Oral Answers to Questions

Baroness Ritchie of Downpatrick Excerpts

Thursday 28th January 2016 Commons Chamber

[Claire Perry]

I am afraid that I have to disagree with the hon. Gentleman’s facts, although I hate to do so at his first Transport questions. The Government have announced that overall flood spending in the next period will be £1.7 billion higher than it was in the previous period. Within the transport budget, about £900 million is dedicated to things like making sure that the banks and cuttings are safe—those things that are often the first to go when there is heavy flooding. Improving the resilience of the rail network and making sure that it is fit for a 21st-century climate are at the heart of the record level of investment that this Government are putting into the railways.[Official Report, 29 January 2016, Vol. 605, c. 3MC.]

[Ms Margaret Ritchie (South Down) (SDLP)]

Pursuant to that answer, will the Minister clarify what discussions have taken place with colleagues at the Department for Environment, Food and Rural Affairs and the Department of Energy and Climate Change to prepare rail links for the flood damage that is likely in the weeks and months ahead as a result of climate change?

[Claire Perry]

I am sure that the hon. Lady will be relieved to know that all the Cobra discussions over Christmas on the immediate effects had strong transport representation. I went to Scotland and saw for myself with the SNP Minister for Transport the impact of scouring on the Lamington viaduct. That bridge has been there for over 100 years and has never been so damaged by a weather event. It is a tribute to the engineering work that is being done that the bridge will be secured and back open by 1 March. We treat such links with incredible importance.

Budget Resolutions and Economic Situation

Baroness Ritchie of Downpatrick Excerpts

Wednesday 18th March 2015 Commons Chamber

[Sammy Wilson]

I do not want to be churlish about this Budget, because there are a number of things—my hon. Friend has led me on to them—that I welcome. Given the way that farming income changes, it is important that farmers should have the ability to look at their income and spread their profits and losses, and the tax they pay on them, over a five-year period rather than a two-year period. I welcome the announcement of a requirement to have a universal service obligation for broadband, although I see that there is no timing for it, so maybe the Minister can give us some indication of that. I know that in my constituency smaller businesses that want to set up in rural areas are held back because they do not have that easy means of communication.

[Ms Margaret Ritchie (South Down) (SDLP)]

The hon. Gentleman is making a compelling argument about the need for investment in infrastructure, part of which is this whole area of investment in broadband. Does he agree not only that the time scale to be specified is an important consideration, but that we have to see geographical locations? He, like me, will have talked to constituents, particularly those in rural areas, who cannot get access for topographical reasons.

[Sammy Wilson]

Hopefully, a universal service obligation will mean exactly that and the investment in the infrastructure will include all parts, regardless of how difficult they are—I notice that one of the things that will help is satellite broadband where fixed line broadband cannot be used.

I also welcome the Government’s promise to improve incentives for people to save for the deposit for their first home—especially given the number of young people who come to me looking for ways to get their first home—and to give additional support of up to 20% for those savings. As one who supports the fair fuel campaign and represents a rural constituency where many people do not have the opportunity of using public transport, I also welcome today’s announcements on fuel duty.

I suppose the fears we have for the future, especially in Northern Ireland, are these. I welcome the fact that the Government have made available to us the devolution of corporation tax and the impact that I believe it can have on our economy. Nevertheless, as we seek to rebalance the economy, that must not be counterbalanced by serious public sector expenditure cuts, especially for an area that is still dependent on the public sector. It must not be offset by huge cuts in infrastructure. We have already suffered a 40% reduction in public infrastructure investment in Northern Ireland, with devastating effects on the ability to deliver on many of the things that we wanted to deliver on. I hope that the optimism that the Chancellor has expressed today comes to fruition, but I believe there are obstacles. They are highlighted in the Red Book and in the speech today. Some of them are in the Government’s control and some are outside it. I hope we will walk tall and not find that there are many people and many areas of the United Kingdom still stooped under an economic policy that is not doing its best for Britain.

Driver and Vehicle Agency (Northern Ireland)

Baroness Ritchie of Downpatrick Excerpts

Tuesday 15th October 2013 Westminster Hall

[Ms Margaret Ritchie (South Down) (SDLP)]

I congratulate the hon. Member for East Londonderry (Mr Campbell) on securing the debate this morning. It is an important subject for all the people in Northern Ireland. I welcome the Minister—the Under-Secretary of State for Transport, the hon. Member for Scarborough and Whitby (Mr Goodwill)—to his new position. I also welcome the shadow Minister, the hon. Member for Birmingham, Northfield (Richard Burden).

Northern Ireland is a public sector-led economy. Last week, we were pleased that the Prime Minister came and led on an international investment conference. Importantly, private sector jobs should supplement jobs in the public sector. We want to see a fair and equal distribution of the private sector jobs that we hope will flow from the Prime Minister’s visit and the visit of international investors last week. In this debate, we are all telling the Minister and his Department, “No decentralisation of services.” There is a dichotomy of policy, in that the Government and the Northern Ireland Executive believe in decentralisation because it can underpin the bedrock of the local economy, but by the same token, taking jobs away means centralisation to us. That issue needs to be explored, answered and corrected.

The current proposal to centralise vehicle registration and licensing services in Swansea will remove 324 full-time equivalent posts from Northern Ireland, which in real terms will have an impact on about 380 employees, and will also have an impact on the services provided.

As a result of an intervention by the then Northern Ireland Minister of the Environment, my party colleague Alex Attwood, with the Under-Secretary of State for Transport, the hon. Member for Wimbledon (Stephen Hammond), a consultation was agreed and launched by the Department for Transport. The support of the Department of the Environment in Northern Ireland for retaining those jobs and services remains constant and has been backed by all political parties in Northern Ireland, as was mentioned by the hon. Member for East Londonderry. A strong case has been made for not only retaining the jobs in the DVA, but expanding services in Northern Ireland by transferring work for UK customers to Northern Ireland.

The impact will be felt in Coleraine, where the headquarters are based, and in areas such as Armagh, Ballymena, Belfast, Enniskillen, Derry, Omagh and Downpatrick. Under the proposal, my constituency of South Down will see the removal of services and jobs at the Downpatrick office, which has traditionally been the County Down facility for people to tax their car for many generations. Downpatrick is the main centre of public administration in South Down, and any reduction in staffing numbers will have an impact on its economy and on future services that might be attracted to the area. At the same time, we are trying to pool resources and administrative services to complement the role it has always had as a centre of public administration.

I appreciate that the constituency of the hon. Member for East Londonderry will be worst hit by the removal of services from Coleraine, but the injustice and disproportionate nature of the proposal will be felt by people whose jobs are affected and by people throughout Northern Ireland who rely on the services delivered by those offices, including those in my constituency.

The Minister will be aware of the representations made by me and my colleagues, including the former Minister of the Environment and the new Minister of the Environment, Mark H. Durkan. In the initial reply from the Under-Secretary of State for Transport, the hon. Member for Wimbledon, I was advised that the proposal to withdraw jobs from Northern Ireland was in response to the need to bring vehicle licensing and registration up to date and into line with developments in IT systems in Great Britain, and to provide a much-improved service. However, in his second reply, he outlined that the removal of 380 jobs from Northern Ireland would achieve significant savings for UK taxpayers.

Will the new Minister therefore clarify the reasoning behind the proposal? Is it simply a cost-saving exercise that will obviously have a disproportionate impact on staff in Northern Ireland, as well as on the wider community that relies on the services provided, or is it about developments in IT systems, through which local people will also lose jobs and services? If the Department for Transport is looking at the proposal as a means of cutting costs, it should consider the views of those employed in the service, who are some of the most dedicated people in the public service of Northern Ireland.

[Naomi Long (Belfast East) (Alliance)]

I thank the hon. Lady for giving way, and I pay tribute to the hon. Member for East Londonderry (Mr Campbell) for securing the debate. It is right that all parties are giving support on the issue. Does she agree that if the proposal is about modernising how the service is delivered, such a modernisation could be delivered in Northern Ireland without the need for closing the base there? We can already deliver a high-quality service, and modernisation would simply aid us in doing so, as well as allowing the further transfer of UK services to sites in Northern Ireland.

[Ms Ritchie]

I thank the hon. Lady for her useful and beneficial intervention. Obviously, if there is to be modernisation, an idea which none of us rejects or opposes, it could take place in Northern Ireland facilities—the headquarters in Coleraine and the other offices. In fact, we could take services that currently take place in Britain and, I have to say, perhaps do them much better, more efficiently and more diligently.

I want to move on to the views of the staff who responded to the consultation. They say that the existing closure programme has had a serious impact on services offered by the DVLA to the motorist in Great Britain. It is unclear whether those services can be properly managed, but no doubt they could be if they were brought to Northern Ireland.

Interestingly, a commissioned study by Oxford Economics has estimated that the DVLA proposal for the removal of services from Northern Ireland would have a direct negative impact of £14.5 million in gross value added terms, as well as an impact of £7 million on workplace wages in the Northern Ireland economy, which, given the size of Northern Ireland, is a remarkable statistic. The removal of £22.2 million from the Northern Ireland economy will have an impact on all its sectors, notably wholesale and retail trade, accommodation spaces, food services, entertainment and recreation, plus financial services, property, housing and the supply industries—and all that at a time of economic downturn, although there might be a slight lift that we would all welcome.

The figures I have cited for what would be removed from the Northern Ireland economy do not add up to what the Under-Secretary of State for Transport, the hon. Member for Wimbledon stated would be significant savings. Surely, a more acceptable form of improvement would be to upgrade the DVA’s IT systems. We must ask why the IT systems in Northern Ireland have been neglected, and not upgraded as a matter of necessity over the years. We ask that question because that has been replicated in other service areas. Some people say that, over recent years, some areas might have been prepared for privatisation and others for closure. For me, it is simply a case of downgrading a service and undermining the economic stability that exists in Northern Ireland.

I understand that staff working in the DVA feel that the service has been vigorously, systematically and aggressively underfunded for many years by the Department for Transport, despite which the staff have actively sought to provide the Northern Ireland motorist—whether the ordinary person with a car, someone working with agricultural machinery or people in the haulage industry— with an excellent level of service. That under-resourcing has left the staff open to the business criticism and the challenges in the current DVLA proposal for the future of vehicle registration and licensing services in Northern Ireland.

I am sure that, following the consultation that ended on this proposal on 11 September, the current Minister of the Environment in Northern Ireland will meet the Minister separately, as will a cross-party delegation of MPs from Northern Ireland. I hope that we can relay our serious concerns to him and demonstrate that the move will have a disproportionate impact on services, people and jobs in Northern Ireland.

Given the 100% opposition to the move and the strong case that has been made for the retention and the expansion of the services, I urge the Minister and his Department immediately to review the position, retain the jobs and, as the hon. Member for East Londonderry said, visit the office in Coleraine and pay a snapshot visit to the other offices. They should do that in conjunction with the local Minister of the Environment, Mr Durkan, who has a clear picture of what is going on and who has been steadfastly opposed to the closure.

[Stephen Pound]

Does the hon. Lady agree that as the efficiency case has been lost, cost is clearly the issue? Is she aware, as many of us are, that overtime payments in Swansea since this programme started have totalled £1.63 million? Does that not make a complete nonsense of the centralisation case?

[Ms Ritchie]

I thank my hon. Friend for his intervention. I was told that the figures for overtime payments in Swansea were nearer to £1.65 million. I am in no doubt that the work that precipitated those overtime payments could clearly be carried out in Northern Ireland where the service to the customer and the dedication of the staff are second to none. I urge the Minister to keep the DVA jobs and services throughout Northern Ireland. If he does that, he and his Department will not be found wanting.

Cycling

Baroness Ritchie of Downpatrick Excerpts

Monday 2nd September 2013 Commons Chamber

[Ms Margaret Ritchie (South Down) (SDLP)]

I welcome the opportunity to speak in the debate. I commend the hon. Member for Cambridge (Dr Huppert) and my hon. Friend the Member for Dudley North (Ian Austin) for introducing it on behalf of the all-party group on cycling.

I confess that I am not an avid cyclist, but I freely acknowledge the health, social and economic benefits of cycling. In fact, cycling can become not only an economic tool in town centres, but a regeneration tool. It can help to reduce congestion and pollution in town centres. Those factors have already been acknowledged in the report. The health, economic and social benefits of cycling are, as the report highlights, well documented and range from reducing air pollution in our cities to promoting spending in small businesses along commuter cycling routes and improving, through exercise, the general health of our population.

There is a growing attitudinal change among the public, who are ahead of us in many ways in understanding the benefits of cycling and in recognising that this issue must not be framed as a debate of cyclist versus the car driver. This attitudinal change is sadly yet to happen within Government. The Department for Transport’s response to the report demonstrates that when it states:

“Cycle spending that makes a tangible contribution to other Government departments, such as Health, Education, Sport and Business, should be funded from those budgets, not just the DfT.”

While that statement is undoubtedly true, by presenting it as a bold opening statement it is clear that the Department is perhaps trying to pass the buck. Perhaps the Minister, in his closing remarks, will assuage my fears and prove that that is not the case.

If we are to make gains in preventive health for our population and make cycling safer, it is imperative that the Government’s attitude changes and a pro-cycling, cross-departmental approach is developed. I used to be a Member of the Northern Ireland Assembly, where one of my colleagues is currently bringing forward a private Member’s Bill to introduce more 20 mph speed limits. I am conscious of what the hon. Member for Battersea (Jane Ellison) and my right hon. Friend the Member for Exeter (Mr Bradshaw) said—that they are successful only if they can be enforced—but there is no doubt that people want to see them happen, particularly in housing estates.

The money committed by the Government to cycling projects was dedicated to the financing of specific worthwhile projects. Reference has been made in the debate to the fact that there needs to be a more equitable spread of that money, so that the benefits of cycling can be seen. Only a few weeks ago, as part of the world police and fire games, my constituency hosted mountain bike trials that require considerable skill and involve a high level of risk, but they have much investment in training.

Hopefully, this debate will highlight the issue of cycling and encourage the Government.

Car Clamping (Private Car Parks)

Baroness Ritchie of Downpatrick Excerpts

Wednesday 19th June 2013 Westminster Hall

[Ms Margaret Ritchie (South Down) (SDLP)]

I am delighted to serve under your chairmanship, Mr Owen, and I am pleased, on behalf of many of my constituents and many people throughout Northern Ireland, that the Minister is here to provide a response on this vexatious issue.

I have been made aware of the serious problem of dubious and irregular charges being levelled by private parking companies on customers who use private car parks, for example, near shopping centres. There is often little oversight or regulation of the marketplace and many companies seem to operate in a dubious manner. My constituents have made me aware of the problem, which I know exists across Northern Ireland. I am therefore delighted to have secured the debate, and again, I thank the Minister for coming to address the Chamber on the issue.

I am aware that the matter partly falls under devolved competencies, but given that the Department for Transport, or more specifically, the Driver and Vehicle Licensing Agency, provide such companies with driver and vehicle information, it is important that the UK Government address these concerns.

[Mr Mark Williams (Ceredigion) (LD)]

I am grateful to the hon. Lady for giving way so early on in her speech, and I congratulate her on securing the debate. I reassure her that the concerns are not restricted to Northern Ireland; they are UK-wide. Is not the critical point the role of the DVLA, which she just mentioned, and how, in a largely unfettered way—sometimes inappropriately, it seems—vehicle licence details from the DVLA are released to these companies?

[Ms Ritchie]

I thank the hon. Gentleman for his intervention. That is absolutely correct, and the Minister needs to look into the unfettered handing-out of that information to private parking companies, because it is placing a lot of people, particularly the elderly and those who are disabled, in great distress.

[Jim Shannon (Strangford) (DUP)]

I thank the hon. Lady for bringing the matter to the Chamber; it is important, as she said, to all of us across the United Kingdom, and especially to those in Northern Ireland. Does she agree that many companies seem to have no care whatever for people? In particular, they seem to have a zealousness for clamping the cars of those with blue badges, who are clearly disabled. Does she feel that perhaps the Government should take that on and train them, so that we ensure that they do not do a job that aggravates people, and pick on those who cannot necessarily defend themselves?

[Ms Ritchie]

I thank the hon. Gentleman for his intervention, and I agree with him. He highlighted areas that I will move on to in my speech. These car parking companies are particularly zealous in their desire to overcharge people, and when they are taken on, they withdraw the charge. That makes me ask whether it was ever valid in the first place. He will be aware of some of the experiences that my constituents have had in his constituency, in the town of Newtownards.

I accept that we are talking about a legal marketplace, within which there are many reputable companies, but I would like to highlight the most pertinent examples of bad practice and the existence of less reputable companies. From the outset, it must be clarified that private operators do not have the right to levy a statutory fine. Instead, they are effectively levying a charge for loss incurred by the operator due to breach of contract. However, in practice, in the cases brought to my attention, it would appear that some companies often go to every length to give the appearance to the customer that they are being fined, and that the fine is non-contestable.

[Graham Jones (Hyndburn) (Lab)]

I congratulate the hon. Lady on securing the debate. There is a related issue, and I wonder whether it should be put out there as public knowledge. The Government need to come clean about whether we can tidy this matter up. These pieces of land were given a zero rateable value when the companies were given planning permission, or whatever permission it was, and now an income is being made from that land. The Government need to look closely at whether the Valuation Office Agency should try to revalue pieces of land where car parking charges are being applied, on the grounds that as there is now an income from it, the rateable value should be reviewed. I hope that the Government look at that, and I want to put that on the record.

[Ms Ritchie]

I thank my hon. Friend for his intervention. I have found instances of that in Northern Ireland, but the rating of particular properties or pieces of wasteland now used for car parking purposes in Northern Ireland is a devolved matter. In this debate, I want to concentrate on the issues that are particularly the reserve of the Minister and the Department. However, I take my hon. Friend’s point. There is a certain over-zealous attitude on the part of many of the players, but the bottom line is that the ordinary person, whether they are elderly, young with a family, or disabled, is placed at great disadvantage—particularly a financial one—some months down the line.

I would like to give some brief examples of the way in which certain companies go to every length to put a significant amount of pressure on people to settle up as quickly as possible, without querying the nature of what they may perceive as an inescapable fine. Often the correspondence, especially the initial notification letter to the customer, will be designed to look like an official statutory notice of the kind issued by a council or a local authority. For example, they will commonly refer to “parking charge notices”, otherwise known as PCNs, mimicking the “penalty charge notice” title of official council tickets, and that will often be accompanied by an official-looking logo, such as the scales of justice. Such notices are clearly designed to make the person feel that this is something they have to pay, and that its source is a body other than a private company, thus making the person—it could happen to any single one of us—deeply uncomfortable.

In addition, companies will present the possibility of the Debt Recovery Agency becoming involved as early as the first correspondence with the customer. Such a threat is clearly vastly out of proportion for what amount to relatively small civil claims. Again, the purpose of that is clearly to get the person to pay up as soon as possible and not to question the source, reasonableness or accuracy of the claim. People are made to feel under pressure and that they have no right to recourse.

Such tactics are reprehensible, especially in that many of those being pursued are elderly or vulnerable, and they have even been employed in my constituency against people with disabilities who have very specific parking requirements. Surely the Minister agrees that his Department should not facilitate things for companies that operate in that manner, and surely he will confirm that he would act on evidence that companies are harassing members of the public over dubious claims.

[Jim Shannon]

The hon. Lady is being very generous in giving way. Is she aware in her constituency, as I am in mine, that when the companies are pressurised on behalf of our constituents, after a period of time, on many occasions, they back down and renege on the original clamping that they did? Does she feel that that underlines the fact that the Government need to be more aware of what the companies do within the law?

[Ms Ritchie]

I thank the hon. Gentleman for his intervention. In my experience, the companies do back down and withdraw the fines, but that is after a considerable period of time in which my constituents or other people in other areas have felt deeply under stress—

[Jim Shannon]

Harassed.

[Ms Ritchie]

Deeply harassed by the companies. These people feel that they are criminals when they are not.

Having considered the manner in which some claims are pursued, we need also to consider the fairness and reasonableness of the claims. Again, it seems that certain companies are pressing claims that are spurious at best. Previous court guidance has said that charges must be proportionate and that an owner is entitled to seek only damages relating to actual loss. For a start, the existence of tiered levels of payment depending on how quickly fines are paid suggests that any real evaluation of loss is not being used. The charges also seem excessive against any determination of an actual loss incurred. The fact that some companies are charging up to £150, which is more than 50% higher than, in our case, the Roads Service’s fine, or a council fine, indicates that it is not actual loss that is being charged to the customer.

[Graham Jones]

I am grateful to my hon. Friend for giving way so generously. She makes a valid point about the loss. How is the loss quantified? In Hyndburn, there is free car parking everywhere, so how can a car park actually lose money? How can these companies fleece motorists for £100, £60 or whatever, as happens in the case of Eastgate retail car park in Accrington, when there is simply no loss of income? The comparator is that there is free car parking everywhere.

[Ms Ritchie]

I thank my hon. Friend for his intervention. I agree; that is another point that needs to be investigated and explored by the Minister.

There is an associated issue about the prominence of the terms of use of private car parks. Those signs must be clear and of a certain size, but too often the terms are hidden in small print within a lot of other text. Surely there should be more of an onus on the operator to make clear to the customer the terms and conditions for using the parking space, and what action will be taken should those be breached. Instead, people often receive notification that they are being charged up to a month later, with very inconsistent evidence as to what their infringement was. What evidence there is normally consists of using automated registration recognition techniques, which are often highly contestable, and there are real fears that such machines are not being operated within the terms of the guidance provided by the Information Commissioner.

[Graham Jones]

I want to press the issue of the Equality Act 2010. How do these car parking companies square what they do with the Equality Act when they are indiscriminate in their charging? Surely it is illegal to discriminate against disabled people with these car parking charges—and with time limits, when disabled people need more time. It is absolutely outrageous that disabled people are treated in exactly the same way as others when the law of the land says that they should be treated in a different way because of their disability.

[Ms Ritchie]

I thank my hon. Friend for his intervention. I agree that an area of the Equality Act needs to be investigated, but perhaps because these are private car parks, they sometimes fall through various loopholes. None the less, the issue requires investigation.

[Mr Mark Williams]

I concur with the comments of the hon. Member for Hyndburn (Graham Jones). Mr and Mrs Sheldon, a disabled couple from Aberystwyth who visited me in my constituency surgery last week, had exactly the same experience. With regard to taking these complaints further, may I ask the hon. Member for South Down (Ms Ritchie) what her experience has been of the British Parking Association, the body that is supposed to regulate the conduct of its member companies?

[Ms Ritchie]

I thank the hon. Gentleman for his intervention. I think that part of the problem lies with the British Parking Association—he is right—because it is not doing the job that it is supposed to do. It is letting things fall through the net.

Let me explain some more of the background. People may well be asked for proof of purchase from the car park’s associated store. I do not know about the Minister’s shopping habits, but it would be very rare for me still to have a receipt, months later, for every small item of shopping that I had bought. None of this seems to constitute a fair claim or burden of evidence, and I would like to know whether the Minister agrees.

Given the very uncertain regulations that cover this area, consumers caught in such cases have very little access to recourse, and companies seem to obfuscate where possible. If the operator is approved and controlled by the British Parking Association, there is a more formal appeal mechanism, but it must be recognised that the BPA is not an independent body; it represents the parking industry. Moreover, many of these companies operate outside the BPA.

Surely the Minister agrees that there should be a requirement on companies operating in this market to be BPA registered, at least, and that there should be a clear set of independent guidelines that require companies to provide information on the right of recourse for those being charged. I put it to the Minister that any such guidelines or regulations should also put clear limits on the nature of letters that can be sent to consumers and put a robust burden of evidence on the company demanding the charge.

What exists currently is not fit for purpose and damages not only consumers, but those companies that seek to operate in a reputable manner. We have a private parking regime that is highly inadequate. The Government claim to want people to return to their city and town centres to support small business and the local economy. We have had the Mary Portas report, and we have had an emphasis on regeneration of our town and city centres, but what message does it send when people return from shopping trips and a month later are served with parking notices such as these? I will tell the Minister exactly what they think: “I’ll stay at home and do my shopping online.” That is only those who are fortunate enough to have that option. People will simply stay at home or go elsewhere, where there are not these impediments or hindrances, but they will not go back to the town or city that placed that burden on them through a parking operation.

I have come here today hoping at the very least to gain assurances that the Department for Transport is aware of the problems and, more specifically, will take remedial action to prevent companies that are operating in a disreputable manner from accessing the DVLA’s database. I know that in the Northern Ireland context, my party colleague who is the Minister of Environment there, Alex Attwood, has been talking to the Under-Secretary of State for Transport, the hon. Member for Wimbledon (Stephen Hammond), about this issue, but also about the very important need to devolve the DVLA to Northern Ireland, so that we have our own base there. Perhaps the Minister wants to take that issue away and talk to his colleague about it, but surely there should be a degree of concern that the DVLA information system—

[Albert Owen (in the Chair)]

Order. I know that the hon. Lady has been very generous in giving way on a number of occasions, but to give the Minister the opportunity to make a full reply, could she make her concluding remarks?

[Ms Ritchie]

I was about to do that, Mr Owen; I have just one more sentence. The DVLA information system is being used to help process very dubious claims. I want to know what discussions the Minister has had on this matter, and what the DVLA considers when dealing with requests from private car parking companies. Private firms have no right to impose a fine or penalty, and anything that purports to be a charge but is in reality a fine or penalty should be outlawed.

[Albert Owen (in the Chair)]

I am grateful to the hon. Lady. I call the Minister to give a thorough reply.

Cost of Motor Insurance

Baroness Ritchie of Downpatrick Excerpts

Tuesday 8th November 2011 Commons Chamber

[Ms Margaret Ritchie (South Down) (SDLP)]

I congratulate my hon. Friend the Member for Liverpool, Riverside (Mrs Ellman) on tabling this motion for debate. As the hon. Member for Strangford (Jim Shannon) said, some two weeks ago I had an Adjournment debate on the cost of motor insurance in Northern Ireland. A Minister from the Treasury responded on that occasion, and I found that useful, but many issues are involved in the rising cost of insurance premiums in Northern Ireland.

Drivers in Northern Ireland are subject to excessively high insurance costs that are rapidly rising year on year. I appreciate that the problems are not unique to Northern Ireland, but they are particularly striking in our case. We have found in our research that consumers in Northern Ireland have less choice of insurance providers, with three times fewer companies offering car insurance. In August, as the hon. Member for Strangford stated, the Consumer Council for Northern Ireland launched a campaign to highlight the cost of car insurance, and I fully support that. The Minister is no doubt aware that the Office of Fair Trading subsequently agreed to undertake an investigation into the car insurance market with a specific focus on Northern Ireland. We must robustly establish why premiums have increased by a reported 40% in the 12 months to March 2011 and why insurance costs are significantly higher in Northern Ireland than in comparable regions of Britain. Indeed, we must not only assess that but redress it. The findings from the OFT must be robustly addressed and the resulting measures must have teeth.

Some of the evidence produced has suggested that car insurance premiums in Northern Ireland have increased by almost 73% in the past two years. The situation is even worse for younger drivers, whose premiums, according to research, have increased by 112%. Young people face severe difficulties in entering the job market, and the prohibitively high cost of motor insurance is yet another barrier to their finding work. Only yesterday, I received a letter from a constituent who highlighted a problem he had encountered with his son. He said that approximately three weeks ago he received a quote to renew his insurance with his 18-year-old son on the policy, and to say that he was shocked at the price would be a gross understatement. The price quoted was £2,488.92, which he simply could not afford. He rang a number of insurance companies and was quoted between £2,800 and £4,000 to cover his son. The first company told him that it would drop the price to £2,200, but it was still beyond his means to pay such an amount.

My constituent said that the sad part of the situation is that his son has now been forced off the road due to the exorbitant price of car insurance in Northern Ireland. He will not be able to stay on in his part-time job, as his father’s working schedule does not allow him the time to leave and collect him when he requires transport. My constituent feels strongly that something needs to be done to help young drivers to stay on the road and travel to their jobs, even if they are part-time, or even if they are students pursuing their studies, and thereby do their bit to help get the economy in that part of the world up and running again. He says that it was tough to have to sit his son down and tell him that as from 15 November he will not be able to allow him to drive. That young boy not only showed remarkable courage but is a very sensible young adult, and he is being penalised by insurance companies for the actions of others. It has been suggested that those companies are quick to label some young drivers as boy racers, and that needs to be addressed.

All these problems are compounded by the restricted range of companies offering premiums in Northern Ireland, which limits competition and drives up prices. I urge the Minister to address and where possible, working with others, to remove any barriers to companies that wish to enter the market, particularly those in Northern Ireland. Obviously, that means working with Ministers in the Northern Ireland Executive.

Two fundamental arguments are put forward to justify the high costs of motor insurance in Northern Ireland: first, that Northern Ireland is a case apart because its demographics and road layouts bring an increased risk of incidents on our roads; and secondly, that Northern Ireland’s legal system places a higher burden on insurers. The evidence that Northern Ireland has a very young population is greatly exaggerated; indeed, we have a proportion of young people similar to that found in many regions in Britain. Likewise, a lack of motorway coverage has been cited as a reason for increased premiums, because statistically motorways are the safest road type. However, maps show that Northern Ireland has a relatively consistent motorway density compared with regions in Britain and in Europe. Moreover, some of the fundamental actuarial evidence regarding the number of accidents, claims and casualties on our highways weighs against any of the debatable factors regarding demographics or road layout. Those facts must be kept at the forefront of our minds when considering the claimed justification for the increased cost of premiums, which are rising at a time when we in Northern Ireland are experiencing a decline in the number of road traffic accidents. The numbers available for the latest year, 2010, show the lowest number of road deaths since records began in 1931. Naturally, every death on our roads is a tragedy, but we must commend the work done to improve safety.

There are some basic facts that are hard to reconcile with rising insurance costs. The number of road traffic accidents reported to the police service has dropped over the past decade from nearly 40,000 per year in 2000 to about 30,000 per year in 2009. The number of compensation claims is decreasing, whereas in England and Wales the numbers are rising. More specifically, according to a National Audit Office report published at the beginning of the year, the number of claims reported to the compensation recovery unit fell by 23% in the decade up to 2009.

In short, the trend is clear: although accidents and claims are decreasing, the cost of insurance is increasing. I ask the Minister again to give detailed consideration to this fundamental point. All these facts weigh heavily against the argument that the demographic or topographical factors in Northern Ireland justify the increasing cost of insurance. Those factors are difficult to relate to the draconian rise in the cost of insurance premiums.

[Sammy Wilson]

The hon. Lady has done some impressive research into the fall in accidents. It is clear from the statistics on road accidents and deaths that there has been a dramatic improvement even since four or five years ago. For that reason, we should agree that this issue is not about the number of accidents, the demography or the level of claims, but about the lack of competition in the market. It therefore needs to be addressed by the Department for Business, Innovation and Skills and the Office of Fair Trading. They must find out whether collusion between the insurance companies has increased the price of insurance in Northern Ireland.

[Ms Ritchie]

I thank the hon. Gentleman for that helpful intervention. I agree that the research shows clearly that the lack of competition in Northern Ireland has driven up the cost of insurance premiums. That is an area that the Office of Fair Trading should focus on in its investigation. It should drill down on the nature and cost of insurance premiums in Northern Ireland. We, as Members of Parliament for Northern Ireland, will look at that. The hon. Gentleman, wearing his other hat as a member of the Northern Ireland Executive, is no doubt working with Ministers in Whitehall to address those issues. The hon. Member for Strangford has highlighted the legal issue, so I do not need to elaborate on that.

Many people living on low incomes or in rural areas can simply no longer afford to keep a car on the road. As I have said, many young people and their parents in my constituency have told me of their struggle to secure affordable insurance. They are understandably concerned about the discrepancy in insurance prices between Northern Ireland and other regions in Britain. Households feel that by having to pay excessive insurance fees, they are being unduly discriminated against. That unfair practice has been in place for too long. It adversely affects the young and the old who depend on their cars for work, particularly in areas where public transport provision is limited. Essentially, that means rural communities. There are, shall we say, certain locational issues.

The broader context is that the economy is suffering, with record numbers of young people out of work. That is exacerbated by people’s use of motor vehicles being restricted. At this time of economic recession, we need a dynamic, mobile work force. Car insurance being so expensive puts up a barrier to economic success, especially for the young. The unemployment rate among young people is estimated to be 18%—almost one in five cannot find a job. That compares with an overall unemployment rate in Northern Ireland of 7.6%. Excessive insurance premiums adversely affect young people and prevent them from offering the skill of driving to potential employers. In these extremely challenging times, I ask the Minister to consider any measures that would make insurance more affordable for young people, particularly when driving relates to their employment.

In conclusion, insurance costs have a real impact on people, both young and old, who need to be mobile for social and economic reasons. I hope that my short contribution has made clear the scale of the problem faced by motorists. I hope that I have given examples that illustrate that parents are suffering from the undue burden of being quoted high insurance costs for their sons and daughters. They are not able to pay those costs because of the limited financial means that they now have. I believe that the insurance industry must stabilise its premiums so that hard-pressed motorists get a fair deal when they purchase their motor vehicle insurance. I seek assurances from the Minister that he recognises the problem and will act on a cross-departmental basis, as the motion suggests. Supplementary to that, in the case of Northern Ireland, I ask him to work directly with Ministers in the Northern Ireland Executive to address its particular problems in light of any recommendations that come from the Office of Fair Trading report later this year.

Coastguard Service

Baroness Ritchie of Downpatrick Excerpts

Tuesday 14th June 2011 Westminster Hall

[Ms Margaret Ritchie (South Down) (SDLP)]

I congratulate my hon. Friend the Member for Sefton Central (Bill Esterson) on securing this debate on such an important topic. My constituency of South Down in Northern Ireland has two fishing ports, so I know just how important the Bangor coastguard station is. I know of the necessity of maintaining a service that has developed a comprehensive knowledge of our seas. It is important that we keep the coastguard station in Bangor to protect those who use the seas around the island of Ireland, and those who use our coastal and inland waterways, including, in the case of Northern Ireland, those who use inland locations and are subject to search and rescue. Many of the people involved and those in other emergency services risk their lives to protect not only those in the fishing industry, but people involved in recreation and tourism.

The Government will announce their decision by 19 July and it is fair to say that the process has been marked by uncertainty for many people throughout Northern Ireland. Such uncertainty must give cause for concern regarding the outcome. The Government now seem to be re-evaluating and rowing back from their initial proposals. It is clear that they underestimated the value of the local knowledge developed over time by our vastly experienced coastguard personnel, and that they were prepared to risk losing this vital asset. I ask the Minister: was that really the purpose of the Maritime and Coastguard Agency’s proposals, or did it have better thoughts at heart about protecting the service?

It is vital that the Minister and the Government listen to those experts who have spoken up during the consultation and arrive at a decision that safeguards those who use our waters. I and other hon. Members from Northern Ireland believe that there is a duty to protect our coastguard station in Northern Ireland and to ensure that it can operate at full-time capacity. I recently attended a meeting hosted by the hon. Member for North Down (Lady Hermon) in Bangor, which the Minister, along with the Secretary of State for Northern Ireland, also kindly attended. It was made clear to the Minister, via a range of robustly made proposals by staff, that it was possible to retain the coastguard station in Northern Ireland on a full-time basis by using other measures and means. I and other hon. Members from Northern Ireland would like to hear the Minister’s response to those proposals in advance of the final outcome, because it is particularly important.

The other key point is that the Bangor coastguard station co-ordinates closely with the Irish coastguard. We would, therefore, lose out on that vital resource for protecting all of Ireland’s waterways. I recently had the opportunity to raise the issue with the Taoiseach—the Irish Prime Minister—and it is clear that closing or downgrading the Bangor station would be a great loss not only to the people of Northern Ireland, but to the people of the Irish Republic. Indeed, it is our coastguard that is nominated by the Irish Government to respond in the case of an emergency off the Donegal coast. It cannot be overlooked or ignored that our service operates on a cross-border, north-south basis on the island of Ireland.

Another difficulty in shutting the service and depending on a coastguard station in Liverpool—I use these words with caution, considering the comments of my hon. Friend the Member for Sefton Central—is that the island of Ireland operates with the Ordnance Survey at the point of origin, which is totally incompatible with the English mapping system. That is another reason why we need a full-time coastguard station in Northern Ireland.

All those concerns have been reflected during the consultation process. Indeed, I am reminded of the words of the chairman of the North West mountain rescue team in Northern Ireland, who expressed concern that the closure of the station would adversely affect the relationship between the Northern Ireland coastguard and the Irish Republic.

[Naomi Long (Belfast East) (Alliance)]

The hon. Lady has referred to the fact that the Northern Ireland coastguard also covers Donegal, but part of the reciprocation for that is access to the Irish Republic’s search and rescue helicopters. Does she share my concern that a breakdown in those closely maintained relationships on the island of Ireland could cause political difficulties and jeopardise some of that close co-operation?

[Ms Ritchie]

I thank the hon. Lady for making that important point. I discussed the issue with the Taoiseach last week. He mentioned the need for greater north-south co-operation and made the point that the proposals could jeopardise services and the reciprocal agreement, which is vital for the running of an important maritime rescue service on the island of Ireland.

The chairman of the North West mountain rescue team said:

“The local knowledge and the rapport the NI coastguard have with the Republic’s coastguard means that we get a very effective and efficient service and I would doubt that would happen if that local knowledge disappeared.”

There is no doubt that, if the service disappeared, that would jeopardise that vital north-south arrangement on an inter-governmental basis.

[Mr MacNeil]

I note the hon. Lady’s words on efficiency but, over and above efficiency, this is a maritime insurance policy. Sometimes, we have to be careful that we are not spoiling the ship for a ha’penny worth of tar. We have to make sure that when something is needed it is there and that we do not dismantle it beforehand. In that respect, it is important that we keep Liverpool, Bangor, Clyde, Stornoway and Shetland. Losing Oban a few years ago has had its own knock-on effects and I am sure that that will come through in the inquiries that are going on at the moment. I reiterate the importance of keeping those stations and the fact that this is an insurance policy over and above efficiency.

[Ms Ritchie]

I thank the hon. Gentleman for that vital intervention. He raises the serious point of co-ordination throughout the British isles. That should be taken on board and given due recognition during the whole consultation process. I hope that the Minister will respond to that particular point in an apt and empathetic way.

In conclusion, the courage of those who devote time to rescue efforts on our shores must not be taken for granted by Government. The Bangor centre is the only full-time station in Northern Ireland and its funding must therefore be protected. As we approach the end of the consultation process—it is one month away—we must end the current state of confusion. I strongly urge the Minister to respond in a helpful way to those officials in the Bangor coastguard station who have suggested strong and compelling proposals to safeguard the service for the people of the island.

Coastguard Service

Baroness Ritchie of Downpatrick Excerpts

Wednesday 2nd February 2011 Westminster Hall

[Ms Margaret Ritchie (South Down) (SDLP)]

I congratulate the hon. Member for Truro and Falmouth (Sarah Newton) on securing the debate.

My constituency of South Down in Northern Ireland plays host to two of the three fishing ports in Northern Ireland, and as a community we share a long, proud and sometimes difficult history of fishing and seafaring.

Over the years, my constituency has seen its share of tragedies and miraculous rescues at sea. Each time—whether it has been to bring family members’ bodies home from the sea or to undertake those miraculous rescues—we have looked to our coastguard, which has always performed an amazing service.

In Northern Ireland, the Bangor coastguard station, which is located in the constituency of the hon. Member for North Down (Lady Hermon), faces possible closure. There is a proposal to transfer its operational role to another station, perhaps in Liverpool or Aberdeen, many miles away. Hon. Members will be aware that opposition to the consultation proposals is mounting, and I hope that the Minister will allay many of the concerns that have been raised.

[Lady Hermon]

Let me tell hon. Members, and particularly the Minister, that it is rare for any subject to unite all the parties in Northern Ireland. We are talking about saving the one remaining coastguard in Northern Ireland, which is the only part of the United Kingdom that risks losing its coastguard service. I extended an invitation to the First Minister and the Deputy First Minister to make a joint visit to the station, and I am delighted to say that both accepted it warmly. The First Minister is from the Democratic Unionist party, the Deputy First Minister is from Sinn Fein and the hon. Lady is a member of the Social Democratic and Labour party, so this issue has united all parties. I hope that the Minister remembers that.

--- Later in debate ---

[Mr Mike Hancock (in the Chair)]

Yes, it is a compliment. Only you would have got away with that.

[Ms Ritchie]

I thank the hon. Lady for her intervention. She is indeed correct.

The Northern Ireland coastguard service at Bangor provides a vital service to the fisheries and tourism sectors right from Lough Foyle to Carlingford lough. Axing such a service will put at risk not only livelihoods, but lives. The Government must not take for granted the courage of those who devote time to rescue efforts on our shores. Funding must be protected.

We must remember that the coastguard protects not only the coast, but, as the hon. Member for North Down has said, Lough Neagh, Lough Erne, inland fisheries and inland lakes. It also provides an inland mountain rescue service for the Mornes and the Sperrins, and it is the point of contact for all helicopter operations in Northern Ireland.

The current proposals will leave Northern Ireland without a full-time coastguard station. This front-line emergency service has saved countless lives since its establishment. In the past year alone, the Northern Ireland team has dealt with more than 700 incidents. For me, my constituents and all my colleagues in Northern Ireland, saving lives is paramount.

The document that has gone out to consultation proposes that the Belfast Lough station, which is based at Bangor, might become a part-time station or that it might close, in which case our nearest coastguard would be the part-time station in Liverpool. The nearest full-time station would be at Aberdeen, on the east coast of Scotland. Co-operation is certainly important. Our co-ordination with Scotland and the south of Ireland has been invaluable in saving lives in previous rescue missions. I support north-south co-operation.

[Ian Paisley]

rose—

[Ms Ritchie]

I will give way to the hon. Gentleman.

[Mr Mike Hancock (in the Chair)]

Order. We do not want a long debate about co-operation.

[Ian Paisley]

What an opportune time to get an intervention. In 1989, I was involved in an attempt to rescue two drowning children off the coast of Northern Ireland. They had been holidaying there, but, unfortunately, one of them died. However, if it had not been for the co-ordination that the hon. Lady has mentioned, there would have been a double tragedy. It is essential that people recognise and get to grips with the fact that Northern Ireland will be naked to the ravages of the sea if we do not properly protect our coastguard.

[Ms Ritchie]

The hon. Gentleman is absolutely correct. Co-ordination and co-operation are vital, particularly on the island of Ireland. Closing the coastguard station in Northern Ireland is foolhardy, because there is a need for both coastguard services on the island of Ireland to work together and to co-operate.

The chief executive of the Maritime and Coastguard Agency, Sir Alan Massey, has indicated that the closures can be offset by the introduction of new technologies, such as Google Earth. Although I support the introduction of such measures, which can help to save lives, they must supplement, rather than replace, existing provisions. Nothing can replace local knowledge of the waterways or, in the case of Northern Ireland, the mountainous regions. That knowledge has been built up by generations of people living in the local communities.

[Bill Esterson]

I represent the Liverpool coastguard station, so let me express a degree of solidarity across the Irish sea. The staff at Liverpool recognise exactly the points that the hon. Lady and other Northern Ireland Members have made about the dangers of Liverpool trying to look after Northern Ireland. They do not feel equipped to do so, and although they welcome new technology, they also recognise that local knowledge and experience are critical. They do not want to stay open at the expense of Belfast, because they want both stations to stay open.

[Ms Ritchie]

It is important to emphasise for the historical record that, in 1994, the then chief coastguard, Commander Derek Ancona, told the Select Committee on Transport that the importance of local knowledge should not be underestimated, and that point needs to be taken on board.

[Mr MacNeil]

I am heartened to hear that Liverpool and Belfast are not accepting the framework that the MCA has given them to set them at each other’s throats. We have had the same situation between Stornoway and Shetland, and we are not accepting that, too. We in the Western Isles believe that Shetland should stay open 250 miles away because it is needed for the safety of mariners there. Stornoway should stay open as well. I am pleased that our message to the MCA is the same.

[Mr Mike Hancock (in the Chair)]

Order. Ms Ritchie, I urge you to watch the time.

[Ms Ritchie]

Thank you, Mr Hancock. I will do so.

Previous attempts by Governments to implement large-scale technological developments have frequently encountered delays and cost overruns. We must ensure that we do not lose our existing resources and that we do not rely on the hope that needs can be met by using new technologies alone. Indeed, the same technology on which the coastguard is meant to depend has just been discarded by the UK’s fire and rescue service, because it cannot rely on it. We risk people’s safety becoming dependent on information technology that has not yet been implemented and which has not even been designed. Let us have new technology by all means, but we should supplement it with local knowledge.

Finally, I hope that the Minister will see fit to ensure that the proposal for the Belfast coastguard station at Bangor is abandoned. I hope that the message goes home to him and the Department that Northern Ireland needs to retain its services. My colleagues in Northern Ireland and I represent all the Northern Ireland constituencies, and we wholeheartedly oppose any attempt to remove those services.

[Several hon. Members]

rose—