Regional Airports

Lord Sharma Excerpts

Tuesday 15th July 2014 Westminster Hall

[Mike Kane]

Yes, of course Manchester airport should serve the north-west economy as a whole. I remember the story that the airport was created in 1935 by one vote—the mayor’s casting vote secured the decision to build outbuildings and a strip of runway at Ringway. When I was a young councillor, my hon. Friend the Member for Blackley and Broughton (Graham Stringer) was my council leader, and he introduced plans for the second runway, which cost £172 million. We have to continue to grow.

[Alok Sharma (Reading West) (Con)]

This is a timely debate given the discussions on expanding airport capacity generally. On international connectivity, I understand the need for more point-to-point flights from Manchester airport, but for hub capacity surely we ought to be expanding our only hub-capacity airport, which is Heathrow. That would lead to more connectivity, more jobs and more investment in the north-west.

[Mike Kane]

Currently, flights from Manchester airport mainly go point to point. There is an argument for hub status, but I think that argument must be much further down the line than it is today.

Airport City Manchester will introduce a new concept to the UK, delivering up to 5 million square feet of new highly connected business space over the next 10 years. It has already attracted Chinese investment—the Beijing Construction Engineering Group has at least a 20% stake—and is set to attract even more connections at Manchester airport, facilitating further trade and growth. Airport City will take Manchester airport beyond its traditional use as a regional airport hub and transform it into an international business destination in its own right, providing a major regeneration opportunity for the surrounding area and helping to boost Manchester’s attractiveness as a major European business city.

Aviation Strategy

Lord Sharma Excerpts

Thursday 24th October 2013 Commons Chamber

[Mr Jenkin]

I can tell the hon. Gentleman that we would have won even fewer seats in London had we supported the Heathrow case. There is no doubt about that. Why does he think that my hon. Friend the Member for Richmond Park (Zac Goldsmith) is so strongly opposed to a new runway at Heathrow?

[Alok Sharma (Reading West) (Con)]

Is my hon. Friend suggesting that Heathrow is not the right hub airport, and does he support the proposal for an estuary airport? If so—and I suspect that that is the argument that he is about to advance—does he believe that Heathrow should close, which would lead to the loss of many, many jobs?

[Mr Jenkin]

If my hon. Friend will forgive me, I will develop my argument further before dealing with that point.

The Davies commission has a hugely difficult task to perform. It must take a strategic view, and that means taking a long-term view. I think that the Select Committee has inevitably fallen victim to the pile of evidence shunted in its direction by business. Yes, we should listen to business, but business does not tend to take a view that covers more than about seven to 10 years—perhaps a maximum of 15. We need the Davies commission to take a 50-year view. The chief of Ryanair—bless his cotton socks—and, indeed, the chief of British Airways are not taking a 50-year view; they are taking a much shorter-term view than that.

The Davies commission needs to recognise that taking a 50-year view means stepping outside many of the immediate short-term controversies. It is significant that the Select Committee has not come up with a long-term solution to our airports question, but has merely suggested, rather tentatively, that there should be one more runway at Heathrow, and then probably another. If the Committee wants a four-runway hub airport at Heathrow, why did it not just spell that out? I think that it has been diverted by short-term commercial interests and has not taken that 50-year view.

--- Later in debate ---

[Mr Jenkin]

I perfectly accept that, but we are committed to a hub. We need a hub, and we need a decision to build a four-runway hub now. Once we have reached that conclusion, all the logic drives us towards having a Thames estuary airport.

Not a single objection has been raised to a Thames estuary airport—not cost, not bird strikes, not sea level rise—that is a showstopper; and then there are the advantages of a Thames estuary airport: it is achievable, and achievable within a predictable time frame; and its connectivity is better than that of any other possible site for a four-runway hub, and that almost includes Heathrow. Because it is already almost on the HS1 route, it has better rail connections to European onward destinations than any other possible site. It is also closer to the City of London by rail time than Heathrow. As the right hon. Member for Greenwich and Woolwich said, its connectivity by non-road is better than any other possible site, so that puts it firmly on the agenda, as does the fact that east of London is where we need regeneration and investment.

This is the visionary approach that should be adopted by the Davies commission. The estuary airport is the best environmental option because a bird habitat that would be affected can be replicated and replaced—or even doubled—elsewhere, and the Ramsar sites can be moved. It is the best safety option, because there would be no more flying over populated areas, and it is the best noise option, too. Some 750,000 people live under the 50 dB-plus noise footprint of Heathrow, which is why a decision there is impossible. Almost no people will be living under such a noise level around the Thames estuary airport, which is why this is a no-brainer.

[Alok Sharma]

rose—

[Mr Jenkin]

I am sorry, but I am not going to give way again as I do not have much time.

I just want to deal with the point about the closure of Heathrow. It would be a very big decision, but not a catastrophe—it is an opportunity.

--- Later in debate ---

[Alok Sharma (Reading West) (Con)]

I congratulate the Under-Secretary of State for Transport, my hon. Friend the Member for Scarborough and Whitby (Mr Goodwill). He is not just a decent man, but hugely competent, and I am sure that he will do brilliantly in his new role.

I will start by giving some figures on the airports that are being built in China. The Mayor of London has been to that country recently, as has the Chancellor. Between 2005 and 2010, 33 new airports were constructed, taking the total number to 175. By 2015, there will be more than 230 airports in China. If my maths is correct—I am an accountant by training, so I think it is—there will have been 55 new airports over five years, an average of 11 a year. I know that it is a developing nation, that is much larger than us and has the advantage of a different form of government, but if we compare and contrast that with what we have had in this country, it makes us think that we have not got to grips with the need for more airport capacity.

The Transport Committee made the point, as a number of Members have today, that it has been a decade since the last White Paper on the subject, and at that time it was 20 years since the previous one. We are back to the future, because now the Davies commission has said that there is a need for more airport capacity in the south-east, but we still have not concluded where it should be.

As Members have said, there are two problems with the fact that we have not reached a decision and that the pace has been slow. The first is that the lack of certainty is bad for business and investment. I know that my hon. Friend the Member for Harwich and North Essex (Mr Jenkin) will agree with that, although we may not agree about the solution. The other problem is that others are getting ahead. A number of Members have made the point that Frankfurt, Schiphol and Charles de Gaulle are all getting ahead in the global race that we want to win. I was at a meeting this week at which somebody who knows the airport industry well made the point that people at Schiphol talk about their airport being Heathrow’s third runway, which says something.

Another sobering fact that I have found in considering the matter is that more flights leave Frankfurt for cities in China in a week than leave Heathrow for the whole world in a weekend. That must tell us something. Figures from the International Air Transport Association show that due to the lack of capacity at Heathrow, between 2005 and 2011 there was a 49% growth in the number of passengers flying from UK regional airports to transfer at overseas hubs such as Schiphol and Charles de Gaulle. That represents a loss of business and jobs to the UK that we should do everything we can to retain.

I note the Transport Committee’s recommendation of a third runway at Heathrow, and I commend it on the urgency of its deliberations. It has come to a conclusion a lot faster than the Davies commission, which will release its interim report at the end of this year. There has been discussion of the costs, which I am sure will continue, but the proposed expansion of Heathrow would have much less of an impact on public expenditure and the Exchequer than a Thames estuary airport.

The other innovative proposal that I have found interesting to learn about is the Heathrow hub, proposed by the Centre for Policy Studies. It talks about doubling capacity from two to four runways and suggests that that can be done at no cost to the public purse.

[Zac Goldsmith]

Is my hon. Friend not slightly alarmed that that study takes no account at all of the extra impact of congestion? Just a third runway would lead to an extra 25 million road passenger journeys a year, and a fourth would presumably have more or less the same effect. Can he explain how our roads would be able to handle 50 million extra road passenger journeys a year to and from Heathrow? Does he share my concern that the costs simply do not exist in the report that he cited?

[Alok Sharma]

Clearly, that is exactly what the Davies commission should come up with. I am not suggesting that the CPS’s proposal is the only one in town, I am just highlighting it as a particularly interesting one.

We have waited a long time for a conclusion, so we might as well see what the Davies commission comes up with, but the one thing I would find disturbing in any final recommendation would be a solution that ultimately led to the closure of Heathrow. That would be bad news for business and jobs. I do not agree with the right hon. Member for Tottenham (Mr Lammy), who is no longer in his place, about everything, but I do agree with his points about the impact that it would have not just in London but in the western wedge, which covers areas such as the Thames valley and Reading, which I represent. As he said, a report commissioned by a range of local enterprise partnerships covering the Thames valley, Buckinghamshire, west London and Oxfordshire concluded that £1 in every £10 of UK economic output is generated in the western wedge area around Heathrow, and that aviation and related activity at Heathrow supports about 120,000 jobs there. If a new hub airport was to be built to the east of London and Heathrow was to be closed by 2030, because I do not think anybody is suggesting that we are going to end up with two hub airports—

[Adam Afriyie (Windsor) (Con)]

My conclusion differs slightly from that of my hon. Friend. I am the Member of Parliament for Windsor, where we are very much affected by our noisy but welcome neighbour at Heathrow, and there is certainly a scenario in which Heathrow could continue to operate as a hub airport if the estuary airport were to take over. This scaremongering about hundreds of thousands of jobs disappearing is not necessarily entirely helpful.

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[Mr Deputy Speaker (Mr Lindsay Hoyle)]

I do not want to scaremonger, but the hon. Gentleman is hoping to catch my eye later and we are running out of time. If we have more interventions, I will have to drop the time limit.

[Alok Sharma]

I note the point my hon. Friend is making, but the idea that we would have two hub airports operating—

[Adam Afriyie]

Regional.

[Alok Sharma]

Well, let us see what the Davies commission comes up with, but I personally think that it is unlikely that we could operate a system with two hub airports.

The report goes on to say that the closure of Heathrow would put at risk another 170,000 jobs in the western wedge area. We can have a discussion about the number of jobs at risk and about the fact that, if there was going to be an estuary airport, things would not just change overnight. There is no doubt, however, that there would be a huge economic impact in a region that is the powerhouse of Britain in driving the economy forward.

The Davies commission must clearly take into account the economic benefit of any of the recommendations it makes and, of course, the environmental impact. We have to take into account what business wants and what airlines want. If we build another airport, will airlines come? Will British Airways move to a new hub airport? Ultimately, it comes down to the cost to the public purse resulting from any new expansion.

Those who have been in this place for many years will see this debate as another groundhog day in the life of Parliament’s debates on aviation policy. I suspect we will see a lot more groundhog days. Of course, the question is very difficult, but once the commission makes its final recommendation what we want is politicians who will show a bit of backbone and implement the recommendations on expanding airport capacity in the south-east, whatever those recommendations might be. To duck the question for another electoral cycle will do a huge disservice to Britain’s hopes of succeeding in the global race.

Oral Answers to Questions

Lord Sharma Excerpts

Thursday 12th September 2013 Commons Chamber

[Norman Baker]

We give strong support to the bus industry through financial support directly to the operators, through the bus service operators grant, and through local authorities. Our reforms to the bus system through, for example, the BSOG reforms and the extra money provided for green buses are giving a welcome boost to the bus industry. That means that passenger numbers are roughly where they were at the end of the previous Government’s time in office.

[Alok Sharma (Reading West) (Con)]

T9. I recently met my constituent John Letch, owner of Car Contacts Ltd, which sells second-hand cars, many of which it imports from Northern Ireland. Mr Letch tells me that in recent months the company has experienced severe delays in the re-registering of cars by the Driver and Vehicle Licensing Agency, delaying their onward sale and putting the company under financial strain. Will the Minister meet me and Mr Letch, and other traders, to discuss this matter urgently?

[The Parliamentary Under-Secretary of State for Transport (Stephen Hammond)]

My hon. Friend refers to applications that were centralised at the DVLA in Swansea in July. There were initially some delays, but on 9 August a special team was created to deal with the more complex applications, and I think that that is now beginning to resolve the situation. However, I would of course be happy to meet him and his constituents.

Cycling

Lord Sharma Excerpts

Monday 2nd September 2013 Commons Chamber

[Dr Huppert]

I thank the hon. Lady for her comment and for her work on the report. She is absolutely right that there are exemplars. In my constituency of Cambridge, about a third of trips are now made by bike. We are hoping to increase that to 40% with the money that has been given by the Government through the ambition grant. Some places are showing that they can do this, and the rest of the country can as well.

[Alok Sharma (Reading West) (Con)]

My hon. Friend is absolutely right that the Government must provide funding, and they have been doing so, but it is also important for local authorities to be doing more. Let me quote what my constituent Adrian Lawson, the chairman of the Reading Cycling Campaign, said about Reading borough council:

“We identified a lot of simple things that would make it immeasurably better for cyclists. This was over a year ago. Not a single thing has happened.”

Does that not show that we also need local councils to implement measures?

[Dr Huppert]

Absolutely; local authorities have a crucial role to play.

If more people were to cycle and walk, we would all benefit. We would be healthier, saving huge amounts of money—billions of pounds—for the NHS. There would be less congestion on the roads, making travel times faster and more reliable for those who are in cars. There would be less pressure on city centre parking, helping people to get to the shops and keep the economy going. The economy would grow. Cycling already contributes about £3 billion to the UK economy, but it is not always seen as significant as that. We all win by promoting cycling and walking.

--- Later in debate ---

[Mike Thornton (Eastleigh) (LD)]

I congratulate my hon. Friend the Member for Cambridge (Dr Huppert) on securing this fantastic debate. He has long been a vocal advocate of cycling, and I pay tribute to his tireless work. I congratulate all members of the all-party group, who have done such a fantastic job. I will not speak for very long—I do not have long, so that is okay and I am sure hon. Members are pleased about that. I shall emphasise the health and economic benefits, which hon. Members have mentioned, and describe my experience of cycling.

I used to cycle a lot when I was less well off and gave up when I could afford a car, but I have cycled into my local town of Eastleigh for shopping and other things. It does not feel that safe. One of my best friends, a physicist by profession, has cycled all over the country. His comments and knowledge are invaluable. The uncertainty principle applies to his cycling, too.

I remember disagreeing with my daughter on whether she should wear a helmet. Helmets are contentious. Some say that wearing a helmet is good and some say it is bad. Whatever one’s views, one must admit that parents, rightly or wrongly, feel their hearts in their mouths when they see their child go out cycling. That is probably one of the constraints on children cycling.

[Alok Sharma]

My hon. Friend makes an important point on wearing cycle helmets. Independent studies have shown clearly that wearing cycle helmets saves lives and cuts injuries. Last year, I called on the Department for Transport to issue a definitive and independent report on the benefits and costs of introducing a law requiring children to wear cycle helmets. Would he welcome such a report?

[Mike Thornton]

There is a difficulty with wearing cycle helmets. I tried to get my daughter to wear one, and she stopped cycling. I do not know whether I did the right or wrong thing in trying to force her to wear a helmet. I worried a bit less, but she stopped cycling.

Cycling Safety

Lord Sharma Excerpts

Wednesday 21st November 2012 Westminster Hall

[Alok Sharma (Reading West) (Con)]

I am pleased to open this debate on cycling safety and the wearing of cycle helmets. I know that the topic is incredibly important to many Members and many of our constituents. Rather appropriately, we are in the middle of road safety week, organised by the charity Brake, which is held every November to raise awareness of death and injury on our roads and the steps that can be taken to improve road safety, including for cyclists.

Since the last debate here in February, we have had the Olympics. I want to take a moment to put on record the enormous contributions of our cycling sportsmen and women to cycling and to raising its profile internationally. The Olympics showcased the best of British. Some of our cycling Olympians, such as Sir Chris Hoy, were already household names, but others have joined the sporting pantheon. In addition, individual gold medals were won by Jason Kenny, Laura Trott, Victoria Pendleton and Bradley Wiggins. In the Paralympics, Sarah Storey won a sensational four individual gold medals, and David Stone, Anthony Kappes, Mark Colbourne and Neil Fachie also won individual Paralympic golds. Team gold and silver medals and individual silver and bronze medals were won as well, adding up to a record medal haul. Also, the incomparable Bradley Wiggins kicked off our summer sporting celebrations by winning the Tour de France, a truly magnificent achievement.

For those of us glued to the television or lucky enough to be in the velodrome, each British win was a memorable moment. It was a golden summer for British cycling. Undoubtedly, when a country does well in a particular sport, as we did in cycling, and produces new sporting heroes, it inspires a new generation to take up that sporting discipline, or at least think seriously about taking it up. Sometimes, it even inspires those of us who are a bit longer in the tooth to take up an activity once again. I am sure that all Members will agree that that is a thoroughly good thing.

Cycling obviously has positive benefits for individual health and the environment. The organisation CTC has cited studies showing that the health benefits of cycling outweigh the risks by a factor of 20 to 1. Estimates from the Department for Transport—perhaps the Minister will give us more detailed figures if he has them—suggest that 11% of adults in England now cycle for at least 30 minutes once a month. However, that is still some way behind numerous other European nations.

One key thing that holds people back from cycling is concerns about road safety. In the past few weeks, there have been a number of road accidents involving high-profile individuals, which has brought the issue of road safety for cyclists to the top of the national agenda once again. Early this month, Bradley Wiggins was knocked off his mountain bike by a van coming out of a petrol station near his home in Lancashire. He was taken to hospital with bruises to his right hand and ribs. The next day, Shane Sutton, head coach for the GB cycling team, was knocked off his bike by a car while cycling along the Stockport road near a junction. He suffered a concussion and small bleeding on the brain, but thankfully, his condition soon stabilised.

As we all know, those accidents made the national news. They even took the US presidential election out of the top news spot for a while. “Newsround”, the BBC children’s news programme, asked its viewers whether they felt safe on their bikes. Many did not. One caller said:

“Although it helps you to keep fit, I think riding a bike on roads is dangerous and unsafe because vehicles may not be able to see you.”

[Rehman Chishti (Gillingham and Rainham) (Con)]

I congratulate my hon. Friend on securing this important debate. On the point about road safety, does he also accept that the Government recently made available an additional £30 million to tackle dangerous junctions and £15 million for infrastructure, including cycle routes and facilities at stations and across the country?

[Alok Sharma]

Of course. I agree with my hon. Friend. The Government have made additional moneys available to the £600 million sustainability fund, to which I will return. Funding is right, and it is one aspect of ensuring that we have a road infrastructure that works for everyone.

To return to the issue of children and cycling safety, if there is a perception among the young as well as adults that being on a road is dangerous, it is a serious deterrent to cycling, which is particularly bad news. The latest statistics from the Department for Transport are concerning. In the year ending June 2012, the number of pedal cyclists killed or seriously injured on our roads increased by 9% compared with the previous year, and so far this calendar year, 108 cyclists have been tragically killed in the UK. The total for 2011 was 107. More than 3,000 people were seriously injured on UK roads while riding a bike last year, a 16% increase in the number of reported serious injuries to cyclists.

It is absolutely clear that more must be done to improve conditions for cyclists on our roads. Cycling organisations such as British Cycling have been calling on the Government to put cycling at the heart of transport policy to ensure that cycle safety is built into the design of all new roads, junctions and transport projects. I absolutely endorse that view. In the 21st century, we must plan for and ultimately have a transport infrastructure that is safe and fit for purpose for all users: drivers, pedestrians, commuters and cyclists.

In recent years, there have been a number of campaigns to improve safety for cyclists. One of the latest, launched in February this year, is The Times newspaper’s Cities Fit for Cycling campaign, which involved the publication of an eight-point manifesto. The campaign, which has attracted cross-party support, was launched by The Times after one of its reporters, Mary Bowers, sustained serious injuries in a collision with a lorry while cycling to work. It is an excellent campaign that has provided an impetus for a continued focus on road safety for cyclists. It is also helping provide funding for the all-party group’s report, which will be published next year.

I know that Members present will be familiar with the eight-point manifesto, but I will set it out again for the record. The Cities Fit for Cycling campaign calls for heavy goods vehicles entering city centres to be fitted with sensors, audible turning alarms, extra mirrors and safety bars; identification of the 500 most dangerous road junctions, and their redesign or fitting with priority traffic lights and Trixi mirrors; a national audit of cycling; the earmarking of 2% of the Highways Agency’s annual budget for next-generation cycle routes; improved training of cyclists and drivers, including making cycle safety a core part of the driving test; a mandatory default speed limit of 20 mph in residential areas where there are no cycle lanes; invitations to businesses to sponsor cycle schemes, as has happened in London; and the appointment of a cycling commissioner in every city.

My hon. Friend the Member for Cambridge (Dr Huppert), co-chairman of the all-party parliamentary group on cycling, who unfortunately could not be here, secured a debate in February relating to the campaign. It was incredibly well attended, and I know that some Members present today also contributed to that debate. In his response to that debate, the Under-Secretary of State for Transport, my hon. Friend the Member for Lewes (Norman Baker) set out the Government’s thoughts at the time on the campaign’s manifesto points. On the first point, my hon. Friend responded that his Department was involved in discussions at European level about improving standards for heavy goods vehicles to help reduce accidents. I would be grateful if the Minister responding to this debate, my hon. Friend the Member for Wimbledon (Stephen Hammond), updated us on any progress in those European discussions.

On the second manifesto point, my hon. Friend the Member for Lewes noted that he had already given all local authorities in England the authority to install Trixi mirrors as and where they deem it appropriate. Again, it would be useful if the Minister provided us with any statistics his Department may have on the number of Trixi mirrors installed by local authorities over the past six months.

On the third point, relating to a national audit of cycling, my hon. Friend the Member for Lewes explained that his Department had commissioned a new question in the Sport England active people survey, to provide more detailed information on cycling at local level. I was pleased that in August the Department published for the first time ever local authority data on cycling, based on responses to the active people survey. I hope that the Minister will tell us how often he expects these data to be published, so that we can start to gauge the trend in cycling across individual local authorities. This should, over time, prove to be a powerful tool in helping to focus on which authorities are good at encouraging cycling and which need to try harder.

Regarding the earmarking of 2% of the Highway Agency’s annual budget for next generation cycle routes, my hon. Friend the Member for Lewes was understandably hesitant about adopting a specific figure, but mentioned that the Department was undertaking a stocktake of Highway Agency routes to consider what might be possible in future. Perhaps my hon. Friend the Minister has an update on that stocktake and what this may mean for improved cycle routes.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

The hon. Gentleman might know that I am chairman of the Parliamentary Advisory Council for Transport Safety. Will he include in that stocktake the fact that we must go back to having targets for accident reduction, whether in respect of cyclists or other category of road user, including pedestrians? We have in the past two years renounced targets, but we know that if there are no targets across Europe casualties start to increase. Will he make a plea in his speech for getting back to targets, so that we can get accident reduction for cyclists and other road users?

[Alok Sharma (Reading West) (Con)]

The hon. Gentleman has eloquently put on the record his views on targets. I am sure that the Minister will give us his thoughts, and those of his Department, on that point.

On improving training for cyclists and motorists, my hon. Friend the Member for Lewes also talked about the work of the Department’s Bikeability initiative, among other matters, as well as noting that he had established a cycle safety sub-committee of the stakeholder forum. I understand that my hon. Friend the Minister has in recent weeks led his Department’s THINK! Cyclist campaign. I am grateful for the work that he is doing to improve road safety, but it would be useful to have some feedback on, and his view of, the work of the new safety sub-committee.

With regard to the sixth issue in The Times’ campaign—the 20 mph speed limit— my hon. Friend the Member for Lewes noted in February that he had already taken action to make it easier for local authorities to introduce 20 mph zones and a 20 mph limit. Does my hon. Friend the Minister have any update on the number of new 20 mph zones introduced in the past 12 months by local authorities? If he has, I hope that he will provide that in his response.

The Times’ campaign’s seventh manifesto point relates to encouraging businesses to follow the lead of Barclays in London and back cycling schemes and initiatives. There is universal support in the House for this idea. My hon. Friend the Member for Lewes said that his Department would send out the message to encourage this. Will the Minister update us on whether the Department has had any traction in this respect with other potential business sponsors?

The manifesto’s final point calls on every city to appoint a cycling commissioner to champion cycling-friendly reforms. Clearly, this is a matter for local authorities, but I understand that my hon. Friend the Member for Lewes wrote earlier in the year to the leaders and chief executives of each council across England, encouraging them to consider whether someone in their organisation should take a lead role on cycling. I hope that my hon. Friend the Minister provides some feedback on the responses that he has received and on the number of local authorities that have appointed a cycling champion.

I have asked my hon. Friend to respond to a range of issues, but I also want to put on the record that I know, having talked to him, that he is committed to improving road safety for cyclists. His Department has provided £600 million through the local sustainable transport fund to support local authorities in their use of transport to lever growth and cut carbon locally. Many of the 96 projects have a cycling element. My hon. Friend the Member for Gillingham and Rainham (Rehman Chishti) mentioned a number of other funding streams that have come on line from the Department and I am sure that the Minister will give us a full view on everything that his Department is doing to provide further funding to help cycling and cyclists.

[Rehman Chishti]

On road safety and cycling safety, the figures that I have from the DFT say that in 2011, 111 people were killed in cycling incidents and 3,085 were seriously injured. Does my hon. Friend have any evidence showing how many of those incidents, whether fatality or serious injury, could have been avoided if those persons were wearing a cycling helmet?

[Alok Sharma]

I will talk about an independent report produced for the Department for Transport in 2009, which demonstrated that the use of cycling helmets absolutely makes a difference in reducing fatalities and injuries. Let me come on to that later.

[Mr Peter Bone (Wellingborough) (Con)]

Is not it absurd that Members of Parliament still pretend that wearing a cycle helmet increases the risk?

[Alok Sharma]

My hon. Friend, as ever, makes a good point. There is clear evidence that using a cycling helmet, whether as an adult or a child, reduces the risk of injury. I will talk about cycle helmets, but in this debate there is almost a gulf between those hon. Members who believe that cycle helmets should be made compulsory and others who do not. Organisations out there have similar or differing views, as well. My hon. Friend is right—it has been concluded in independent reports and reports produced by the Department—that wearing a cycle helmet makes a difference in terms of improving safety.

I was talking about the contribution that the Minister and the Department have made. He is also committed to supporting Bikeability cycle training for the remainder of this Parliament, which is welcome. I am pleased about that good news. However, I shall return to my central theme. All hon. Members who are supporters of cycling want cycling to be put at the very heart of transport policy. I hope that the Minister will tell us—apart from all the funding streams and all the work that is going on—how cycling will be, or is already, a central part of his Department’s policy.

Proper provision for cyclists on the road is not just something that cyclists want. Hon. Members will know that the AA recently undertook a survey of its members, and 62% of the 20,261 AA members who responded to it said that there are not enough cycle lanes. An increased number of cyclists on busy roads is leaving many motorists feeling insecure about how to interact with cyclists. The majority view is that clearly defined cycle lanes would be good news for both motorists and cyclists. That means a lot more than slapping down a few white lines intermittently along the pavement, as happens, unfortunately, in my home town of Reading.

Ahead of this debate the Mayor of London’s office was in touch with me—I am sure that it was in touch with other colleagues as well—setting out the Mayor’s commitment to making London even more of a cycling city. The aim of the Mayor’s cycling strategy is to increase cycling by 400% by 2026, from 2001 1evels. I understand that record levels of investment in cycling over the past four years have supported the cycling strategy, with investment levels now approaching those of other leading European cycling cities. A number of European cities have significantly higher per capita spending on cycling than we do in many of our cities. It will be interesting to hear the Department’s view on that, and on how the situation can be rectified. Alongside the Mayor’s flagship schemes of Barclays cycle hire, cycle superhighways and biking boroughs, a range of complementary activities has led to a 70% increase in cycling in the capital over the past four years. Many of our cities, towns and local authorities can learn from the example of London and, no doubt, Members will have other best practice from their own areas to share.

The second part of the debate relates to the wearing of cycle helmets, which can be a controversial subject, but I have no wish for a particularly emotional debate. We need to be dispassionate in discussion, and to debate on the basis of evidence rather than emotion. I asked for the debate today because I was prompted by a recent meeting with the Bicycle Helmet Initiative Trust, a national, award-winning charity based in Reading. The trust is committed to saving young people’s lives by promoting safer cycling and, in particular, the use of cycle helmets. The organisation was founded in 1988 by a paediatric nurse who, through her work, saw the devastation that head injury can cause, not only to the child but to the whole family. Since the charity’s conception, it has grown in drive and commitment to be an advocate for the child and young person. It also provides a community service by highlighting the need for safer cycling practices that incorporate the distinctive needs of children and young people. The charity is a national resource working with parents, teachers, police, road safety officers, Departments and health care professionals by promoting and providing educational programmes in schools on the need for helmet use and safer cycling practice throughout the United Kingdom.

The trust has worked successfully with the Department for Transport in the past and it recently submitted another proposal, for a project that aims to complement the Bikeability programme. It would engage with areas in need, which may not be part of training programmes due to social challenges, and work with young people to develop their understanding of road safety and self-safety. As part of its proposal, the trust wants to work in local communities to develop partnerships and to draw on local private sector organisations to provide safety packs to children who, because of the cost, might be without helmets, lights and reflector bands, or without access to training. I hope that the Minister will agree to meet representatives of the trust and me, so that we can explain to him in detail the objectives of the latest proposal, and that we will secure his personal support for the project.

The Bicycle Helmet Initiative Trust is absolutely committed in its advocacy for children and young people to wear cycle helmets. I very much share that view, and the statistics on serious injuries to cyclists bear out why wearing a cycle helmet is so important, especially for children. In 2011, just over 3,000 seriously injured road casualties involving pedal cyclists were recorded by police. In addition, almost 16,000 incidents of pedal cyclists being casualties in slight accidents were recorded. Of the 3,000 serious injuries, 349 casualties—or 12% of the total—were children aged nought to 15. However, according to NHS statistics, almost 9,000 emergency road traffic hospital admissions last year involved pedal cyclists, so there is a threefold understatement in police-recorded injuries compared with NHS admissions. One reason for that is that not every injury or incident takes place on a road—it can be off road, in particular for children, and I will focus on that as I progress. Furthermore, of the 9,000 emergency road traffic hospital admissions, more than 3,000 were of children aged nought to 15—35% of the total. The understatement in police-recorded injuries compared with NHS admissions for children in connection with cycling injuries was therefore tenfold. That demonstrates that, when children are involved in accidents, a lot of the time, they do not happen on the road or the highway, but off road. Children may be cycling with friends in the playground or in woods, and we must bear that clear distinction in mind when we discuss cycle helmet usage as potentially compulsory for children as opposed to adults.

[Mr Russell Brown (Dumfries and Galloway) (Lab)]

I thank the hon. Gentleman for securing the debate. I am sure that anything we can do to make cycling safer would receive broad support, although I draw to his attention the attempt by the former Member for Carlisle, Eric Martlew, to introduce a private Member’s Bill. The manner in which he and the Bill’s supporters were attacked was absolutely unbelievable, yet beneath it all were people with a genuine desire to see children cycling safely, whether on roads, on footways as toddlers, in playgrounds or elsewhere. We need to do something to tackle that, to see a definitive decrease in the number of injuries.

[Alok Sharma]

The hon. Gentleman makes a good point and he makes it passionately. It is vital that we see a reduction in injuries and fatalities not only for children but for adults. I will come to the 2004 private Member’s Bill, but we have moved on since then, because there is more evidence. As I said at the start of the debate, however, there is clearly a chasm between those who believe that wearing helmets should be mandatory and those who do not.

Members might remember a few weeks ago when Bradley Wiggins tweeted on the subject. In my view, he is an absolute god, but even Bradley Wiggins came in for quite a lot of stick, and he of course then made further statements about his views on the compulsory wearing of helmets. Yet we cannot get away from the fact that wearing helmets saves lives and cuts down on injuries.

[Mr Sheerman]

Is the hon. Gentleman aware that when we organised the seat belt legislation some 28 years ago, a passionate group attacked us for undermining individual liberty? Many made the argument that wearing seat belts would make people drive faster and therefore kill more people. The proud record is that we have saved many lives over that 25 years.

[Alok Sharma]

The hon. Gentleman makes a very good point, and I will come on to that. That Bill eventually became law because of the courage of Members in the House at the time, and it is now second nature for us to wear seat belts. There is no question but that wearing seat belts saves lives, and there is no kind of negative impact.

[Mr Bone]

My hon. Friend is generous in giving way. I wanted to reinforce his point. According to emergency departments that see children, 90% receive injuries from non-vehicle-related accidents. We always hear, “Oh, it’s because you are going to be knocked over by a car”, but most accidents do not involve a vehicle and are cycling accidents alone.

[Alok Sharma]

I thank my hon. Friend for making that point and for reinforcing the fact that we are discussing wearing helmets not only on roads but off road.

We were discussing the understatement in police records compared with NHS records of injuries and why that could be. One of the key reasons, for children, is that many such injuries take place off road, as my hon. Friend has just pointed out. The total figure for cycle-related hospital admissions, however, includes only patients who occupy a bed. Those who attend A and E are not included in that 9,000. That, of course, does not include any gap between unreported and reported incidents involving only slight accidents, so the total number of cycle-related injuries receiving hospital treatment is likely to be much higher than any of the statistics that I outlined suggest. It is appropriate that the debate about cost includes not just the human and social cost, but the financial cost of cycling injuries and fatalities. We must look at the broader picture, and the larger figures.

Head injuries ranging from fatal skull fractures and brain damage to minor concussion and cuts are common in cyclists. I understand from the information published by the Royal Society for the Prevention of Accidents that hospital data show that an estimated 45% of child cyclists admitted to hospitals have suffered head injuries. That is a high percentage indeed. Undoubtedly, some of those injuries would have been reduced or may not have occurred if a cycle helmet had been worn.

A recent Transport Research Laboratory report, which was published in 2009 and commissioned by the Department for Transport, reached several conclusions about the efficacy of wearing cycle helmets. It concluded that helmets, assuming that they are a good fit and properly worn, are effective in reducing the risk of head injuries. They are expected to be effective in a range of accidents, particularly the most common accidents that do not involve a collision with another vehicle but, as my hon. Friend the Member for Wellingborough said, are falls or tumbles over handlebars.

The report concluded that a specialist biomechanical assessment of more than 100 police forensic cyclist fatality reports predicted that between 10% and 16% of fatalities could have been prevented if the cyclists had worn an appropriate helmet. Those who do not believe that we should have compulsory wearing of cycle helmets say that, at the end of the day, helmets will not save lives. It has been shown conclusively in an independent report produced by the Department that in some cases they do.

Most interestingly, the report concluded that cycle helmets would be particularly effective for children. I could go into the reasons for that, but I am sure the Minister, if he has time, will explain them. Yet a 2008 Transport Research Laboratory report, commissioned by the Department for Transport, estimated that only 18% of children and 35% of adults wear helmets on the road.

Apart from the terrible human and social cost of cycling fatalities and serious injuries, there is a financial cost to the country and to society. According to the Department for Transport’s own report, the total value of preventing reported road accidents in 2010 was estimated to be £15 billion. Let me put that in context. The entire transport budget for 2010-11 was just over £12 billion, and The Times manifesto calling for 2% of the Highways Agency’s budget to go towards cycle routes would amount to around £80 million. The average value of preventing every reported road accident was almost £1.8 million for a fatality, over £200,000 for a serious accident and over £20,000 for a slight accident.

One clear way of cutting down on the human, social and financial cost of cycling accidents, particularly those involving children, is through wearing cycle helmets. I am pleased that all hon. Members who have contributed to this debate so far agree. The time has come for the Government to consider very seriously the case for introducing the mandatory wearing of cycle helmets for children. I know that this is a controversial issue, and the right hon. Member for Exeter (Mr Bradshaw) shakes his head, so I presume that he does not agree.

The hon. Member for Dumfries and Galloway (Mr Brown) said that a private Member’s Bill in 2004 did not make progress, but it was supported by a wide range of organisations including the Royal College of Nursing, the Royal College of Paediatrics and Child Health, the safety charity Brake, the Child Accident Prevention Trust, the Child Brain Injury Trust, and the brain injury association Headway. Last year, the British Medical Association welcomed a Bill in the Northern Ireland Assembly to make wearing helmets compulsory, but unfortunately it did not make progress. The World Health Organisation has also stated that laws mandating helmet use can be effective in reducing road traffic accident injuries.

Many countries in Europe have laws on wearing cycle helmets, and we would not be the first to introduce such a law. In Europe, it is mandatory in Finland, where all cyclists are required to wear cycle helmets; in Spain, it is mandatory outside built-up areas; in the Czech Republic, it is mandatory for children under 16, in Iceland, for children under 15, in Sweden, for children under 15, and in 2010, it became mandatory in Austria for children under 10. Outside Europe, helmets are mandatory in Australia, New Zealand, 20 states of the USA and some Canadian provinces. We would not break new ground by at least considering the introduction of such a law.

Introducing a cycle helmet law will not suddenly solve the problem of road safety, and many hon. Members in previous debates have made that point. That is why I started this debate by talking about other measures that need to be introduced to make our roads safer. They include segregated and dedicated cycle paths and routes.

Returning to the point that my hon. Friend the Member for Wellingborough made, we can make our roads safer, but that may not reduce cycling injuries in children, because many of their injuries occur off road. The argument that we would drive people off the roads and discourage them from cycling does not hold water.

Wearing cycle helmets saves lives and reduces injuries, and even the most hardened opponents of cycle helmets acknowledge that. A key argument by anti-helmet campaigners is that making them compulsory will put people off cycling, will therefore not help in reducing carbon emissions and will discourage a healthier lifestyle. Some organisations have produced statistics showing that the mandatory wearing of helmets might save tens of lives, but that a reduction in the number people cycling would result in people perishing earlier than expected because of obesity. I am not sure that that is a serious contribution to the debate.

International evidence suggests that mandatory helmet wearing, particularly for children, does not result in a long-term drop in cycling. Some studies have concluded—one in Australia is often cited, but it was about 20 years ago—that introducing compulsory helmet wearing may result in a temporary decline, but that the medium to long-term effect is likely to be negligible. Other studies have concluded from experience in the States and elsewhere, particularly where laws were introduced only for child cyclists, that there has been no reduction in cycling following the introduction of such laws. International experience suggests that the wearing of helmets can be introduced successfully without resulting in a long-term decline in cycling.

Logically, a rule affecting only children should not discourage adult cyclists. The right hon. Member for Exeter has in previous debates made the point that the more people cycle on roads, the safer it will be. Children of five, six, seven, eight, nine or 10 are not part of a group that consistently cycles on roads, so introducing a cycle helmet law for them will not deter adults from cycling.

One thing that puts children off wearing cycle helmets, of course, is peer pressure, especially as they enter secondary school. It is not always considered cool to wear a helmet, but if we can change attitudes by introducing a law, so that it becomes the norm—almost second nature—to wear cycle helmets from a young age, that will stick with children in adolescence and adulthood. I have two young daughters; we go out cycling fairly often, and they were brought up wearing cycle helmets. I must admit that I do not always wear one, but when I cycle with my daughters, the peer pressure works the other way, and they absolutely insist that I wear a cycle helmet, too. If we can get children into a mindset whereby they think it is absolutely the norm to wear cycle helmets, we will see a change in attitudes, and they will wear cycle helmets into adolescence and adulthood. That change will mean that we see significantly fewer fatalities and injuries, not only on the roads, but off them.

The hon. Member for Huddersfield (Mr Sheerman), who has left his place, made a good point about wearing car seat belts. I was a teenager when the law was introduced, and wearing seat belts certainly was not the norm. I was not a particularly rebellious teenager, but I did not always follow the rules. However, after a few months, when everybody else is doing it, we do it too, and it absolutely becomes the norm. Thinking back, people will say, “Wasn’t it astonishing that people railed against the introduction of a law on seat belts?” If we get to the point where we can introduce a law making it compulsory for children to wear helmets, I hope we will look back after a few years and wonder what the fuss was all about.

The Department for Transport’s report concluded that wearing helmets is beneficial, especially for children. I am asking the Department to commission a definitive, independent report on the benefits and costs of introducing a law requiring children to wear a cycle helmet. In particular, I want it to look at whether such a law would deter cycling in the longer term and whether parents would support it. I am a parent; I cycle, and my children cycle. I am not part of any lobby or group. There are millions of people like me and my children, and they are the ones we should be listening to and whose views we should be getting, before we decide whether it is right to introduce such a law.

The Department could make a pretty easy start by introducing a few extra questions in the Sport England Active People survey. It could ask cyclists whether they regularly wear helmets or ask their children to wear helmets. It could ask them whether they would support a law making it mandatory for children to wear helmets.

The Horses (Protected Headgear for Young Riders) Act 1990 made it mandatory for young children riding a horse on the public highway to wear protective headgear. If such a law makes sense for young horse riders, surely it should make sense for children on bicycles. We are talking about a measure that will save lives, and prevent injuries and unnecessary cost. I look forward to the Minister’s response.

[Several hon. Members]

rose—

Oral Answers to Questions

Lord Sharma Excerpts

Thursday 19th April 2012 Commons Chamber

[Mrs Villiers]

This Government are determined to get the costs of running the railways down. We have a plan for delivering that—a plan that has been opposed by Labour Members, who have provided no ideas themselves on how we deal with this problem. We are determined to deliver better value for money for passengers. That is why we are going to get the cost of running the railways down.

[Alok Sharma (Reading West) (Con)]

Jobseekers and workers from my constituency travel regularly by train to London and elsewhere in the south-east and the wider introduction of smart ticketing should help to reduce their travel costs. Can the Minister update the House on plans to extend smart ticketing across the south-east, funding for which was announced in the Chancellor’s autumn statement?

[Mrs Villiers]

We believe that introducing smart ticketing across more of our national network is a very important way to improve services for passengers to make ticket-buying easier and more convenient and also as a way to assist our efforts to get better value for money for passengers and in terms of reducing the costs of running the railways. That is why we have allocated funding to projects to deliver smart ticketing in the south-east and why we are funding the interaction of ITSO with Oyster in London. We are determined that the sort of benefits that people have enjoyed with Oyster in London for many years can start to be enjoyed across a wide range of services across the national network.

Rail Ticketing and Overcrowding

Lord Sharma Excerpts

Tuesday 6th March 2012 Commons Chamber

[Alok Sharma (Reading West) (Con)]

I was recently told a story about Lenin and rail travel. In April 1917, ahead of the October revolution, Lenin arrived by train back in Russia at the Finland station in Petrograd. As he stepped off the train, he was asked by some of his waiting supporters, “Comrade Lenin, why did you travel sitting in the First Class carriage?” Lenin replied: “Comrades, after the revolution we will all be travelling sitting in first-class carriages.” The story sounds apocryphal, and my revolutionary zeal is more muted than Comrade Lenin’s. All I want is for my commuting constituents who travel in standard class to be able to sit, and not stand, in standard class.

Rail overcrowding at peak times and high rail ticket prices affect many of my constituents. I get the message from my constituents in my postbag, and I get the message in person as I commute daily from Reading to London. There are broadly three ways to tackle overcrowding and the high rail fares: first, more investment in new rolling stock; secondly, encouraging train operating companies, through the terms of their franchises, to make more effective use of existing capacity and to think more imaginatively about their product offering; and thirdly a reduction in the rail industry’s  overall costs, which will limit future increases in rail fares.

Let us take each of those in turn. I know that the Government recognise very clearly the difficulties faced by rail commuters, which is why they are investing in new rolling stock. I welcome the huge investment in the sector across the country—the largest level of investment in rail, I understand, since the Victorian era. As an example, last November, the Minister announced funding for an additional 48 carriages on First Great Western services running through Reading and the Thames valley, and into London Paddington. By August, Reading will have seen 1,500 extra standard-class seats available during the morning peak and around 1,700 extra standard-class seats during the evening peak hours, which will be good news for many of my commuting constituents—and, I have to say, for me too.

The Chancellor’s decision in the autumn statement to cap rail fares at RPI plus 1% was also welcome recognition that rail commuters need help at a time when household budgets are stretched. The median average gross annual salary in Reading is around £28,000. A season ticket from Reading to London, including the London underground, costs just under £5,000 a year. For many, rail fares take up a very large proportion of after-tax income. That is why getting value for money is absolutely key for rail commuters. Season tickets can cost thousands of pounds, so value for money should very much include being able to get a seat on the train.

Let me turn to the more effective use of existing capacity. Ahead of this debate, I wrote to the train operating companies that operate both first and standard-class services to ask about their policies to deal with overcrowding. That included a request for any statistics they may have on overcrowding, and in particular any information on the number of occasions in the past 12 months when services were deemed to be overcrowded. I also asked about the train operators’ policies on declassifying first-class carriages for use by all passengers when no seating is available in standard class, and for any statistics they may have on the number of times over the past year when a declassification took place.

Some of the conclusions from the responses were surprising. In at least one operator’s franchise agreement, no definition of “overcrowding” is specified, suggesting a lack of consistency across franchises. Most operators were unable to supply any detailed statistics on overcrowded services over the past year. For most operators, individual train managers make the decision to declassify a carriage or a whole train. Again, however, save for one operator, it appears that no data are collected on how many times declassifications have occurred over a 12-month period. From my experience of rail travel over the years, and not just the commute on the Reading-to-London line, I have never once been on a train that has been declassified. Perhaps I have just been spectacularly unlucky.

With many franchise agreements coming up for tender this year and next, and with a rail Command Paper and a fares review imminent, I have some suggestions that the Minister may wish to consider. First, let us aim for longer franchises, which will help operators to fulfil the requirement for more investment in new rolling stock. There also needs to be less prescription on the minutiae of franchises and more focus on measures that matter to passengers. Industry sources have told me that in some cases the format of draft agendas for meetings between train operating companies and the rail regulator have been dictated in franchise agreements. I am not sure how that benefits passengers. There should be more of an obligation to measure overcrowding regularly, against set objective parameters, and to publish these measurements, perhaps on a monthly or quarterly basis. I understand that an annual assessment is made of overcrowding at peak times on the Reading-to-Paddington line. However, that is not necessarily sufficient, given that only passengers on the morning commute, from 7 am to 10 am, are counted. In Reading, some of the most overcrowded trains leave between 6 am and 7 am.

Each operator should clearly set out its declassification policy, and there should be an obligation to record and publish—again, on a monthly or quarterly basis—how often trains or individual first-class carriages are declassified. That level of transparency will undoubtedly help commuters and passenger groups to determine how well train operators are responding to the challenge of overcrowding. Perhaps we should also consider setting out in franchises a minimum ratio for the number of standard-class seats on peak-time trains compared with first-class seats. It is absolutely right that anyone who pays the premium for a first-class ticket should enjoy a premium service. However, there is nothing more disheartening than walking through several relatively empty first-class carriages to reach some very crowded standard-class carriages, with passengers standing in aisles and vestibules. This is not about penalising high-paying first-class passengers, but about getting train configurations right at peak times.

In its response to my queries, South West Trains noted that it offers expectant mothers who travel with a weekly, monthly or longer season ticket the opportunity to apply for a free first-class upgrade if no standard-class seats are available during their journey. I would like to see that extended across the entire rail network; indeed, it could be included in rail franchise agreements at little cost to the train operating companies. That would represent a common-sense approach. Also, where this does not currently happen, I am sure that the scheme could also be extended to include disabled passengers without operators incurring prohibitive costs.

With changing work patterns, and an increase in working from home or more than one location, it also needs to be recognised that not all business commuting requires people to travel every day of the week. Some of my constituents might travel to London only three days a week, and not always on the same three days. However, the only choice they currently have is between buying a weekly season ticket and buying more expensive daily tickets. That does not represent value for money. We need train operators to offer more value-for-money ticketing options, and smart ticketing is very much part of the answer.

[Iain Stewart (Milton Keynes South) (Con)]

I congratulate my hon. Friend on securing this debate. He has made some excellent points that I heartily endorse. Does he agree that, as well as assisting commuters from Reading or Milton Keynes travelling into London, smart ticketing would assist inward investment to our respective constituencies for passengers who want to travel there on business, albeit not necessarily on a weekly basis?

[Alok Sharma]

My hon. Friend is absolutely right. Smart ticketing will make a huge difference to his constituents and mine. He is known as a great champion of the commuters in his constituency.

In the autumn statement, the Chancellor announced a £45 million investment to extend smart ticketing across the south-east. As my hon. Friend has just pointed out, smart ticketing could make a massive difference to passengers, and enable train operators to offer multi-ticketing options. For example, the three-days-a-week commuter could benefit from a pay-as-you-go system, but paying the reduced season ticket price, or buy 12 journeys for the cost of 10.  There are many permutations that would bring more value for money for passengers.

If franchise agreements are to last for 15 years, they need to be flexible enough to cope with changes to technology, and I hope that that will be factored in. Train operators should also be encouraged to innovate in the way that train classes are categorised. Perhaps some lessons could be learned from the airline industry in that regard. In that industry, many operators now offer a range of options, including premium economy, and I do not see why that could not be replicated across the railways. As an example, Chiltern Railways is experimenting with the option of a new premium economy business zone, which allows passengers to upgrade by paying a supplement of £20. The upgrade includes a guaranteed seat and access to wi-fi, without the extra unnecessary and costly frills of first class. The new service can be purchased without having to buy a separate ticket or pay a full first-class fare. That represents the sort of imaginative approach that I would like to see considered in new franchise agreements.

I am happy to stand corrected, but I understand that it is not currently possible for the same operator to offer differential fares on the same line.  Let us take the Reading to Paddington line as an example.  A fast service takes 30 to 35 minutes, and a local stopping train takes about an hour, yet there is no difference in ticket pricing between the two services. One could imagine, however, that a significant fare discount for those using only the locally stopping service would be an attractive option for some commuters. In any such scenario, it would be important to ensure that those using the fast services did not suddenly see a huge uplift in their fares. Additionally, for the services to be viable, sufficient rolling stock would need to be available to cover both route options adequately.  Longer franchises and the consequent greater requirement for operators to invest in new rolling stock could eventually present an opportunity for them to consider differential pricing.

Finally, I want to cover the reduction of overall industry costs that would in turn lead to reduced pressure on ticket price rises. The McNulty review concluded that UK rail was the most expensive in Europe, compared with some benchmark countries. The review also found scope for industry costs to be reduced by 30% by 2018-19, reflecting the fact that passengers and taxpayers in the UK currently pay an average of about 30% more in fares and subsidy than those in comparable European countries. McNulty noted that the key barriers to efficiency in the sector included the fragmentation of the industry and the current franchising and fare structures. I have already commented on franchising and fare structures, and I agree that industry fragmentation can be a barrier. The planned operational alliance between South West Trains and Network Rail on trains operating out of Waterloo is one way of getting industry players to work more closely together for the ultimate benefit of passengers, and, if it works, it could be a model for others to follow.

I acknowledge the good work that the Government have already done to tackle overcrowding and rising rail fares, but there are imaginative solutions that train operators could adopt to provide much more value for money for rail commuters. I am looking forward greatly to the publication of the Government’s rail Command Paper and fares review and, of course, to the Minister’s response this evening.

Rail Fares

Lord Sharma Excerpts

Wednesday 11th January 2012 Commons Chamber

[Maria Eagle]

I want to make a few points about what I have heard from passengers and will try to give way to the hon. Gentleman later.

Secondly, passengers want a legal right to be offered the cheapest ticket for the journey they wish to make, and they do not think that it is too much to ask that the cheapest fare must be clearly advertised. Should passengers not be entitled to a refund if they have not been sold the cheapest ticket?

Under this Government, it is to become harder to buy the cheapest ticket if plans to replace staff with machines and close all 675 category E station ticket offices are implemented, yet that is what Ministers are considering, along with cutting the opening hours of 302 category D station ticket offices. All the evidence suggests that many people are not sold the cheapest ticket when they buy a ticket online or from a machine.

Thirdly, passengers have told us that they want the cheapest fares to be available wherever tickets are sold, yet the cheapest fares often appear to be available only online. Should not the same fare structure apply to tickets purchased at train stations and other outlets as applies to those bought online, ending the digital divide that is arising and increasing costs for older passengers, in particular?

Fourthly, what really annoys rail users is when they make a genuine mistake or are forced to change their travel plans but find themselves treated as a common criminal in front of other passengers and required to get out their cheque book and cough up. Of course we have to protect revenue, but we also have to have some common sense. Within the same period of the day, there has to be greater flexibility to vary plans, even on pre-booked tickets. Trains are not airlines, and we do not wish to go down the road of airline-style ticketing, with no cheap walk-on option.

Finally, passengers told us—

[Alok Sharma (Reading West) (Con)]

Will the hon. Lady give way?

[Maria Eagle]

If the hon. Gentleman will just let me get to the end of my points, I may give way to him.

Finally, passengers told us that they understand that sometimes a track has to close, such as for essential work, to keep our railways safe, but when a rail replacement service makes their journey longer, often adding considerable inconvenience, they want to know why their ticket costs the same. They can apply for a discount if their train is delayed, but not if it turns out not even to be a train and ends up being a bus.

Those are all ideas that we are looking at seriously, because for too long Governments have let the train companies get away with treating passengers in a way that would not be permitted in other industries.

--- Later in debate ---

[Maria Eagle]

No, I am going to make some progress.

[Alok Sharma]

On that point?

[Maria Eagle]

I said that I am going to make some progress.

For too long, Governments have let the train companies get away with treating passengers in a way that would not be permitted in other industries. The previous Transport Secretary described rail fares as eye-watering and rail services in Britain as a “rich man’s toy”, yet he failed to understand that the policies of his own Government are making the situation worse.

[Alok Sharma]

Will the hon. Lady give way?

[Maria Eagle]

No.

Next year’s fare increases are set to be even higher—not 1% but 3% above inflation, with the same again in 2014. Unless the Government are willing to stand up to the train companies, and unless they are willing to take on the vested interests and remove the right to add another increase of up to another 5% on top of this year’s so-called cap, commuters next year will face fare rises of up to 13%, with another 13% the year after. That is happening at a time when average incomes are plummeting. Over three years, some tickets will rise by almost one third as people’s real incomes fall by 7.5%, yet the Government seem completely out of touch with the impact of that on households.

Season tickets are heading rapidly towards £10,000 a year on some routes into London once underground travel is included; families are now paying more on commuting costs than on the mortgage or rent; and ticket price rises are outstripping wage increases several times over, if people are fortunate to see a wage increase at all. That is the cost-of-living-crisis facing households throughout the country. Rent levels are going up; energy and water bills are rising relentlessly; bank charges are extortionate, as the cost of living means overdraft limits are breached; and the cost of transport is rising.

--- Later in debate ---

[Lilian Greenwood]

I will not give way at the moment.

We have heard about shoppers finding that they have less to spend when they get to the shops or the market because bus fares have gone up, about small businesses struggling with the high cost of petrol, and about mums and dads having to find more money from the family budget to help teenage sons and daughters pay to travel to college because they have lost their education maintenance allowance and the fare concessions they used to get have been cut. Parents are having to get the car out to take their children to school, even if they cannot really afford to, because school transport has been cut. As has been said, that does nothing to contribute to the green agenda.

The cost of living crisis is hitting hardest those who are least able to withstand it and is made worse by the decisions that the Government have made, which show that they are out of touch with the concerns of ordinary families. When so many people are struggling to pay their bills and make ends meet, only a Government who are completely out of touch with these concerns would allow inflation-busting increases in rail fares, yet that is exactly what this Government have done. They were forced to back down on their original plan to increase rail fares by inflation plus 3% this year, but passengers will still face those rises in January 2013 and January 2014.

When passengers heard the Chancellor’s autumn statement, they understandably expected that the most they would have to pay this year was an extra 1% above inflation, but they soon found that they were wrong, because the Government gave private train companies the right to increase some tickets by an additional 5%, something that Labour banned in government precisely because we understood the pressures commuters face in tough economic times.

[Alok Sharma]

At the start of the debate the hon. Member for Garston and Halewood (Maria Eagle) made a spending commitment to keep fares down. Will the hon. Lady tell us where the money for that would come from and, assuming she does not wish to increase the national debt, what she would cut to fund that commitment?

[Lilian Greenwood]

I am not making any spending commitments this afternoon. The real question needs to be addressed by the Minister, which she might do when summing up. She needs to address the point, made by the National Audit Office, that rather than protecting taxpayers or paying for the investment described by the hon. Member for Milton Keynes South (Iain Stewart), the flexibility will boost the profits of train operating companies. How will she tackle that?

As my hon. Friend the Member for Glasgow South (Mr Harris) rightly said, rail services flourished under Labour, with more services, more passengers and better punctuality than ever before. He also noted that Lord Adonis stood up to train operators and removed this flex. Lord Adonis stated in evidence to the Transport Committee:

“In a time of economic stringency I do not think it acceptable for individual commuters to face significantly above-average fare increases. The Government’s intention is, therefore, that in future the cap should apply to individual regulated fares, not just to the average of each fares basket.”

He said “in future” and nothing about it being for one year.

The Prime Minister might say that he wants to tackle crony capitalism, but actions speak louder than words. His Government have shown that they are on the side of private train operators, rather than passengers, letting them increase some fares by as much as 11% with no guarantee that the money will lead to a better deal for taxpayers. As I have said, the NAO has warned that that could simply result in higher profits for train companies. The Government also know how difficult it is for passengers to navigate their way around complex fare structures to find the cheapest tickets, but they will not rule out getting rid of the very ticket office staff who can help and advise people, particularly those who are unable to find the best offers online or by using a ticket machine.

If things are bad for rail users this January, bus users might say, “Look at the year we’ve already had.” The Transport Committee called the 2010 comprehensive spending review

“the greatest financial challenge for the English bus industry for a generation”.

Alongside rising fuel prices and a depressed economy, many bus operators have had no option but to raise fares, cut services or both. What have the Government done to help bus users, many of whom are among the least well-off in society? They have cut transport funding to local councils by 28%, a loss of £95 million in 2011-12 alone. They have changed the way in which the concessionary fares scheme is funded, taking a further £223 million away from local authorities in the past year, and they have decided to cut the bus service operators grant, the fuel rebate to bus companies, by 20% from April.

If we add those changes together, we find that the result is devastating. Fares are going up, one in five supported bus services has been scrapped and the Campaign for Better Transport has collected examples of more than 1,100 bus services that have already been lost in the English regions. Whole communities have been left isolated without access to public transport, and almost three quarters of local authorities have been forced to cut or to review school transport provision.

Older people, who are protected from fare rises, having benefited enormously from the free bus pass introduced by the previous Labour Government, are finding additional restrictions on when they can travel and, particularly in rural areas, that the service they relied on has disappeared. The Prime Minister may have promised to keep the free bus pass, but it is of little use if people have no local bus to travel on.

Time and again we see this Government choosing to implement policies that have a disproportionate impact on the very people who most need to be protected in harsh economic times: older people and disabled people, who often do not have the choice to use a car; and the unemployed, who are already paying the price of this Government's economic failure. Some 64% of those seeking work do not have a access to a car, so they rely on buses to get to interviews and jobs. As my hon. Friend the Member for Lewisham East (Heidi Alexander) said, how will they access job opportunities or stay in work without public transport and how can work pay if travel to work is not affordable?

We heard about young people, 72% of whom rely on buses to get to college and to give them independence. They are already struggling without their education maintenance allowance, or are facing a threefold increase in tuition fees, so it is little wonder that colleges report a fall in admissions, and that the UK Youth Parliament made cheaper, fairer and more accessible public transport its No. 1 issue for 2012.

For the one in 10 people in rural areas who do not have access to a private car, a bus is essential to get to the nearest shop, doctor or post office—not that car users have done much better. For all the Government’s talk of fuel stabilisers in opposition, one of their first acts was to increase VAT to 20%—immediately putting petrol prices up by 3p a litre and adding an extra £1.35 to the cost of filling up the average car.

The Government claim that those changes are all in the name of deficit reduction and that there is no alternative. That is not so. What is required is the determination to stand up to vested interests and to powerful lobby groups. We have already set out how we would ease the pressure on households from the rising costs of transport—not by increasing spending, but by banning private train companies from averaging out the cap on fare rises. That would mean a maximum increase of inflation plus 1% this year, not increases of up to 11%.

My hon. Friend the Member for Garston and Halewood (Maria Eagle) also set out how we are considering other options to ensure that passengers are protected from unfair pricing, including a single definition of peak and off-peak; a right to the cheapest ticket; a right to a single price for the same ticket; a more flexible way of changing one’s travel plans; and a right to a discount when a rail replacement bus service is put on.

Labour’s policy review is looking at all options for reforming the structure of Britain’s rail industry. We need root-and-branch reform of its costly fragmented structure, and we need a better deal for taxpayers and passengers. We also want to devolve more transport responsibilities, so that more decisions are made locally by integrated transport authorities with powers to deliver local bus services in a way that best suits each community, ensuring that the needs of local people are met and that fares are affordable. For young people who are aged 16 to 18 and in education, we want to see a concessionary fares scheme delivered by the major bus companies in return for the subsidies that they have received.

In the transport spending review, the Government recognised:

“Transport provides the crucial links that allow people and businesses to prosper”.

Well, people and businesses are suffering as a result of their poor decisions. Yesterday, we, like the hon. Member for Fylde (Mark Menzies), welcomed the good news about High Speed 2 and the Government’s commitment to long-term investment in our infrastructure, but they must face up to the here and now. They need to listen to passengers and start taking action to tackle the quiet crisis facing people the length and breadth of this country.