Heathrow unveils GBP 1.3bn upgrade plan focused on terminals, baggage, AI

- A Monitor Report Date: 01 January, 2026
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London : London Heathrow Airport has announced a GBP 1.3 billion infrastructure investment scheduled for 2026, aimed at improving efficiency, reliability, and passenger experience across the airport. The funding is part of Heathrow's ongoing capital program and will not increase the airport's overall size or capacity.

The center-piece of the plan is the modernization of Terminal 4. Construction will take place while the terminal remains operational, with redesigned check-in areas and a new multi-storied car park built alongside it. Heathrow says the new layout will better reflect current travel habits, combining self-service technology with traditional check-in, while easing access from curb to security.

Significant changes are also planned behind the scenes at Terminal 2, where a new baggage handling system will be installed, capable of processing up to 31,000 bags a day.

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