Airport Reports Significant Passenger Growth in 2025

Cardiff Airport has achieved a notable increase in passenger numbers, with a rise of nearly 10% in 2025 compared to the previous year. The Rhoose-based facility, which is fully owned by the Welsh Government, welcomed 963,000 passengers last year, marking a 9% growth from 2024. Additionally, air traffic movements saw a 4% increase, supported by substantial expansions from key airlines such as Ryanair and TUI.

Cargo and Route Development Initiatives

Cargo volumes at the airport also experienced a positive trend, with a 7% increase driven by a new base established by European Cargo. The airport is actively investing in route development, with plans for new services scheduled for this year and 2027. Ryanair is set to operate its busiest summer season ever at Cardiff, celebrating 12 years of operations with enhanced frequency across its five routes.

Meanwhile, TUI will base a fourth aircraft at the airport for the summer season, leading to increased frequencies to destinations like Antalya, Enfidha, Gran Canaria, Palma, and Tenerife. New routes to Faro and Hurghada have also been introduced, with further growth planned for the 2026-27 winter season, including services to Kittilä in Finland and the Dominican Republic.

New International Connections and Economic Impact

In a significant development, Canadian low-cost carrier WestJet will launch a new four-times-weekly service from Cardiff to Toronto Pearson Airport starting May 23. This route, which connects to major Canadian and U.S. cities, has released 21,320 seats for sale in its inaugural summer season, with both the airport and airline expressing satisfaction with early sales performance.

Other airlines, including KLM with twice-daily services to Amsterdam and Vueling to Malaga and Alicante, continue to provide connectivity. Additionally, P&O Cruises has expanded its fly-cruise programme with extra flights to Barbados and a new destination, though the airport has not provided a projected passenger figure for 2026.

Legal Challenge Over Welsh Government Subsidy

The airport's ability to sustain and accelerate passenger growth faces a potential hurdle due to a legal challenge from Bristol Airport. Last month, the Competition Appeal Tribunal heard arguments regarding the Welsh Government's plans to provide £205m in subsidy support over ten years to Cardiff Airport. Approximately £100m of this funding is earmarked for route development, with the long-term goal of reaching two million passengers annually, compared to 1.6 million in 2019 before the pandemic.

Bristol Airport, which served 10.8 million passengers in 2025—including around two million from South Wales—argues that the subsidy breaches the post-EU state aid regime under the Subsidy Control Act 2022. It claims the funding represents unprecedented state support and could create a commercial disadvantage. In contrast, the Welsh Government maintains that Cardiff Airport is not a failing enterprise and plays a vital role in the Welsh economy, with an economic assessment by Grant Thornton estimating a £220m gross value added impact.

Financial Performance and Leadership Changes

The subsidy is intended not only to attract new routes, including more long-haul options alongside WestJet, but also to diversify revenue streams away from passenger-related income. Target areas include aviation maintenance, repair, and overhaul (MRO) and freight. A judgment from the Competition Appeal Tribunal is not expected before the Senedd Election in May and would be subject to appeal.

Financially, the airport reported revenues of £19.8m for the year ending March 2025, up from £19.33m the previous year. On a pre-EBITDA basis, it posted a positive £5.7m, but after accounting for an £11.8m Welsh Government grant linked to a post-Covid recovery plan, the EBITDA figure turned negative at £5.57m. Since its acquisition by the Welsh Government in 2013 for £52m, the airport has invested nearly £200m and accumulated losses of around £60m.

In leadership news, former chief executive Spencer Birns resigned in March last year, receiving a £151,088 payment in lieu of notice. His successor, Jon Bridge, took over in November, bringing experience from his previous role as chief executive of SA Brain and Co.