Chris Skidmore (Kingswood) (Con)
2. What steps he is taking to make Britain’s railway system more financially viable.
The Secretary of State for Transport (Mr Philip Hammond)
Sir Roy McNulty’s review of value for money on the railway has produced a scoping study that identifies that the UK’s railway is, prima facie, up to 40% more expensive than railways elsewhere in Europe. We must adjust to a world in which our aspirations for a successful railway have to be met from within a much tighter public spending envelope. I have therefore asked Sir Roy to accelerate his work looking at the drivers of cost across the industry, and to produce recommendations for creating a sustainable railway with growing passenger usage and declining subsidy.
Chris Skidmore
According to the parliamentary report “Transport in the South West”, the south-west has been hit with an increase in the price of unregulated fares. The report states that some rail fares between Swindon and London—a distance of only 77 miles—are the highest for a comparable distance anywhere in Europe. Will my right hon. Friend consider the impact of unregulated fares, especially in Bristol and my constituency of Kingswood, in future rail policy decisions?
Mr Hammond
I am grateful to my hon. Friend for that question. About 60% of rail journeys are undertaken using regulated fares, which are governed by the formula imposed by the Department for Transport, but my right hon. Friend the Minister of State has today initiated a consultation on future franchising strategy, and we can certainly take my hon. Friend’s representation as a response to that consultation.
Mrs Louise Ellman (Liverpool, Riverside) (Lab/Co-op)
The inefficiencies identified by Sir Roy McNulty must be addressed as a matter of urgency, but does the Secretary of State agree that passengers, and indeed freight, must not be priced off the railway, and that essential investment, such as electrification, must go ahead?
Mr Hammond
I am grateful for the hon. Lady’s support for the review and the work that Sir Roy McNulty is doing, and I am glad that she recognises the urgency of ensuring that our railway is affordable and sustainable, so that it can attract the investment that it needs. I agree with her that we need a sustainable railway with growing passenger numbers and growing freight usage.
Mr David Evennett (Bexleyheath and Crayford) (Con)
Would my right hon. Friend agree that we want a sector that not only is financially sound, but delivers a better quality of service for passengers?
Mr Hammond
My hon. Friend is, once again, absolutely right. The objective must be to have a railway that is responsive to the needs of its customers, generating viability by responding to those needs—in fact, a railway that does what businesses throughout the economy do if they are to be successful and sustainable.
Mr William Bain (Glasgow North East) (Lab)
I agree with the Secretary of State that a central issue for the financial viability of the railways is the Government’s future policy on fare increases. The coalition agreement commits the Government to fair increases in rail ticket costs. Will the Secretary of State confirm recent reports that he has proposed to the Treasury changing the formula on capped fares and season tickets for next year from the retail prices index plus 1% to as much as RPI plus 5%? Does he not understand how unfair and unreasonable a fares hike of up to 10% will be to millions of hard-pressed commuters across the country if he cannot give an assurance to the House that every penny in increased fare revenues will be reinvested in the new rolling stock and capital projects that our railway system so badly needs?
Mr Hammond
The hon. Gentleman got to the nub of the issue in his last sentence. The coalition agreement commits us to a policy of fair fares, and we are committed to ensuring that fares are fair for rail users. No decisions have been made as yet about future fare increases, but he correctly identifies that, as a result of the spending review precipitated by the fiscal crisis that we have inherited, there may have to be a trade-off between fares and continuing vital investment in our railway. I have said that it would be wrong to rule out, ahead of the spending review, any change to the fare policy.
Brandon Lewis (Great Yarmouth) (Con)
10. What progress has been made on the Government’s review of rail franchising; and if he will make a statement.
The Minister of State, Department for Transport (Mrs Theresa Villiers)
The Government today launched their consultation on the future of rail franchising policy. Our proposed reforms will lead to longer, more flexible franchises to incentivise private sector investment in the railways, which will benefit passengers and improve value for money.
Nick de Bois
Given the current poor standard of commuter service that my constituents in Enfield North receive from National Express, as evidenced by the lowest average customer satisfaction rates across the south-east, how will our franchising proposals improve the experience for passengers in my constituency and elsewhere?
Mrs Villiers
We will ensure that the new rail franchising system imposes on train operators demanding performance requirements, based on passenger outcomes and passenger satisfaction. Operators that do not meet those demanding requirements will face serious sanctions that will include, in the most serious cases, termination of the franchise. We believe that longer franchises will lead to more private sector investment and the improvements to stations and railways that passengers want, to improve their journeys. Longer franchises will also enable train operators to build longer-term working relationships with Network Rail, which are so vital to ensure that our railways are run efficiently and deliver value for money.
Iain Stewart
Many of my constituents in Milton Keynes are angry that despite paying about £5,000 for annual season tickets and having undergone years of misery as the west coast main line was upgraded, they are still denied access to Virgin trains at peak hours; the trains either do not stop at all or—perversely—they do stop, but only to let people off, not on. The long-term solution is the extra capacity that High Speed 2 will deliver, but will my right hon. Friend give an undertaking that when the west coast main line franchise comes up for renewal in 2012, she will ensure that my constituents have fair access to high-speed services?
Mrs Villiers
All representations from the affected communities will be taken on board as the decisions are made. We hope that what will result from the rail franchising reforms on which we are consulting at the moment is a better and more intelligent and flexible approach to timetabling. That will enable the demands of passengers to be more readily met than they are by the current inflexible system. My hon. Friend is right that the long-term solution has to be a new high-speed rail line. There will come a time in the not-too-distant future when the west coast main line will be simply full to bursting and we will need to provide extra capacity. That will release more space for commuting and stopping services on the west coast main line.
Brandon Lewis
The tourist industry in Great Yarmouth is worth almost £500 million, yet the train station is not exactly a welcoming gateway to our town. Residents would like a better station. Will the Minister give some assurance to the residents of Great Yarmouth that under the new franchise agreement we will be able to put some onus on the franchisee and Network Rail, to make sure that they can invest in things such as the stations themselves, so that we can get a better train station for Great Yarmouth?
Mrs Villiers
I recall the discussions that we had on this issue when I visited my hon. Friend’s constituency. I believe that the issue is a prime example of how the reforms that we are proposing could yield significant benefits for passengers. They will give the opportunity for private sector investment in stations such as Great Yarmouth’s. At the moment the franchise is of about seven years, and that simply does not give the certainty needed for private sector investment to pay for itself during the franchise. With longer franchises, we can expect more station improvements of the sort that my hon. Friend wants.
Mr Jim Cunningham (Coventry South) (Lab)
Will the Minister agree to meet a small delegation led by me and my hon. Friend the Member for Coventry North West (Mr Robinson) to discuss the Nuckle project in Coventry? The situation has been going on for a number of years and it needs resolving one way or another.
Kelvin Hopkins (Luton North) (Lab)
Given that franchises have failed already, many more franchises are going to fail under what is likely to be a much harsher financial regime. Is it not time to bring things in-house and begin to recreate the state railway systems that operate so well and so much more cheaply on the continent of Europe?
Mrs Villiers
The hon. Gentleman’s views on the railways are well known, although I am afraid that I do not share them. It would have been impossible for there to have been the significant growth in passenger numbers that we have seen since privatisation without the benefits that private sector innovation and enterprise have brought. Reversing things and renationalising the railways would be a retrograde step.
Sadiq Khan (Tooting) (Lab)
I note from the Order Paper that there are five identical questions on rail franchises from new MPs no doubt keen to impress their Whips. Half an hour before oral questions we had a press release from the Department for Transport announcing a consultation on the new rail franchises. Will the Minister confirm that in the new consultation that she has announced this morning, there will not be any barriers to stop new models, such as mutuals and co-operatives, from taking over franchises?
Mrs Villiers
There would be no barriers to mutuals and co-operatives bidding for franchises if they fulfilled the criteria. All franchise bids will be judged objectively on the quality of the services they will provide for passengers and value for the taxpayer.
Charlie Elphicke (Dover) (Con)
4. What plans he has for the future of the port of Dover; and if he will make a statement.
The Parliamentary Under-Secretary of State for Transport (Mike Penning)
Dover harbour board has submitted a transfer scheme to my right hon. Friend the Secretary of State. If—I reiterate if—that is approved, that will allow the board to privatise the port of Dover.
Charlie Elphicke
I thank the Minister for conducting this review. Will it consider the community’s bid to buy the port of Dover and turn it into Dover’s people’s port? It is important that people know that the big society is not just about cycle paths, canal-side tow tracks and things like that—the big society is, well, big. It should include the port of Dover, and deprived communities should benefit as much as well-off communities.
Mike Penning
I congratulate my hon. Friend on his stalwart and continuing hard work on behalf of his constituents and his continued view on where Dover port should go. The consultation that I announced yesterday is part of the manifesto commitment to allow local people, businesses and the port to ensure that there is as much information as possible in the public domain, including the proposals on the people’s port.
Derek Twigg (Halton) (Lab)
The future of the important port of Dover will be very much influenced and helped by improving transport links and access to it, particularly from the north-west. Does the Minister think it important, therefore, that the proposed Mersey Gateway is given the go-ahead to improve that access?
Mike Penning
I congratulate the hon. Gentleman on his ingenuity, but the key to this question is Dover. He is asking a separate question, and if he wants to write to me, I will be more than happy to answer it.
Karen Bradley (Staffordshire Moorlands) (Con)
5. What discussions he has had with representatives of environmental groups on transport issues since his appointment.
The Parliamentary Under-Secretary of State for Transport (Norman Baker)
Since May, my right hon. Friend the Secretary of State and other members of the Department’s ministerial team have had a number of meetings with environmental groups at which a wide range of transport issues have been discussed.
Karen Bradley
I thank the Minister for his response. Many people living in rural areas such as Staffordshire Moorlands have no alternative but to use the private car. Will the Minister provide more details about his discussions with the environmental groups that he has been meeting regarding how to promote alternative transport in rural areas to encourage carbon reduction and promote economic growth?
Norman Baker
I am grateful to my hon. Friend for her question. She is right that in rural areas it is difficult to find alternatives to the private car, but there are examples across the country, not least in my constituency, where voluntary organisations have come together to form effectively operating bus routes, and there is a good community transport network, with dial-a-ride and other such services. We are also investigating in the Department alternatives to travel, including the roll-out of broadband and home working to enable those in rural areas to benefit from society as a whole. Ultimately, of course, local authorities are best placed to decide on local transport polices, and the Government’s policy of removing ring-fencing will enable them to respond more sensitively to issues such as that which my hon. Friend raises.
Chris Leslie (Nottingham East) (Lab/Co-op)
Environmental groups and, earlier this year, the Transport Committee have highlighted the fact that electrification of the midland mainline would bring great benefits in terms of changing rolling stock and improving the service, as well as the environmental impact. When will the Government prioritise the necessary “stitch in time” investment in the electrification of the midland mainline?
Norman Baker
The Government are committed to electrification of the railways and believe that that is sensible in order to remove carbon emissions from the transport sector, in so far as possible, and to improve the conditions and experience for passengers. Obviously, any decisions on that and other matters are subject to the spending review, but that is the direction of travel that we wish to follow.
Martin Horwood (Cheltenham) (LD)
One voluntary sector organisation that Ministers will want to meet is the Campaign for Better Transport, whose new report, “Smarter Cuts”, shows a rather better understanding of the state of public finances than that of some people in this House. It emphasises the need for cuts that are consistent with our need to meet carbon emission reduction targets and deliver long-term value locally as well as nationally. Will Ministers actively consider this important and useful report?
Norman Baker
We are very happy to consider that report. I have already met representatives of the Campaign for Better Transport in the course of my ministerial duties. My hon. Friend is right. In this difficult spending review and the process afterwards, we must ensure that we prioritise job creation that is green, and ensure simultaneously that we cut carbon. In addition, the Government’s localism agenda, which devolves power to local authorities, will enable us to respond more actively to the points that my hon. Friend correctly makes.
Kerry McCarthy (Bristol East) (Lab)
Many environmental groups were quite concerned when the Secretary of State, on first taking office, declared that he was going to end the war on motorists. That perhaps did not show quite the right set of priorities in putting environmental issues at the top of the agenda. May I urge the Minister to work with groups such as Sustrans on alternatives to motoring and on ensuring that there are green alternatives where motoring is the only option?
Norman Baker
The Secretary of State was concerned about issues such as private sector wheel clamping, which had led to unfair treatment of motorists. That view is shared across the coalition. He is also concerned to ensure that we decarbonise road transport and achieve carbon gains from the roll-out of electric vehicles, for example. There is no difference at all between our positions on that. We have a coherent transport policy that will deliver jobs and carbon reduction.
Mike Crockart (Edinburgh West) (LD)
6. What assessment he has made of the implications for his Department’s policy of Sir Andrew Foster’s report on the intercity express programme.
The Secretary of State for Transport (Mr Philip Hammond)
My statement to the House of 6 July announced that a decision on the future of the intercity express programme would be made as part of the spending review announcement in October, and that the Government would use the intervening time to pause for reflection and a fresh, detailed analysis, including a review of the alternatives in line with Sir Andrew’s recommendations.
Mike Crockart
I thank my right hon. Friend for his response, but given that the country and indeed his Department continue to suffer from significant budgetary pressures, would it not be better to cancel the IEP programme and extend the life of our InterCity 125 trains, which have performed very well over the years, so that we can continue to invest in matters such as upgrading track infrastructure and high-speed rail, which would deliver significant economic benefits?
Mr Hammond
The previous Government commissioned a report from Sir Andrew Foster, which has now been delivered. It was a detailed piece of work containing a lot of recommendations, and one of Sir Andrew’s suggestions was that we should review the possibility of an upgrade and life extension of the existing 125 fleet. That is one option that we will consider during the pause that I mentioned.
Phil Wilson (Sedgefield) (Lab)
If the intercity express programme survives the comprehensive spending review, Hitachi intends to build the trains in Newton Aycliffe in my constituency, creating hundreds of jobs there and thousands in the manufacturing supply chain. It would be one of the biggest investments in the north-east since Nissan. Would the Minister be prepared to meet me and a delegation of north-east businessmen and trade unionists so that we can get the point across about how important the scheme is to the north-east of England?
Mr Hammond
I am always happy to meet Members, and I would be very happy to meet the hon. Gentleman, but I can tell him that I met the president of Hitachi recently on his visit from Tokyo, and that I have met the Japanese ambassador, and they forcefully made the same points as him. We will of course take them into account.
I should perhaps say that Hitachi is also interested in other rail projects in the UK, and we have heard very encouraging signs that the company intends to establish a serious presence in the UK as part of our future rail infrastructure development.
Sadiq Khan (Tooting) (Lab)
The Secretary of State will be aware that as a direct result of our investment, more people are using our railways than at any time since the 1940s. That is good for the environment and for tackling congestion and all its consequences. Continuing with our programme of additional rolling stock will not only lead to more jobs but be good for British manufacturing and growth. It is also a good way to continue to encourage more people to leave their cars and use our rail network. Will he aggressively lobby the Treasury for more investment in rolling stock, rather than listen to some of his hon. Friends who want cuts in additional rolling stock?
Mr Hammond
I am not sure whether the hon. Gentleman is conflating the debate on the high-level output specification rolling stock programme with that on the intercity express programme, but once again he shows a failure to recognise the reality of the situation that we have inherited from the previous Government. We have to deal with the fiscal crisis facing this country and prioritise investment in matters that will support economic growth and the decarbonisation of the economy. We will do that job effectively, and he will hear the result once the spending review is announced in October.
Miss Anne McIntosh (Thirsk and Malton) (Con)
7. What representations he has received on upgrading the A64 between York and Scarborough; and if he will make a statement.
The Parliamentary Under-Secretary of State for Transport (Mike Penning)
As well as verbal representations from my hon. Friend and from my hon. Friend the Member for Scarborough and Whitby (Mr Goodwill), I have received two letters that the former has forwarded to me and two from the latter.
Miss McIntosh
Having newly been elected to Rillington and Filey, I am very aware of their concerns, particularly about road safety in Rillington. Will the Under-Secretary look favourably on reviewing any potential upgrade in the long term, but take measures in the short term that will save lives at Rillington, and use the opportunity to green the economy and improve the quality of life for people all along the route?
Mike Penning
I congratulate my hon. Friend and my hon. Friend the Member for Scarborough and Whitby on bringing the matter to my attention. The upgrade would cost £500 million, but the local authority has made no representations for regional funding allocations since 2006. I will look at measures as they are presented. However, while the spending review is still going on, no commitments can be made.
John Robertson (Glasgow North West) (Lab)
8. What estimate he has made of the number of passenger flights cancelled as a result of travel agents going into administration in the latest period for which figures are available.
The Minister of State, Department for Transport (Mrs Theresa Villiers)
In the year to 31 March 2010, 29 companies licensed by the air travel organiser’s licence scheme failed. Under the ATOL scheme, managed by the Civil Aviation Authority, 2,445 passengers were able to complete their holiday and return home without charge. A further 45,114 were entitled to full refunds.
John Robertson
The Minister will know that 180 passengers were stranded at Glasgow airport on Friday, thanks to the collapse of Goldtrail. There were also 16,000 people stranded abroad. How does she propose to try to help those people get compensation? In some cases, they have been told that they will have to wait for at least two years before they get their money back. How can she stop those companies causing such disruption and ensure that people get home as quickly as possible?
Mrs Villiers
The CAA is working hard to repatriate the people affected by the Goldtrail failure, which has caused significant anxiety and disruption to people’s holiday plans. Our officials are working hard with the CAA to ensure that that repatriation effort goes well. We are also urging the CAA to ensure that lessons are learned from XL and the long time it took to process claims. The CAA urges all those who are ATOL protected to submit the relevant documentation so that refunds can be processed as quickly as possible. In the longer term, we need a bigger reform of the way in which the system works.
Jane Ellison (Battersea) (Con)
To refer my right hon. Friend to earlier answers on rail franchising—
Hugh Bayley (York Central) (Lab)
12. What plans he has for the future of the franchise for the east coast main line rail service.
The Secretary of State for Transport (Mr Philip Hammond)
The Government intend to let a new franchise to return the operation of east coast main line rail services to the private sector. My right hon. Friend the Minister of State launched a franchising review this morning, seeking views on the most appropriate options to secure longer-term investment. In the meantime, services will continue to be provided by the East Coast Main Line Company Ltd, which the Department owns in its entirety.
Hugh Bayley
The headquarters of the east coast rail service has been based in York since the 19th century because logistically it is the right place to be. Will the Secretary of State examine the case for reducing uncertainty for the key business partners of the east coast train operating company by confirming that the new franchisee, when appointed, will be required to keep the headquarters of the business in York?
Mr Hammond
I appreciate the hon. Gentleman’s intervention on behalf of his constituents and I understand the concerns that the uncertainty will cause. However, it would be wrong, in view of the franchising consultation that my right hon. Friend the Minister has announced today, for me to start making prescriptive statements about what a future franchisee under an as yet undetermined franchising regime will be required to do.
Peter Aldous (Waveney) (Con)
13. What progress has been made on the Government’s review of rail franchising; and if he will make a statement.
The Minister of State, Department for Transport (Mrs Theresa Villiers)
I refer my hon. Friend to the answer that I gave earlier.
Peter Aldous
Will the Minister confirm that the review of the Greater Anglia franchise will recognise the vital importance of the east Suffolk line from Ipswich to Lowestoft, and the need for both an hourly service along the whole line and the reintroduction of through trains to London, which are being withdrawn in December?
Mrs Villiers
My hon. Friend will appreciate that it would not be wise for me to start making timetabling decisions at the Dispatch Box. However, we are determined that the franchising reform, on which we will consult in the next few weeks, will deliver improvements for passengers, improve train operators’ ability to respond flexibly to increases in passenger demand on particular routes and help deliver the private sector investment to provide vital enhancements to our railways.
Emma Reynolds (Wolverhampton North East) (Lab)
Given that current legislation prevents organisations and companies that do not yet run rail franchises from bidding for them, will the Government consider changing it in their review to allow mutuals and co-operatives to bid for future franchises?
Mrs Villiers
I think that that question has been dealt with already. If mutuals and co-operatives can satisfy the requirements of the franchising process, they will be permitted to bid.
Jane Ellison (Battersea) (Con)
I think this is the appropriate moment to ask my question, Mr Speaker. In her discussions with rail franchises and franchisees, will my right hon. Friend ask them whether they will consider bringing longer trains through stations whose platforms have not been lengthened when they have available rolling stock? That is common on the continent, but we do not do it here, and it would greatly help at overcrowded stations such as Wandsworth Town station in my constituency.
Mrs Villiers
I am well aware of my hon. Friend’s strong campaigns for rail services in her constituency, and our visit to Clapham Junction railway station was particularly informative. She makes a good point about the more flexible use of capacity, and the train operators and Network Rail would certainly do well to take it on board. I suggest she raises it further with them.
Annette Brooke (Mid Dorset and North Poole) (LD)
14. What recent representations he has received on a compulsory requirement on cyclists under 16 years old to wear cycle helmets.
The Parliamentary Under-Secretary of State for Transport (Mike Penning)
I recently met representatives of the Bicycle Helmet Initiative Trust and my hon. Friend the Member for Wellingborough (Mr Bone), who told me in no uncertain terms that they would like wearing cycle helmets to be compulsory for children under 16.
Annette Brooke
I am sure the Minister shares my concern at the last set of figures for 2009, which show that for under-16s, serious injuries are up to 489 and that there were 16 deaths. Will the Minister give the House some information on the review of cycle helmet effectiveness that was planned for later this year? How will he make progress on striking the balance between encouraging cycling but, more importantly, encouraging child safety?
Mike Penning
I thank my hon. Friend for bringing this subject up. It is ever so important that we encourage more people to take up cycling, particularly young people, but at the same time, we must not scare them off by trying to force them to wear helmets, recognising the peer pressure on them. The Department ensured straight away that all its videos, DVDs and anything it broadcasts on the internet do not feature children under 16 without a helmet. That is the sort of message we need to send. Compulsion would be almost impossible to enforce, but we need to work to educate more young people to wear helmets.
Jim Fitzpatrick (Poplar and Limehouse) (Lab)
On enforcement and the increase in cycling in recent years, which is set to continue because of the previous Government’s investment, is the Minister holding discussions with his colleagues at the Department for Communities and Local Government and the Home Office on policing cyclists? I am referring particularly to the minority of dangerous cyclists who get the rest of us a bad name by cycling on pavements and breaking the basic rules of the road. How will we enforce safe cycling?
Mike Penning
Any cyclist who breaks the law and gives the former Minister a bad name needs to be brought before the courts. We see such behaviour on a regular basis, particular in urban areas and at lights, where people ignore the Road Traffic Acts. The police should enforce the rules on cyclists the same as they would on any other road user. The law needs to be used.
Gareth Johnson (Dartford) (Con)
15. What guidance his Department provides on the searching of religious headwear at airports.
The Secretary of State for Transport (Mr Philip Hammond)
There is a large and well-integrated Sikh community in the UK. Special arrangements to take account of their headwear have existed at least since the introduction of compulsory motorcycle helmets. On 29 April, the European Union altered the rules on the searching of religious headwear at airports, and this has provoked a furious reaction from members of the Sikh community. On 25 June, I instructed UK airports that they should temporarily revert to the previous arrangements, despite the EU rules. The Sikh community has recognised this positive step and we are now working with them and with the EU to identify a suitable way forward.
Gareth Johnson
I am pleased that my right hon. Friend is aware of the EU’s initiative that means that turbans can be searched and, indeed, unravelled by airport security officers. Does he agree that we need an approach that protects the security of travellers, but that also fully recognises the importance of turbans to the followers of the Sikh religion?
Mr Hammond
I do indeed agree with my hon. Friend. The ultimate solution probably lies in the introduction of scanners as a primary means of security screening at our airports. At the moment, that cannot be done under EU rules. Part of my discussion with the EU is seeking to persuade it that we can resolve the particular problems of religious headwear by addressing the wider issue of adopting scanners as a primary screening method.
Mr Philip Hollobone (Kettering) (Con)
16. When he expects to announce his Department’s decision on the planned widening by the Highways Agency of the A14 around Kettering.
The Parliamentary Under-Secretary of State for Transport (Mike Penning)
All expenditure on the strategic road network is being considered under the spending review. When the outcome is known in the autumn, I hope to provide my hon. Friend with greater clarity on the future of this scheme.
Mr Hollobone
This project is very important to my constituents in Kettering, so may I draw to the Minister’s attention as he makes up his mind the fact that the road is already at capacity, with 70,000 vehicles a day going round the town? That section of road is actually three roads in one—the A6, the A43 and the A14.
Mike Penning
Not only are there 70,000 vehicles a day, but 20% are HGVs, which is 10% higher than the average in the UK. The project will cost between £86 million and £142 million. When the spending review is over, we will assess the problems that Kettering is having because of that huge amount of traffic.
Dr Daniel Poulter (Central Suffolk and North Ipswich) (Con)
T1. If he will make a statement on his departmental responsibilities.
The Secretary of State for Transport (Mr Philip Hammond)
Since I last answered departmental questions, we have announced a new framework for the economic regulation of airports; our south-east airports taskforce has commenced work; we have announced the sale of High Speed 1; and we have launched a £15 million fund to incentivise the purchase of low-carbon buses. I have also prepared and submitted a spending review bid to the Treasury.
Dr Poulter
I thank the Minister of State for her earlier answer in reply to my hon. Friend the Member for Waveney (Peter Aldous) in respect of recognising the importance of the East Suffolk line to the future prosperity of central and eastern Suffolk. Part of improving the infrastructure is a vital stretch of track called the Beccles loop, which would enable a future franchisee to run a full London to Lowestoft service. May we count on the Secretary of State’s support in pursuing the funding for that vital stretch of track?
Mr Hammond
Any future proposals for rail enhancements will be considered in the usual way in setting the output requirements for control period 5, which will define Network Rail’s investment programme from 2014 onwards.
Sadiq Khan (Tooting) (Lab)
More than 1 million Londoners are entitled to Labour’s freedom pass and more than 11 million older and disabled people in England are entitled to Labour’s concessionary bus pass. Pass holders have been made anxious by reports in the media of the submission made to the Treasury by the Secretary of State in relation to the comprehensive spending review. The CSR is three months away, so can he reassure those anxious older and disabled citizens that he has not submitted, in his job application/CSR bid, any change in the eligibility requirements for those who receive the bus pass?
Mr Hammond
The hon. Gentleman refers to two separate things. The arrangements in London are of course the responsibility of the Conservative Mayor of London, and I cannot answer for the decisions that he will make on the operation of the scheme in London. With regard to the national scheme, the Prime Minister and the Deputy Prime Minister have both made clear their commitment to the scheme in its current form. It is enshrined in primary legislation and we have no plans to change it.
Andrew George (St Ives) (LD)
T2. The Chancellor promised that the vulnerable would be protected from budget cuts, but I know that Ministers will be well aware that there has been much speculation about the future viability of the bus service operators grant, which is clearly essential to many marginal rural services, the sustainability of which would be called into question if that were to be in any way cut. What reassurance can Ministers give me and my constituents that those rural services, which are essential—
The Parliamentary Under-Secretary of State for Transport (Norman Baker)
I recognise the importance that many attach to the bus service operators grant. The Government intend to try to increase the number of people using the bus. However, we also want to get a fair deal for the taxpayer and the passenger, and that is the direction of travel that we wish to pursue. Ensuring that people can travel by bus in my hon. Friend’s constituency and elsewhere in rural areas is important to that objective.
Mr David Hanson (Delyn) (Lab)
T7. Has the ministerial team seen the comments by the hon. Member for South Suffolk (Mr Yeo) in which he called for the privatisation of motorways and a widespread increase in road tolling? Will Ministers rule out such proposals for the duration of this Parliament?
Mr Philip Hammond
The coalition Government have indeed ruled out the tolling of the existing road network for the duration of this Parliament.
Tony Baldry (Banbury) (Con)
T3. What are the Government going to do to make it safer for motorcyclists by improving the tests for motorcyclists? In particular, the last Government so reduced the number of test sites that we had the slightly ludicrous situation of motorcyclists who had not passed the test having to travel considerable distances on their motorbikes to take the test. So can we see some improvement in the test regime for motorcyclists?
The Parliamentary Under-Secretary of State for Transport (Mike Penning)
I thank my hon. Friend for that question. We have announced a review into both parts of the motorcycle test, not only because of the concerns he raises, but because of some of the accidents that have taken place on tests, especially on part 1, which is off-road. We have a ludicrous situation in which some people have to travel two and a half miles with their L plates on to take the test, go off-road, fail it and then have to ride all the way back. That situation is being reviewed, and we hope to have answers in the autumn.
Graham Jones (Hyndburn) (Lab)
Will the Minister let my constituents, and those of the hon. Member for Burnley (Gordon Birtwistle), know what progress he has made on the Todmorden Curve rail project?
The Minister of State, Department for Transport (Mrs Theresa Villiers)
I know that the local authorities are working hard on this project and have engaged Network Rail to do some important work on it. I very much appreciate the benefits that it could deliver, particularly when tied in with development proposals, if they go ahead. I am keeping a close eye on that. The hon. Gentleman will not be surprised to hear that I cannot give him guarantees on funding at the moment because of the state of the public finances. However, I know that the local authorities are taking this very seriously.
Christopher Pincher (Tamworth) (Con)
T4. Does my right hon. Friend agree that although high- speed rail services are important to our economy, many communities along the route, whichever may be chosen, will be adversely affected, including some communities in my own constituency? Will he therefore agree to mitigate, as far as he can, the impact on those communities, and will he also agree to—
Mr Speaker
Order. This is Topical Questions, so one question—short and sharp.
Mr Hammond
I think I can gather the balance of the question, Mr Speaker. We well understand that the national strategic and economic benefits of the high- speed rail network have to be balanced against local environmental disbenefits. Of course, the project will be designed with maximum sensitivity in mind, and I am happy to tell my hon. Friend that I will be visiting the line of the proposed route in the summer recess.
Alison McGovern (Wirral South) (Lab)
Last week, I spoke to residents in Heswall in my constituency who are most concerned to get the train to Liverpool rather than their cars. The Wrexham to Bidston electrification project is vital for that. Will the Minister explain briefly what work her officials in the Department are doing to work with Network Rail, Merseytravel and others to take this vital project forward?
Mrs Villiers
We are in touch with Network Rail and Merseytravel on this issue. Indeed, I discussed it with the director general of Merseytravel only recently. The hon. Lady will appreciate that this has been worked on by the Welsh Assembly Government, and I very much hope that progress can be made on it. However, she will appreciate that, as I said previously, the crisis in the public finances that we have inherited means that I cannot give guarantees on additional funding from central Government at the moment.
Charlie Elphicke (Dover) (Con)
T5. I see that the shipping Minister has been to Harwich and Felixstowe in the past week. I invite him to come and see the port of Dover, so that he can see at first hand how our plans can be the jewel in the crown of the big society and make Dover the jewel in the crown of the nation once again.
Alison Seabeck (Plymouth, Moor View) (Lab)
Will the Secretary of State respond to a letter that I received from a constituent of mine, Mr Rod East? He is 61 and has a concessionary bus pass. Plymouth city council will have to renew it in 2011 under the system it is operating. Will he please confirm his earlier statement that no changes to the concessionary bus pass will apply to Plymouth city council?
Mr Hammond
I can only repeat what I said earlier: we have no plans to change the national concessionary scheme. The Prime Minister and Deputy Prime Minister have both made very clear their commitment to the national scheme.
Jo Swinson (East Dunbartonshire) (LD)
T6. I welcome the Government’s commitment to high speed rail, particularly to encourage people to use rail instead of domestic air travel. Given the rising cost of rail compared with flying, what will the Secretary of State do to get the price mechanism right in order to get this shift from air to rail?
Mr Philip Hammond
The High Speed 2 project will introduce a massive increase in capacity. These will be huge trains, with 1,100 seats each, and they will run at a very high frequency. Simple demand-and-supply economics should help to keep travel affordable. At the same time, after 2012, aviation will come within the European emissions trading scheme, and the carbon costs of aviation will start to be reflected in the cost of flying.
Katy Clark (North Ayrshire and Arran) (Lab)
Will the Minister rule out reclassifying Network Rail as a public company, which would be a Railtrack mark 2, and commit to a not-for-dividend organisation?
Mrs Villiers
We are looking at the options for reform of Network Rail. We believe that the status quo is not acceptable, because Network Rail is not accountable enough to its customers or the passengers whom they serve. As for its balance sheet status, we believe that this is a matter for national statisticians. We will make decisions on the future of Network Rail based on what is best for passengers and the taxpayer, and not—as the previous Government did—on the basis of tortuous calculations about whether things are on or off the balance sheet.
George Eustice (Camborne and Redruth) (Con)
T8. One of the projects currently under review in my area is the east-west link road in Camborne and Redruth, which is a crucial element of a broader regeneration project, led by the private sector, that would create 6,000 new jobs. Does the Secretary of State agree that when it comes to prioritising transport projects after the comprehensive spending review, one of the key criteria to apply will be the impact on enterprise and jobs?
Norman Baker
I fully understand the importance attached to that scheme in my hon. Friend’s constituency. I can confirm to him that the impact on the economy and job creation will be a factor taken into account in deciding whether to proceed with the scheme, along with the public finances and the opportunity to reduce carbon emissions.
Mr Peter Bone (Wellingborough) (Con)
1. If she will discuss with the Secretary of State for the Home Department proposals for border controls to identify young women entering the UK from European Economic Area countries who may have been trafficked.
The Secretary of State for the Home Department and Minister for Women and Equalities (Mrs Theresa May)
I welcome my hon. Friend’s tireless work in this field. Let me also do something that I tried to do a little prematurely on a previous occasion, which is to congratulate him properly on his election as joint chair of the all-party group on human trafficking. Tackling human trafficking is a coalition priority, and the Government are currently considering how to improve our response to this terrible crime, including through the creation of a border police force. I would be happy to ensure that border controls and the protection of vulnerable groups are covered in our consultation.
Mr Bone
Could the Minister for Women have a conversation with the excellent Home Secretary about citizens coming from the European economic area who bring in children who are not of the same name as themselves? They are waved through at the moment. Could they not be separately interviewed, to ensure that they are coming in for a proper purpose and are not being trafficked?
Mrs May
My hon. Friend has raised an interesting point, although I have to say that if I start speaking to myself, people might get the wrong idea. The separate interview is done in relation to non-EEA nationals, based on a risk assessment undertaken by UK Border Agency officials, and is something that has been important. We can and do interview EEA nationals. Obviously trafficking is covert, and it is often tricky to detect. Our border controls must be part of a much wider approach on the issue, but I am certainly happy to take away the suggestion that my hon. Friend has made and have a look at it.
Fiona Mactaggart (Slough) (Lab)
But is it not critical to reduce the demand for sexually exploited trafficked women, which is how the organised crime behind trafficking makes a profit? What is the Minister doing to reduce the demand for the sexual exploitation of women?
Mrs May
I recognise that the hon. Lady has had a long-standing interest in the issue, and has fought and campaigned hard on it for some time. As she will know, her Government introduced a new offence of paying for sex with somebody who had been exploited or forced into that position, which is intended to deter men from paying for sex with those who have been exploited, a category into which those who have been trafficked would obviously fall. We are currently waiting to see how that offence plays out, in terms of its impact.
Nia Griffith (Llanelli) (Lab)
2. Whether an equality impact assessment has been undertaken on the proposals in the June 2010 Budget.
Rachel Reeves (Leeds West) (Lab)
5. What assessment the Government Equalities Office has undertaken of the relative effects of the June 2010 Budget on men and on women.
The Secretary of State for the Home Department and Minister for Women and Equalities (Mrs Theresa May)
We have had to take tough decisions to reduce the deficit and secure the economic recovery essential to maintaining the living standards of women and families in this country in the longer term. The June Budget does that fairly, with a focus on protecting the most vulnerable in society, including low-income families. Assessing policy options in the light of tough financial constraints is not a one-off but an ongoing process. My officials are working with and talking to Departments about how to take account of equality considerations as they develop and implement the policies that will achieve budget reductions—budget reductions made necessary, I would remind the hon. Member for Llanelli (Nia Griffith), by Labour’s mismanagement of the economy.
Nia Griffith
I find that answer quite surprising, given that three quarters of the burden of the emergency Budget introduced by the right hon. Lady’s Government will fall on women. Will she explain in detail what assessment she has made of the impact of the Budget, and what representations she has made to the Chancellor of the Exchequer to mitigate its effects?
Mrs May
I think that the hon. Lady is referring to some research that the right hon. Member for Normanton, Pontefract and Castleford (Yvette Cooper) has undertaken. That research is partial in its assessment, because it fails to take into account a whole host of issues in the Budget, including the council tax freeze. The hon. Lady should also recognise the steps that we took in the Budget to protect people on low incomes. They include the exemption from the public sector workers’ freeze—lower-paid public sector workers are predominantly women, and they will be exempt from that pay freeze. We are also working to freeze the basic rate of income tax, to increase the personal allowance, and to remove 880,000 people from income tax altogether, the majority of whom will be women. We are very conscious of the need to look at the impact of the Budget, but I suggest that the hon. Lady needs to look at the good things in it that will help people on low incomes.
Rachel Reeves
Mums, children, and women in retirement will contribute twice as much to bringing down the Budget deficit as the predominantly suited men in the square mile will pay through the banking levy. Given that the Government are so keen to stress their family-friendly credentials, does the right hon. Lady feel that that balance is fair?
Esther McVey (Wirral West) (Con)
The latest figures for business start-ups estimate that men start up 150,000 more businesses than women. If the same number of women as men were setting up businesses, £7 billion would be added to the economy. What is my right hon. Friend going to do to help women set up in business?
Mrs May
My hon. Friend makes an extremely valuable point. She herself has an excellent record of supporting women in business, through the women’s networks that she has started. We are looking at how we can ensure that women’s entrepreneurship is encouraged, but the figures that she cited are absolutely right, and we need to ensure not only that that contribution to the economy is made but that we are not wasting the talent out there that could be put to good use for society and for the economy as a whole.
Miss Anne McIntosh (Thirsk and Malton) (Con)
Will my right hon. Friend pay particular attention, in any work that she does in this regard, to women who are returning to work after bringing up a family, as they are in the greatest need of extra training?
Mrs May
I am grateful to my hon. Friend for raising that important issue, and we shall certainly look into it. Before the election, we had specific proposals that were geared towards helping women who were returning to work, to ensure that they were given the necessary skills to resume their place in the work force.
Maria Eagle (Garston and Halewood) (Lab)
Mr Speaker, I am deputising for my right hon. Friend the Member for Normanton, Pontefract and Castleford (Yvette Cooper), who has informed you and the Secretary of State that she cannot be here today for family reasons to do with her children.
Given that 75 per cent. of the burden of the Budget will be borne by women, will the right hon. Lady tell me what is the point of her role as Minister for Women and Equalities in this very male-dominated Government if she cannot even ensure that men and women bear the burden of the Government’s deficit reduction measures equally? When she answers that question, will she clarify whether she is speaking in a personal capacity or whether she, at least, understands the constitutional concept of collective responsibility, even if the Deputy Prime Minister does not?
Mrs May
The figure that the hon. Lady has cited is not an official statistic; it is a figure that was derived from a piece of work that excluded analysis of significant parts of the Budget. That is why it is not a figure that I am going to recognise. Furthermore, if we had not taken those decisions in the Budget to deal with the deficit, and if we had adopted Labour’s plans to deal with it, that would have hit women even harder than our proposals. Under Labour’s proposals, expenditure on debt interest would have been higher than the expenditure on crucial public services, which are of particular importance to women.
Eric Ollerenshaw (Lancaster and Fleetwood) (Con)
3. What discussions she has had with ministerial colleagues on increasing recruitment to the civil service from black, Asian and other minority ethnic people.
The Minister for Equalities (Lynne Featherstone)
Black, Asian and other minority ethnic representation in the civil service has been increasing steadily, and is broadly representative of the economically active population. We are committed to attracting the best talent from the widest possible pool of candidates. They have been targeted, and successful efforts have been made to render the civil service and the fast stream more diverse. My Cabinet Office colleagues are examining the range of BAME internships run by the Departments, and I expect to have discussions with them on the matter in due course.
Eric Ollerenshaw
We all welcome the Government’s announced policy on internships for under-represented minorities. How much progress has been made on that vital policy so far?
Lynne Featherstone
It is nice that my hon. Friend and I are together again after our time on the Greater London assembly, along with many Opposition Members.
The work relating to our commitment is still at an early stage. It is important for us to build on existing programmes. Some Whitehall Departments already run internships in the summer development programme. The Cabinet Office is examining current practice and future options, and I look forward to working with it in due course to ensure that the practice is extended to all Departments.
Katy Clark (North Ayrshire and Arran) (Lab)
This year’s Budget cut the budget of the Equality and Human Rights Commission by 15%, and further cuts are expected. Does the Minister believe that the commission will be able to continue to carry out its statutory duties, and can she tell us what impact the cut will have on the initiatives to which she has referred?
Lynne Featherstone
There have been cuts in all budgets. The EHRC will probably concentrate on its core functions, and I expect its budget to be sufficient to enable it to deliver the equality that we all require from it.
Sarah Newton (Truro and Falmouth) (Con)
4. What discussions she has had with ministerial colleagues on proposals to extend flexible working arrangements in the public sector.
The Minister for Equalities (Lynne Featherstone)
I have had several discussions with colleagues on how we can implement our commitment to extending the right to request flexible working to all. That, of course, includes those in the public sector, which has a long and successful track record in this regard. In my Department, for example, 57% of staff work flexibly, and all vacancies are advertised as being available on a flexible basis. We will seek to share that and other good practice in the public sector more widely.
Sarah Newton
Flexible working enabled me to balance caring for my husband and children with working. Without that opportunity, I probably would not be standing here today. Does my hon. Friend agree that the Government’s plan to extend the right to request flexible working to all employees is the most progressive measure to encourage a culture of flexible working that any Government have yet been able to promise?
Lynne Featherstone
Hear, hear. I am glad to learn that flexible working has been an enabler in my hon. Friend’s life, as it will be in so many other lives. Flexible working and the right to extend it to all will enable businesses to draw on all the skills and talents in the country, and on a wider pool of skill. It will improve recruitment and retention rates and increase staff morale and productivity, and we will all gain from that.
Julian Smith (Skipton and Ripon) (Con)
6. What progress the Government have made on the provision of a system of flexible parental leave.
The Secretary of State for the Home Department (Mrs Theresa May)
I welcome my hon. Friend’s continuing interest in this issue. The Government are committed to implementing the coalition agreement pledge to promote a system of flexible parental leave. We are working closely with the Department for Business, Innovation and Skills, which intends to present proposals later in the year.
Julian Smith
Small businesses in my constituency and throughout the country are concerned about the coalition’s plans to change the parental leave system. However, British Chambers of Commerce has indicated to me that it would be less concerned if the Government guaranteed that this would be the only change to parental leave legislation in the current Parliament. Can my right hon. Friend tell us whether she plans to introduce the additional paternity leave regulations that are due next year?
Mrs May
I am grateful to my hon. Friend for raising the concerns of small businesses. We all recognise the problems that many of them have experienced in this respect. I continue to believe that flexible working and flexible parental leave will be of benefit overall and will benefit many small businesses, a number of which already operate flexibly. However, we are looking into how we can avoid constantly requiring businesses to effect innovations, and we are examining the timetabling of the additional paternity leave and flexible parental leave regulations.
Simon Kirby (Brighton, Kemptown) (Con)
7. What recent discussions she has had with her international counterparts on international standards for the treatment of openly lesbian, gay, bisexual and transgender people.
The Minister for Equalities (Lynne Featherstone)
Last month we published “Working for Lesbian, Gay, Bisexual and Transgender Equality”, which included a commitment to use our international influence to encourage other countries to advance LGBT equality. I am committed to using meetings with international counterparts and any other levers open to us to tear down the barriers that still exist for LGBT people throughout Europe and around the world.
Simon Kirby
Will the Government use their influence to support the UN statement that calls on states to ensure that sexual orientation or gender identity may under no circumstance be used for discrimination or criminal proceedings?
Lynne Featherstone
This is such an important area in which we can use our influence and we will encourage more countries to support the UN statement on the decriminalisation of LGBT issues. We will robustly examine the human rights records of other UN member states as well.