The chancellor has hinted the government would support a third runway at Heathrow Airport, saying “sustainable aviation and economic growth go hand in hand”.
Rachel Reeves told the BBC she would not comment on “speculation” and the government would set out its plans in due course.
However, she said a third runway at Heathrow “will mean that instead of circling London, flights can land” and that sustainable fuel was changing the carbon emissions from flying.
Reeves is expected to make an announcement backing airport expansion next week, as part of major speech on plans to boost the economy.
Asked if this was likely to include Heathrow, the chancellor did not answer directly but said the government had already signed off the expansion of London City Airport and Stanstead.
“That will be good for investment and trade in our country and also good for families wanting to go on cheap holidays,” she told the BBC’s Sunday with Laura Kuenssberg programme.
Reeves was also challenged over whether she agreed with criticism from Labour mayor of London Sadiq Khan that expanding Heathrow would have a damaging impact on air quality, noise and the capital’s ability to reach net zero.
In response she said “a lot has changed in terms of aviation”, with investment in sustainable fuel and electric planes.
The chancellor added: “I believe that clean energy, that reducing our carbon emissions are good for economic growth.”
