Bus Franchising
Baroness Garden of Frognal Excerpts(2 months, 1 week ago)
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Lord Snape (Lab)
My Lords, I do not normally agree with anything that the Front-Bench spokesperson says—
The Minister of State, Department for Transport (Lord Hendy of Richmond Hill) (Lab)
I thank the noble Lord, Lord Moylan, and the noble Baroness, Lady Randerson, for their comments on this subject. Despite the noble Lord, Lord Moylan, having just congratulated me on my position, I find myself virtually wholly disagreeing with what he said, save only one thing, which is that the quality, frequency and reliability of bus services are very important to all those who use the most popular form of public transport.
The noble Lord raised the issue of the £2 fare cap. As the noble Baroness, Lady Randerson, observes, the money for it runs out in December. The Government are looking urgently at this to determine its future, and we will respond on it as soon as we can.
The noble Lord talked about the TfL system, which of course I am as familiar with as maybe he is, having administrated it for the best part of 15 years. He said that the fares risk is borne by TfL and questions the capacity of local authorities to deliver that. His observations about the capacity of other places in England to do this do not need to be theoretical, because the Mayor of Manchester, a combined authority, has had bus franchising in place for some time.
One of the features which distinguished it in London is being replicated in Manchester: in the last six months alone, the first tranche of franchising in Manchester has produced revenue growth of 5%. It has enabled the introduction of more buses, the service is more reliable, and a night bus service has been introduced. Those are features which occur because of the comprehensive network, its promise of stability, its consistent information, ticketing and planning, a closer interaction with traffic authorities to allow buses to progress more freely, and the introduction of real-time information. Those are all features that local authorities can deliver if they choose to go down the franchising road.
The noble Lord questions the capacity of local authorities to put in such a system. My department is building its capacity in order to give assistance on the ground to local authorities that want to proceed down this route.
On the full assessment of the impact of this policy, I have already described the interim assessment from Manchester, which is wholly good. Throughout England, in towns and cities and in the countryside, there are huge variations in the quality, volume and reliability of bus services. The Government’s suite of measures, of which the introduction of franchising is one for those local authorities that wish to take advantage of it, will stabilise things so that the quality, frequency and reliability of the bus service is more certain. That will encourage people to travel and give the bus service itself more passenger volume and revenue.
The noble Baroness, Lady Randerson, supports local devolution, and this Government strongly support that too. Franchising is a measure which will be available to all local authorities. They can choose what to do in their particular circumstances. She refers to the end of temporary funding. We certainly have a keenness to amalgamate funding streams; there are several, and it would be easier for local authorities and bus companies to understand one funding stream. We would like to give certainty on multiyear funding, but that must be subject to the parlous state of public finances that this Government have inherited. She is right that giving certainty in this direction will improve the quality, frequency and reliability of bus services in Britain.
Lastly, the noble Baroness refers to young people. Greater local authority control of bus services gives the opportunity for more local authorities to give concessions to young people, where that is justified. There are already concessions for young people, but we agree that getting young people into the habit of public transport usage is extremely important.
Merchant Shipping (Cargo Ship) (Bilge Alarm) Regulations 2021
Baroness Garden of Frognal Excerpts(3 years, 4 months ago)
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Lord Rooker (Lab) [V]
My Lords, I am very happy to follow the previous three speakers—my noble friend Lord Berkeley, the noble Lord, Lord Patten, and the noble Baroness, Lady Bennett. In 1974, I made my maiden speech on industrial safety and served on the Standing Committee that introduced the Health and Safety at Work etc. Act, so I appreciate the broad encompassing nature of that legislation. I do not intend to repeat anything that the previous speakers have said, but to ask six questions. I will expect answers probably not from the Minister today but at some point by letter.
First, how many other delayed orders are lying around in the department? What is the list of current issues about which the department says, “Oh, we are waiting for parliamentary time. This is something we need to do”?
Secondly, has the Minister asked any questions about the delay? In some ways, I would expect the answer to that in her wind-up. I am keen to know because there are obviously different Ministers with different responsibilities in the department. Have Ministers asked questions about delayed orders that have been put on the rack over the 11 years of slothfulness?
Thirdly, in relation to these regulations, have there been representations at any time over the years from the Welsh, Scottish or Northern Ireland Governments? These regulations cover the UK and, therefore, the devolved Administrations are involved and affected. Have those Governments raised the issue of the delay with the Westminster Government and the department?
Fourthly, is there any record of trade union representations made over the years regarding why this statutory instrument has been delayed? From what the noble Lord, Lord Patten, and my noble friend Lord Berkeley said, we are dealing with an area that is probably not well unionised. Nevertheless, representatives have a legal responsibility to be asking the questions. Have there been any trade union representations over the years about the 11-year delay?
The fifth question is whether any Select Committee ever raised the delay, over the years, during other inquiries. These things pop up from time to time, as I have found from sitting on the EU Energy and Environment Sub-Committee. All kinds of ancillary issues were raised, which we sometimes went off at a tangent on and inquired about ourselves, so it would be interesting to know about that pressure.
My sixth question is whether the issue of this order and its going to Parliament, because that recommendation was there, was covered in any of the new Ministers’ briefs for the 2010, 2015, 2017 and 2019 general elections. In my cellar, I have the first-day briefs for the departments I was moved to in Whitehall—six of them. I have a big one for 1997, when there was an expectation of a change of Government, but that is not the issue. This still happens when the Government do not change. The department has to produce briefs for incoming Ministers—the Government might change, but departments do not know that until election day—of the current workload on the department, the current issues and what requires parliamentary time. I want to know whether this order and the recommendation requiring it to go to Parliament were covered in any of the first-day briefs for new Ministers, after any of those four general elections, because it is the responsibility of the accounting officer in the department to make sure that those briefs are full and comprehensive.
I do not expect the Minister to answer these questions now, but they are quite specific, so I would like detailed answers that the House can see, in due course.
The Deputy Speaker (Baroness Garden of Frognal) (LD)
The noble Lord, Lord Bhatia, has withdrawn, so I now call the noble Baroness, Lady Randerson.
Hauliers
Baroness Garden of Frognal Excerpts(3 years, 8 months ago)
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The Parliamentary Under-Secretary of State, Department for Transport (Baroness Vere of Norbiton) (Con)
My Lords, I am enormously grateful to my noble friend Lord Taylor of Holbeach for raising this important issue and, of course, for the contributions of all noble Lords. I am also grateful to the members of the public who shared their concerns digitally.
We have been working with the logistics industry over a number of years to understand and minimise the potential impacts on hauliers and the traders they serve at the end of the transition period. We want to increase understanding and reduce confusion across the system, and make the process as seamless as it can possibly be. Where improvements can be made, we make them as quickly as we can so that, in time, the system will adjust.
I believe that these processes will be part of normal business life, like filling in a VAT return: it is not pleasant, but you just do it. We are absolutely committed to reducing friction as much as we possibly can—to remove the grit from the engine, as the noble Lord, Lord Inglewood, said. I assure noble Lords that the latest available data shows that overall freight volumes between the UK and the EU are back to normal levels. I will write with further details about value and the number of empty containers—in fact, I will probably be writing on pretty much everything today, but that is a tribute to the quality of the debate.
I turn first to market access for hauliers, because the deal we reached with the EU allows 95% of journeys to continue as they previously did. That is one of the most important things that we were able to deliver for the haulage sector as a whole. I assure the Lord, Lord Bradshaw, that we received a substantial amount of advice, both commissioned and unsolicited, from a wide range of voices in the logistics sector.
As we have heard today from several noble Lords, specialist hauliers—those involved in cultural and sporting events—have significant concerns following the TCA, and they have of course been impacted because of the number of internal EU movements on which they rely. Market access agreements for hauliers transporting equipment for cultural events was discussed regularly and in detail during the negotiations between the UK and the EU. The UK put forward specific proposals for liberalised access but the EU was unable to agree more flexible arrangements. Of course, the Department for Transport remains in contact with the industry, and we are also working in close collaboration with DCMS and BEIS to see what we can do to support the creative industries.
Turning to the wider changes—perhaps a little beyond transport—introduced by the end of the transition period, on exports, since the start of January, traders and hauliers have needed to comply with new requirements to export to the EU, including customs declarations and sanitary and phytosanitary checks. I am pleased to say that the number of turn-backs at the border is far lower than some forecasts and, indeed, than some noble Lords suggested in their remarks today. For example, the noble Lord, Lord Berkeley, who called it a complete disaster, might be interested to know fewer than 5% of trucks at the short straits have to be turned back, and some of those will be because they do not have a valid Covid certificate, not because they do not have the correct customs forms. We need to temper our messages. I am not saying that there is no room for improvement—we must strain every sinew to make sure that people are fully aware of their obligations—but I am saying that the system is not completely broken, as has been implied by some noble Lords.
On imports, we have assisted international hauliers by taking a phased approach to the introduction of various checks. Until 1 July, traders can import non-controlled goods from the EU by using the existing customs processes or by making a declaration in their own records at the point the goods entered GB, followed by a supplementary declaration, which must be submitted to HMRC within 170 days of the date of import. That seems a reasonable and doable solution. The next milestone is 1 April and relates to some products of animal origin; we are of course communicating those changes. The more significant change happens from July 2021, when traders moving any goods will have to make full customs declarations at the point of importation and pay relevant tariffs.
Of course, we are taking many steps to make sure that we as a Government are ready and that traders are ready. We are making sure that HMRC can cope with the increased volumes by building on the successful delivery and upscaling of systems for the end of the transition period. I will write with more detail, particularly to my noble friend Lord Holmes, who I understand is a bit of an expert, so I will need some officials’ help with that.
We are also delivering new compliance capabilities to improve HMRC’s ability to spot and tackle non-compliance, including using data from when staged controls end. We are introducing a compliance approach to support traders to get ready and continuing to take robust action against those who choose not to comply. We are streamlining authorisation requirements, applications and processes to help meet the expected increase in demand and to improve effectiveness. We are also working with the intermediary sector to increase capacity and capability for traders to comply with the new declaration requirements.
Of course, all those changes need to be communicated, and the Government have done an enormous amount of outreach to hauliers and haulage managers. That started many months ago, and it continues. It is continually being improved. We are learning lessons and putting them in place. All information is provided on GOV.UK, and there is a haulier handbook, which is updated when needed. We engaged in the process of drafting the handbook with Logistics UK, the Road Haulage Association and many others to ensure that it was as clear as possible. It is published in English and 13 other EU languages. We will consider other languages if there is a demonstrated need, but we feel that we have enough at the moment. We also have 46 information and advice sites. When I first heard about them, I thought, “What use are they going to be?”, but more than 137,000 hauliers have visited them since they opened in November. I think that is astonishing. More than 11,400 hauliers have received specific border readiness consultations at our sites, so it is not surprising that less than 5% of trucks arriving at the border are fully non-compliant. We are doing all right.
My noble friend Lord Taylor of Holbeach mentioned the inland border facilities. There are, and will be, a number of them. Information on all of them has been published on GOV.UK, with details of their logistics, their functions and their facilities. Hauliers are told what to expect at the site, what they need to prepare and any key documents that they need to bring.
The noble Lord, Lord Berkeley, was concerned about whether we have been talking to EU hauliers. I can reassure him that, of course, we have. We not only speak at their industry days, but we make speeches at their major conferences and events, and we have exhibition stands both physically and virtually. Much of that will continue.
The noble Baroness, Lady Coussins, asked whether we have digital interaction. We do. We have a dedicated haulier website with an embedded live chat function. This function has on average 35 in-depth conversations, lasting 20 minutes, each day, and around 700 hauliers a day ask advice. We have agents who speak English, Polish, Romanian and Bulgarian. We are particularly pleased that that is working well. However, we understand that there are lessons to learn, and we have learned them. We must put that into our communications as we go through April and then through the second change in July.
I now turn to Northern Ireland support and the specific situation in Northern Ireland. The Government remain committed to supporting hauliers in moving goods from Great Britain to Northern Ireland. For example, we established the Trader Support Service—the TSS—which is designed to support all businesses impacted by the Northern Ireland protocol. The service is free to use, and it can complete declarations on behalf of traders without traders needing to engage directly with new digital customs systems and processes. More than 34,000 traders are registered to use the service, and thousands of declarations are being processed each day. The contact centre is, of course, providing additional support. To date, the TSS has processed more than 68,000 goods movements, involving 200,000 consignments, since launching. The contact centre has more than 700 staff and answers more than 17,000 calls, with an average answering speed of six seconds.
Not only do we have the TSS but there is also the movement assistance scheme—MAS—which was announced to complement the existing TSS. It provides help to all those traders who move food or agricultural products for which specific sanitary and phytosanitary—SPS—controls apply. This means that a trader moving live animals or other animal or plant products does not need to pay to have them inspected. The MAS scheme also has a dedicated helpline for general enquiries for traders and, together these measures, it is making it easier to move agri-food goods from Great Britain to Northern Ireland.
A third intervention in Northern Ireland was Defra’s digital assistance scheme—DAS—which supports the continued movement of agri-food goods from Great Britain to Northern Ireland. It also addresses the costs and burdens of compliance with a protocol for industry. It uses digitised certification and verification processes and was backed by a major amount of government funding.
A number of noble Lords have mentioned groupage, which is a concern that we are well aware of. We have developed two groupage models, and they have been agreed. The guidance for these models for Northern Ireland was published on 29 January, and we will be looking to see how these models work and whether further improvements can be made.
Noble Lords will know that yesterday the Government went further to support trade between GB and NI. My noble friend Lord Frost is clear that progress needs to be made to address the direct and often disproportionate impact that aspects of the protocol are having on the citizens of Northern Ireland, contrary to its intended purpose. So, yesterday, following official-level notification to the Commission earlier this week, we set out temporary technical steps that largely continue measures that are already in place. They provide more time for businesses, such as supermarkets and parcel operators, to adapt to and implement the new requirements of the protocol.
For my noble friend Lord Attlee, I will speak very briefly on abnormally large loads. I am aware of this issue, and we have taken it up with the French Government via the British embassy. I will write with further details, but we hope to have it resolved.
I have not covered haulage drivers, but I reassure the noble Lord, Lord Whitty, that they are towards the top of my list of things to do. It is a significant issue, and the Government are doing a significant amount on apprenticeships, but it is time for me to speak to the industry because I believe that it has to step up and start looking at ways to recruit its own drivers. It is critical.
To the noble Lord, Lord Snape, I say that of course we want to see a switch to rail freight where it is feasible. We had an Oral Question on this recently. It forms part of the Government’s plans for the future.
All the measures I have mentioned today highlight the fact that my department and the Government are supporting hauliers to transport goods internationally on many fronts.
The Deputy Chairman of Committees (Baroness Garden of Frognal) (LD)
The Grand Committee stands adjourned. I remind Members to sanitise their chairs and desks before leaving the Room.
Air Traffic Management and Unmanned Aircraft Bill [HL]
Baroness Garden of Frognal ExcerptsThursday 21st January 2021
(3 years, 10 months ago)
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The Deputy Speaker (Baroness Garden of Frognal) (LD)
We now come to the group beginning with Amendment 12A. I remind noble Lords that Members other than the mover and the Minister may speak only once and that short questions of elucidation are discouraged. Anyone wishing to press this, or anything else in this group, to a Division must make that clear in debate.
Amendment 12A
The Deputy Speaker (Baroness Garden of Frognal) (LD)
We now come to the group beginning with Amendment 14, and I remind noble Lords that Members other than the mover and the Minister may speak only once and that short questions of elucidation are discouraged. Anyone wishing to press this or anything else in this group to a Division must make that clear in debate.
Amendment 14
Railways: Electrification
Baroness Garden of Frognal Excerpts(3 years, 10 months ago)
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Baroness Vere of Norbiton (Con)
I do not recognise an awful lot in that question, but I would like to reassure the noble Lord that, of course, it has not stopped; projects do not stop just because you cannot see things being built. A huge amount of work happens before a project starts, as the noble Lord is well aware. This Government are committed to electrification and will look at appropriate schemes that secure value for money.
The Deputy Speaker (Baroness Garden of Frognal) (LD)
My Lords, the time allowed for this Question has now elapsed, and I apologise to the noble Lord, Lord Browne of Ladyton, that there was not time to take his question.
Airports Slot Allocation (Amendment) (EU Exit) Regulations 2021
Baroness Garden of Frognal Excerpts(3 years, 10 months ago)
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The Deputy Chairman of Committees (Baroness Garden of Frognal) (LD)
My Lords, I apologise for the House of Commons Division Bells. The noble Lord, Lord Bilimoria, has withdrawn so I now call the noble Baroness, Lady McIntosh of Pickering.
Lord Empey (UUP) [V]
My Lords, I thank the Minister and her officials for arranging a briefing yesterday, which was most helpful. I agree with a lot of the contribution made by the noble Lord, Lord Blunkett. I also support in broad terms the relief from the 80:20 rule, because the last thing we want, for a whole variety of reasons, is to have the sight of airlines undertaking ghost flights to hold on to routes even if they have no current passengers.
A couple of years ago—in fact, on two occasions—I introduced a Private Member’s Bill, which passed the House, to give the Government powers on slot allocation in the UK. Of course, it was governed by European competence at that stage. Slots are not only big business; they have huge implications for connectivity. While this measure does not apply to Northern Ireland airports, because they have capacity, at the end of the day a flight cannot take off unless it has somewhere to land. My anxiety has for years been about the risk from the absence of connectivity between the regions and the principal airports—what are called co-ordinated airports —such as Heathrow and Gatwick. I will return to that, although it is not necessary for this SI, but the principle is clear: if you do not ensure that regions have access to major airports with connectivity, that has economic, social and other implications. I ask my noble friend to bear that in mind.
I also doubt very much that airlines could manage even 20% of the flights on a lot of their slots at present. We had a briefing from one of our colleagues—the noble Lord, Lord Deighton, the chairman of Heathrow —where he pointed out that, in a number of months last year, its passenger flow had dropped by 95%. It is quite obvious that there needs to be as much flexibility as possible. As I understand it—I hope I am right in saying this—these measures will be available to apply in the summer season this year, but further secondary legislation or an approval Motion would have to come through to deal with subsequent seasons if the need arose, and there needs to be data on which to base that judgment. I think I have got that right; perhaps the Minister can correct me if I am wrong.
I broadly support the regulations. We need maximum flexibility at the moment. We need data but, looking forward, we need to bear in mind that it is essential for the key airports to have slot allocations. My anxiety is that when this crisis is over there could be a sudden surge in those airlines—international operators, perhaps —that have resources buying up a lot of the slots from weakened UK airlines and other slot holders. This could have a negative impact on the regions, so I ask my noble friend the Minister to also bear that in mind.
The Deputy Chairman of Committees (Baroness Garden of Frognal) (LD)
The noble Lord, Lord Berkeley, has withdrawn so I call the noble Lord, Lord Naseby. We do not seem to have the noble Lord.
The Deputy Chairman of Committees (Baroness Garden of Frognal) (LD)
Lord Naseby, are you unmuted? Are you going to speak to us? No? In which case, the noble Lord, Lord Mann, has also withdrawn so we will move on to those winding unless the noble Lord, Lord Naseby, is there.
Lord Naseby (Con) [V]
Can you hear me? I will make a short speech.
In the past, I have advised Singapore Airlines and SriLankan Airlines. I am a former RAF pilot and I support the third runway at London Heathrow. I thank the Minister for her practical and workable solution, delivered on time and with clarity. It is very welcome. However, I wonder whether she can expand on the prediction that it will take until 2025 for normality to return, given the creativity of the travel industry in the UK. I am not entirely clear what happens if a new airline decides that it wants to get going and to have slots. What will the procedure be? I would be grateful for clarification on that point.
I have two other small points to make. First, the Minister talked in her briefing about categories of airport in the UK, such as level 3. I am surprised that Glasgow, with its international connections, is not a level 3 airport. I assume that it is not big enough. Secondly, I re-emphasise what other colleagues have said: these proposals are very welcome but our poor airports are stranded at the moment, almost like whales out of the sea. They are losing millions of pounds. The Government have done something but something more needs to happen. One possible area for this is on air passenger duty.
The Deputy Chairman of Committees (Baroness Garden of Frognal) (LD)
Since the noble Lord, Lord Mann, has withdrawn, I now call the noble Baroness, Lady Randerson.
The Deputy Speaker (Baroness Garden of Frognal) (LD)
My Lords, that completes the business before the Grand Committee today. I remind Members to sanitise their desks and chairs before leaving the Room.
Brexit: Road, Rail and Maritime Transport (EUC Report)
Baroness Garden of Frognal Excerpts(4 years, 2 months ago)
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The Deputy Chairman of Committees (Baroness Garden of Frognal) (LD)
I am afraid that we are still unable to connect with the noble Lord, Lord Berkeley, so I call the Minister.
High Speed Rail (West Midlands-Crewe) Bill
Baroness Garden of Frognal Excerpts(4 years, 4 months ago)
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Baroness Vere of Norbiton
That it be an Instruction to the Select Committee to whom the High Speed Rail (West Midlands-Crewe) Bill has been committed that the provisions of Private Business Standing Order 110 that parties are entitled to be heard are satisfied by virtual proceedings; and that the Committee may decline to hear the petition of any petitioner who declines to be heard by virtual proceedings.
The Deputy Speaker (Baroness Garden of Frognal) (LD)
My Lords, we now come to the Motion in the name of the noble Baroness, Lady Vere of Norbiton. As there is no speakers’ list, only those in the Chamber can participate, and those wishing to do so should give notice of their intention in advance.
The Parliamentary Under-Secretary of State, Department for Transport (Baroness Vere of Norbiton) (Con)
My Lords, over the last few months, people and organisations across the country have become accustomed to new ways of working. This has included the way in which business is conducted in your Lordships’ House—in the Chamber and in committees. Work has been done to modify Standing Orders, adapt courtesies and introduce technology, and I dare say that many noble Lords, including me, have learned new skills along the way.
The Bill for phase 2a of HS2 is a hybrid Bill and is governed by the Standing Orders for private business. It deals with, among other issues, the property and business interests of petitioners. It is not explicitly covered by the resolutions and guidance that have allowed the work of the House to continue, with Members taking part remotely. This Motion aims to rectify that.
Noble Lords will recall that the HS2 Phase 2a Bill completed its Second Reading on 9 September last year and that, following a revival Motion earlier this year, the Bill moved to Select Committee stage in your Lordships’ House to consider the petitions. This Select Committee had only just started its sittings in March when the health situation led the House to adapt its working practices, and the Select Committee suspended its sittings. This Motion would allow the committee to start sitting again from 20 July, with Members, petitioners and those appearing on behalf of the promoter able to take part remotely. This would be similar to the way in which other committees have already started working.
This particular committee is quasi-judicial in nature. Criminal and civil courts have also been using remote proceedings during the Covid-19 pandemic, as has the Planning Inspectorate. The petitioners scheduled to appear this month have all agreed to appear virtually. Guidance and frequently asked questions have been revised and distributed, setting out how such meetings will be conducted to ensure that petitioners are able to present their evidence easily and get a fair hearing. I can assure noble Lords that the committee will ensure that any technical issues that may be encountered will not be allowed to prevent petitioners from making their case in full.
I have spoken to the noble and learned Lord, Lord Hope, the chairman of the Select Committee, and he is seized of the importance that all petitioners must have the opportunity of a fair hearing. Furthermore, as government guidance and House practices allow, the committee will consider all options for the most suitable way of carrying out hearings in the future. While the Motion sets out that
“the Committee may decline to hear the petition of any petitioner who refuses to be heard by virtual proceedings”,
the noble and learned Lord, Lord Hope, is clear that this would be only as a last resort, and in circumstances when all other reasonable alternatives and support had been considered and offered.
I understand that it is the intention of the committee to have completed all the hearings in September. This Motion enables virtual hearings if physical and hybrid hearings are not practicable in that timeframe. I am very grateful to the Legislation Office for progressing this work. I beg to move.
Bus Services Bill [HL]
Baroness Garden of Frognal Excerpts(8 years, 4 months ago)
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Viscount Younger of Leckie
My Lords, I will speak to Amendments 112, 113, 114, 115, 116, 117, 118, 119, 120 and 127. I will also speak to Amendment 112A, tabled by the noble Lord, Lord Berkeley.
The Bill provides for bus registration powers to transfer from the traffic commissioner to the local authority where an enhanced partnership is in place. This is something that local transport authorities have been asking for to enable the local enforcement of bus standards. The registration function will be delegated for services that run wholly within the enhanced partnership area. Cross-boundary services will have to comply with the requirements of the enhanced partnership but will be registered with the traffic commissioner.
Amendments 112, 113, 114, 115, 116 and 117 clarify the circumstances in which bus registration functions are automatically delegated from the traffic commissioner to the relevant local transport authority. The policy intention is to ensure that registration functions are automatically delegated where the scheme contains any route requirements that affect any services operating wholly within the partnership area.
I believe that may also be the intention behind Amendment 112A, tabled by the noble Lord, Lord Berkeley, and I thank him for it. No doubt he will want to speak to his own amendment, and I will listen carefully to what he says in a moment. Amendment 113 deletes the existing wording at new Section 6G(4) in Clause 14, as he suggests, and replaces it with a clearer description of the circumstances in which the registration function must be delegated.
Amendment 127 is a consequential amendment that amends Clause 18 to add local authorities to a list of bodies that can reject applications to vary or cancel services if an operator fails to comply with regulations. Amendments 118, 119 and 120 clarify which traffic commissioner functions should be delegated by placing these in the Bill rather than in regulations.
I hope that my explanation of the government amendments satisfies the noble Lord, Lord Berkeley, and that he feels able to withdraw his amendment. I beg to move.
The Deputy Chairman of Committees (Baroness Garden of Frognal) (LD)
My Lords, I have to inform the Committee that if Amendment 112A is agreed to, I cannot call Amendment 113 by reason of pre-emption.
Lord Berkeley
My Lords, I am very grateful for the Minister’s explanation. This is another occasion when I am slightly concerned that the Minister has answered my amendment before I have spoken to it, but that is the way we have it here. In this case I do not complain; I shall read what he said very carefully and I suspect it will be fine. I do not propose to move my amendment.
Apprenticeships
Baroness Garden of Frognal Excerpts(11 years, 8 months ago)
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Baroness Garden of Frognal
My Lords, I will now repeat a Statement made in the other place by my honourable friend Matthew Hancock. The Statement is as follows:
“With permission, I would like to make a Statement about the future of apprenticeships. Apprenticeships are back. Having existed in this country for more than six centuries, apprenticeships have through the ages provided the vehicle for skills and trades to be handed down the generations. At their best, they are an engine for social mobility and for giving employers and apprentices alike the skills they need to prosper. While apprenticeships declined in the last century, in this century they have recovered and grown in number, so that 500,000 started last year, compared with the 350,000 who started at university. They have grown in stature, becoming a career choice in their own right.
It is perhaps not surprising that research shows that, on average, a higher apprenticeship can raise your lifetime earnings by £150,000, about the same as a degree. While this growth in number is very welcome and should be welcomed by all sides of this House, I think all agree that we must continue to increase their quality and make them relevant to today’s economy.
We will not delay progress where we can act now. Steps have been taken already to require every apprenticeship to be a real job and to mandate that in most cases an apprenticeship lasts a minimum of a year. Today we are announcing how we will further strengthen the provision of English and maths within apprenticeships. The Employer Ownership of Skills pilot is putting power in the hands of employers to design qualifications and deliver apprenticeships in line with employers’ needs. We are extending apprenticeships to higher level skills and into the professions like insurance, accountancy and the law. But we need to go further.
Last year, we published a report by Doug Richard into the future of apprenticeships. I want to pay tribute to Doug Richard for the work done in producing his report. The report called for us to put employers in the driving seat, giving them more control over qualification design, training delivery and funding. It called for quality and standards to be raised across the programme and for a focus on outcomes, stripping out bureaucratic processes, and it called for more open data, more awareness and more employer engagement in schools.
We wholeheartedly agree with the principles and vision set out in the Richard report. The report, and the response, that I am placing in the Library of the House, provide a programme of reform that will be challenging for all involved in apprenticeships—providers, government, employers and apprentices themselves—but is absolutely right. Rigour and responsiveness will be our guiding principles. The Richard reforms build on the best of this historic programme, but will once again make it attuned to the needs of the modern workplace. We agree specifically that apprenticeships should be targeted at those in new jobs or roles to train for that role and as a springboard for their future careers, that employers should be at the centre of designing apprenticeship standards and qualifications, that assessment should be largely at the end, be more independent, involve employers, and be graded.
We agree on the need to raise further standards in English and maths and that employers be given greater control of funding to ensure that it is directed where it adds most value. Cost will be shared between apprentices, their employers and the Government. We agree that more open and accessible data are vital and we agree on the importance of improving awareness and engagement with schools, so much so that the Prime Minister has already set out that it should become the new norm for young people to go to university or into an apprenticeship.
This is a widespread package of reforms on which we will consult widely and which we will implement sensitively. The consultation will stay open until 22 May. We will carefully consider responses over the summer and publish our detailed implementation plan in the autumn. Be in no doubt, apprenticeships are a force for good. These reforms will help Britain in the global race by supporting unambiguously those who want to work hard and get on in life. They will help give all the chance to fulfil their potential. I commend this Statement to the House”.
Baroness Garden of Frognal
I thank the noble Lord for his reply. I am sorry that in parts of it he was rather more negative than he usually is on this subject. However, I pay tribute to him and to his Government for what they did to revive the apprenticeship scheme in their time, and we are building on that and taking it forward.
Perhaps I may take up some of the noble Lord’s questions. He mentioned the high level of youth unemployment, which is mercifully coming down, although not fast enough. Of course, we have a revitalised apprenticeship programme, which, alongside an employability skills programme, will help young people to take up opportunities. We also have the traineeship programme in place, and that, too, will be of assistance to young people in getting back into employment. National Apprenticeship Week is certainly a great success. It is raising the profile of apprenticeships this week and has gone from strength to strength. It was interesting to see that the apprentice of the year was a young woman engineer at British Aerospace. She is obviously doing an awful lot for gender equality in STEM subjects, as well as personally raising the profile of all the good things that apprenticeships can do.
The noble Lord mentioned, as he has done before, public procurement and having a set number of apprenticeships for every public procurement exercise. Of course, we support the appropriate use of public procurement to promote the take-up of apprenticeships, but under EU law we cannot make contracts conditional on hiring workers or apprentices, so the Government leave—
Lord Young of Norwood Green
We did not find that to be a problem. That was said to me when I was a Minister, yet we challenged it and were able to bring about those apprenticeships. I am just asking the Minister not to accept that. We have never called for a set number of apprenticeships, although there are various formulae. I find what the Minister says regarding apprenticeships being part of a public procurement contract incredible. I had exactly the same response but we challenged it and were able to bring about apprenticeships with Crossrail and the Olympics. I urge the Minister and the Secretary of State to challenge that and to show determination.
Baroness Garden of Frognal
I note what the noble Lord says. Obviously we try to encourage firms to take apprentices, but we use that route rather than making contracts conditional on it. However, I know of the success of the Crossrail apprenticeship scheme and how well that worked.
The noble Lord mentioned awareness of apprenticeships, and that links into careers information, advice and guidance, which of course is now statutory in schools. As part of that, they now have to give information about apprenticeships as well as about higher education and other opportunities. We have recently heard the Prime Minister reiterate that it should now be the norm for young people to go into either higher education or an apprenticeship, so we are putting a great focus on that. One of the things that Ofsted will monitor in schools is how well careers information, advice and guidance is delivering that aspect of opportunities for young people. The noble Lord is absolutely right: there is a real issue concerning the number of young people, parents and employers who are aware of the range of opportunities that are available. The more publicity we can get for this programme, the more we will be able to engage all those parties in seeing the benefits of apprenticeships for all.
We know that apprentice alumni go back into schools. Obviously there is not a particularly co-ordinated programme but we are aware that it happens and that it can be extraordinarily effective. Any former pupil going back into a school to talk with enthusiasm about what they are doing is a tremendous motivator for the next generation, and we will certainly do what we can to encourage that.
Of course, apprentices have to be in a job. So far as concerns insisting that schools, colleges and so on take on apprentices, it is important that a job is identified for them beforehand. Again, there is an ongoing programme of raising awareness and of making the opportunities available.
The noble Lord talked about the links between businesses and schools. We know that these are absolutely crucial, and work is ongoing in this respect. We are not waiting six months for any of this to happen; it is all ongoing at present. Discussions take place between employers and education providers—schools, businesses and higher education—to make absolutely sure that employers are aware of the benefits of having apprentices and that young people, and indeed adult returners, are aware of the possibilities of apprenticeships.
Going back to careers information and guidance, Ofsted will have a review in the summer to assess just how well the delivery of apprenticeship careers advice is going. We will keep a monitoring eye on that.
The noble Lord mentioned demand outstripping supply and a number of cases where the extremely efficient apprenticeship schemes are hugely important. He said that time was marching on but we are now taking action. I hope that the Opposition will see that in many ways this is a cross-party initiative. As I said, we are building on the work that his party did in government, and we hope that we will be able to take it forward so that it becomes a very exciting and vibrant programme.
Lord Wigley
My Lords, in thanking the Minister for her Statement and echoing the enthusiasm for apprenticeships that is shared in all parts of the House, may I ask whether she has had any discussion with those in the National Assembly for Wales in Cardiff who have also been considering proposals on apprenticeships? Is she looking at the cross-border issues, in particular? I am thinking of a company such as BAE, which might be located in north-east Wales but with a good proportion of the workforce coming from over the border in north-west England. Are the schemes that she is considering employer-led or individual-led? Obviously in those circumstances, it could raise some problems.
Baroness Garden of Frognal
Indeed, discussions are ongoing with the devolved communities to ensure that we have a UK-wide programme. There are border issues as the noble Lord suggests. A lot of the apprenticeships are employer-led. We are increasingly making sure that employers define what they want by way of an apprenticeship and the sort of people they want. We certainly hope that boundaries between Wales and England will be no barrier to any good apprentice getting an opportunity.
Lord Cormack
My Lords, I declare an interest as president of William Morris Craft Fellowship and patron of the Heritage Crafts Association. Will my noble friend recognise how important it is for young people to be encouraged to go into these highly skilled crafts? Will she accept that most of the members of the Heritage Crafts Association are one-man or one-woman businesses? It is extremely difficult for them to take on apprentices, much as they might wish to do so. Some of the crafts are in danger of dying out. Will she do everything that she can to encourage young men and women in our schools and colleges to consider a career in what I call traditional crafts?
Baroness Garden of Frognal
My noble friend makes a valid point. I have been involved for a long time with the livery companies which were the very early providers of many of those old heritage crafts. As he says, many of them are extremely small businesses—microbusinesses. We hope that we will get feedback from the ongoing consultation that will help us to focus on those particular crafts and skills because many of them are extremely important to our heritage. As my noble friend says, with such very small numbers, it is difficult to have the critical mass for them to continue. I hope that he will contribute to the consultation and bring forward ideas on how we can help very small businesses.
Lord Addington
I thank my noble friend for the announcement on apprenticeships. I congratulate the Government on expanding the numbers, and on the good publicity for taking on something that is basically skilled manual work and showing it as a valid alternative to the idea of higher education. However, I am afraid that I have to return to my regular song on this. What are we doing to ensure that people who cannot pass the English and maths assessment get through? I mean those who have dyslexia and dyscalculia, which are the two biggest things—a rough estimate is that 13% of the population are in those two spectrums. An English and maths qualification can cause a problem for that group for whom working with their hands would be the natural way forward. As night follows day, if someone does not want to be qualified for a white-collar job, he should be doing something requiring manual skills.
At the moment, universities and the Government, through the disabled students allowance, allow a dyslexic student to take a degree. At the moment there are tremendous problems in getting that same person through the key stage 2 English equivalent test. We have moved in the past few years from, “It can’t be done; it’s very difficult; are you sure it can be done? It’s not my fault”. When will the Government grab this by the back of the neck and make sure that, according to the duties under the Equality Act, this group are through?
In the snappily titled, The Future of Apprenticeships in England: Next Steps from the Richard Review, there are two questions. Question 13 asks:
“What are the specific obstacles to all Apprentices achieving level 2 English and maths as part of their Apprenticeship, and how could these be overcome?”.
Question 14 asks:
“How would a requirement to have all Apprentices achieve level 2 in English and maths impact on employers, providers and potential learners? What are the risks and potential solutions?”.
If those two questions do not give us a chance to have that answered properly, I do not know what does.
Baroness Garden of Frognal
My noble friend is right to point to the difficulties for people with dyslexia and other forms of learning disadvantage in passing traditional tests and exams. It has been identified that certain levels of maths and English are important even in very practical areas, but we are looking to the consultation to give us further ideas so that young people, or indeed adults, are not disadvantaged when they have, as he says, very practical skills but cannot meet stringent requirements for maths and English. We will look at the different ways in which these areas can be assessed in order to ensure that young people are not disadvantaged in securing proper, high-quality apprenticeships. The assessment should not make it more difficult for them to demonstrate their skill areas.
Lord Grocott
My Lords, like other noble Lords I welcome the importance that is being attached to apprenticeships. Historically they have proved to be important both to people who have gone through them and to their employers. I want to focus on one sentence in the Statement. I hope it means what I think it does, because it marks a significant step forward. It states:
“And we are extending apprenticeships to higher level skills, and into the professions like insurance, accountancy and the law”.
The trend over recent decades has been to make entrance to many more professions graduate-only, which has made them more and more socially exclusive and difficult for people who historically were able to take alternative routes without going through a degree course. If this means a check on that trend and perhaps a reversal so that different routes into these professions become more widely available, that is, as I say, a significant step forward.
I should like a little more detail. Have discussions been held with the professions as to how this might be done? Is it possible to extend this to other professions such as journalism, which I know reasonably well? Many would enter it at the age of 16 by working on the local newspaper, whereas now across wide swathes of the profession, entry is virtually graduate-only. Also, can the Minister give us some idea of the timescale and whether any targets are in mind? However, I repeat that this is to be warmly welcomed if it really means that there is to be a wider and more socially inclusive method of entry into a whole range of professions that have been steadily excluding people over recent decades.
Baroness Garden of Frognal
I welcome the comments of the noble Lord, who I am sure like me remembers the days when there were many practical routes into all these professions and trades—routes that over the years have become graduate-only. We in no way wish to downplay the value of degrees, but an important step in raising the profile and breadth of apprenticeships will be taken if they can be linked to the status and standing that these sorts of professions have. It is definitely something that we are encouraging. We have not set any targets yet, and again I come back to the fact that this is a consultation period. However, we have been in discussions with the different professional areas. At the moment we have a total of 27 projects and two trailblazers, which will provide more than 25,000 higher apprenticeship places over the next three years. Those higher apprenticeships are going to be available in the very areas we are discussing. People are embarking on apprenticeships in a much wider range of professional and work areas than those that are traditionally associated with them.
Lord Haskel
My Lords, following on from the point made by the noble Lord, Lord Cormack, about heritage, the impression was given that this was really quite a small affair. It is not. This is a business that has a turnover of over £5 billion and is growing. I urge the Minister to make sure that we try to support every growing sector of the economy. This is a growing sector, and apprenticeships here are important to grow the economy as well as for the tourist industry and the other things that she mentioned.
Baroness Garden of Frognal
I apologise if I gave the impression that the heritage industry was small. I was trying to make the point that many of the component parts of it are very small. The noble Lord is absolutely right that it is a very important part of tradition and, of course, of the tourist industry, to which it makes a great contribution. However, it is much more important than that, too: it includes a very diverse range of skill and work areas and it is vital that we do not lose sight of these.
Lord Young of Norwood Green
My Lords, I will take advantage of the fact that we have not exhausted the time. This is a really key issue. I apologise if I sounded negative. I do not want to be negative but just want to get the Government to recognise the size and scale of the problem. Even though the Minister says that youth unemployment is coming down, as I am sure she knows, in some parts of the country it is not and the levels are very high, so I want to try to inject a sense of urgency into the situation.
The Minister did not really respond to the point that I made about there still being only a very small number of businesses participating in apprenticeships. What positive steps are the Government going to take? For instance, addressing the very worthwhile point made by the noble Lord, Lord Cormack, about heritage craft skills, the difficulty with those small businesses—sometimes it is just one person on their own or a small group—is, first, that they face what they see as an administrative burden and, secondly, that they worry about whether they can carry an apprentice and create that job. That is why, again, they need to be encouraged to create their own little hubs and group training associations, where some of that administrative burden can be shared.
I am critical because, as I have said, there is a danger that in the first attempt we are driving up volume rather than quality as well, although that is being addressed, which I welcome. Interestingly, one my noble friend Lord Grocott’s point, I met a young apprentice accountant as part of the Crossrail scheme. When we talk about apprenticeships, we seem to forget that what they involve is much more wide-ranging than manual skills: there are over 200 apprenticeship frameworks. We have gone well beyond what used to be regarded as the traditional route. In relation to the higher level—
Lord Young of Norwood Green
I did wait to see whether there were any further Back-Bench speakers and there were not, so I took the opportunity. If there are any, I will give way. However, as there are not, I will just use the opportunity that we have.
On higher-level apprenticeships, again, there is a view that it is an either/or choice: you either take an apprenticeship or you go to university. However, it should not be an either/or choice because, as we know, higher-level apprenticeships can lead to university degrees. I will end on that.
Baroness Garden of Frognal
I was in no way complacent about youth unemployment. We all know that it is a disastrous start for many young people if they cannot get into a job and into work when they finish their compulsory education. The noble Lord mentioned getting employers more involved. There is now, for instance, a £1,500 start-up to help SMEs get their first apprenticeship scheme going. We have seen 6,800 starts between February and October 2012, and there are a further 12,100 in the pipeline.
As for small and medium-sized enterprises, an increasing number of employers are coming on board and taking on apprenticeships. As for the larger firms, discussions are ongoing with some of the major firms that take significant numbers of apprentices. The noble Lord mentioned BT. There is also BAE Systems and Rolls-Royce. Some very large firms have extraordinarily well established apprenticeship programmes, and the Government are in constant dialogue with them to try to ensure that best practice can be passed on and that it is made as easy as possible for employers to take on apprenticeships. One of our other challenges is to reduce the bureaucracy so that there are no unnecessary disincentives to employers taking on apprenticeships. Of course, more work needs to be done, and we very much look forward to the results of the consultation and to ensuring that we take that implementation forward in the autumn.
Lord Cormack
My Lords, if second innings are being allowed, is my noble friend aware that the William Morris Craft Fellowship is always willing to visit schools and other institutions to encourage young people? Many members of the Heritage Crafts Association are indeed in the position indicated by the noble Lord, Lord Young, in that they are tiny—sometimes one-man or one-woman—businesses. Nevertheless, they are anxious to share their skills and expertise, but they also need help and encouragement of a positive, and indeed financial, nature to take on apprentices and train them fully. Some of these crafts take a long time to master.
Indeed, only two days ago we had a group in the House from the Heritage Crafts Association, including a tailor from Savile Row, a maker of wonderful leather goods and a calligrapher, all of whom are more than willing to do whatever they can to help but are very much in need—not so much the tailor from Savile Row, probably—of assistance and encouragement. Can we look to the Government to take advantage of the offers that are on the table and further assist and encourage these extremely important crafts and craftspeople?
Baroness Garden of Frognal
I admire my noble friend’s ability to bring to everyone’s attention the organisations close to his heart. I am quite sure, with the publicity that he has given them, that people will be very anxious to take up those offers.
Lord Grocott
My Lords, we have three minutes. I will take 30 seconds. Not surprisingly, the Minister was getting notes from the Box in response to my question, which was in a fairly narrow area of her brief. Will she undertake to write to me with as much detail as she has available on this subject of apprenticeships into various professions, and place a copy of whatever information she can provide in the Library?
Baroness Garden of Frognal
Yes, I will certainly be very happy to do that. I do not want to sound like a broken record, but I repeat that these issues are out for consultation and we very much hope to hear feedback from the professions that have already expressed interest to see how we can increase these areas.