News / GXO to provide retail consolidation at London Luton Airport

Photo: GXO

Pure-play contract logistics operator GXO is set to make its presence felt at London Luton Airport, signing a deal to develop the gateway’s first consolidation centre.

The airport, which largely serves intra-European passenger flights and is the main UK hub of easyJet, is the country’s fifth largest, seeing 17.5m passengers in 2025, but its growth has not been without problems and has often been voted as London’s worst, in terms of passenger experience.

However, last year the UK government approved plans for a £2.4bn ($3.28bn) expansion of its facilities.

Due to be completed in the first half of this year, the new GXO consolidation centre will be located in one of three hangars being repurposed “as part of an £11.5m refurbishment programme that includes two new aircraft engineering and repair hangars”, pictured above.

The consolidation facility will serve the airport’s shops and restaurants, handling high-end fashion, perfume and cosmetics, and consumer electronics, with GXO checking and delivering every item passengers can buy in the terminal, as well as deliveries that support airside operations.

“The opening of a dedicated, purpose-built consolidation centre provides London Luton Airport with a smarter, more efficient and streamlined logistical approach to managing the hundreds of thousands of goods that are delivered to over 40 shops and restaurants across the airport each year,” said Neil Thompson, chief operations officer at London Luton Airport.

“In 2025 alone, we welcomed five new shop and restaurant openings to the terminal, with more expected this year for our passengers to explore and enjoy. We’re delighted to be working with GXO to develop this facility that will allow us to accept deliveries into one central hub for secure and efficient screening,” he added.

Part of the contract will see GXO implement its bespoke STREAM [Secure, Technical, Real Time, Electronic Alerts and Messaging] IT system, which will be linked to the airport’s retailers and provide real-time track and trace notifications and provide more streamlined trouble-shooting.

“For retailers, this ensures stores are consistently stocked with the right merchandise at the right time – its flexibility allows GXO to adjust delivery schedules dynamically, safeguarding multi-temperature goods and priority items, even during unexpected disruptions,” GXO said.

“We are excited to partner with London Luton Airport on its first consolidation centre,” said Martin Cooper, MD of technology and consumer goods at GXO UK and Ireland. “As air travel continues to grow, consolidation centres play a pivotal role in driving efficiencies and improving sustainability for airport groups, and we’re looking forward to streamlining London Luton Airport’s delivery process, making it more efficient, further automated and secure.”