Canada’s CEO’s and business leader support efforts to reduce the airport rent burden on the airline industry but they are disappointed by the Federal Government’s recently proposed deal to revise airport rents. One CEO typified this sentiment with the comment, “The current rent structure is crippling an already fragile industry that contributes greatly to the economic development of the communities the airports serve!”

This week’s online panel of business leaders, published in the Financial Post under the sponsorship of BDO Dunwoody and the Canadian Chamber of Commerce, were asked to rate components of the airport deal and the principles behind the airport rent structure. These questions were a follow up to the March 21st CEO poll, where business leaders expressed strong concern for the airline industry and its tax burden.

On balance, nearly three quarters of respondents say airports should be paying less or no rent at all to the Federal Government. Further, respondents are concerned about the proposed rent structure insofar as it has the effect of:

• increasing Pearson Airport’s proportion of the Government’s gross rent income to 60%, while the airport is responsible for a third of the nation’s travel, and
  
  
• appearing as politically motivated, providing substantial rent reductions for airports serving two key Liberal ridings, Ralph Goodale’s in Regina and Anne Mclellan’s in Edmonton.

View / Download complete poll in PDF