Airport SLBs: Heathrow at cruising altitude, Gatwick still taxiing

Heathrow has issued four SLBs tied to comprehensive emissions targets that span both ‘in the air’ (Scope 3) and ‘on the ground’ (Scopes 1, 2 & 3) categories, covering its full carbon footprint. Gatwick’s SLBs, in contrast, cover a much narrower slice of its emissions and are less ambitious.

In contrast, Gatwick’s targets exclude cruise emissions, which make up the bulk of airport-related carbon, and include an intensity-based measure, which may allow absolute emissions to rise. As such, its SLB structure offers a weaker signal to the market.

Both airports advance plans to expand capacity by building new runways, potentially altering future emissions profiles.

About the authors

Jonas David

Research Director

Based in London, Jonas researches the role of fixed income markets in the climate transition, focusing on key sectors, sovereigns and development finance. He previously worked in emerging markets fixed income at Morgan Stanley Investment Management and UBS.

Josephine Richardson

Managing Director, Head of Research

Based in London, Jo leads AFII’s research and a global team supporting fixed income investors as they align their portfolios with climate and sustainability goals. She joined AFII after 18 years in fixed income markets at JPMorgan.