Front Burner Should Canadian airports be privatized?
May 12, 2026
Linda McQuaig, veteran journalist and activist known for critiquing corporate influence, discusses airport privatization in Canada. She explores why investors target airports. She contrasts nonprofit airport models with for-profit takeovers. She highlights examples like the 407 and UK rail to show potential cost and accountability problems. She proposes public alternatives such as expanded Canada Post services.
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Privatization Raises Hidden Travel Costs
- Privatizing airports shifts incentives from public service to profit, which typically raises costs for travellers.
- Linda McQuaig explains private owners raise landing fees that airlines then pass onto ticket prices, hiding the true cause of higher fares.
Airports Appeal To Investors Because They Are Monopolies
- Infrastructure assets attract investors because they're regulated monopolies with captive customers and predictable revenue.
- McQuaig cites a 2022 NBER study of ~2,400 airports showing privatized ones tended to lead to higher prices overall.
407 Highway Shows Privatization Backfires
- The privatized 407 toll highway shows loss of public control and rising costs after sale.
- McQuaig recounts the 99-year lease, skyrocketing tolls, and how the 407 stopped serving as a relief route for the congested 401.
