GXO to operate Luton Airport’s first airside consolidation hub and deploy STREAM monitoring

GXO Logistics will operate London Luton Airport’s first consolidation centre, screening all airside deliveries and handling retail, foodservice and critical operational supplies from a repurposed hangar within an £11.5m terminal refurbishment.

Facility scope and immediate functions

The centre is designed to process inbound goods for more than 40 shops and restaurants at the airport, plus items supporting airside operations. It will inspect, secure and distribute high-value retail lines — fashion, perfumes, cosmetics, consumer electronics — and handle stock for F&B outlets. The operation includes continuous screening of critical airside supplies to maintain security and operational continuity.

Operational footprint

The consolidation hub occupies one of three former aircraft hangars that have been converted as part of the refurbishment. GXO’s remit covers intake, скрининг, secure storage, and last-leg delivery into terminal zones, with an emphasis on on-time performance and traceability.

Technology and monitoring: STREAM

GXO will implement its bespoke IT platform, STREAM (Secure, Technical, Real Time, Electronic Alerts and Messaging), to provide real-time status, exception reporting and SLA management. STREAM is positioned to feed automated track-and-trace alerts to concessionaires and airport operations, enabling 24/7 troubleshooting and performance dashboards.

Why consolidation matters at airports

Consolidation centres at airports do more than tidy up paperwork — they compress supply chains, reduce vehicle movements and centralise security screening before airside transfer. At a busy regional hub like Luton (17.5 million passengers in 2025), tighter inbound freight flows translate into fewer ad-hoc deliveries, reduced queueing for security screening and improved predictability for retail replenishment.

Expected stakeholder benefits

• Concessionaires: Real-time alerts, reduced stockouts and higher on-shelf availability.
• Airport ops: Fewer late or unvetted airside deliveries; streamlined security checks.
• GXO: Centralised handling that enables route planning and reduced double-handling.
• Environment: Fewer vehicle trips and consolidated loads can reduce emissions per unit moved.

Service model and key performance indicators

The centre will operate with a mix of scheduled intake windows and exception handling for urgent items. Key KPIs will include on-time delivery, screening throughput (items/hour), percentage of shipments online-tracked and incident resolution time.

Services offered

• Secure intake and airside screening
• Inventory staging and bespoke handling for fragile/high-value items
• Last-leg delivery into terminal zones with documented proof-of-delivery
• 24/7 troubleshooting and direct communication channels with concessionaires

Operational challenges and mitigation

Turning a hangar into a high-throughput consolidation centre brings issues: segmentation between secure and non-secure zones, adapting handling equipment for retail SKUs, and integrating disparate supplier data feeds. GXO’s approach ties physical process changes to STREAM’s digital controls, enforcing chain-of-custody and enabling rapid anomaly detection.

Practical mitigations

• Strict SOPs for secure vs non-secure areas and personnel access control
• Barcode/RFID tagging at intake to accelerate screening and reduce manual reconciliation
• Direct EDI/API connections with major suppliers to streamline manifests

Impact on broader logistics and supply-chain patterns

At a micro level, consolidation reduces last-leg friction and helps concessionaires keep inventory lean. At a metro or national level, consistent consolidation hubs at airports can change inbound routing strategies for suppliers: bulk deliveries to a central airport hub, followed by scheduled terminal drops, instead of multiple direct runs. That often reduces haulage costs and improves delivery predictability.

Quick forecast

Globally, a single consolidation centre at Luton is modest in scale compared to major cargo airports; however, it’s a signal that regional airports are prioritising integrated logistics solutions. If other airports adopt similar models, it will push carriers and suppliers toward more consolidated, scheduled inbound services — improving distribution efficiency and resilience.

Commercial and sustainability considerations

Consolidation drives cost savings through fewer delivery legs and better vehicle utilisation. There are also sustainability wins: consolidated loads mean lower CO2 per item delivered, and fewer urgent re-sends. For retailers and restaurants operating on tight margins, those incremental savings can be meaningful.

Checklist for airports considering similar projects

• Assess current delivery volumes and peak windows.
• Map security requirements for airside transfers.
• Model cost vs benefit: handling costs vs savings from consolidation.
• Design IT integration to support real-time visibility and SLA enforcement.

Operational leaders such as Neil Thompson, COO at London Luton Airport, framed the move as a smarter logistical approach to manage hundreds of thousands of deliveries, while Martin Cooper, Managing Director, Technology and Consumer Goods at GXO UK & Ireland, emphasised consolidation centres’ role in driving efficiency and sustainability as air travel grows.

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In summary, Luton’s new consolidation centre — operated by GXO and supported by the STREAM platform — tightens inbound supply chains for terminal retail and airside operations, improves traceability and reduces duplication of effort. For logistics professionals, the move underlines a trend toward centralised screening hubs at airports to drive reliability, enhance security and cut haulage inefficiencies. GetTransport.com aligns with these goals by offering efficient, cost-effective transport and forwarding options that simplify cargo, shipment and delivery planning for international and domestic moves, from parcels and pallets to bulky furniture or vehicle transport.