On Tuesday, 17 November 2020 Transport Secretary Grant Shapps signed the Air Services Agreement between the UK and the US, a bilateral agreement which will safeguard air travel on some of the world’s busiest aviation routes and ensure a continuity of UK-US air operations post-Brexit. The Agreement was previously signed on behalf of the US by Secretary of State Mike Pompeo and Transportation Secretary Elaine Chao, and is now set to enter into force on 1 January 2021. So, what is the practical relevance of the bilateral agreement for aviation between the two countries?
The Department for Transportation estimates the UK-US trading relationship to be worth over £230 billion, with tens of millions of passengers flying cross Atlantic routes each year making a major contribution to this amount. It has therefore been of vital importance to both parties to ensure commercial certainty and continuity of air operations not only to contribute to the economy, but also to foster the “special relationship” between the UK and the US, and now more than ever in such unprecedented times.
The UK is currently in the Brexit transition period until 31 December 2020, during which time flights between the UK and the US are operated under the existing EU-US Open Skies Agreement. The new Air Services Agreement will ensure that there is no disruption to operations, and that air services between the UK and the US may continue without interruption – passengers should see no immediate changes and may continue to travel as usual.
Notably, the scope of the Agreement includes access to the UK Overseas Territories and Crown Dependencies for US airlines, which were not previously included in the EU-US Open Skies Agreement. This is in line with the UK’s traditionally liberal aviation market and will offer greater choice for consumers.
Although UK airlines will no longer be able to operate EU-US flights without stopping in the UK, all-cargo operators will receive more flexibility and a UK operator could operate all-cargo flights from the US to any third country, without touching the UK, provided that third country agreed.
Despite the uncertainty caused by Brexit across numerous sectors, the UK’s airports remain some of Europe’s busiest, offering global connectivity and serving numerous international carriers even in the face of Covid-19. The Air Services Agreement provides a strong degree of certainty, and will bolster consumer confidence in the embattled aviation industry.
New Year’s Eve in Times Square? Don’t forget your mask, and we’ll see you there.