Oral Answers to Questions

Debate between Alan Brown and Lord Grayling

Thursday 18th July 2019 Commons Chamber

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

The Secretary of State has stated that, in the event of a no-deal Brexit, EU regulation 2019/501 will allow UK drivers to continue to drive HGVs in the EU. That regulation has an end date of 31 December this year, so will he confirm that the 2020 vision under a no-deal Brexit for UK drivers, importers and exporters is one of chaos and uncertainty?

[Chris Grayling]

No, I will not confirm that. First, the Government’s policy is not to pursue a no-deal Brexit. We will continue under both our current and future leadership to pursue a deal with the European Union—that has been abundantly clear. However, both sides have equally been abundantly clear that we want trade to continue, and the European Union and we have both been very ready to say that we will allow the flow of hauliers to continue so that trade carries on.

No-Deal Brexit: Cross-channel Freight

Debate between Alan Brown and Lord Grayling

Thursday 2nd May 2019 Commons Chamber

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Urgent Question): To ask the Secretary of State for Transport if he will make a statement on the no-deal Brexit preparations for cross-channel ferry and freight services.

[The Secretary of State for Transport (Chris Grayling)]

The Government are now reviewing our contingency planning for a no-deal EU exit, in the wake of recent developments. No decisions have yet been taken for the preparations for the new EU exit date of 31 October, although of course many of the preparations that were made for 29 March are still in place. The planning assumptions that underpinned the original maritime freight capacity activity will need reviewing in the light of the article 50 extension, to understand whether they are still valid. A collective view will then be taken across the Government as to the necessary contingency plans that will need to be implemented, and that will include working closely with the Department of Health and Social Care and the Department for Environment, Food and Rural Affairs to understand the needs of their supply chains.

In December, we entered into contracts with ferry operators to provide additional capacity into the UK as part of no-deal planning. Those contracts were scheduled to run up until September, and were an essential insurance policy to ensure the continued supply of category 1 goods—primarily medicines and medical devices for the NHS—in the event of a no-deal Brexit. As I have indicated to the House previously, we took that step because of a change to the modelling carried out across the Government that indicated that flows across the short straits could fall significantly, and crucially for significantly longer than had previously been proposed by our analysts. It would have been irresponsible for the Government not to act, as no deal was and remains the legal default. It was an insurance policy, and insurance policies are a prudent investment, whether or not they are actually used.

Following the article 50 extension until 31 October, the Government have now decided to terminate the contracts with Brittany Ferries and DFDS with immediate effect, to minimise the cost to taxpayers. The termination of those contracts costs £43.8 million, which is lower than the National Audit Office’s estimate of the total termination costs, and I should say that it represents around 1% of the overall £4 billion package of no-deal EU exit preparations that the Government have wisely undertaken to ensure that we are ready for all eventualities.

[Alan Brown]

Thank you for granting the urgent question, Mr Speaker.

I wonder whether we will ever get to the bottom of this whole mess. Truthfully, the Secretary of State’s statement does not give us any more clarification on what the Government are doing in respect of no-deal preparations. We were told that the initial contracts were part of emergency procurement for the unforeseen scenario of a no-deal Brexit, despite our having been told that the Government had prepared. We were then expected to believe the logic behind handing an emergency service contract to a company with no ships and no financial backing.

In response to an urgent question, the Secretary of State for Health and Social Care advised us that the contracts were needed for shipments of priority goods such as medicines, and the Transport Secretary has repeated that in his statement today. If that was the case, why did the contracts kick in automatically on 29 March, rather than being linked to an actual no-deal scenario, whenever that might occur? What exactly did the contracts procure? Why has it taken a month for the latest contracts to be reviewed and cancelled, at a cost of £43 million? What are the Government doing in respect of the next possible no-deal Brexit date of 31 October? If the previous contracts had to be entered into in December for a March kick-in date, it is clear that planning needs to happen now. It is obvious that the Government should be working on preparations right now.

In the emergency debate on the contracts, I asked about the possibility of further legal action and the Secretary of State assured me that there would be none. “A hae ma doots” is what I said at the time, so it comes as no surprise that we now learn that P&O Ferries is suing the Government. When did the Secretary of State find out about P&O’s intentions? Where has that case got to—is it going to go through the courts, or will there be a cave-in and another £33 million settlement?

I know that Governments do not normally publish legal advice, but with this turn of events we are clearly in exceptional circumstances, so will the Government provide or publish the legal advice that they have had over this period? What independent reviews are the Government undertaking to understand the blunders that have happened and to learn lessons so that this does not happen again?

The Secretary of State repeated what the Under-Secretary of State for Transport, the hon. Member for Wealden (Ms Ghani) said earlier in Transport questions: that the £43 million cost of cancelling the ferry contracts is only 1% of the Brexit preparation costs, as if it does not matter. In actual fact, overall the ferry contracts will probably cost up to £120 million, depending on the P&O settlement, so when will somebody become accountable for this waste of money? It is not a negligible amount of money; it is a lot of money.

Many people ask me why the Secretary of State is still in post after all his blunders. I cannot answer that, but I can ask that he does the right thing, finally takes responsibility and steps aside.

[Chris Grayling]

As usual, we have the customary stream of nonsense from the hon. Gentleman. This issue has been scrutinised, and will continue to be scrutinised, by members of the National Audit Office, who are the appropriate people to do so. I will not comment on ongoing legal matters, except to say that the Government vigorously disagree with P&O and will defend themselves to the hilt. I really do not think that he listened to what I said today, or that he has listened for the past few times that I have talked about this in the House. The fact is that he has disagreed all along with the steps that we have taken. Let me read to him a small excerpt from a letter that I received last month. It said that my officials

“have also asked that critical exports should be given priority access to the additional ferry capacity secured by the UK Government where this is not required for essential supplies.”

That request, clearly recognising the need for that capacity, came from the Cabinet Minister in the SNP Scottish Government.

Oral Answers to Questions

Debate between Alan Brown and Lord Grayling

Thursday 21st March 2019 Commons Chamber

[Chris Grayling]

Of course, the contract to which the right hon. Gentleman refers, which was won by Siemens rather than the other bidders, including Hitachi in the north-east, was in fact let by the current Labour Mayor of London.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

When it comes to support for planning, it should be noted that, earlier this month, the chief executive of the Road Haulage Association said:

“It’s obvious that government has lost its way…tens of thousands of UK hauliers… are still in the dark. Because of government ineptitude they are simply not ready.”

In a similar vein, can the Secretary of State confirm that the no-deal ferry contracts do not allow for a delayed start date? If so, what will be the cost to the taxpayer and his Department of this latest blunder?

[Chris Grayling]

If the hon. Gentleman had been listening a moment ago, he would have heard me say that we have now completed interim arrangements. The European Union has introduced interim regulations to ensure that hauliers will continue to have access to the European market, which is the right thing to do. We do not want businesses to be disrupted, and those firms will be able to continue to travel to and from the continent in the coming months, doing the work that they do now.

[Alan Brown]

If the Secretary of State listened to the question, it would be much more helpful than listening to the answer.

A spokesman for the road freight industry has stated:

“Our pleas for clarity have been constant—yet none has been forthcoming.”

He also said:

“We have never shared Mr Grayling's optimism”.

Given the £33 million settlement payment to Eurotunnel, a reported £28 million compensation payment to the ferry companies in respect of the no-deal contracts, a shortage of some 60,000 HGV drivers that will be exacerbated by Brexit, and the loss of transport industry confidence, surely the best boost for the industry would be the Secretary of State’s stepping aside.

[Chris Grayling]

In the light of the conversations that took place yesterday and the statement from the President of the European Council, I am quite glad that we will have provision in a week’s time—if it is necessary, and I hope that it will not be—to ensure that essential supplies and medicines can come into the country. Of course, if the hon. Gentleman does not want a no deal, his party could climb off its high horse and support the Prime Minister’s deal.

EU Exit Preparations: Ferry Contracts

Debate between Alan Brown and Lord Grayling

Tuesday 5th March 2019 Commons Chamber

[Alan Brown]

I thank the hon. Lady for highlighting yet another miserable failure, with more money being thrown down the drain. It is interesting that Eurotunnel was paid £33 million for vital services, given that that seems in one way or another to replace the contract of Seaborne Freight, which was given only £14 million. So we really do have to ask what extra we are getting for the £33 million, or is this all the compensation that Eurotunnel walks away with and the taxpayer has no chance of recouping? Again, the Transport Secretary really needs to explain this.

The Government have argued that direct negotiation was possible under regulation 32 of the Public Contracts Regulations 2015, which relates to emergency situations brought about by unforeseeable events. So, after more than two years of no-deal planning, we suddenly had an unforeseen event—an unforeseen event, however, that allowed such protracted negotiations and £800,000-worth of due diligence. I would like the Transport Secretary to explain how long those negotiations were ongoing in this supposedly emergency situation, because £800,000 of consultants’ money amounts to a fair bit of time in negotiation, so he needs to explain when the actual emergency situation kicked in.

The argument from the Dispatch Box was that Seaborne Freight would only receive the money if it delivered the service, but that misses the point, because if it did not deliver the service, the emergency service it was contracted for would not happen, and that would leave the Government in a right mess in terms of no-deal preparations. The Transport Secretary has also argued that Seaborne has not cost the taxpayer any money. Hopefully he will re-explain these figures, because I would like to know how £800,000-worth of due diligence, at least some of which was on Seaborne Freight, has not cost any money. How did going to court and defending the Government’s position not cost any money? How did an out-of-court settlement with Eurotunnel at £33 million not cost any money that was related to Seaborne, because I am pretty sure a key plank of Eurotunnel’s objections was the fact that the Transport Secretary gave an important contract to a company with no ships? Meanwhile Eurotunnel is a company that obviously provides successful cross-border services. It is no wonder it was at court.

I would also like to ask the Transport Secretary whether there are any more objections outstanding: any more risks of court action. In response to a written parliamentary question I was told that a limited number of representations were received. In my book, a limited number is more than one. We have already had one court case to date; are any more court cases pending?

[The Secretary of State for Transport (Chris Grayling)]

None.

[Alan Brown]

Are we absolutely sure about that? Given the Transport Secretary’s ability to count, “A hae ma doots,” as they say.

The Transport Secretary has never been able to answer what the loss of the 10% Seaborne contract would actually mean for the impact on Dover? Dover is so sensitive that even 10% would have a massive effect. We have heard about the fact that a minute and a half to two minutes of additional checks per lorry could lead to 30-mile tailbacks. Fortunately, under the Transport Secretary’s competent planning for no deal, we know that the Government have planned for at least 10,000 lorries by doing an exercise involving 89 lorries, driving up and down the motorway! [Interruption.] Yes, and the bin wagons. So 89 lorries driving up the motorway and parking up at Manston airport successfully proves that this Government can handle no-deal preparations! I am relieved; I am happy at that. I hold to my faith in the Transport Secretary.

--- Later in debate ---

[Alan Brown]

I am actually very surprised at that. I put in a written parliamentary question asking how much the Department for Transport had paid towards the dredging of the port at Ramsgate, and the answer I was given was that it had paid nothing, so I shall be challenging that further. We need to get to the bottom of this, because we know full well that that operation was not done for nothing and that the Transport Secretary was lobbying Thanet Council to keep the port open because of his negotiations with Seaborne. There is more to run on this, and I thank the shadow Secretary of State for bringing it up.

Returning briefly to Eurotunnel, we know that the out- of-court settlement was effectively a Government cave-in. The thing about that Government cave-in is that we have learned that they are going to keep 10,000 documents secret for reasons of commercial confidentiality, which will make it much harder for us to get the bottom of this. We know that they had no confidence in their own position because they settled out of court.

We also need to understand why the Health Secretary came to the Dispatch Box yesterday to tell us that this was such an important contract as it would keep medicines coming into the UK. He said that that was why the Government had negotiated the £33 million settlement with Eurotunnel. He suggested that it was not about compensation but about vital services and improvements. I repeat that we need clarity on this. If that £33 million was related to the provision of vital services, why did Eurotunnel take the Government to court? Why was Eurotunnel not identified as a reputable provider before, when the Government were looking at Seaborne Freight? How much of that £33 million compensation for Eurotunnel has gone forever? What services are we going to see? What updates will the House be given on the progress of those vital services that the Government have procured?

The Transport Secretary has been lax on updating the House from start to finish. We had one ministerial statement at the outset, which he thought would head off the bad press about Seaborne Freight. We have subsequently had to table three urgent questions, and we are now having this emergency debate. And of course, he has sometimes not even turned up to the Dispatch Box. The fact that he is unwilling to come to the Dispatch Box, state his case clearly and leave himself open to questions from Members says everything about his confidence in his own competence.

A procurement matter that I touched on yesterday is that it looks as though Bechtel is going to sue the Government over the HS2 tendering process, so will the Secretary of State identify what other departmental risks exist in relation to procurement? What review of the procurement process has he instigated? Who is heading up the review and when will it report on this matter? It is quite clear that some sort of procurement review is absolutely vital.

I will finish by again describing the Transport Secretary’s litany of failures. We heard about the near £600 million cost of privatising the probation service following his time at the Ministry of Justice.

[Chris Grayling]

Will the hon. Gentleman confirm to the House that the probation service contracts are running around £1 billion under budget?

[Alan Brown]

I cannot confirm that. The right hon. Gentleman is quite comfortable with his legacy there, so I will leave that to him; what he said is on the record. No one else seems to appreciate his legacy, including the current Justice Minister, who is trying to deal with the mess.

--- Later in debate ---

[Chris Grayling]

I have to say that the management of the port of Dover have been exemplary for the last few weeks in co-operating with us, not only over this but in preparations for no deal. They rightly judged that it was not in their corporate reputational benefit to try to block the delivery of drugs to the NHS in a post-Brexit world. I am disappointed that not everyone took the same view.

[Alan Brown]

rose—

[Chris Grayling]

I am going to make some progress.

I simply want to reiterate the point. We have taken the decisions. We collectively, in the Government, back in November; we collectively, a couple of weeks ago; we collectively, about this settlement, have taken the view that we need foremost to put the national interest first. We need to make sure that this country is ready for a no-deal exit, even though we are working very hard to make sure that that does not happen. We are working very hard to make sure that we are prepared for all eventualities. That is the responsible thing for the Government to do. Sometimes you have to take some risks in doing that, but I think sensible Governments take risks in the national interest. I and we and all of my colleagues who took this decision collectively, stand by this decision; we are deeply sorry that it did not work out in the way we had intended, but the reality is, it was the right decision to take, because we were putting the national interest, and particularly patients in our national health service, first—and that, Mr Speaker, you would expect any responsible Government to do.

--- Later in debate ---

[Alan Brown]

Once again, I thank you, Mr Speaker, for granting this debate. I also thank all Members who have taken part, particularly the two Conservative Members, whose contributions in trying to defend the Transport Secretary unwittingly made our case for us in terms of how big a farce this has really been. There was a ludicrous defence of the Transport Secretary by the hon. Member for Dover (Charlie Elphicke), who stated the whole Government were to blame for being too late in undertaking contingency planning. With the Transport Secretary also advising us suddenly of a collective Cabinet decision, we now know we have collective Cabinet incompetence, which says all we need to know about this Government and the leadership of the Prime Minister.

Despite having had nearly three hours of debate, the reality is that we still have no clarity about what the £33 million to Eurotunnel gets us and what, if anything, is being withheld by the Government in event of a withdrawal agreement being reached. We have had no reasons for the court climbdown on Eurotunnel’s challenge; nobody has been able to answer the questions on isotopes from my hon. Friend the Member for Glasgow North West (Carol Monaghan); and we have had no justification for how this whole procurement exercise is suddenly a medicine-led exercise. We have had no clarity or justification on the rationale for pursuing an exemption in competitive tendering on the basis of the regulation 32 exemption for unforeseeable circumstances, and no answers to the detailed questions from my hon. and learned Friend the Member for Edinburgh South West (Joanna Cherry).

Many Members have called for the Transport Secretary’s head, although, as I said earlier, it goes much wider than this. There was a classic oxymoron from the Transport Secretary: in defending his approach to the contingency planning he said that sometimes risks have to be taken. It undermines the point of contingency planning if he is actually willing to take risks. I will finish with this: the longer he stays in post is a risk too far for the United Kingdom. Again, I thank Members from across the House for their contributions.

Question put and agreed to.

Resolved,

That this House has considered the latest developments in the UK Government ferry contract awards for no-deal preparations.

[Chris Grayling]

On a point of order, Mr Speaker. I would just like to inform the House that the annex containing the requirements for Eurotunnel to spend money on improvements at the borders has now been published on the Government website.

Oral Answers to Questions

Debate between Alan Brown and Lord Grayling

Thursday 14th February 2019 Commons Chamber

[Chris Grayling]

As I set out, we have substantial contracts with two major operators to provide additional capacity, and we have put in place contingency measures in Kent, in case they are needed because of delays caused not in this country but on the French side. When I see what is happening in Calais and the preparations being made, I am increasingly confident that the flow of traffic through the channel ports will continue pretty normally. It is in everybody’s interest on both sides of the channel for that to happen, and it will certainly happen if we leave the European Union with a deal. It is disappointing, however, that the Labour party seems to want to stymie us leaving the EU with a deal.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

The Secretary of State’s handling of Seaborne Freight, and the way he is answering questions, proves that he lives in a parallel universe. The reality is that, with Eurotunnel taking the Government to court, his actions will cost the taxpayer at least £1.8 million and the costs are rising. Will he confirm how many representations have been made by other providers and whether there are likely to be further court challenges? Will he do the right thing and at least publish the legal evidence that the Government had, so that they can perhaps save some money in the long run?

[Chris Grayling]

The hon. Gentleman is trying hard, but the simple reality is that we approached the market and the market brought forward proposals. We have two substantial contracts to provide additional capacity. We took on a third smaller contract, where there was no upfront exposure to the taxpayer at all. Unfortunately that was not delivered because even though the company had ships lined up and agreements lined up, its principal backer decided not to continue with the contract.

[Alan Brown]

The Secretary of State did not approach the market—it was all done in secret; that is not approaching the market. He is baffled by the criticism of his handling of this, which is incredible. Let us look at his handling of the mock exercise for lorries in a no-deal scenario, with 89 lorries mimicking 10,000. Under his watch, we have had the east coast main line bail-out, the Northern rail fiasco, the Thameslink fiasco, delays to High Speed 2, issues with drone legislation and contracts awarded to Carillion when it was obviously going bust. What does it take for him to do the right thing and go?

[Chris Grayling]

The hon. Gentleman continues to produce in the House statements that I am afraid are simply inaccurate. The trial in Kent, managed by Kent County Council, worked very smoothly to illustrate the nature of movements in and out of the port of Manston. He keeps talking about Carillion. Carillion had no contracts with HS2. It was part of a consortium that was jointly and severally liable and that work has continued.

Seaborne Freight

Debate between Alan Brown and Lord Grayling

Monday 11th February 2019 Commons Chamber

[Chris Grayling]

I share my hon. Friend’s disappointment. We are spending a lot of money on contingency planning and resilience in Kent, and I personally regard the port of Ramsgate as an important part of that. He knows that I am committed to continuing to work with Thanet District Council, and I would like to see ferries come back to Ramsgate. Whatever happens, we must make sure that we keep open opportunities for the future, in my view.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Last month, the Secretary of State said that he had full confidence in Seaborne, and just last week he lobbied Thanet Council on its budget plans for Ramsgate. Does this not tell us everything we need to know about his judgment? His argument that Seaborne accounted for only 10% of the proposed additional services and that it did not matter if it did not deliver was nonsensical. Flouting EU procurement rules on unforeseen events by arguing that this was an emergency situation was also fundamentally flawed, given that he awarded a contract to a company with no ships. He says that he has been in negotiations with Seaborne for 12 months. How is that an emergency situation? He has now created his own emergency procurement process.

How many representations has the Secretary of State’s Department received on the procurement process, and are those representations still live, given the two contracts worth £89 million that he has awarded? Are we ever going to see the legal advice and the due diligence that was supposed to have been undertaken? Also, he has not answered the question on why this contract was not referred to a procurement assurance board. What will this missing 10% of capacity mean for Dover? What impact will it have on the port there? To keep HGV freight moving, what is his Department doing about the backlog of 9,000 ECMT permits? Given that he has now reached a stunning new level of incompetence, which must have been really hard to achieve, when will he go?

[Chris Grayling]

I am not sure that the hon. Gentleman was listening to a word I said. He asked a question about no ships. I can confirm that, as of last week, two ships had been identified and that options were in place to operate the route. This makes it even more disappointing that Arklow was not able to continue its support. He asked a question about negotiating for 12 months. That was Arklow, not my Department. He asked a question about the legal position. The legal position was signed off by officials in my Department and by the Treasury and by my accounting officer. The hon. Gentleman also asked about extra routes. As I mentioned in my remarks, we already have options for additional capacity in the North sea. Those routes are clearly longer and more expensive, but they are available to us. He asked about the ECMT permits. The current position is that the European Union has been very clear that we will continue with the current arrangements. I know of no reason why that should not happen, but we have bilateral arrangements that we can fall back on if it does not.

Oral Answers to Questions

Debate between Alan Brown and Lord Grayling

Thursday 10th January 2019 Commons Chamber

[Chris Grayling]

No. The story is untrue.

[Alan Brown (Kilmarnock and Loudon) (SNP)]

The Secretary of State’s responses in Tuesday’s urgent question on the Seaborne fiasco were disgraceful. He has awarded an emergency ferry contract to a company with no boats, no ports agreement, no personnel, debts and key personnel with dubious trading pasts. Parliament needs answers. How was Seaborne identified as a company that merited direct negotiations for an emergency contract?

[Chris Grayling]

It is a bit like the proverbial stuck gramophone record. I said very clearly, earlier this week, that we have let contracts with a number of operators, of which Seaborne represents about 10%, and we pay no money unless the service is delivered. To clarify further what the Chair of the Transport Committee said a moment ago, we are talking to a number of other potential outlets, in case extra capacity were to be needed—rail, ports, maritime—but nothing else has been decided. We have not issued instructions to any rail company about disruptive timetables and we have not taken any further steps to put additional measures in place. We are simply checking the lie of the land so that we can respond to all eventualities.

[Alan Brown]

This is an emergency contract that the Secretary of State thought was so critical it could circumvent EU procurement rules for direct negotiation, yet he says, “It’s only 10%” and “Don’t worry, if they don’t deliver, they don’t get paid.” That means they don’t deliver that emergency service. We know how sensitive Dover is; there are predictions of delays that could lead to 30-mile queues. If that 10% is not delivered, what is the impact on Dover?

[Chris Grayling]

This is why 90% of the new contracts are with DFDS and Brittany Ferries. As I said, I am disappointed that the Scottish National party does not welcome the DFDS contract that will provide additional routes from east coast ports to northern Europe, which will be beneficial to Scottish business.

Seaborne Freight

Debate between Alan Brown and Lord Grayling

Tuesday 8th January 2019 Commons Chamber

[Chris Grayling]

I am grateful to my right hon. Friend. It is absolutely right and proper that we prepare for all eventualities. The sad thing is to see the Labour party trying to destroy Brexit and taking a destructive approach to any sensible measures that this Government take to prepare for all Brexit eventualities. Frankly, Labour is not fit to be in opposition let alone in government.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Seaborne Freight has no boats, negative equity of £374,000 and no history of running ferry or freight services. The current director, Brian Raincock, and chief executive Ben Sharp both had companies liquidated owing Her Majesty’s Revenue and Customs money, with Raincock’s debt at £600,000. HMRC is us, the taxpayer, so what constitutes due diligence? What red flags were identified? How did that company get handpicked for direct negotiations for operating out of a port that is not even ready?

The Secretary of State’s written statement indicated that direct negotiation was possible under regulation 32 of the Public Contracts Regulations 2015, which relates to emergency situations brought about by unforeseeable events. However, the Government claim to have been planning for no deal for over two years. What legal advice was provided? What level of madness exists to contract contingency planning to a company with no track record of such service?

Saying that the company will get paid only if it can deliver misses the point, because if it does not deliver the so-called emergency contingency service, that would leave us high and dry. Is that the project for which the ministerial direction was required? Is there a central Government instruction and process for the awarding of such no-deal Brexit contracts? If so, can we see it? Does this contract comply with that guidance? If so, that highlights the shambles of this Government’s no-deal preparations. When will the Secretary of State do the right thing and go?

[Chris Grayling]

This procurement was done properly and in a way that conforms with Government rules. It secures the position of the taxpayer by ensuring that no money will change hands unless and until the ferries are running. The hon. Gentleman does not seem to listen.

Drones: Consultation Response

Debate between Alan Brown and Lord Grayling

Monday 7th January 2019 Commons Chamber

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

I thank the Secretary of State for sharing the parts of the statement he felt like sharing in advance. He was previously warned about the need for tougher legislation by my predecessor as Scottish National party spokesman, my hon. Friend the Member for Inverness, Nairn, Badenoch and Strathspey (Drew Hendry), the shadow Minister, by myself and by the British Airline Pilots’ Association, so why did he ignore those warnings and delay legislating in this area? What new evidence has actually emerged from the consultation confirming the need for additional enforcement powers, other than the blatant reaction to the Gatwick incident? How many of the 5,000 responses to the consultation related to enforcement?

How much was spent on overtime over the holiday period to get the consultation response document ready for the first day back so that the Secretary of State could pretend that he is suddenly in charge? How did the Government come up with a 400 feet-high and 1 km-wide exclusion zone? Using two different methods of measurement is a complete recipe for confusion. What consultation was undertaken at that time? What was BALPA’s view? What was the view of the Civil Aviation Authority and NATS when the previous exclusion zone was proposed? How has the Secretary of State now suddenly arrived at a 5 km exclusion zone? Why did the Government not meet the stated target of a draft Bill by summer 2018? What updates on that lack of progress did they ever give to Parliament?

Given that legislation regarding the use and deployment of drones is reserved to Westminster, what support will the UK Government offer to Scottish airports to allow them to comply with any changes? Will that include financial support? The Secretary of State mentioned that the Home Office is legislating for and developing the appropriate means of using the new technology, so which is the lead Department? Will all the legislation come in one new Bill? How do we know that the planned timetable will be met?

Under this Secretary of State’s watch, we have had the east coast mainline bail-out, the Northern rail fiasco, the Thameslink rail fiasco, delays to High Speed 2, contracts awarded to Carillion, and a ferry contract awarded to a company with no ferries. Today, his Department could only muster 89 lorries out of a planned 150 for a pretend no-deal scenario planning exercise. When we factor in the drone legislation fiasco, when is he going to move aside?

[Chris Grayling]

Well, it is difficult to tell whether we got more nonsense today from the SNP or from Labour. The hon. Gentleman appears not to have noticed that we legislated last summer to tighten up the rules around drones. He asked whether we had been working overtime over the Christmas period. I have to say that the consultation response was finished before Christmas, work on draft clauses for the drones Bill is substantially completed, and we have now brought forward this, which was well prepared over many months, so that question was nonsense as well.

The hon. Gentleman talked about the approach to the exclusion zone around airports. We judge that it is necessary to provide as much protection as possible to the flight path into and out of an airport, which is why we end up with something that looks more like the Transport for London sign, with bits sticking out either side to provide extra protection for the approach and landing areas, than a pure circle around the airport. As for Scottish airports, they have been a part of the discussions that I had over the Christmas period and will be a part of the discussions that Baroness Sugg will be having later this week.

Oral Answers to Questions

Debate between Alan Brown and Lord Grayling

Thursday 22nd November 2018 Commons Chamber

[Chris Grayling]

I absolutely sympathise with people in Scarborough. Of course, we are introducing additional services to Scarborough in the coming months, so that there will be a Northern service there as well. The work that Richard George is doing to look at why these performance issues are happening is similar to the work we did with Chris Gibb on Southern, which has led to an improvement in performance on that network, and I am absolutely clear that we have to deal with the issues that he highlights.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Let us get to the real north, which is Scotland. Overall, the Abellio ScotRail franchise is the best performing large franchisee, but 50% of delays and cancellations are attributable to Network Rail. The Secretary of State is being obstinate with us, but will he not consider devolution of Network Rail to allow the Scottish Government to take full responsibility? It would generate savings, which would also help to offset the £400 million shortfall from his Government.

[Chris Grayling]

The hon. Gentleman makes that argument regularly, but the devolution of Network Rail was not recommended in the report produced on devolution in Scotland. Given the SNP’s less-than-good record in running other services in Scotland, it escapes me why he thinks that devolving Network Rail would make a difference to train services in Scotland.

[Alan Brown]

As usual, the Secretary of State shows his full knowledge of Scotland. He will be aware that the rail industry review panel includes Tom Harris, a former rail Minister, who has written a report that calls for the devolution of Network Rail to Scotland. I wrote a letter to the Secretary of State on 15 October but he has not responded. Will he now confirm that he has not restricted the terms of reference for the rail industry review panel, and that if they recommend devolution of Network Rail to Scotland, he will act on that?

[Chris Grayling]

I have not set any limits on that approach. I have asked the panel to consider the question of devolution, as well as how we can improve the workings of the railways. It is no secret that in my view we need a more joined-up railway to meet the challenges of a system that is under intense pressure. The Government are investing record amounts in infrastructure upgrades, including spending money in Scotland, and that is in addition to using the Barnett formula, which is the norm for the allocation of funds to Scotland. We have a railway that is bursting at the seams, and it needs to work better if it is to deal with the pressures on it.

Rail Review: Terms of Reference

Debate between Alan Brown and Lord Grayling

Thursday 11th October 2018 Commons Chamber

[Chris Grayling]

As I said a moment ago, we are working through the final stages of our assessment of the position with GTR. The decisions that we take will be designed to deliver the best outcome for my hon. Friend’s constituents and other passengers. I do not want to take a decision that works against their interest, and I am happy to talk to him about ensuring that we get this right.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

I thank the Secretary of State for early sight of his statement. During a previous statement on 4 June—after yet another rail shambles—I asked the Secretary of State to admit that the rail franchise system is broken and to do something to fix it. In that regard, I kind of welcome this review, as long as it is actually thorough and the Government abide by any conclusions that the system is broken and needs to be completely remodelled.

How are we going to get oversight of the rail experts who are needed to sit on the panel? After hearing the statement, I think that we can safely say that the term “rail expert” does not apply to the Secretary of State. Yet again, he argues that the new investment that came in after privatisation was somehow magically due to privatisation, not a change in Government rules that allowed private companies to borrow. Yet again, he blames Network Rail—a body that he is responsible for—and continues to duck his own culpability in the timetable fiasco. And then, in this statement, he talks about the absence of clear lines of accountability; I think we know who has responsibility.

With regards to terms of reference, we need to look at the value for money of the subsidy in the current system—£2.3 billion in 2016-17—as well as the value of public sector bids, and how foreign state-owned companies can come to the UK and make money to reinvest in their own national railways. We also need to look at the devolution to Scotland, especially as Network Rail is too large as it is; the performance of the Department for Transport, especially with regards to the tendering process and the mismanagement of the east coast main line tender; the performance of direct awards and the cost to the taxpayer; and the HS2 and Crossrail delays.

Will the Secretary of State stand up and rule out the privatisation of Network Rail? He seems to keep saying that the nationalisation of Network Rail is the problem. We do not want a repeat of the Tory Railtrack failure by privatising the state infrastructure. Will he rule out privatisation today?

[Chris Grayling]

The hon. Gentleman continues to argue for the devolution of Network Rail, even though it was not recommended in the report on the powers that should be given to the Scottish Government. I will continue to say to that Scottish Government that when they actually run the rest of their responsibilities well, they will have a better case for arguing for additional responsibilities.

The review will look comprehensively at the structure of the industry. It is designed to deliver genuine change. I do not expect the industry to emerge from this review in the same shape that it is in today. It is important that we find a structure that works for the public and passengers, but I do not intend to transfer the ownership of Network Rail to the private sector.

Oral Answers to Questions

Debate between Alan Brown and Lord Grayling

Thursday 11th October 2018 Commons Chamber

[Chris Grayling]

We are focusing our support on electric vehicles, which are the part of the market we want to see grow the fastest. We provide substantial incentives to buyers of electric vehicles. It was great to see that, in August, 12% of the new car market was low-emission vehicles, which is a big step forward for this country.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Carbon emissions in Scotland have been halved since 1990, but the next part of the low-carbon transition is the electrification of Scotland’s roads. The Scottish National party Government have committed to 1,500 new charge points. Does the Secretary of State agree that Scotland needs to get its fair share of the £400 million charge fund, based on our rural nature and unique geography?

[Chris Grayling]

As the hon. Gentleman knows, public spending in England is always matched by a Barnett-based element of public spending in Scotland, and that will continue to be the case.

[Alan Brown]

That answer is completely inadequate. We should not be getting such funding based on Barnett. Scotland has two thirds of the land mass of England but got only a fifth of the broadband funding. Will the Secretary of State make sure this iniquitous position does not happen in respect of the £400 million charging fund?

[Chris Grayling]

This is a bit of a groundhog day, because every time we hear SNP Members talking about the finances of Scotland, if Barnett works in their favour, they are happy to say that they insist on having Barnett, but if they want more than that, they say Barnett is not good enough. They cannot have it both ways.

Oral Answers to Questions

Debate between Alan Brown and Lord Grayling

Thursday 5th July 2018 Commons Chamber

[Chris Grayling]

I am afraid that this is a total misnomer. First, the part of the country that will receive the highest Government spending per head on transport over the next five years is the north-west. Spending is higher per head of population across the north than it is in the south. Secondly, as I have already announced, we will start the £3 billion trans-Pennine upgrade next spring, which will substantially rebuild the railway line between Manchester, Leeds and York and deliver much better services to passengers. It is long overdue.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Network Rail plays a key role in delivering rail infrastructure investment projects both north and south of the border. Given that many of the Secretary of State’s colleagues think that Network Rail is too big, that he often gives it a kicking himself and that the Scottish Government have responsibility for the strategic delivery of rail north of the border, will he at last take steps to devolve Network Rail fully to the Scottish Government?

[Chris Grayling]

The hon. Gentleman keeps arguing for that, but it was not recommended by the commission that examined what powers the Scottish Government should have. My advice to the Scottish Government is to try to use the powers they have well rather than ask for more.

--- Later in debate ---

[Chris Grayling]

The answer is yes but, of course, most of our ports are well used to dealing with traffic from both inside and outside the European Union. Those handling freight move it through extremely quickly and effectively, and they have great expertise in doing so. I am very optimistic that our ports will do a great job in the post-Brexit world.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

In his opening remarks the Secretary of State said it is too early to predict the effects on transport at ports. That is ridiculous, considering that we will leave the EU in March 2019. Half of his Cabinet is arguing for a no-deal Brexit, so it is coming at us really fast. We already know it is predicted that an extra two minutes of checks at Dover would result in 30-mile tailbacks, so what is he doing to put in place IT systems and border infrastructure systems that allow joined-up, continued free movement?

[Chris Grayling]

The Government and Her Majesty’s Revenue and Customs are doing extensive work for all eventualities. As I have previously said in the House, we do not intend to impose any form of hard border in Dover. It would be logistically impossible to do so, and therefore any flow of customs through Dover in the post-Brexit world will have to be managed in an online, electronic way. It is not possible to create fixed systems at Dover.

National Policy Statement: Airports

Debate between Alan Brown and Lord Grayling

Monday 25th June 2018 Commons Chamber

[Alan Brown]

I want that, but I also want guarantees of protection. I will come on to that point, so, again, I ask the hon. Gentleman to show a bit of patience and wait.

[Chris Grayling]

I am very grateful to the hon. Gentleman for giving way. Can he confirm whether Heathrow airport has this afternoon agreed with the SNP and the Scottish Government that it is prepared to set aside 200, not 100, slots at Heathrow airport for connections to Scotland? If that is the case, why are they continuing to object to Heathrow’s plans?

[Alan Brown]

Obviously, 200 slots are preferable to 100 slots. The thing is that only the UK Government can provide the protections. Heathrow has always said that it is willing to work with the Scottish Government, and with the UK Government, but it is only the UK Government who have the powers to provide the guarantees and protection.

--- Later in debate ---

[Alan Brown]

I do not recognise the exact figure mentioned by the right hon. Lady, but I do accept that Department for Transport figures suggest that direct connections and international connectivity will not increase as much if the Heathrow expansion goes ahead. Yet Scottish airports themselves do not express that concern and they do back the expansion of Heathrow, so I also have to trust their judgment on the matter.

[Chris Grayling]

Is the hon. Gentleman saying that the Scottish National party’s view is that because it is not sure how big Scotland’s bit of the cake is going to be, there should be no cake?

[Alan Brown]

I have also spoken up for other regional airports, because I would expect them to want the same protections that I am asking for when it comes to Scottish airports. It is up to the Secretary of State to give these guarantees and satisfy us on these points.

Paragraph 1.62 of the Government’s response to the Transport Committee’s recommendations explains that the Crown dependencies are also included in the 15% of additional slots. How will the figure actually break down between the Crown dependencies and all the various regional airports?

Airports National Policy Statement

Debate between Alan Brown and Lord Grayling

Tuesday 5th June 2018 Commons Chamber

[Chris Grayling]

My right hon. Friend has made a crucial point. That is, obviously, a matter of great importance to the airlines. They do not want fares to rise, and nor do we. This should be a development that leads to more choice for passengers, as well as more competition and, as a result, lower fares. One of the benefits of expanding the network will be for the United Kingdom, because we need more operators within the UK, and we may be able to achieve better competition on routes into Heathrow.

I have statutory powers, which I have already used on two occasions, to enable the Civil Aviation Authority to monitor the costs of the project to ensure that they are driven down. I renewed those powers recently, and I will continue to do so whenever necessary.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

I thank the Secretary of State for giving me early sight of his statement.

This has been another polarising issue, and aspects of the UK Government’s approach in the past and the delaying tactics have not helped matters. However, I welcome the progress that is being made, and the fact that a vote appears to be imminent. The option of Heathrow expansion was recommended by the Airports Commission. It was also backed by the Transport Committee, as we have heard, and I pay tribute to its work in scrutinising the national policy statement.

To be fair, Heathrow has engaged fully with the Scottish Government, and has signed a memorandum of understanding in relation to commitments to Scotland. It refers to a construction logistics hub, and, for selfish constituency reasons, I should like that to be based at Prestwick airport. There is also a commitment to a £10 million route development fund, and a commitment to promoting Scotland in the future. I must be honest: for me, supporting expansion at Heathrow from a Scottish perspective was initially counter-intuitive. However, all but one of the Scottish airport operators support it. So do the various Scottish chambers of commerce, because they recognise the business benefits that it can bring to Scotland, including up to 16,000 new jobs. That helped to sway me, and the Scottish Government have reiterated their support.

Let me ask the Secretary of State some questions about his statement. He spoke of benefits for nations and regions, and an expected

“15% of slots on a new runway to facilitate domestic connections across the UK”.

However, he has still not explained how he will ensure that that happens. Will conditions be imposed, and will he consider Scotland’s needs? How will he ensure that what is proposed for Heathrow will increase passenger numbers at Scottish airports? He said that he had recommissioned the CAA to work with the industry to keep charges close to their current levels, but he did not make it clear how there could be certainty that future charges would be kept under control. What will happen if Heathrow cannot commit itself to the longer period that the Secretary of State has just thrown into the mix, and what will he do to ensure that there is more transparency on new flight paths? Finally, given the UK Government’s failures to date and their defeats in court in relation to air quality, what will be done to ensure that air quality impact assessments are robust and that the correct control measures are introduced?

[Chris Grayling]

I am grateful to the hon. Gentleman, the Scottish Government and the Scottish National party for their support. I think it important for us to ensure that Scotland is well served by the expansion of Heathrow. I think the hon. Gentleman understands, given the support that has come from the Scottish regional airports and the Scottish business community, that by providing more strategic routes for the United Kingdom from Heathrow we will provide links to important new developing markets around the world.

The hon. Gentleman asked about the protection of slots. We are considering what is the best mechanism. It seems that the public service obligation mechanism may be the best, but I want the most robust legal mechanism to operate by the time we reach the development consent order process, in order to protect the allocation of slots to regional connections in the United Kingdom. I do not want, and will not accept, circumstances in which slots somehow disappear and are allocated to a long-haul route rather than a UK route. This must be a project that benefits the whole United Kingdom. As for passenger numbers, our forecasts show that virtually all regional airports will continue to grow, and I expect the hon. Gentleman to see growth at Scottish airports as well as on routes to and from Heathrow.

The hon. Gentleman asked about the setting of charges. The CAA sets the charges, and it has absolute regulatory power to set them at the level that is appropriate for the airport. It has the teeth to deliver that at the moment. He asked about the respite issue. Let me make it clear that the night flight ban is an absolute requirement. We would reconsider that only if both the airport and the local communities agreed that something different should be done. The local communities would have to come back to us, with representatives of the airport, and say, “We would like to do something slightly different.” From the Government’s point of view, the ban is a non-negotiable element.

As for the hon. Gentleman’s final question, given that there are opponents of the scheme, I think it highly likely that it will be challenged in the courts. We have done exhaustive work, and there is a huge amount of material for the House to consider. We are following a statutory process, and only if there is a supportive vote in the House of Commons can the project go ahead. I hope that that is enough to set the project on the right path.

Rail Timetabling

Debate between Alan Brown and Lord Grayling

Monday 4th June 2018 Commons Chamber

[Chris Grayling]

I completely agree with my hon. Friend; I think that the railways are going to have to change significantly as a result of what has happened. However, I say to those who are saying that we should sack the franchisees that simply sacking the people who are working today will not solve the problem, because I do not have some other group of people down the corridor who are able to take over. We have to make sure that everyone has all the necessary support from across the industry to deliver solutions for passengers and get back to stability as quickly as possible. I absolutely accept what my hon. Friend says.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Another week, another rail shambles. When will the Secretary of State admit that the rail franchise system is broken and do something to fix it properly? It was really disappointing to hear that travellers who were forced to get rail replacement buses at short notice were sometimes turned away because the buses were full or simply did not turn up. That is even more ironic considering that Arriva also operates overlapping bus groups. That just highlights the farce that is going on at the moment.

We know that late-running Network Rail projects reduced the time available for train operators to plan the new schedules, but what assessment has the Secretary of State made of his Department’s culpability in this, with regard to Network Rail? Despite assurances that all was well, it is now clear that there was no possibility of the timetables being capable of being operated in full from day one. Why did no one in the train operating companies, Network Rail or the Department for Transport ask for a postponement of the new timetable roll-out?

The Secretary of State has said that he will take the strongest enforcement action against GTR if it has broken its franchise agreement. Will that action be stronger than that taken against Virgin Trains East Coast, which has been allowed to walk away owing the Department for Transport billions of pounds?

What is the Secretary of State’s exact timeframe for resolving these timetable issues? He has mentioned putting in additional resources. What additional resources will be put in from his Department? What is he doing to ensure that the driver shortage is not met by poaching drivers from other franchises, which could have an impact on services elsewhere? On the question of compensation, what will he do to ensure that the rail industry does not recover the costs of compensation from other fare-paying passengers?

The Secretary of State continually highlights Network Rail failings, but when will he accept that he has responsibility and culpability for Network Rail and fall on his own sword? An apology is not good enough.

[Chris Grayling]

As I have said, the key issue now is to sort out the problems. The hon. Gentleman asked about failings in my Department and elsewhere. I have asked Stephen Glaister to look at everything that has happened and to report back publicly so that we can know exactly what has gone wrong and particularly so that we can ensure that it cannot happen again. The hon. Gentleman asked about resources. My Department is deploying extra people on this, as is the industry. For example, GTR has borrowed drivers from freight operators to try to deal with some of the shortages on its rosters. On the question of compensation costs, my view is that they should be paid by the people who are responsible.

Oral Answers to Questions

Debate between Alan Brown and Lord Grayling

Thursday 24th May 2018 Commons Chamber

[Chris Grayling]

Let us be clear: the situation with Northern has been unacceptable. As I said yesterday, I will this morning chair a conference call with the Northern leaders. This is the most devolved franchise. It is a partnership between Northern leaders and the Department for Transport, but it is not solely led by the Department. None the less, it is no less important to me that we get this situation resolved. I am very clear that this problem has arisen for two prime reasons: the problems with electrification Network Rail is carrying out on the line through Bolton and the failure of Network Rail to deliver a finalised timetable in time. When the hon. Gentleman talks about the need to strip the franchise and renationalise, he is shooting at the wrong target. This is a Network Rail failure and it must not happen again.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

We know that since rail privatisation the Secretary of State thinks magic money appears from nowhere with no risk to the taxpayer, but that is not the case. When it comes to infrastructure, the UK relied on £35 billion of loans from the European Investment Bank between 2011 and 2015. Where will that money come from for rail infrastructure post Brexit?

[Chris Grayling]

We are a substantial net contributor to the European Union, so the money given to the UK from different European funds actually originates in the UK. We will be able to spend our money in the way we see fit. We are of course spending record amounts of money on rail infrastructure to develop what needs to be a better, expanded and more resilient rail network.

--- Later in debate ---

[Chris Grayling]

The Prime Minister has been absolutely clear that this country is committed to frictionless borders. Teesport is doing a great job; I saw some of the firms that operate at the port only recently. That is one reason why I have announced the study into the potential reopening of the Skipton to Colne railway line, because one thing we lack for ports such as Teesport and, indeed, Liverpool, is better freight connections across the Pennines. Every time I talk to the port operators, that is top of their list.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

One of the Brexit myths is taking control of borders, yet the Secretary of State continues to say that there will be no further checks on transport at ports. Is that just because he does not have a clue about how the Government can put in place a system that allows checks to be made but does not cause carnage on the roads round about the ports?

[Chris Grayling]

No, I am afraid it is because the hon. Gentleman does not understand how ports operate today. It is not necessary to stop every lorry at a border—indeed, every lorry is not stopped at the border—to have a free flow of trade. Countries inside the European Union and countries that have no connection with the European Union manage to operate a free flow through ports and across borders, and that is what we will do after we leave.

Transport Secretary: East Coast Franchise

Debate between Alan Brown and Lord Grayling

Wednesday 23rd May 2018 Commons Chamber

[Alan Brown]

I agree, and I think that the Government are now looking at northern because it is yet another failing franchise—another sign that the current system is just not fit for purpose.

I go back to the problems with the southern franchise. The NAO report makes it clear that the Department for Transport’s responsibility was large, especially for access to the network and timetabling pressures. Such errors led to an additional £60 million being allocated from the Treasury, following a loss in revenue and other costs. Again, all that happened on this Transport Secretary’s watch.

[Chris Grayling]

I do not want to deflect attention in any way, but may I remind the hon. Gentleman that that franchise was not set up while I was Secretary of State?

[Alan Brown]

I am happy to accept that, but all the current problems are happening under the Secretary of State’s watch. He has refused to get involved in trying to resolve the disputes to move things forward. I accept the fact about when it was set up, but he could have been stronger in his leadership and his interventions instead of letting things rumble on.

Another issue that I have with the Secretary of State’s overall competence is his dogmatic refusal to devolve Network Rail to Scotland. The organisation is clearly too big, and it has a bad reputation for delays and overspend, so why would he not want to take the opportunity to devolve it, allowing the Scottish Government to take full responsibility? It has been estimated that a unified management structure could save up to £100 million a year, and that alone should appeal to a Tory Secretary of State, so I just do not understand his dogmatic refusal to engage.

Then there is his lack of engagement with the Scottish Government about the funding for control period 6 in Scotland. The allocation is way less than his regulator recommended for track maintenance and growth in Scotland’s railways. Why is he being so obstinate in refusing to meet the Scottish Government or to consider what might be a fair funding settlement? We also had the recent railcard fiasco. The autumn Budget included the announcement of a discounted railcard for 26 to 30-year-olds, except the Treasury did not put any money into the scheme. In answer to a written question, I was told that the rail industry would pay for it itself, but that was done without discussions with the industry so, lo and behold, the scheme is in chaos. Who would have thought it? Again, that happened under this Secretary of State’s watch.

The Transport Secretary’s slash-and-burn attitude to rail electrification projects and the short-sighted selection of hybrid engines will lead to continued diesel pollution. He has also so far refused to fund or consider meaningful upgrades to the west coast main line north of Crewe. The way that high-speed rail will be implemented means that journeys between Scotland and Crewe will take longer on high-speed trains than they take currently with Virgin Trains, so we need further investment north of Crewe.

I will deviate from rail slightly before I finish. The Transport Secretary’s incompetence is summed up by his proclamations that there will be no border checks post Brexit. The suggestion is that lorries will not be stopped—just like on the US-Canada border—but that just shows that he does not have a grasp of his brief. That is why I am more than happy to support the motion.

East Coast Main Line

Debate between Alan Brown and Lord Grayling

Wednesday 16th May 2018 Commons Chamber

[Chris Grayling]

The latter point is really important. We want open access to continue. This line has some excellent open-access operators. The system we are putting in place will do nothing to preclude that from happening. I am very clear that that has to continue and that the interests of both the open-access operators and the freight companies needs to be protected as we take this forward. I assure my hon. Friend that that is what will happen.

I want to continue to see private investment in our railways. The Labour approach would mean that each year the railways were competing for public capital with schools, education and the rest. That is something that Labour Members do not quite understand. The railway gets more investment through a partnership between the public sector and the private sector than ever it would through their renationalisation policy. Going back to the days of decline and failure under British Rail is their way for the future. We just have to look at what is happening in France, where people are desperate to move away from that model because it is not working.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Let us go back to 2012 and look at the failed west coast main line franchise. Back then, when Virgin was going to lose out, it was happy to go to court. It ran a public campaign—“Keep Virgin on the west coast”. Oh, how it squealed; we were to feel sorry for it. What happened? Yes, it got a direct award. Returning to the here and now, it gets to walk away from this franchise—no harm, no foul. We do not hear it squealing now. It is an absolutely sick joke. Virgin should not be allowed to bid for future franchises.

On this franchise, it is not just Virgin Trains East Coast that got its sums wrong. We keep hearing about how it got its sums wrong, but that means that the Department for Transport got its sums wrong when it assessed the tenders. Where is the due diligence? What is going to happen within the Department to make sure that it does not make the same mistakes in future? What about the other consortiums that lost out if VTEC got its sums wrong? Do they now have grounds to go to court having missed out because the Government awarded the franchise to a company and now just blithely say, “Oh, it got its sums wrong. Don’t worry about it—that’s what happens with some franchises. They get their sums wrong, and we move on and re-tender.”

Will Virgin and Stagecoach be allowed to bid for the new partnership? That really would be rubbing salt into the wounds of this process. Richard Branson has blamed Network Rail. He says, “It’s not our fault, guv—it’s Network Rail.” What is the truth in this? How much of this problem has been caused by Network Rail, and is that going to be sorted out? Will the Secretary of State please devolve Network Rail to Scotland, so that at least the Scottish Government can take care of these matters in Scotland? The current system cost an extra £60 million last year. He says that this is not a failing railway and that Virgin and Stagecoach are reliable. In fact, what we have is a failing Government.

[Chris Grayling]

If we want to find a failing Government, we just need to look north of the border. I do not plan to devolve responsibility for Network Rail to the Scottish Government because I do not believe the Scottish Government are capable of overseeing it properly. They are messing up education and health in Scotland. They should concentrate on doing the things they already have right before they take on any extra powers.

The hon. Gentleman talks about there being no harm to Virgin-Stagecoach. It has just lost 20% of its market capital. Most people running a business would say that that is a pretty big blow. It is not happy about that, and nor will any of its shareholders be. We have changed our approach since this franchise was let. There are new risk-sharing mechanisms in place. Most recently, we did not accept the highest bid for the last franchise we awarded, and we have to continue to work on this. I have asked my hon. Friend the Minister of State, who is the rail Minister, to work closely with colleagues in the Treasury to identify the best way to ensure that we have the right risk-sharing mechanisms for the future, so that we look after the interests of passengers and the taxpayer.

The hon. Gentleman asks about the new partnership and the bids. This is a completely different paradigm. This is not another franchise bid in two years. We are looking at shaping a different kind of railway, and we will set out plans for that to the House in due course.

Haulage Permits and Trailer Registration Bill [Lords]

Debate between Alan Brown and Lord Grayling

2nd reading: House of Commons & Money resolution: House of Commons & Programme motion: House of Commons
Monday 14th May 2018 Commons Chamber

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

I understand that the Secretary of State cannot speak for the Irish Government, but can he tell us what discussions he has had with the Irish Government about this, and therefore give us an indication of what the position might be?

[Chris Grayling]

The hon. Gentleman will know that the Irish Government are part of the European Union negotiations. We continue to discuss this and other transport issues as part of those negotiations, and I am entirely confident that we will reach a sensible place at their conclusion.

Let me sum up. As I have outlined, we are committed to ensuring that the road haulage industry can continue to prosper as we leave the European Union. As part of our programme of EU exit legislation, this Bill prepares us for a range of scenarios. It will ensure that the UK can fulfil its international obligations and will be ready when we leave the EU.

The Government have been supported by the industry in bringing forward these sensible measures, and we have talked extensively with it over the past few months. I believe that this represents prudent planning for different eventualities. I personally want to lead a Department that is prepared for all those eventualities and that can deal with whatever circumstance lies ahead, notwithstanding my view that we will reach a sensible partnership agreement for the future this autumn that will enable us to remain good friends and neighbours of the European Union, and that will allow the trade between us to carry on flowing as it does today. I commend the Bill to the House.

--- Later in debate ---

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

It is a pleasure to follow the right hon. Member for Scarborough and Whitby (Mr Goodwill), who must be one of the very few of us in this place to have a class 1 licence.

I think I will continue the theme of Opposition Members expressing their genuine concerns about what is happening and about how we go forward, while Conservative Members just continue to tell us, “Everything will be all right on the night. Why should we worry? Just believe us. It will all be okay.” The Government’s confidence is indicated by the fact that a Parliamentary Private Secretary has been going round the Government Benches giving out a crib sheet and lobbying for support. I think that tells us how confident the Government really feel.

I understand the need for the Bill, which is a back-up in case there is no deal. For that reason, I certainly would not vote against it, but I hope that the UK Government are doing their best to ensure that part 1 is not required and that the existing streamlined operations we enjoy under the Community licence scheme remain in place. However, we have to look at the current reality. We have a Brexit Cabinet that cannot agree a customs arrangement. The Tories are determined to pull out of the customs union and the single market. They are absolutely all over the place, and the clock is ticking away, so the prospect of a seamless transition becomes more and more unlikely.

In many ways, the Bill is symptomatic of the Government and their approach to Brexit. It is mainly superficial. There is a statement of intent, but we do not know the detail behind the Bill. We do not know what the permit system will look like or how it will operate. We do not know what fees will be applied. We do not even know whether limits will be applied to the number of permits. Like the Brexit process in general, the Bill is just the equivalent of talk but no action.

There is a further irony. The Bill is another example of primary legislation formulated in the other place. When it suits the UK Government they tell us that the House of Lords is only a revising chamber and that it should not get in the way of the business of the Government, yet if it is willing to do the Government’s bidding, we are supposed to laud its expertise. However, when it applies its expertise and says there is a need for a customs union, a vote to stay in the single market and a meaningful parliamentary vote in this place, somehow we have to ignore that expertise and wisdom. That shows the hypocrisy of Government Members when it comes to the House of Lords.

Another aspect of the Bill is that it is a part of the no deal preparations. The Brexiteer argument is that preparing for no deal will show the EU we are ready to walk away, thus strengthening our negotiating position. However, I am pretty sure that the Bill is not going to have Michel Barnier quaking in his boots. This is the first Bill going through Parliament in preparation for no deal. I suggest there is a long way to go to strengthen the Government’s hand. We are only a couple of months away from summer recess and a whole load of other legislation will be required for the Government to be in a competent place in terms of no deal arrangements. There is no way that the Government are strengthening their hand. If anybody thinks that we are in a stronger negotiating position, they are kidding themselves.

The Government have not even published their transport priorities in a single policy or place, so we do not really know their overall hoped for direction of travel. We know in theory that they want frictionless trade. They want extensive free trade agreements without any meaningful show of what that means in reality and how it would be implemented—that is a key issue.

On haulage, we know that the supposed preference is for things to remain much as they are under the Community licence arrangements, but where are we on those negotiations? If agreement is reached for arrangements to continue as is, or if a reciprocal licence arrangement is agreed, that means few extra checks will be required. There is still, however, the fundamental issue of the customs and border arrangements, which is far more relevant to hauliers and businesses reliant on the import and export of fresh goods.

What will be the timescale for a new IT system? Has any work actually started on it? How much of the £75.8 million allocation for transport Brexit preparation has been spent so far and what has it been spent on? What is the planned programme of work for the fund for the rest of the financial year? Is the renting of Manston airfield as an emergency lorry park part of the Brexit preparations and expenditure? As the shadow Minister said, they cannot even get their plans for a car park correctly in place. That is £13 million down the drain.

[Chris Grayling]

It may be helpful to the House if I say that the preparations for any disruption, not necessarily Brexit-related, of the Channel ports are well under way. Work on the M20 will begin in a matter of weeks, either late this month or early next month, to ensure that we have greater capability than we did in 2015 to store more lorries. We are not relying on Manston airport. It remains available to us in the short term, but it is not included in our long-term plans.

[Alan Brown]

The Transport Secretary says that the work is going to start shortly. Can he give me a timescale for the completion of the lorry park?

[Chris Grayling]

I will go into detail another time, but we are putting in place plans that will enable us to store at least as many lorries as we did at the worst of the situation in 2015 without creating a situation where the motorway cannot flow in both directions. Those plans are well advanced and we will have them in place before next March.

[Alan Brown]

I remain to be convinced. That seems to be another example of, “Believe me, it will be okay. We’re dealing with it, just trust me.”

Oral Answers to Questions

Debate between Alan Brown and Lord Grayling

Thursday 19th April 2018 Commons Chamber

[Chris Grayling]

Absolutely, which is why I have already announced that the £2.9 billion upgrade of the trans-Pennine line will begin this time next year, as the start of a transformation that is vital to the north. In the coming months we will also see the arrival of the first of a complete new set of trains across the north of England that will transform passengers’ experience.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Previously I have raised concerns that, under the Department’s current proposals, high-speed classic-compatible trains will run slower north of Crewe than existing trains on the west coast main line just now. The Secretary of State said that we need to address that as we go through the 2020s. That is clearly not good enough. We need certainty now. If he will not commit to upgrading the west coast main line north of Crewe, will he look into procuring trains that can tilt and travel on the high-speed network?

[Chris Grayling]

The new classic-compatible trains and the arrival of HS2 up to the north-west of England will of course mean more speedy journey times to Scotland. I know the hon. Gentleman’s party’s view. We want to see further improvements through the 2020s to the west coast main line north of Crewe to ensure that we improve journey times. We want the best possible journey times across the whole network, and will continue to work for that.

--- Later in debate ---

[Chris Grayling]

I know that we have particular issues with some of the properties in Long Eaton, particularly the railway cottages. I have worked and will continue to work closely with my hon. Friend to ensure that HS2 does the right thing by those people.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

On “Question Time”, the Secretary of State intimated that, post Brexit, trucks will not be checked and will move freely through the border, as happens in Canada and the US. I have an official document that confirms that all lorries are stopped on the US-Canada border. Will he apologise for giving out duff information, do his homework and tell the House what the concrete plans will be post Brexit?

Rail Announcement

Debate between Alan Brown and Lord Grayling

Tuesday 27th March 2018 Commons Chamber

[Chris Grayling]

The difference that HS2 will make is that it will provide far more capacity and better connections across the whole country. Whether you are coming to London from Cumbria, Manchester, Liverpool or Birmingham, or travelling to points in between, there will be more capacity, faster trains and better connections between intermediate places. That is so important. I am delighted about the arrival of the Sunday services in my hon. Friend’s constituency. She and I stood at Seascale station while a Pacer train chugged past, and she will be delighted to know that in a few months’ time that Pacer train will be in the scrapyard.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

I thank the Secretary of State for giving me advance sight of his statement, but it really is lacking in detail. He said that he had already set out plans for a new partnership for the east coast main line, but I suggest that the plans for that line are still unclear. We need a lot more information on that. He also said that the congestion on the west coast main line and its links to Scotland and other areas underpinned the business case for HS2. That raises the question of why HS2 is being built only as far as Crewe, and why a north-south link is not being constructed at the same time.

The Secretary of State has detailed possible methods of operation, but he has said that they do not need to be decided on now, so what are the timescales for deciding future methods of operation? Will he confirm that the public sector will be involved and will be allowed to bid? When will we know the new timetables and priorities for the west coast main line? What will be the bid status for companies that have failed in existing franchises? The existing west coast main line contract was supposed to look at the remodelling of Carstairs Junction, so will he give us a progress report on that? Will he also tell us what discussions he has had with the Scottish Government on the existing underfunding of the rail settlement to Scotland, and on the impact that that could have on the west coast main line?

What tender appraisal lessons has the Secretary of State learned from existing failed franchises? What checks and balances will there be to ensure that we do not see further compensation disputes, conflicts of interest and armies of cost consultants involved in these franchises? What west coast main line upgrades will there be north of Crewe? I note that the current proposals will mean that new HS2 trains will run more slowly north of Crewe than the existing Virgin trains do. That would be an unacceptable performance measure, so will he tell us what upgrades are planned for north of Crewe? Lastly, his Department has already needed £60 million from the Treasury to balance the books this year because of the failures in the existing franchise system. How sustainable will the future franchises be?

[Chris Grayling]

On that last point, there was a revenue issue last year around Govia Thameslink Railway and the completely unnecessary strike action taken by the unions. I am happy that that railway is now mostly back to normal and I hope that we will not have that issue again. The hon. Gentleman asked about the east coast main line. I will come back to the House when it is the right moment to do so, when we are ready to set out the approach that we are going to take. It is important to ensure that that is dealt with on a value-for-money basis but also on an operational basis, to ensure that passengers are not affected by the trouble on that route at the moment.

The hon. Gentleman asked about timetables on the west coast main line. That will come from the bids that are tabled for that particular route, depending on how the bidders plan to enhance services. The invitation to tender starts today, and we will start to get the proposals back during the course of this year. Of course, no one can bid for a franchise without a passport, and that will continue to be the case. He also asked about the funding level for Scotland. I simply remind him that the Government have provided more than would have been provided under the Barnett formula. Scottish Members normally argue for the Barnett formula, except when it is inconvenient for them to do so. The reality is that they should be glad to get anything more than the Barnett formula, because that is what they always argue that Scotland should receive.

The hon. Gentleman asked about learning lessons from failure. As I said in my previous statement on the east coast main line, we have tightened the risk-sharing mechanisms and we will be watching this particular franchise like a hawk to ensure that it is financially solid and robust. He also asked about the speed of journeys to Scotland. Of course, HS2 will reduce journey times to Scotland. There is an issue north of Crewe because the new classic-compatible trains are not tilting trains, and that is something we will have to address as we go through the 2020s, but the reality is that journey times to Scotland will be reduced as a result of HS2 arriving. That is part of delivering better services right across the country and, crucially, delivering jobs right across the country. That will happen all across Scotland, Wales, Northern Ireland and England.

Oral Answers to Questions

Debate between Alan Brown and Lord Grayling

Thursday 1st March 2018 Commons Chamber

[Chris Grayling]

I know that a number of Members are here today because their flights to regional airports have not been able to take off. I hope and expect that we will be able to sort that out as quickly as possible today, although it is really important that the transport system is run safely. Of course, one of the benefits of the expansion of Heathrow is that the airport would become more resilient to such difficult situations, and connections to regional airports would be more reliable.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

I, too, pay tribute to those transport workers who are keeping the system going at this difficult time. The Secretary of State said in his first answer that the allocation of funding is a rigorous and fair process, so can he explain why the Government have ignored the Office of Rail Regulation’s recommendations by underfunding Scotland by £600 million? Since then his Department has been able to cope with a £240 million loss of revenue as a result of the situation with Southern rail and found £245 million for High Speed 2. The Government have been ignoring the Scottish Government since last July, so will they now meet the Scottish Government, or are these just weasel words about equity of funding?

[Chris Grayling]

Once again, the Scottish National party is arguing against the use of the Barnett formula. SNP Members love the Barnett formula when they think it is advantageous to them, but when they do not like the Barnett formula, they want to get rid of it. I simply say to them that this Government have followed the principles of the Barnett formula, and actually the Treasury has given Scotland a bit more money above that. I wish the SNP would stop complaining. The reality is that Scotland is now better represented, with a group of Conservative MPs who are much more effective than the SNP ever was in getting this Government to do that bit extra for Scotland.

--- Later in debate ---

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

The Secretary of State says that Stagecoach got its sums wrong, but clearly his Department got its sums wrong, too, when it awarded the franchise to Stagecoach. Surely one merit of this situation should be that failing franchise holders should not be allowed to bid for future franchises. Does the Secretary of State agree that this gives us the opportunity to put the franchise into the public sector, allow further public sector involvement across all franchises, and review and improve the franchise tender process?

[Chris Grayling]

We certainly keep the franchise process under continual review to work to improve it but, as I said a moment ago, a public railway is not the panacea that everyone on the Opposition Benches claims it is. I intend to do two things: to take the right decisions for the taxpayer and the travelling public on that route, which is really important, and to act within the law, which is also important.

Rail Update

Debate between Alan Brown and Lord Grayling

Monday 5th February 2018 Commons Chamber

[Chris Grayling]

My expectation is that it will last no more than two years—possibly only one year. It is important to get the west coast partnership structure in place to go through the bidding process, and we will shortly be issuing the invitation to tender. I can only reiterate that there is a clear corporate difference between the east coast main line, which is 90% owned by Stagecoach, and the west coast main line, which performs well and is majority owned by a different company, Virgin Trains. Whether the brand is used on both is neither here nor there; it is a different corporate entity. There is no possible legal benefit or passenger benefit from somehow ripping this up for an interim period, rather than moving seamlessly into the future and the path towards HS2.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Despite what the Transport Secretary says, the franchising system is quite clearly not working, especially given today’s further announcement. When all these announcements are made, we keep hearing about the private investment that privatisation of the railways has brought in with the increasing passenger numbers. The reality is that all that new investment is paid for by the rail users. Sure, it might make the railways more attractive, but it is being paid for by those who use the railway. It is not magic money; it comes out of our pockets. It is quite clear that the parent company guarantee system is not working. If it were working properly, the east coast franchise would continue until the end, so there is clearly a failure in the system.

The Secretary of State did the usual bluster, but he mentioned water companies when he was talking about nationalisation. Well, I have news for him: in Scotland, the water company is a national company. It is owned by the public and operates successfully. The Scottish Government are also looking into a public sector rail bid, so these things can work. If the Transport Secretary’s defence is that Stagecoach got its sums wrong, what does that say about the Government’s due diligence on the tenders that were submitted? The fact is that the Government followed through and awarded the tender to a company that got its sums wrong. That is another reflection on his Department.

All this follows the west coast main line tender farce—the franchise deal collapsed in 2012, resulting in the direct award to Virgin, which is now going to get another direct award. There are way too many direct awards in the franchise system, and that kind of goes against the ethos of competition that a franchise is supposed to bring, which again highlights that the system is not working. What will be the duration of the next award and what impact will that have on the timescales for HS2? Will the Secretary of State give us accurate timescales for the HS2 tender process?

On the east coast and west coast awards, will the Secretary of State follow the Scottish Government’s lead? All employees on the ScotRail franchise are paid the real living wage, there are no compulsory redundancies and ScotRail is operating at a higher satisfaction level than the companies in the rest of the UK. For once, will he seriously consider the devolution of Network Rail to Scotland? That would save his Department money, take away some responsibility—given that it is a failing Department—and perhaps make up for a £600 million shortfall in maintenance monies allocated for the next control period in Scotland.

I have one final question. [Hon. Members: “Oh!”] How is the Secretary of State’s new railcard system working? What funding has been put in place for it? Does the inflation-level rise he has agreed cover the new railcard?

Automated and Electric Vehicles Bill

Debate between Alan Brown and Lord Grayling

3rd reading: House of Commons & Programme motion: House of Commons & Report stage: House of Commons
Monday 29th January 2018 Commons Chamber

[Chris Grayling]

The hon. Gentleman makes a valid point. This legislation is part of the process of keeping us as close as possible to the top of that league table. Clearly the presence of 4G and 5G networks is immensely important. He will know that this week my right hon. Friend the Secretary of State for Digital, Culture, Media and Sport has talked about the Government’s achievements and ambitions for our broadband network and our 4G and 5G networks. It is absolutely essential, if we are to maximise this technology’s potential in the UK, that we have state-of-the-art IT systems. That is what the Government will continue to work towards.

To harness the revolution and take advantage of the potential of electric vehicles, we must continue to build the infrastructure they need. It needs to be ubiquitous and fast-charging, and this legislation will help secure that. Of course, that is backed by Government funding. In the Budget last November, the Chancellor announced a new £400 million electric vehicle charging infrastructure investment fund, £100 million of new funding for the plug-in car grant to help consumers purchase these vehicles, and of course we will play our part too by ensuring that 25% of cars in the central Government departmental fleet will be ultra low emission by the end of this Parliament. Through the Bill, we want to make it easier to recharge an electric vehicle, and that will be one of the consequences of what we have all debated today.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

The UK Government have committed £200 million towards the roll-out of infrastructure. Previously, the Secretary of State for Business, Energy and Industrial Strategy agreed with me that any allocation to Scotland has to be based on needs, including geography, rather than on population. Can the Transport Secretary confirm that he shares that view?

[Chris Grayling]

This has to be a United Kingdom-wide effort. Scotland is no different from the rest of the United Kingdom: it has rural areas, remote rural areas and busy urban areas. We will need to make sure that all those who seek to buy these vehicles have access to the appropriate charging points. This legislation will help to do that, as will Government funding. The Barnett consequentials of the Government funding announced in the Budget will enable the Scottish Government to play their part, along with private investment.

Taken together, the measures in the Bill will ensure that the UK is at the forefront of this profound technological shift. It will provide cleaner vehicles, easier travel and safer roads—all part of a transport system that works for everyone in this country, both today and in future. I am grateful to everyone who has been involved in working on the passage of the Bill. I hope that it makes a genuine difference. I am grateful to the whole House for uniting behind the Bill’s principles. Let us go forward and make sure that this country is a real success story in this field.

Oral Answers to Questions

Debate between Alan Brown and Lord Grayling

Thursday 30th November 2017 Commons Chamber

[Chris Grayling]

We have been ensuring simply that we phase projects to cause the minimum possible disruption to users of the roads, while making sure the rolling programme goes forward. I am very proud of the fact that, as a Conservative Government, we are the ones transforming the A1—a project that is long, long overdue.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

To go back to rail funding, the Secretary of State is well aware that there is a £600 million gap in the allocation of funding to Scotland for the next investment period. Previously, rail funding to Scotland was based on its percentage of the network—that funding formula was developed in 2005—so will he explain why, if he thinks north-south rail links are a priority, he is quite happy for there to be a cut in rail funding on his watch?

[Chris Grayling]

As I keep saying to the hon. Gentleman, I am very happy that funding is allocated to Scotland on the basis of the Barnett formula. I thought that was the way things worked.

[Alan Brown]

Let me explain to the Secretary of State that the previous rail funding was based on need and on Scotland’s percentage of the rail network. Helpfully, the other day the Secretary of State for Business, Energy and Industrial Strategy acknowledged that the allocation of funding to Scotland for infrastructure should be based on need and geography, and it should be the same for rail. In answer to a question tabled in October, the Secretary of State for Transport said he has “various discussions” with the Secretary of State in Scotland only “from time to time”. Is it not time that he prioritised this issue, and will he agree to meet me and the Transport Secretary for Scotland to discuss the budget and north-south linkages?

[Chris Grayling]

If the hon. Gentleman wants to meet the Government to discuss the removal of the Barnett formula and the move towards needs-based allocation of funding across the piece for Scotland, I am sure that would be a very interesting discussion; but in this country over the past few years we have tended to follow the Barnett formula. Most recently, we have provided additional funding to Scotland through the allocations in the Budget. Money has been spent on capital investment in England and money is to be spent based on the Barnett formula in Scotland. That is the way we operate.

Rail Update

Debate between Alan Brown and Lord Grayling

Wednesday 29th November 2017 Commons Chamber

[Chris Grayling]

My hon. Friend is right that this is an important project. We have been pushing ahead hard with the new special purpose vehicle, which will be set up in the coming weeks. Construction is due to begin next summer, and my goal is to have the first trains running on that route by the end of 2021.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

I, too, thank the Secretary of State for early sight of his statement. Unfortunately, I am having to thank him for early sight of what is a disappointing damp squib. Given the media coverage last night about the possible reversal of the Beeching cuts, I hoped there would be some firm commitments in the statement, but there is nothing other than a throwaway line.

The Beeching cuts were typical of the Tory policy of knowing the price of everything and the value of nothing, and this attitude continues in the Secretary of State’s ideological adherence to privatisation. While he worships the private sector, he needs to remember that there are already four foreign state-owned rail companies operating existing UK franchises. If it is good enough for foreign state-owned companies, it should be good enough for UK state-owned companies to run the franchises. I hope that he supports the Scottish Government’s move to make a public sector bid in Scotland.

The Secretary of State trumpets the turnaround in rail since privatisation, but he does not say that it has been driven by a 90% increase in public sector investment and a real-terms fare increase of a quarter. That is where the real investment and the turnaround have come from. The Secretary of State’s real masterplan is to create alliances and effectively to sub-divide Network Rail, so I have the following questions. What is the overall governance structure to prevent inter-alliance conflict? Given that he is such a fan of devolution, will he devolve Network Rail to Scotland? Who will fund the new railcard for 26 to 30-year-olds? Will the smart ticket system automatically provide consumers with the cheapest fares? If he is considering reopening lines, will he stop the fire sale of Network Rail assets? He will be well aware that the Scottish Government built the biggest new line in the UK for more than 100 years, on the borders. Will he consider reconnecting Carlisle to the borders by rail? Finally, what are the statement’s funding implications for Scotland, and will he review the existing funding gap of £600 million in control period 6?

[Chris Grayling]

The hon. Gentleman has asked a mix of questions; let me take them in turn. On devolution, it remains this Government’s position that we will follow the recommendation, which was part of the broader devolution package, that the Scottish Government should be responsible for franchising but not for the infrastructure. The Scottish National party needs to demonstrate that it can do a decent job in government with the powers it has, rather than ask for more powers.

We are working through the railcard with the industry. The extra revenues may well mean that it will be a self-financing venture, but the Treasury has underwritten it in the Budget process. On the cheapest fare options, I want a system of smart ticketing on our railways so that, for future shorter journeys, we end up with the kind of pay-as-you-go technology that exists in London and other cities, so that people can tap in and tap out as they travel. For longer journeys, ticketing is likely to be based on mobile phones and barcodes. We are working to achieve those objectives as soon as possible.

The hon. Gentleman asked about the sale of assets. There are times when assets are genuinely not needed. They can be sold and the money put back into the railway line—that is the right thing to do—but of course there are assets that we need to protect for the future. Frankly, I wish that some assets had not been disposed of or built over, because that makes it more difficult to reopen some of the routes that I would like to be reopened. We will protect the assets we need.

I applaud the Scottish Government for what they have done with Borders Railway, which is a good project and has made a positive difference to that part of Scotland. I am happy to talk to my Scottish counterparts about how we can do more in the future.

The hon. Gentleman also asked about the funding settlement. As I have said before in this House, the funding settlement for Scotland for rail is based on the Barnett formula, which the SNP does not usually argue against. I do not think it can have its cake and eat it.

Oral Answers to Questions

Debate between Alan Brown and Lord Grayling

Thursday 19th October 2017 Commons Chamber

[Chris Grayling]

Of course, the choice of routes is ultimately down to the airlines themselves, but the hon. Gentleman will know that we provide significant support for important links from Northern Ireland, and we will continue to do so. The biggest difference for Northern Ireland will come with the expansion of Heathrow airport towards which we are working at the moment, and a guarantee of slots to provide excellent connectivity for Northern Ireland, Scotland, England and Wales into countries around the world.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

The Scottish Government have not been able to cut air passenger duty because the UK Government have not properly implemented an exemption for Inverness airport. Given the importance of low-cost carriers to Scotland’s regional airports, it is important that the Scottish Government are also involved in any discussions. However, to allow sufficient time for EU ratification, the aviation agreements need to be concluded by October 2018. How many staff does the Secretary of State have working on these matters, and what guarantees can he provide that travel will continue uninterrupted?

[Chris Grayling]

The hon. Gentleman makes his comment about air passenger duty in Scotland, but we did what the Scottish Government asked: we devolved air passenger duty and they have not cut it. I am afraid that they are discovering the realities of government. It is all very well making demands from the Opposition Benches, but when they actually have to take tough decisions, they discover that it is not all that easy. We are seeing that they are failing to deliver for the people of Scotland. When it comes to planning for aviation after Brexit, things are different, because we are planning for that and we will deliver. We will see, post 2019, that aviation continues to be the success story that it is today.

--- Later in debate ---

[Chris Grayling]

Indeed, as my hon. Friend knows from my past visits to Boston, I am well aware of the importance of the Boston bypass project. The town is situated on an A road with a congestion problem and is one of those for which I would expect to see proposals come forward for the bypass fund. We will look very carefully at the bridge issue, and I am very happy to talk to him about that.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

You may not be aware of this, Mr Speaker, but just last week there was another great train robbery: £600 million was removed from Scotland’s rail budget because the Tories ripped up a long-standing funding formula. For the sake of Scottish rail users, will the Secretary of State get together with the Treasury and give Scotland the correct funding?

[Chris Grayling]

This is an historic moment: the Scottish National party is opposing a funding allocation that uses the Barnett formula. I was under the impression that it regarded the Barnett formula as sacrosanct. However, when the UK Government use the Barnett formula, it complains. The SNP cannot have its cake and eat it.

HS2 Update

Debate between Alan Brown and Lord Grayling

Monday 17th July 2017 Commons Chamber

[Chris Grayling]

We of course monitor the fitness for contracts of all the companies we award contracts to. The consortia to which we have awarded contracts today are groups of firms that have a track record of delivering major projects for this country, and they also include major British businesses that I want to see succeed. It is really important to ensure that we use the expertise that is already delivering for us and that we also champion British business. The awarding of the contracts does that job.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

I thank the Secretary of State for advance sight of his statement, and for his honesty in admitting that today’s proceedings are yet another Government cock-up, which is quite the theme.

I have consistently spoken in favour of High Speed 2, so long as Scotland is not excluded. I therefore welcome the Secretary of State’s restatement of the aspiration to have a three-hour journey time to Scotland. By contrast, my scheduled journey time today from Glasgow to London was four and a half hours—50% longer—which shows the real benefits that high-speed rail could bring. However, my understanding is that when high-speed trains run on the existing network north of Crewe they will actually run slower than my train did today. Can he confirm that, and if so, what will be done to look at the rolling stock to try to improve that speed?

Can the Secretary of State also advise on the estimated journey time of three hours and 45 minutes when high-speed trains start running to Glasgow, and how much that reduced journey time will be due to the reduced number of stops? Can he confirm in which investment periods upgrades to the west coast main line north of Crewe will take place? A previous KPMG report highlighted some possible negative impacts in Scotland, including a predicted £220 million drop in economic output in Aberdeenshire, if high-speed rail continues without including Scotland. Has he updated the review of those figures, and if not, why was the Secretary of State for Scotland able to tweet that today’s announcements on high-speed rail will bring economic benefits to Scotland?

I want to reiterate the concerns about Carillion, which now has the prefix “troubled” when it is mentioned in the newspapers. What engagement has there been with Scottish companies for bids? Will the Secretary of State uphold his predecessor’s commitment that offsite constructions will definitely be in Scotland? With regard to today’s announcement about the Crewe hub, can he confirm that it will not be to the detriment of services to Scotland or the funding of upgrades north of Crewe? Finally, I offer the small reminder that the devolution of Network Rail to Scotland would allow the Scottish Government to progress upgrades north of the border much quicker.

[Chris Grayling]

As I said earlier, this project benefits the whole United Kingdom. It will reduce journey times to Scotland, and I am committed to looking at how we ensure those journey times come down on and beyond the HS2 network. I will work closely with my Scottish colleagues to see how best we can achieve that, to deliver what people in Scotland want, which is— [Interruption.] Well, I hate to say this to the Scottish National party, but actually we are the ones who just made ground in Scotland. The hon. Gentleman will not be surprised if I listen to my Scottish colleagues, who seem to me to have their fingers firmly on the pulse of what people in Scotland want. Of course, we will deal with the Scottish Administration, but there is more than one voice for Scotland in this House now.

Service patterns for the future will ultimately depend on timetabling much closer to the time, but I expect to see genuine benefits for people across the network served by HS2 in Scotland, the north of England and north Wales. This investment will lead to better services all around the country. It will deliver better services from the east coast ports; I see my hon. Friend the Member for Brigg and Goole (Andrew Percy) in his place, and there is a real opportunity to open new routes to those ports on the existing east coast main line. There is a real opportunity to improve the services to cities off the HS2 network that will be served by HS2 trains—Glasgow, Edinburgh, Newcastle, Preston, Liverpool. This will benefit people on a very widespread basis.

The hon. Gentleman talks about a drop in economic activity. This is a huge project that will feed the supply chain all around the United Kingdom. So this will be good news for Scottish business, good news for English business, good news for Welsh business and good news for Northern Irish business. This is good news for the United Kingdom as a whole.

The hon. Gentleman talked about Carillion. I would hope that everyone in this House would share my ambition that a British company going through a troubled period pulls through and has a stronger future, and I see no reason, when it is part of a consortium that has agreed collectively to deliver for us, why we should hold its current position against it and take away an opportunity that might help that business recover.

Lastly, I do not see how delivering on a Crewe hub that will help connections to north Wales, for example, should in any way disadvantage Scotland.

Oral Answers to Questions

Debate between Alan Brown and Lord Grayling

Thursday 13th July 2017 Commons Chamber

[Chris Grayling]

Our ambition after Brexit is to have borders that function as closely as possible to the way they currently do. We do not want to deter tourists or businesspeople from coming to the country. Having a managed migration system does not mean that we suddenly have to create barriers to tourists, and that is not our intention.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

The Secretary of State did not provide any substance in that answer on the discussions he is having. Some 23 million inbound passengers from the EU pass through UK airports each year, and they are processed quickly using special lanes and scanning. What funding has the Secretary of State identified is required for infrastructure and resources to avoid queues for those coming here? He might also be aware that the EU is planning an ESTA-type visa system for non-EU citizens, so has he had discussions about the impact of that when the UK leaves the EU?

[Chris Grayling]

Of course, we have discussions all the time across the Government about post-EU exit arrangements—we had a Committee meeting to that effect yesterday—but as I said to the hon. Member for Glasgow East (David Linden), it is not our intention or desire to erect barriers at the borders, for tourists arriving, for example. Indeed, we are investing in things like automated gates to speed the flow through our borders, and we will carry on doing things like that.

[Alan Brown]

Another potential impact on passenger capacity is the negative impact if the UK does not remain part of the open skies agreement. That is very important for regional airports such as Prestwick, adjacent to my constituency. The Prime Minister said this week that she had discussions with President Trump on open skies, but can the Secretary of State provide an assurance that the UK will remain part of open skies and the single aviation market?

[Chris Grayling]

I can give the hon. Gentleman an assurance that I am absolutely confident that after we have left the EU there will be an open skies agreement with the United States. I have had discussions with my US counterpart; there is an absolute desire on both sides of the Atlantic to make sure that the aviation arrangements remain as they are at the moment.

Chris Gibb Report: Improvements to Southern Railway

Debate between Alan Brown and Lord Grayling

Tuesday 4th July 2017 Commons Chamber

[Chris Grayling]

Since last year, we have worked to sort out some of the underlying problems with the management of this railway line, joining up the operations of the track and trains, spending more money on infrastructure, and helping to contribute to a better performing railway. Performance has been rising steadily since the start of the year. Chris Gibb rightly identified a range of problems—I have said to the House that we are working to try to solve those problems—but he was absolutely clear that the principal cause of the disruption experienced by the constituents of the hon. Member for Brighton, Pavilion (Caroline Lucas) and others was industrial action by the unions. He said that passengers would have experienced a relatively normal service had that action not taken place.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

The Secretary of State continues to argue that the principal reason for the delays is industrial action. Does that not mean that the £300 million pledged by the Government in January is a waste of money and that they should be sorting out the industrial dispute?

[Chris Grayling]

No, it does not. We have provided additional money for the infrastructure owned and operated by the public sector Network Rail—an additional £20 million last year and then a further £300 million that is being spent right now to stop regular signal failures, for example—but it is disappointing that all the unions and others can do is misrepresent the situation and claim that we are giving that money to the train operator. They know that that is not true. It is simply not the case. One part of solving the problem on this railway and ensuring that it is the good performing railway that it has not necessarily been in the past, even when the industrial action was happening, is to spend money on the infrastructure, so that we do not get points and signals failures—the things that frustrate people and cause problems day by day.