Oral Answers to Questions

Chi Onwurah Excerpts

Thursday 13th June 2019 Commons Chamber

[Michael Ellis]

I am sorry to say that the Mayor of London is letting Londoners down in transport. He has cancelled investment projects that are his responsibility, cut bus and underground services and axed an extension to the Metropolitan line, despite the Government loaning £2.6 million to the Mayor through our Department. I am appalled that, despite that loan, Sadiq Khan is letting Londoners down.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

rose—

[Mr Speaker]

Let us hear Newcastle’s view on the Mayor of London and the city of London.

[Chi Onwurah]

In those discussions with the Mayor of London, will the Minister seek his advice on why it costs more to take a bus four stops up the West road in Newcastle than it does to travel across the entire Greater London area? Will he advise the Minister for buses to apply that to the rest of the country, rather than cutting three quarters of a billion pounds from annual bus services?

[Michael Ellis]

One reason why the Mayor of London has a black hole in his budget is that he has not been running transport services properly. I am sure that the hon. Lady’s area will be doing a better job and will hope to do a better job.

Oral Answers to Questions

Chi Onwurah Excerpts

Thursday 22nd November 2018 Commons Chamber

[Ms Ghani]

Absolutely. We are building on the legacy of this year, working with organisations ranging from Siemens, FIFA and Apple to the Science Museum, and we are committed to building on that work so that even more young people understand and appreciate the success of a career in engineering.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

I congratulate the hon. Member for South Basildon and East Thurrock (Stephen Metcalfe) on the success of the Year of Engineering in promoting engineering as a fantastic career for everyone, but engineering is not just for one year; it is forever. Will the Minister follow Labour’s example and produce a diversity charter for the transport sector, so that the numerous initiatives—which are all very good in their own way—can be brought together, and we can see concrete progress and, most importantly, measure it?

[Ms Ghani]

The Year of Engineering has been a collaborative project involving more than 1,400 firms and partners. One of their objectives was to reach out to communities that may not have had experience of engineering. We have had some successes: young people in primary schools are thinking about engineering as a career, as are older students. We will work with our partners and see what more we can do, building on the work that we have done this year.

--- Later in debate ---

[Chris Grayling]

My hon. Friend and I have had many discussions about Long Eaton. I am very keen to make sure that we have done the right thing by the different people affected by the proposed railway line through Long Eaton, whether it is the businesses affected or the people who live in the railway cottages. If there are things that we are not yet doing, I suggest that she and I sit down and go through it again.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

It costs me more to get a bus a few stops up the West Road in Newcastle than to cross the whole of London. It costs more to get a bus from Newcastle to Amble—30 miles—than to get a bus from London to Newcastle—290 miles. Can we have a comparative study of the cost of bus travel in Newcastle under a Tory Government and in London under a Labour Mayor?

[Ms Ghani]

Managing bus fares and having transparency on bus fares will further encourage bus patronage. Those bus companies that make bus fares available and public will always see an increase in bus patronage. We are working with the bus sector to do what we can to make sure that this information is available, just as it can be available on journey times and at stops, too.

Airports National Policy Statement

Chi Onwurah Excerpts

Tuesday 5th June 2018 Commons Chamber

[Chris Grayling]

We have taken careful legal advice as we have been through this exhaustive process, and I want to pay tribute to my team at the Department for Transport for doing a fantastic job of assembling a vast amount of material for the House to study before the vote and to demonstrate the case that we are making today. If we are challenged in the courts, it is essential that we can demonstrate that we can make our case, but this is a matter for our elected Parliament. This House will decide whether I should designate the national policy statement, and I very much hope that that will carry weight as we go through the rest of the process.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

Such a significant expansion in aviation capacity raises major environmental and ethical concerns, but given the recommendations of the Transport Committee, I believe that this is the right option, provided that it delivers for regional economic growth. Businesses and residents in Newcastle deserve just as much access to direct flights as those in the south, but given that network economics make that impossible, what additional capacity will the Secretary of State guarantee for Newcastle airport and for how long, regardless of how he makes that work?

[Chris Grayling]

The important thing to say is that the reservation of slots for our regional airports is not a time-limited thing; it is a permanent feature. We would not countenance putting in place a legal mechanism that could be eroded away over time. That is what has happened in recent times: regional connections to Heathrow have diminished in number, and regional routes have been replaced by long-haul routes, but I can give an absolutely categorical assurance to the House that the legal mechanism that will be put in place will prevent that from happening again.

Transport Secretary: East Coast Franchise

Chi Onwurah Excerpts

Wednesday 23rd May 2018 Commons Chamber

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

I am pleased to be allowed to speak in this very important debate. I start by thanking the staff on east coast rail who, during the eight years I have been in the House, have been unfailingly helpful on my twice-weekly journeys to and from Newcastle. They have been unfailingly cheerful and unfailingly efficient despite the turmoil that successive Conservative-led Governments have put them through.

Speaking of the workers, I would not normally support singling out one worker—in this case, the Secretary of State for Transport—for criticism and in effect a fine for a collective failure of this Government, but if anyone is responsible for that failure, it has to be him. What is more, it is not only a failure of competence; more importantly, it is a failure driven by ideology—the Secretary of State’s extreme free market ideology. If he wants to play ideology at dinner parties around the country, that is his decision, but here he is playing ideology with the east coast main line, a critical piece of national railway infrastructure serving more than 20 million passengers per year and contributing more than £300 billion annually to the UK economy. Also, independent research shows that investment in it could generate more than £5 billion in additional GDP for our country and our region. The Secretary of State’s ideology is destroying jobs in my constituency, for which he must be held accountable.

Hon. Members may have heard me mention that before entering Parliament I spent 23 years as an engineer. My last job was for Ofcom, the communications regulator. As part of that, I spent a lot of time looking at the economics of networks and the benefit of competition, which is where I shall focus my remarks.

Free markets require competition. Without competition, markets become monopolies. I hope we can all agree that private sector monopolies are bad—there are no interventions, so we agree. On the other hand, public sector monopolies can be run in the interests of the many, not the few. Many believe that rail is a natural monopoly. I agree. Railways were born in my region. The Rocket—the first commercial locomotive—was built in Newcastle by the Stephensons, and will return to Newcastle for the Great Exhibition of the North this summer.

From the very start, it has been impossible to run railways competitively in the private sector. The Office of Fair Trading states:

“Competition is a process of rivalry between firms seeking to win customers’ business over time by offering them a better deal.”

What better deal was there under Virgin? Were there more trains? No. Were there better trains? No. Were there better services? No. People could argue that the uniforms and the advertising slightly improved, but does that justify the huge costs involved in bailing out the private sector three times in 10 years? Does that justify the huge costs involved in regulating private sector companies to stop them exploiting their monopoly positions? Private sector companies always abuse monopoly positions. They cannot help it. Did it give us the investment in transport in the north-east that we need for our economic development? Transport for the North estimates that we need £27 billion invested in our transport infrastructure. Did it justify the huge costs involved in designing multiple tenders and the exposure to legal challenges? Did it justify the uncertainty that has been so bad for staff and passengers? Absolutely not. The Conservatives are ideologically constipated on free markets to the extent that they cannot see the reality of our rail network and its needs.

[Ian Mearns]

I am grateful to my hon. Friend and neighbour for giving way. The Government are ideologically wedded to the privatisation model, but they must accept that, once the regular public subsidy for the railways is netted off, the amount of private sector investment is rather small.

[Chi Onwurah]

My hon. Friend and neighbour is absolutely right, which shows why this idea that this is a competitive market is a travesty. There is really no investment. More importantly, what little investment does take place is not at these companies’ own risk, because they are bailed out. Yet so infatuated are this Government with private sector monopolies that they do not seem to see that. We see the same thing when they deal with the tech giants: this Government are happy for private sector monopolies to walk all over UK citizens and yet the Government continue to stuff these companies’ mouths with gold.

We need a Government who recognise the role that the private sector can play in many industries and many businesses, but also recognise the importance of delivering natural monopolies through the public sector in such a way that citizens, consumers and passengers benefit. We need a Government who are not in hock to the private sector. As this Government are clearly incapable of understanding the very basics of network economics, I hope they will give way for a Labour Government who will do.

--- Later in debate ---

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

It is a pleasure to speak in this debate. As a member of the Transport Committee, I hope to inject a rational perspective into proceedings. As has been mentioned, the Committee is currently scrutinising this issue. I should add the caveat that our proceedings are still under way and we might receive further evidence later.

The first point I wish to make is that this is not a failing railway in the sense that most passengers would understand it. It operates efficiently; there are high levels of passenger satisfaction; there is growing usage of it; and, yes, there is investment in it. Under Virgin, many of the trains have been refurbished and, although I appreciate that this is not a direct part of the franchise, King’s Cross station has been transformed in recent years, so the passenger experience is being enhanced.

The issue at the heart of this debate is that something went wrong with the revenue projections for the line. That is what we need to scrutinise. It is important to understand the nature of the east coast main line franchise. It has a much larger discretionary element than most other rail franchises, by which I mean that the passengers who use it have many more options for making their journeys. Those options are both on the railways, with other train operating companies running services on large parts of the line—at the southern end of the line, Hull Trains and Grand Central offer alternatives to the Virgin Trains, and further north there is TransPennine Express and ScotRail, meaning that there is a discretionary element to which service passengers use—and, because of the long-distance nature of the network, passengers can choose non-rail alternatives, including flying between Edinburgh and Glasgow or driving between some of the key towns and cities. That makes it much more difficult for anyone in the public or private sector accurately to forecast revenues over a lengthy period. I have had conversations with other train operating companies this week, and they said, “We don’t bid for these long-distance franchises because of that element of uncertainty.”

[Chi Onwurah]

The hon. Gentleman is saying that the issue with the east coast line is that there is competition and that Virgin could not handle that competition so should be bailed out. Does he realise that he is undermining the entire argument, because he is saying that when there is competition, franchising fails?

Oral Answers to Questions

Chi Onwurah Excerpts

Thursday 19th April 2018 Commons Chamber

[Ms Ghani]

The Secretary of State will continue to realise assets when he can. We will then reinvest them in the railway network.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

4. What steps he is taking to improve the equity of transport spending between regions.

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

Transport investment decisions are made based on a rigorous and fair appraisal process that ensures that spending goes where it is needed and delivers greatest value for money. Recent analysis by the Infrastructure and Projects Authority suggests that, in contrast to the five years leading up to 2010, planned central Government transport capital spending per head between 2017-18 and 2020-21 is expected to be higher in the north than in the south. That includes, as the hon. Lady will be pleased to learn, £337 million for new Tyne and Wear Metro rolling stock in her constituency.

[Chi Onwurah]

Since 2010, transport spending in London has been more than twice that in the whole of the north, and the Government’s own northern powerhouse says that underinvestment stops us exploiting strengths in manufacturing, energy, health and digital, which could transform the lives of my constituents. The Minister’s own Transport for the North says that it will cost £27 billion to transform the north’s economy by taking advantage of those strengths: will he commit to funding it?

[Joseph Johnson]

We are undertaking unprecedented investment in the north of England—£13 billion, which is the largest in Government history. Of course, we want to do more to ensure that we are building proper transport links and growing the northern powerhouse, which is why we have created Transport for the North and put it on a statutory footing. Over the recess, I was delighted to attend its very first board meeting as a statutory body.

Oral Answers to Questions

Chi Onwurah Excerpts

Thursday 30th November 2017 Commons Chamber

[Chris Grayling]

I absolutely hear what my hon. Friend says. As someone who used to live close to that area, I understand the issues she raised, and I am sure Transport for the North will listen to her comments today. It is finalising its plans. As Cheshire and mid-Cheshire grow—the towns there have expanded considerably in recent years—there is a need to make sure that the infrastructure is fit for purpose, which is why my earlier comments about the mid-Cheshire line are also important.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

I welcome the public funding for the Tyne and Wear Metro announced in the Budget, which will come through the northern powerhouse. But if the northern powerhouse is to be anything more than a marketing gimmick, such funding must be part of an overall commitment to redress the dire imbalance in transport funding between the north and the south of England. Will the Secretary of State make that commitment here and now?

[Chris Grayling]

I keep saying that we are actually doing things right across the north: what we are doing on the Tyne and Wear Metro; the improvements to the A1; the completion of that last motorway link; the works taking place on the M1, M6 and M62; and the A66 widening. There are projects happening all across the north. We have brand new trains arriving on the east coast main line, the upgrade of that line that lies ahead and northern powerhouse rail in the future. This Government are delivering better transport for the north of England.

Oral Answers to Questions

Chi Onwurah Excerpts

Thursday 19th October 2017 Commons Chamber

[Paul Maynard]

I am always disappointed when I hear that we do not achieve what we should in our correspondence. I am sorry that the hon. Gentleman has not had an acknowledgement; we will draft one immediately today. I assure him that I personally understand the importance of the metro system to the people of the north-east. We understand the need to replace these ageing carriages, and we are keen to ensure that we make a decision as soon as possible.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

Transport spend in the north-east is only £220 per head, compared with £2,000 per head in London, and the effect of that can be felt every single day on the Tyne and Wear metro. Will the Minister commit that the investment will be publicly funded, not coming from some financially engineered private finance initiative scheme, so that the public benefits of a decent transport system can be publicly controlled?

[Paul Maynard]

We continue to work closely with the Treasury to make sure that we get the right funding package to deliver these carriages, which I know the network needs. In response to the hon. Lady’s concern about levels of investment in her region, I point out that we are finally completing the motorway to the north-east that Labour never built in 13 years.

Oral Answers to Questions

Chi Onwurah Excerpts

Thursday 13th July 2017 Commons Chamber

[Chris Grayling]

It is really important that we make sure that our regional airports are successful. My hon. Friend and I visited Southend airport a few years ago. I was very impressed by what it has achieved and the way in which it can be a driver of growth in the surrounding area. That applies across the whole country. It is one reason why the expansion of Heathrow is so important for regional airports further afield, and it is also why I hope that we will work together in a smart way to ensure that airports such as Southend flourish.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

We have had many flowery words from the Government about understanding the experience of our constituents in the north-east who are forced to use crumbling rolling stock on Tyne and Wear Metro, but flowery words will not get our constituents to work on time unless they are matched by investment. Will the Minister now commit to investing in our rolling stock from the public purse?

[Mr John Hayes]

The hon. Lady should know that investment is central to what we want to achieve. We are investing £370 million through an 11-year asset renewal programme. We are undertaking a major programme of track and infrastructure renewals. We are refurbishing most of the 90 vehicles, modernising 45 stations and introducing new smart ticketing. What is not to like about that?