The airport operator restated its aim of attracting a direct link air service between mainland Europe and the Highlands, most probably to its principal passenger hub of Inverness Airport.

HIAL already has a successful working relationship with Europe’s leading no frills carrier easyJet that has operated an Inverness to London Luton link since 1996. easyJet will start operating an Inverness to London Gatwick daily service at the beginning of February.

Bob Macleod, Managing Director of HIAL said: "In our own submissions to the committee we stressed the economic importance of our airports and the positive impact that easyJet has had to the Highland economy, bringing millions of pounds into the region.

"The Scottish Executive has already made more than £1million in additional funding available to us through the Route Development Fund (RDF) to develop new non-domestic routes from our airports and Highlands and Islands Enterprise has added a further £300,000 to this resource. We have also formed a Highland RDF steering group involving the public and private sectors in the region to inform this development strategy to accrue the widest possible benefits.

"Our remote geographical location poses certain problems when trying to attract a no frills link between the Highlands and Europe but we are confident that our ongoing relationships with a number of potential operators will bear fruit and bring significant economic benefits to the region."

The Future of Tourism in Scotland report also criticised the PFI deal at Inverness Airport which involves a volume payment based on passenger numbers.

Mr Macleod said: "The PFI deal that saw the construction of the new air terminal at Inverness was the only deal on the table at the time and we had no choice but to accept it. We could not foresee the problem that the volume-based payment method would present. The PFI charges for which we are liable rise as more passengers use the terminal at Inverness and this obviously makes it harder for us to develop new routes. We are currently negotiating with the PFI consortium to agree a less restrictive arrangement and have the full backing of the Scottish Executive in this. We are confident that the findings of the report will add weight to our arguments and hopefully result in us having more commercial leeway to develop vital European air links to the region."

ENDS