While major hubs such as London Heathrow and Gatwick will also face significant rises, the sharpest increases are concentrated outside the capital. Calculations by global tax firm Ryan, based on Valuation Office Agency (VOA) figures, show that rateable values at some regional airports have surged by more than six-fold following the latest property revaluation.
Even with transitional relief limiting increases to 30% in 2026, many regional airports will see cash increases among the largest in the country.
Manchester Airport is the worst affected, with its business rates bill projected to rise £4.2 million to £18.1 million. Bristol Airport will see an increase of £1.2 million to £5.2 million, while Birmingham International Airport faces a £1.8 million hike to £7.6 million. Newcastle International Airport’s bill is set to rise £244,755 to £1.1 million.
Alex Probyn, practice leader for Europe and Asia-Pacific property tax at Ryan, said:
“With an unprecedented 295% sector-wide uplift, regional airports simply cannot absorb a cost shock of this magnitude. These increases will inevitably flow through the system: first into airport charges, then into airline costs, and ultimately into ticket prices.”
Airport operators have also warned that the tax spike could impede investment in the sector. A Manchester Airports Group spokesperson said:
“Airports were already some of the highest rates-payers in the country and were prepared to pay significantly more. But increases of more than 100% mean we have to reconsider our plans to invest over £2 billion in our airports across the UK over the next five years. It is inevitable air travel will become more expensive as the industry absorbs these costs, impacting passengers and making global trade harder for businesses.”
AirportsUK, the trade body representing the sector, criticised the government’s plans as “short-sighted”, warning of knock-on effects for local economies reliant on airport connectivity. The group stressed that regional businesses, supply chains, tourism, and trade could all be negatively affected.
“That is why the long-term review into how airport business rates are calculated, also announced by the Government, is so important. We will engage with Treasury to ensure this delivers the positive outcome airports need to drive investment and economic growth,” AirportsUK added.
Other regional airports facing steep increases include Liverpool Airport (£233,100 rise to £1 million), East Midlands International Airport (£437,895 increase to £1.9 million), and Bournemouth Airport (£102,398 increase to £443,723).
