Leo Varadkar (Dublin West, Fine Gael) | Oireachtas source

When I talk about state aid I am referring either to Government grants, preferential loans or subsidies. No such aid is envisaged for Shannon, nor would it be permitted under European law. There are good reasons for that. We have had a very bad history across Europe of governments using the people's money to subsidise one business or entity against another. This usually ends up with both requiring money from the state and the taxpayer the ultimate loser. State aid can only be given under strict EU rules and for particular reasons. In the case of airports, it might apply to those in isolated regions where there is no commercially viable alternative, as might be the case, for instance, in Donegal, Knock, Waterford or Kerry. The provision of such support for Shannon would require state aid clearance, which I do not expect we would get.

So far this year, new services from Shannon include Aer Lingus to Faro, United Airlines to Chicago, US Airways to Philadelphia, Flybe to Glasgow and Ryanair to Alicante. The company is in negotiations with a number of airlines, both long-haul and short-haul, regarding the provision of additional services. Those negotiations are commercially sensitive and it would not be appropriate for me to discuss them.

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