Healey's growth argument

Chancellor John Healey put himself at odds with the prime minister's silence on the Heathrow third runway this week, telling reporters in Bangkok that expansion at the airport would serve uk economic growth. Airports including Heathrow, he argued, have long been part of the country's jobs and growth story.

"And the case for a third runway at Heathrow has always been a case for growth," Healey said, adding that economic growth is his and Burnham's "number one mission" in government. His position is a long-standing one: he voted in favour of the third runway when the question was put to the House of Commons in 2018.

His predecessor as chancellor, Rachel Reeves, had also placed the runway at the centre of her growth agenda, saying approval would "make Britain the world's best-connected place to do business".

Burnham's reluctance

Burnham, who arrived in No 10 in July, has avoided saying whether he thinks the runway should go ahead, suggesting instead that it is "a matter for London and Londoners".

His private views appear less neutral. According to a Sunday Times report, Burnham told transport secretary Heidi Alexander he was "unconvinced" by arguments for the megaproject.

Pressure from Heathrow's owners

The chancellor's endorsement lands as the airport's leadership applies pressure of its own. Heathrow chief executive Thomas Woldbye warned that investors could reassess their backing for the £33bn infrastructure project if it does not get the prime minister's support.

"But of course we cannot wait for ever," Woldbye said earlier this week, noting that Heathrow's shareholders would like to do the project but feel things are taking a long time.

The shareholders weighing that decision include:

• •Qatar's investment authority
• •the French private equity firm Ardian
• •Saudi Arabia's Public Investment Fund
• •Singapore's sovereign wealth fund, GIC

They are expected to decide in the coming months whether to apply for formal planning permission.

Budget backdrop

Asked in Bangkok, where he was attending the International Monetary Fund annual meetings, Healey said the government would study responses to a public consultation, which recently closed. He has since returned to London to put the finishing touches to his 28 October budget.

The IMF praised the UK this week for taking action to cut its deficit while other large economies have opted not to do so, and its managing director, Kristalina Georgieva, urged Healey to "stay the course" in his budget. Official figures released on Thursday showed the UK economy unexpectedly continued to grow in August.