Air traffic control for commercial flights started in 1920 when Croydon was first used as London's air terminal - but all the controller could do was give the pilot a red or green light for take-off and acknowledge position reports sent by radio.
After the war
After the War, ATC was the responsibility of the Ministry of Civil Aviation, and the network of air routes used today began to develop in the 1950s.
Heathrow in 1968.
National Air Traffic Control Services (NATCS) was established in December 1962, as a 'unified national organisation' covering civil ATC but liaising with the MoD (RAF) in areas where military traffic needed to cross civilian routes.
National Air Traffic Control Services became National Air Traffic Services when it was made part of the Civil Aviation Authority (CAA) when that organisation was established in April 1972. Access to capital investment (repayable) was only through the Public Sector Borrowing Requirement.
Privatisation was first mooted in 1992, and although that debate came and went, it was recognised that as a service provider, NATS should be operated at some distance from its regulator (the CAA), so NATS was re-organised into a Companies Act company in April 1996 and became a wholly-owned subsidiary of the CAA.
The Public-Private Partnership for NATS was proposed in June 1998, and enshrined in the Transport Act 2000. Government chose the Airline Group as the preferred partner in March 2001 and the transaction was completed in July 2001 with the sale of 46% (to the AG) and the devise of 5% to staff. Although the Government retained the balance, the company was finally free of Treasury control.
Heathrow in the 1950's.
The aviation industry downturn after September 11 2001 led to a financial restructuring of NATS, involving £130 million of additional investment (£65m each from the Government and BAA plc), which reduced borrowings.
BAA plc took a four percent shareholding, reducing the Airline Group's holding to 42%. Debt was further reduced by a £600 million bond issue, successfully completed in October 2003.
In 2003, NATS launched its ten-year £1 billion investment programme with the announcement of a complete renewal of its radar network. Since then, it has been working with Nav Canada on a new system for Oceanic control, entering service later in 2006, announced a study with the Irish into the development of Europe's first Functional Airspace Block and launched a Joint Venture company with the Spanish to develop the next generation of air traffic management systems for Europe.
