The Isles of Scilly Steamship Group – owner of Skybus (United Kingdom) (IOS, Land's End) – has lodged a judicial review of a council planning decision for a heliport at Penzance, reports Cornwall Live. The review has sparked claims by Scilly Isles residents that the company, which currently enjoys a monopoly in the Scilly transport market, is exploiting its position.

The Council of Cornwall approved plans for the £2 million heliport in February, with services to be provided from Penzance to the islands of St. Mary's and Tresco by spring 2018. The plan received more than 2600 messages of support, and 20 objections. It is being funded by the private owner of Tresco Island, Robert Dorrien-Smith.

A helicopter service had previously run from the mainland to islands in the Scillies from 1964. The most recent carrier, British International (Cardiff), ran 5x daily flights to St. Mary's and 4x daily services to Tresco but ceased in October 2012, leaving Skybus the sole competitor with its four DHC-6s.

The Steamship Company contends that a reinstated helicopter service will reduce traffic at Isles of Scilly St. Mary's airport by 25%, putting in jeopardy the future of the airport and its own business. It also says that the islands simply do not have the capacity for another air carrier.

"We're not afraid of competition and if it comes we will compete vigorously," Steamship Group CEO Rob Goldsmith said. "But we do not believe it is in the best interests of Scilly as a whole if the return of helicopter services results in two unprofitable or weak operations that struggle to fund essential upgrades in Scilly's transport system, including a replacement Scillonian III ferry."

As well as the Skybus fixed-wing service from Land's End Airport, the Steamship Group also operates a passenger ferry and sea freight to and between the Scilly Isles.

Coordinator of Friends of Isles of Scilly Transport (FRIST), Marian Berkeley, has said that the Scilly Steamship Group's actions are anti-competitive. "This action is against the best interests of the community especially as it is being taken immediately following a prolonged period of flight disruption, sometimes for days on end," she said.

The Steamship Group denied it operated a monopoly and reiterated its prime concern was sustainability.

"We are not against a helicopter operation but believe it would be better to use the existing excellent facilities at Land's End Airport rather than inefficiently duplicating what's there," a spokesman is reported as saying.

In an email to ch-aviation, Corporate Communications Manager for Cornwall Council, Trisha Hewitt, said that the council continues to support the heliport.

"The Council notes the decision of the Scilly of Steamship Company to seek a judicial review and will robustly defend the decision taken by the Strategic Planning Committee to grant planning permission for a new Heliport at Penzance," Hewitt said.