Govia Thameslink Franchise

Andy McDonald Excerpts

Wednesday 18th July 2018 Commons Chamber

[Andy McDonald (Middlesbrough) (Lab)]

(Urgent Question): To ask the Secretary of State to update the House on the performance of the Govia Thameslink franchise.

[The Minister of State, Department for Transport (Joseph Johnson)]

The shadow Transport Secretary has requested an update on the Govia Thameslink franchise. The Secretary of State and I have been clear that the way in which the timetable was implemented by GTR and Network Rail from 20 May provided an unacceptable level of service for passengers. The industry as a whole has apologised to passengers for the disruption suffered on Thameslink and Great Northern services.

I can inform the House that, on Sunday 15 July, GTR implemented an interim timetable, a planned step that aims to improve the reliability and performance of services for passengers. The Department is, of course, watching performance carefully. Some of the benefits that passengers are now seeing include: more trains—around 150 to 200 extra services each day; on-the-day cancellations, which are extremely frustrating for passengers, have been significantly reduced; passengers no longer need to check journey planners before they travel; and the public performance measure has improved on Thameslink, closing yesterday at 84% and at 86% on Great Northern. However, as I said, the Department is closely monitoring for sustained performance improvements by GTR, and we will be holding it and its new chief executive officer to account. At the same time, the Department has been working hard to make sure that passengers receive compensation and an explanation for the disruption that they have suffered.

The worst affected Thameslink and Great Northern season ticket passengers will be able to claim compensation equivalent to one month of their season ticket from GTR for the disruption that they have suffered. Compensation will cover the period from 20 May to 28 July 2018. GTR will contact registered qualifying passengers by the end of August before a claims portal is opened for other passengers. That is identical to the system used for the Southern industrial action disruption compensation. This is in addition to the standard Delay Repay compensation to which GTR passengers are entitled after any 15-minute delay. Full details of eligible stations and more information can be found on the Thameslink and Great Northern websites.

The Department has commissioned two reviews of what went wrong with the implementation of the May timetable. First, the independent Glaister review is under way and seeks to understand the factors that led to the disruption. Our aim is to make sure that we learn lessons so that this does not happen again. Within the Department, we have also started a hard review of this franchise to establish whether GTR has met and continues to meet its contractual obligations in the planning and delivery of the May timetable. As part of that process, we are looking at whether GTR has breached its contracts and we will not hesitate to take tough action against it if it is found to have been at fault.

We are still in the first days of the interim timetable on GTR and all timetables require time to bed in. My Department is watching GTR’s progress carefully and we want to see a continued increase in performance for passengers.

--- Later in debate ---

[Andy McDonald]

It is disappointing that the Secretary of State has had to be summoned here to update the House on the ongoing calamity that is the GTR rail contract, and it just a shame that he has not turned up—yet again.

For four years, Govia’s appalling service and performance have wreaked havoc and misery in the lives of millions of people. What have the Government done to hold the company to account? Precisely nothing. What does this disgraceful company have to do to be stripped of its contact?

GTR’s new interim timetable introduced on Sunday—its third in two months—was supposed to provide more certainty for the public, yet the disruption, delays and disaster are worse than ever. We learned this morning from ITV News that GTR underestimated the scale of the disruption caused by the timetable change by a factor of 10. This failure is totally unacceptable. Labour says that enough is enough. The Government must stop pussyfooting around and strip Govia of its contract without delay. There is no need to wait for Stephen Glaister’s review of the timetabling chaos, to which the Minister refers, as it will not tell us what we do not know today. The Government and the rail industry have failed passengers both on GTR and across the north of England.

The Government’s threats to GTR mean nothing. Members of this House and the public are not reassured. Can the Minister tell the House whether GTR is in breach of its contractual obligations with the Department for Transport? If it is, will he remove the contract from the company?

The Government have already done a sweetheart deal with GTR over compensation. Can the Minister confirm who will pay for the compensation promised to passengers? Will it be the company or taxpayers?

Almost a year ago, the Government announced major rail investment cancellations on the last sitting day before recess thereby avoiding parliamentary scrutiny of the decisions. Perhaps the Minister could give the House some notice today of any cuts to transport investment that he plans to sneak out on the sly before or during this year’s summer recess?

[Joseph Johnson]

The Secretary of State would have been here had he not been at the Farnborough air show, which is a long-standing commitment that has been in his diary for a considerable time. I understand that he was on an aeroplane at the time the request came in, and it was simply not practical for him to make arrangements to be back in the Chamber to answer this urgent question.

Let me turn to the points raised by the hon. Gentleman. We will establish during the hard review whether GTR has been in breach of its contractual obligations. That process is under way. It is important that the Department follows due process in all these matters. He asked who will pay compensation. The compensation that I described—a month’s cash compensation for passengers on the most severely affected lines—will be predominantly funded by Govia Thameslink Railway. That is important, as it is the private sector operator of this train company and it will be providing the predominant amount of compensation.

Govia Thameslink/Rail Electrification

Andy McDonald Excerpts

Tuesday 3rd July 2018 Commons Chamber

[Andy McDonald (Middlesbrough) (Lab)]

(Urgent Question): To ask the Secretary of State for Transport to update the House on Govia Thameslink Railway and his plans for rail electrification.

[The Minister of State, Department for Transport (Joseph Johnson)]

The shadow Transport Secretary has asked about the current situation on Govia Thameslink Railway and electrification, and I will answer each in turn.

Performance by GTR has been unacceptable since the timetable change on 20 May. GTR is working to increase the predictability and reliability of journeys on its network, including reducing the number of on-the-day cancellations. On 15 July, it will implement an interim timetable, which will allow GTR to slowly build up services to the originally planned May timetable.

We have said that passengers affected by severe disruption on GTR will receive special compensation; an announcement will follow shortly. We have also commissioned the independent Glaister review to make sure that we learn lessons and that this does not happen again. We have started a formal review of the franchise to establish whether GTR has met its contractual obligations in the planning and delivery of the May timetable. We will not hesitate to take tough action against it if it is found to have been negligent.

On electrification, the Government are clear that passengers expect high-quality rail services. We are committed to electrification where it delivers passenger benefits and value for money. We will also take advantage of state-of-the-art new technology to improve rail journeys.

Over recent days, there has been speculation over the trans-Pennine route upgrade. I can clarify for colleagues that the upgrade will account for one third of our anticipated expenditure for rail enhancements nationwide in the next spending period. It will be the biggest single investment we will make during this period, demonstrating our commitment to improving passenger journeys in the north.

The Department is currently awaiting Network Rail’s final project plan. We have instructed it to prioritise the elements that bring the quickest passenger benefits. We will update the House in due course.

[Andy McDonald]

Reports over the weekend said that a decision had been taken to cancel the electrification of the trans-Pennine route between Manchester and Leeds. If true, much needed investment will be slashed, despite the north lagging far behind the south-east in terms of transport spending. It will kill any notion of a northern powerhouse. The Government should be matching Labour’s commitment of £10 billion-plus to build a Crossrail for the north, not threatening already promised investment. As the National Audit Office report revealed, the technology that the Minister says makes electrification unnecessary does not exist. As the Transport Committee last week showed, rail electrification is necessary to deliver the improvements the Minister has promised. Will he take this opportunity to confirm that the electrification will go ahead as promised?

We also hear that GTR is being stripped of its franchise unless performance on its services in the south-east of England rapidly improves, and that the process could start within a matter of weeks. If that is so, when will the decision be made?

The Secretary of State says that he does not run the railway. I can tell him that we have noticed. But if not him, who does?

It is reported that the compensation package for passengers impacted by timetabling disruption will be the equivalent of one month’s travel. Can the Minister explain who will pay for this?

We on the Labour Benches would welcome this incompetent train operator being stripped of its franchise, with services returning to public ownership. We have been calling for this for years, as GTR has repeatedly breached its obligations. Passengers have suffered needlessly because of the Secretary of State’s refusal to do so. Will he now do the right thing and terminate this franchise?

[Joseph Johnson]

On the points made with respect to the railways in the north of England, I remind the House that the Government will have spent £13 billion by 2020 on transport in the north of England, the biggest programme of investment in decades. Specifically with regard to the trans-Pennine route, we will be spending £2.9 billion in the next control period, control period 6, between 2019 and 2024. We are looking carefully at the options Network Rail has presented to the Department and we will make a statement later in the year, ensuring that we deliver the highest possible value for taxpayers and significant benefits for passengers in the north of England.

On GTR, as I said, we have put in place a hard review of its performance in the run-up to the implementation of the May 2020 timetable. No options are off the table, should it be found to have been negligent in any respect.

The shadow Secretary of State asked about compensation. As he knows, we have already announced compensation for passengers affected by the timetabling debacle in the north of England on Northern. We will be coming forward with a similar rail industry-funded scheme for Thameslink and Great Northern passengers.

Space Industry Bill [Lords]

Andy McDonald Excerpts

2nd reading: House of Commons
Monday 15th January 2018 Commons Chamber

[Andy McDonald (Middlesbrough) (Lab)]

It must be a blessed relief for Government Front Benchers to move their attention away from their trials and tribulations here on planet Earth and to lift their eyes up to the heavens. Much of the country is doing likewise, aghast in sheer disbelief at the Government’s continued appalling judgment on our country’s transport system.

It is perhaps no surprise that the Secretary of State for Transport is not present for the Second Reading of this important Bill—perhaps he is explaining to the Prime Minister how he came to the view in July 2017 that Carillion was a safe bet and fit to be awarded the High Speed 2 contract, despite dire profit warnings. He is making a habit of not being at the Dispatch Box when his decisions make the news for all the wrong reasons.

Just as the Secretary of State has today delegated responsibility for the Space Industry Bill to the newly appointed Minister of State, the Government have produced a Bill that delegates more powers than it has clauses. That said, I also pay tribute to the right hon. Member for South Holland and The Deepings (Mr Hayes) for his open attitude to producing the best possible legislation, which is consistent with his attitude throughout. I commend him for that, and I trust that the same arrangement will continue with his successor so that we can produce the best possible Bill.

The UK’s space industry is an important and burgeoning part of our economy. It was valued at £13.7 billion in 2014-15, supporting almost 40,000 jobs. This Bill will establish a licensing regime for spaceports, spaceflights and satellite launches that is currently missing from the statute book and will put in place the regulatory framework to allow further expansion of the industry.

The UK Space Agency’s assessment, published in 2016, showed that the UK had a 6.5% share of the global space industry, and we hope the Bill will help to increase that share as the space industry grows globally in the coming years. Accordingly, Labour will be supporting the Bill as it continues its passage into law, although not without reservation about certain aspects, which I will spell out.

I put on record my party’s thanks to our Front-Bench colleagues in the other place for their valuable work on this Bill. They secured a number of important concessions from the Government, particularly the removal of the Henry VIII powers, which has much improved the Bill and for which we are grateful. However, we will still press Ministers on delegated powers and on the Bill’s impact on the environment, health and safety regulation and land powers.

During the Bill’s passage through the other place, the Government gave assurances that they would table amendments in this House on a duty to carry out full environmental impact assessments as part of the licensing process. We look forward to Ministers following up on that assurance in the Bill’s later stages.

Similarly, the Government gave an assurance in the other place that a specific regulator, either the Civil Aviation Authority or the UK Space Agency, will be a single point of accountability for health and safety on each individual mission. However, we will seek further details from Ministers on the relationship between the Health and Safety Executive and the CAA or the UK Space Agency, and on how best practices will be shared.

In relation to joined-up thinking on health and safety matters, will the Minister illuminate us on whether the Government have put any thought into how this Bill and the recently introduced Laser Misuse (Vehicles) Bill will cover legislative issues relating to the pointing of lasers at suborbital spacecraft and horizontal-launching spacecraft?

Moreover, can the Minister shed light on the Government’s thinking on clause 33(5), which addresses

“provision for an operator licence to specify a limit on the amount of the licensee’s liability”

in the unlikely event of “injury or damage” being caused by licensed spaceflight activities? My recollection is that a figure of £20 million was suggested in my previous discussions with Ministers. Will the Minister confirm whether that is the case? If it is, I suggest the Government reconsider the limit.

We recognise this is a highly technical and highly skilled environment and that the chances of something happening will hopefully be extremely remote, but, if it were to happen, the consequences could be dire. In those circumstances, £20 million may not be anywhere near sufficient. Two catastrophic injury cases could take a large share of that sum. In the case of brain injury or other catastrophic injury, the costs incurred by long-term support, accommodation or care would be considerable. I ask the Minister to think about how we might work around that difficulty.

The Government conceded in the other place that the wording of the Bill needs to be tightened to clarify that any restrictions over land would be temporary and would need to be established individually for each specific mission. Further clarity is also required on the ability of those affected by such restrictions to appeal against the decisions. We want Ministers now to outline how the Government expect the powers to be used and to ensure that the Bill provides an adequate legislative framework should the UK’s space industry undergo significant growth in the future, as we all want to see.

Finally, returning to the point I outlined at the start, the Bill appears to have been introduced well before the Government have done sufficient work to allow Parliament to scrutinise the legislation—the Bill contains 100 delegated powers in 71 clauses. Despite the Government’s concession to remove the potential Henry VIII power from clause 66, clause 67 still has a catch-all regulation-making power that allows the Government to make general provision for regulating space activities and “associated activities”. We look to the Government to better define those associated activities.

Furthermore, the Government appear determined that significant statutory instruments arising from the Bill’s delegated powers will be affirmative when they are first made, with negative procedures following afterwards. As the Bill progresses, we will seek to persuade the Government that such statutory instruments should be consistently affirmative each and every time they are made.

We will be supporting the Bill on Second Reading, but unfortunately the Government have introduced a Bill that is inadequately detailed and imprecisely worded. We will seek to change that as the Bill progresses, but sadly the Government have been too busy making a mess of our public transport by hiring failing companies to build national infrastructure projects and by bailing out private companies when they fail to run our rail network.

It is time that this Government made decisions in the interest of the UK economy and hard-pressed taxpayers, instead of dishing out corporate welfare. It is time they started focusing on the day job.