(2 years, 10 months ago)
Lords ChamberMy Lords, I am grateful to the noble Baroness, Lady Jones, for raising this important issue. It is not usual for noble Lords to claim in debate that they do not know what they are talking about but that is the position I find myself in. This is despite being, I think, the only person in either House who is an HGV driving instructor, albeit out of date. I will speak from the perspective of a vocational driver.
Yesterday, I tried to obtain a copy of the new Highway Code from WHSmith in Petersfield. I was told that new copies were not due in until April; they had none of the old. I then tried to download an online version but could find only the existing code and the amendments to it, not some form of PDF or the like that would show me the whole code, complete with graphics. Even your Lordships’ Library could not do better and we are grateful for the briefing that it has supplied.
Outside your Lordships’ House, I have detected considerable concern about the new and/or amended rules. I hope that my noble friend the Minister will be able to allay some of that. It is important to read these new provisions in the context of the whole code and with the benefit of the excellent and clear graphics that we have come to expect in it. We do not have that, which is why I claim not to know what I am talking about. Most motorists will be in the same position, yet the code comes into operation on Saturday, if I understand matters correctly.
Notwithstanding my limitations, I have a few points to make, which are shared by many who I talk to. Ever since I first drove an HGV in about 1976, I have recognised, as I was taught, that there is a hierarchy of road users. The HGV drivers were at the top while pedestrians and children were at the bottom, and most vulnerable. I am therefore perfectly content with the new hierarchy. It seems that the whole point of vocational or professional driving is to ensure that the needs of other road users are respected and met. The noble Baroness, Lady Jones, made the point that might is not right; she is perfectly correct, and I was always trained and taught that HGV drivers should not abuse their bulk or weight.
On priority for pedestrians at junctions when a vehicle is turning off the main road, it seems that the Minister has placed an imaginary zebra crossing at every such junction. However, a zebra crossing has several other features to enhance safety. There are the flashing yellow lamps and the zig-zag lines that have the effect of prohibiting waiting, unloading, parking or overtaking. When I was training HGV drivers to negotiate a zebra crossing, I would make sure that they identified the hazard in good time and ensured that there was no possibility of any pedestrian getting to the crossing before they did. This is easy enough, because of the layout that I have referred to. There should never be a need for heavy braking, let alone an emergency stop, on the approach to a zebra crossing. However, the same cannot be said for these junctions and, not having been able to study the code properly, I and others are deeply concerned. I hope that my noble friend the Minister can provide reassurance.
Turning to the new rules regarding cyclists, I have always been trained to respect cyclists and take special care with them. As your Lordships would expect, I always do so. I am currently undertaking a lot of driving on rural A roads and unclassified roads. I understand my travel time to within a few minutes on a 45-minute journey. When there is no possibility of safely passing a cyclist or a group of them, I will hang back so that they can enjoy their ride without feeling under pressure. When conditions are more propitious, I will move closer and overtake safely, giving them plenty of room. This is what they expect of me.
Meeting the needs of cyclists, which I am happy to do, never causes me measurable delay on my journeys. Since the Conservative-led Government so wisely increased the speed limit for HGVs on a single carriageway, neither do HGVs. What does cause significant delay is a few older motorists driving at far below the prevailing speed limit. In my opinion, they would fail if on a driving test for failing to make normal progress. Not only can I not pass them safely, HGVs cannot do so either but that is not the problem for today. My concern is that the side-by-side rule for cyclists, which I hope my noble friend the Minister will carefully explain, will have the same effect as a car being driven far too slowly and without the possibility of a safe overtake. It could not only increase journey times but seriously damage the relationship between responsible and skilled motorists and cyclists, as pointed out by my noble friend Lady Hodgson.
I have one technical question for the Minister regarding the code but I expect that she will have to write to me. The code makes it clear that a warning triangle should not be placed behind a broken-down car, especially on a motorway. There must be a good reason for this but it is contrary to advice, and sometimes to the law of many countries on the continent. Our continental friends do not get everything right in terms of road safety. Can my noble friend please write to me and other noble Lords speaking to explain the reasoning for this rule? My greatest concern is the non-availability of the Highway Code in its complete form, so that we could understand what is meant in the whole document.
My Lords, I thank the noble Baroness, Lady Jones, for bringing this debate to the House today. I agree completely with the concerns expressed by those noble Lords who have already spoken in it. Having said that, of course one welcomes an update to the Highway Code. I welcome the reordering and clarification of the hierarchy of road users and the concept of basing it on vulnerability. I also welcome that there is a precise spelling out of the rules on cycling and safety.
However, it is surreal that e-scooters are not mentioned in this document. I realise that the Minister will tell us that the Government are waiting for the pilot project results but, in the meantime, tens of thousands of them are out there on our pavements and driving heedlessly through red lights. There is a great deal, which is welcome, on how to deal with horses. I live in an urban area; I have lived in my house for 40 years and cannot recall ever seeing a horse walk down the road, but every day I see dozens of illegal scooters going down it. It is all the more concerning because rule 42 refers specifically to mobility scooters being allowed on pavements. That is right, of course, but given the present information vacuum it is likely to mislead people. Even a simple restatement of the current rules—that e-scooters are illegal, except in pilot areas—would have been a welcome clarification.
I also share the concern that, as I read it, having spent many millions of pounds on developing cycle lanes, which was greatly welcome, cyclists do not actually have to use them. One of the great things about cycle lanes is that, as a motorist, I can say that you know where the cyclist should be, so you know how to use them. The fact that cyclists may now feel that they can, rightly, go to other parts of the road is a matter of concern.
(2 years, 11 months ago)
Lords ChamberMy Lords, in moving that the House annuls the Drivers’ Hours and Tachographs (Temporary Exceptions) (No. 4) Regulations 2021, I make it clear that I do not intend to test the opinion of the House. I remind the House that I have an interest, as I hold a C+E HGV driving licence and am a qualified HGV driving instructor, albeit somewhat out of date.
The House will be fully aware that we have faced a very serious shortage of HGV drivers, which has led in turn to petrol stations running out of fuel. There are obvious shortages of certain lines in our supermarkets and elsewhere, but these have been carefully managed by the industry to minimise the inconvenience to consumers. The good news is that, thanks to the efforts of my noble friend the Minister, the Commercial Motor magazine reports that the shortage is no longer deemed to be critical. Apparently, ONS statistics reveal that the number of HGV delivery drivers has increased from 233,000 in Q2 to 261,000 in Q3. It is reported that there are an extra 22,000 drivers aged between 45 and 65. There has also been an increase of 4,000 drivers over the age of 65 and past normal retirement age. We should congratulate my noble friend the Minister, who had the sense to write to every single HGV driver in the land—including me—asking them to come back to HGV driving.
In addition to the very slight relaxation to drivers’ hours provided by this and several other similar regulations, my noble friend has also altered some driving test requirements to free up more examiners for HGV testing. We have already debated these changes. I have no technical problem with the changes to drivers’ hours. My Motion refers to the serious underlying causes of the shortage, to which I will draw your Lordships attention. That is why I have tabled my Motion.
The first problem is now well known and concerns the lack of decent facilities for HGV drivers. This is part of what I said some time ago:
“This amendment concerns the provision of suitable rest facilities for drivers of commercial vehicles so that they can comply with the law and industry can attract and retain suitable drivers. The road transport and the bus industries are currently experiencing a shortage of drivers. Part of the cause may be the poor image and working conditions of the industry. In the past there were many establishments, collectively known as transport cafés, distributed along the trunk road network. Nowadays few survive and most have been turned into Little Chefs or Happy Eaters. Unfortunately, heavy commercial vehicle drivers are not welcome because their vehicles are large and their spend is modest in comparison with that of most car drivers.”—[Official Report, 26/7/00; col. 524.]
I went on to talk about the need for a shower at the end of a day’s driving. I made that speech 21 years ago in your Lordships’ House, so the problem is not a new one. By chance, I recently saw a cartoon in the November 1987 edition of Truck & Driver magazine. The caption was, “Well try finding a cafe round here that’s not been turned into a Little Chef”. It is a planning problem that has been around for a very long time.
In order to be granted a vocational driving licence, the applicant needs to pass a medical examination. This is vital to protect the public from the consequences of a driver being taken ill while driving. Noble Lords will recall the tragedy in Glasgow a few years ago, when six pedestrians were killed. Even before Covid-19 struck, GPs—including mine—have been very reluctant to undertake these medical examinations. For my penultimate examination, I had to go from my home near Petersfield to Maidstone in Kent to get an examination. It is obviously far from ideal for the examination to be undertaken by anyone other than the applicant’s GP, because he or she has the patient’s notes going back, often to birth. This was a factor in the Glasgow tragedy, and the tragedy was entirely avoidable if the GP had been involved.
A further issue can arise if the HGV driver experiences a medical problem. For instance, a few years ago, I needed to undergo an angiogram procedure. As a result of that procedure, my consultant cardiologist was able to assure me that I was fit and safe to drive an HGV. But the DVLA’s medical panel then took several months to reinstate my HGV entitlement. Apart from interfering with my leisure activities, it had no adverse effect on me. However, it may cause a commercial driver either to retrain or return to another trade. It is exceptionally unfair and there seems to be little that an ordinary HGV driver can do about it. Of course, I did not exercise any influence because, first, it would be improper, and also I wanted to see how it would work out for an ordinary HGV driver. I am told that the advice among drivers is not to tell the DVLA about medical conditions and just not to drive an HGV against the doctor’s advice. The poor performance of the medical panel is my noble friend’s ministerial responsibility.
A further difficulty concerns the investigation of serious road traffic collisions. These are extremely distressing for all concerned but, so far as I can see, the police are very slow to exonerate a driver when he or she appears to be blameless. This can result in unfair dismissal and difficulty in securing employment and motor insurance—yet another disincentive to being a professional HGV driver.
A commercial driver, in addition to having an HGV licence, must have a driver certificate of professional competence. Maintaining it requires 35 days of training every five years. I do not have a DCPC as I am exempt, and nor do another 70,000 group C+E drivers and yet another 70,000 group C licence holders. We do not have a shortage of HGV drivers at all, but a shortage of HGV drivers with a DCPC. The problem is that the training provided is not well regarded in the industry and many drivers let their DCPC run down and stop driving commercially. This has a serious adverse effect on part-time and occasional driving because it is not worth having a DCPC for that purpose.
We have left the EU. My noble friend the Minister could easily temporarily relax the requirement for a DCPC while she considers what is to replace it. That would still, in time, give her the corps of professional drivers that she rightly worked so hard to achieve, while the shortage of HGV drivers would be diminished in the short term.
I have banged on for many years about the licensing of goods vehicle operators. The system is still far from effective at eliminating rogue operators from the industry. These operators abuse drivers, force them to flagrantly breach drivers’ hours and give the industry a bad name.
HGV drivers are often despised, despite performing what we now recognise as a vital role in our economy. They are persecuted by traffic wardens when seeking to make a delivery and hounded by the DVSA over relatively trivial infringements of the drivers’ hours rules, while rogue operators are allowed to continue operating. They must frequently make very early starts to get our supplies delivered when and where we want them, which is simply not attractive to people coming into the industry. They also often have to defecate and urinate in the open due to lack of facilities. The staff at regional distribution centres have for decades been allowed to treat them badly for turning up a few minutes adrift from the planned schedule. The work is so unattractive that there are very few female HGV drivers.
My noble friend the Minister has correctly pointed out that many of the reasons why HGV driving is unattractive are down to the industry, and to an extent she is right. However, the two leading trade associations are not doing a first-class job for the industry as far as I can see, and some matters are not for the industry but for central government. I look forward to the Minister’s response. I beg to move.
My Lords, I thank the noble Earl for ensuring that we have this important and very interesting debate. The reports of the Secondary Legislation Scrutiny Committee have been very wide-ranging in the points that they have raised relating to the series of legislation that has come through on drivers’ hours.
The first relaxation of hours was in December 2020 until 31 March 2021 and went from 90 hours per fortnight to 99, and from nine to 11 hours per day for a maximum of two days a week. I say to noble Lords: 11 hours a day of driving? The Minister is looking at me as if I have got the information wrong. I hope she will put me right later on.
(3 years ago)
Lords ChamberMy Lords, I am grateful to the noble Lord, Lord Berkeley, for moving his amendment. On its own, it would be unacceptable because it would unfairly penalise the driver of the lorry. The Committee will be aware that we are already exceptionally short of HGV drivers; I think the noble Lord touched on that. It would also be unfair to the operator because the incident may have been caused by the misconduct of the driver deviating from the appropriate route. I must tell the Committee that it is not always easy to determine the overall height of a vehicle. Mistakes can be made. The driver can be incorrectly informed of the overall height of the piece that he is carrying.
My amendments to Amendment 169A would require technology to be in place before the new penalties are available. Surely we can have electronic systems put in place to make these incidents entirely avoidable. Such a system would warn the driver, before he or she gets to the point of no return, that the vehicle will not safely pass under a bridge. This would enable the driver to take their vehicle on an alternative, safe route. With the data provisions of my amendment, it would also be possible for manufacturers to provide automatic GPS-facilitated warning systems; however, that system would rely on correctly knowing the overall height of the vehicle, whereas my proposals for static infrastructure would not. I will not weary the Committee at this late hour with further technical details.
I am grateful to the noble Lord, Lord Berkeley, for supporting my amendment to his amendment. He talked about the inconvenience that these incidents cause. He is of course correct. Most incidents involve large van-type vehicles and normally the bridge wins, although careful and time-consuming post-incident technical checks may still be necessary. That is what causes the inconvenience.
I operate a tank transporter on behalf on the REME Museum. The tank weighs 50 tonnes and the loaded transporter is 14 foot high. If the tank hits the railway bridge, the tank wins. If the train arrives shortly thereafter, a serious incident will inevitably arise. The reason why abnormal loads rarely hit railway bridges is that these movements are carefully planned in advance, in conjunction with the various authorities. Generally speaking, unauthorised route variations do not take place. However, heavy engineering equipment is also moved under normal construction and use regulations when it is not particularly heavy or wide. One day, a bridge will get hit hard by one of these loads. It is only a matter of time. An awful tragedy could then follow.
We can avoid this by agreeing to the amended amendment from the noble Lord, Lord Berkeley, or something like it. It may not be perfect but the Minister can attend to that. All we are asking is that he takes the steps to make sure that these incidents cannot take place. We have the technology in place. I appreciate that there is a difficulty in that Network Rail does not have any authority on the roads near the railway bridge, but the Minister will have to take the necessary powers to deal with that problem.
My Lords, I thank the noble Lord, Lord Berkeley, for his introduction and the noble Earl, Lord Attlee. My noble friend Lord Bradshaw added his name to the amendment from the noble Lord, Lord Berkeley, but apologises because he is unable to be here this evening.
It strikes me that it is clearly not in the interests of hauliers or HGV drivers to hit a bridge. It costs a great deal of money all round. It is probably proportionately more damaging for a small haulage company that experiences damage to its vehicle, many hours of lost time and so on than it is for the train operating company. However, I have been on a Great Western train that was held up for some hours as a result of a bridge strike. If you multiply the two or three hours that we sat there by the number of people on the train, the cost of the whole incident becomes considerable.
Why is it is happening so often? Is it because there is not enough training of drivers? If that is the case, I am very concerned because the test for new drivers is becoming simpler and more streamlined, so things are not going to get better there. Is that there is a lack of adequate signage? Is it that the signage is in the wrong place? It has to be well in advance of the bridge because drivers cannot just stop on a sixpence in a large lorry. Is the signage not maintained or inspected? It would be interesting to hear from the Minister the solutions to this problem and how the situation can be improved. Clearly, seven incidents a day are not desirable and really should not be happening in those numbers. There is a particular problem with equipment such as cranes that are loaded on to a flatbed lorry, because the driver may not know the height of this particular lot of equipment.
Noble Lords have suggested lots of solutions. I am interested in the Government’s response.
(3 years ago)
Lords ChamberMy Lords, I rise briefly to support my noble friend. It is ludicrous that pedicabs are regulated in some parts of the country but not in London.
My Lords, the noble Baroness has made a very strong point about an issue which applies only in a specific part of the country. Most of us do not have experience of this issue. As the noble Lord, Lord Berkeley, said, there is a more general trend in the use of bikes as cargo bikes—and, indeed, my own son also used to take his young children around in a little cart behind his bike. It used to worry me greatly. The girls no longer like to be reminded of it, but they seemed to think it was great fun at the time. Of course, the issue of insurance is important. It seems to me that the point the noble Baroness has made is that there is a long-overdue need for a review of hire services—vehicles for hire—and since the use of bikes is much more common these days, we really should include them in that review.
(3 years, 1 month ago)
Lords ChamberMy Lords, I am pleased to have this opportunity to introduce this group of amendments, and of those, Amendments 13, 15, 16 and 18 are in my name. They are of course probing amendments at this stage.
The Government are seeking to change the standards by which police driving is to be judged. I should explain to noble Lords that I have some background on this issue, because for 18 years I was a JP, and over those years I dealt with a number of cases that involved police pursuit. Controversial cases where police pursuit leads to traffic accidents of course occur regularly.
I have my own personal experience of this. More than a decade ago, I was involved in one such incident. One evening, I was driving along a long, straight stretch of road in Cardiff—a two-lane road, with a mix of residential and commercial properties, that had intermittent central barriers. I suddenly became aware of cars coming towards me at considerable speed, well above the 30 miles per hour limit. It turned out to be a car driven by a very young man, with a passenger, pursued by two police cars. The problem was that they were on my side of the road, and I was on a part of the road with a central barrier. There was literally nowhere for me to go. There was a head-on crash, my car was a write-off, and there was a three-car pile-up because the car being pursued turned over and one of the police cars impacted it.
The seriousness of the crash was indicated by the fact that the road was closed for the night. We had three additional police cars on the scene, two ambulances, a fire engine and a police helicopter. I spent the night in A&E, but it could easily have been very much worse, because the passengers in the other cars suffered only minor injuries too.
Why were the police taking the risk of this pursuit? There were a number of pedestrians around—the crash happened in front of a pub. The official explanation was that the car was stolen, and I was told that the young men were suspected of at least one burglary—but that was a historical suspicion. However, until the pursuit, there was clearly no risk to life and no immediate danger of violence. It has always been clear to me that that pursuit was unlikely to have been justified.
My Amendments 13 and 16 are designed to probe how the Government envisage the new standards being applied. Since the Road Traffic Act 1988, police driving standards have been judged in the same way as those for any other driver despite the additional training they receive and the various exemptions that apply to them. Following a Police Federation campaign, there was a Home Office consultation which included a question on whether the new looser standards should apply only to pursuit or to police response driving generally. Clauses 4 to 6 give effect to the proposed changes, which would judge police driving against the standards of a competent and careful police officer with additional training. The new standards are to be applied to police purposes generally. However, this is a very wide definition. My amendment suggests that it should be limited to pursuit only.
I fully accept that there is an argument that it could also include I-grade—immediate grade—responses. I know that the grading of police responses varies from one force to another but, generally, I-grade calls are those where the immediate presence of a police officer will have a significant impact on the outcome of an incident. It is typically categorised as where there is likely to be a danger to life, a serious threat of violence, serious damage to property or serious injury. The response time is 15 minutes. The other grades of police response are generally called significant, S grade, or extended, E grade, and they do not involve a risk to life or injury. S grade gives a response time of 60 minutes and E grade 48 hours. Clearly, in neither of those cases is there a justification for extremely fast speeds and less than the normal, competent standards of driving that the rest of us ordinary mortals are expected to follow. I would therefore appreciate an explanation from the Minister as to why any kind of police purpose would be regarded as acceptable. We need a greater justification for these changes.
Amendments 15 and 18 also probe the impact of these changes by suggesting that the Secretary of State be given the power to extend the new standards to other emergency services. Noble Lords will understand that this is an inquiry. Ambulance drivers and drivers of fire engines also receive special training. They are highly skilled drivers, trained to break the normal rules of the road. They respond to calls where there is an immediate danger to life. It could be argued that that applies routinely in the case of ambulance drivers, whereas it probably applies fairly exceptionally in the case of the police. My question to the Minister is this: where do the other emergency services stand in relation to the changes to the rules that the Government are suggesting in this legislation? Are we to expect changes for other emergency services in further legislation, or is that not necessary for legal reason that I have not been able to uncover?
I realise, of course, that the two sets of amendments do not sit particularly well together. I am not arguing a case one way or the other. I am simply seeking to emphasise that these are probing amendments to see what is in the Government’s mind. What is their intention?
My Lords, I have Amendments 14 and 17 in this group. I hope—in fact I am confident—that my noble friend the Minister will give a full explanation of the purpose of these clauses in the Bill, in response to the noble Baroness, Lady Randerson. My concern is the inclusion of staff members in these new tests of dangerous and careless driving. I can understand the need to include civilian police driving instructors, but what I do not understand is the inclusion of other staff members. I hope that the Minister can explain why they need to be included.
(6 years, 7 months ago)
Lords ChamberMy Lords, to take further the argument put forward by the noble Lord, Lord Whitty, I note that the Minister said that the Government would seek to maximise the benefits to the UK economy in the way in which permits are distributed—and that needs to be done in a way which seeks to enhance the good repute of the industry and therefore of our country. I was struck by a point put to us in a briefing from Unite, which suggests that permits should be linked to the good repute of the operator; for example, their record on driver infringements should be taken into account, not just to reward good practice but to incentivise further good practice. I raise this issue because I seek an assurance from the Minister that the Government will be prepared to investigate such an approach, which seems a much fairer system than that suggested in Committee, when we talked about first come, first served and some kind of balloting system. There needs to be something to encourage good practice in the industry.
My Lords, of course I support my noble friend the Minister’s amendment. On the amendment in the name of the noble Lord, Lord Whitty, the noble Lord was Roads Minister many years ago and I was the Opposition Front Bench spokesman on transport. We had a lot of fun together and we made various improvements. The noble Lord will know that to engage in international goods vehicle operations, one needs an international goods vehicle operator’s licence—one can have an international licence or a national licence.
When the noble Lord was Minister, I would try to increase the standard required of all operators—not just international operators but national operators as well. Sometimes he took my suggestions—there was one issue on which we achieved an improvement—but, generally speaking, as happened with most Ministers, the Opposition’s suggestions would be turned down.
However, if we wanted to, we could raise the bar for having an international operator’s licence. The tests already include the need for good repute and financial standing. If an operator gets into trouble with their annual pass rate or the number of prohibitions they pick up on the roads, the traffic commissioner can remove their licence. However, the noble Lord is right: if you want to engage in international operations, you need to operate to a higher standard than national operations—because, let us face it, operators operating on the continent are representing the United Kingdom. So the noble Lord raises a good point, but it is already covered by the fact that, to engage in international operations, you need an international goods vehicle operator’s licence under the Goods Vehicles (Licensing of Operators) Act.
My Lords, two things above all concern the haulage industry in relation to this aspect of the Bill: the number of permits that will be available, which the Minister has already addressed, and the key issue of the potential cost of those permits. As the noble Lord, Lord Berkeley, has just said, it is, at least in part, about fairness—to give our operators a fair opportunity in competition with those from the rest of Europe. We should not be making it more expensive than we have to.
I raised this issue in Committee. In her response, the Minister made the point that if we made the EU permit free, the Government would just put up the cost of the operator’s licence to cover the cost of it. I can clearly see that point of view, so the amendment in my name is an attempt to balance that issue and shut off that exit for the Government by saying that, overall, the cost has to be proportionate.
What I am really trying to do is to urge the Government to minimise the cost of these permits. It is probably not terrifically significant for the big operators but for the small operators—the people who have just one, two or three lorries going to Europe—it is a very significant aspect of their cost structure, so I ask the Government to give the industry a break and make this as cheap as possible. There is also a symptomatic or symbolic thing in this decision: it has been free in the past, for very logical reasons because the EU has been an extension of our domestic market so people were therefore not charged extra for going there; but, symbolically, they are now to be charged more for the right to travel and transport goods overseas. It is therefore important that we keep that cost to the minimum possible.
My Lords, once again the noble Lord, Lord Berkeley, raises important points and I agree with them. That should be what the Government will negotiate for—equal access, reciprocity, et cetera—and I am sure that my noble friend the Minister will tell us that that is the case. However, once again, I would not like to see the Government tie their hands by agreeing to have the noble Lord’s amendment in the Bill, because it might be necessary to do something that does not quite meet the requirements of his amendment in order to achieve some other desirable outcome. I hope that he will reluctantly accept that point.
As to the amendment in the name of the noble Baroness, Lady Randerson, I agree with the sentiment, particularly on the need to minimise the costs. I hope that if we did have to have this system, it would be just a technicality that a permit would be issued and the costs could be very low. Whatever we do, it must be on some form of cost-recovery basis where the international haulage industry pays for it, but there is the horrible prospect that, for some reason, the system that we will have to adopt is much more complicated and expensive to administer than the old Community licence system. The noble Baroness’s amendment says that the costs should not exceed that, which I suggest to my noble friend the Minister means it is not wise to accept that amendment. It will otherwise be impossible to recover the costs of operating the system. I entirely agree with the sentiment but I hope that my noble friend the Minister does not accept the noble Baroness’s amendment.
Before the noble Earl sits down, I hope he will accept that the wording I used was not that it should not exceed it but that it should not be “disproportionate”.
I entirely accept the point. The amendment is carefully drafted but it would still have the undesirable effect.
My Lords, the noble Lord, Lord Whitty, raises an important issue which did not have much discussion in Committee. It is a complex issue partly because it is possible to stick a registration plate on a trailer but not really know which trailer it is for. It appears to be the same trailer, but it could be a different one, depending on what is pulling it. We need a system to specify who is responsible and who is operating in a rental market for trailers. We should remember that rental trailers range from trailers used to cart excess household rubbish to the tip through to camping trailers for holidays and up to large commercial trailers. It is a big market. We must also take account of the important issue that, at the commercial level of the industry, drivers swap trailers regularly. In order to be fair to the drivers, there needs to be a simple way for them to check that the trailer is properly registered and safe. That is a key issue that we did not address at all in Committee.
My Lords, I take it that the intention of the amendment moved by the noble Lord, Lord Whitty, is to deal with the commercial HGV trailer market. He said that the issue is complex, and it is certainly that. There is a wide variety of renting, leasing and finance arrangements and they will all have different registration arrangements, so he is right that it is complex. However, it is no more complex than the situation for tractor units or rigid vehicles, which also have complex leasing and rental arrangements. Equally, the situation is no more complicated for a trailer than it is for a goods vehicle. I therefore cannot see why we need to have special consideration in this legislation in the way that the noble Lord suggests.
The noble Baroness, Lady Randerson, suggested that operators would not know which trailer is which. However, we already have the ministry plate which is attached to the trailer along with the goods vehicle test disc. Moreover, there is a chassis number on the trailer and the manufacturer’s plate.
For clarity, I was referring to the casual observer rather than the industry insider, or indeed the police or any law enforcement agency that sought to check.
Yes, my Lords. As I understand it, there will also be a conventional number plate on the trailer. Once it is registered under this legislation, it will have a number plate in the same way as a rigid vehicle.
The noble Baroness touched on smaller trailers for private use. My comments are particularly aimed at the commercial sector.
(6 years, 8 months ago)
Grand CommitteeMy Lords, my Amendment 23 is an attempt to tackle the issue in a parallel manner. It takes on board the Delegated Powers Committee report which I think we can say was not entirely favourable. Last week, I quoted the committee as saying that the Bill is,
“more of a mission statement than legislation”.
As the noble Lord just said, the committee specifically referred to Clauses 1 to 5 all beginning with the words, “Regulations may”. It also chastised the Department for Transport for not producing some illustrative regulations alongside the Bill and urged us to probe the Government in Committee. I am trying to follow its advice.
As the committee report highlights, 16 of the 24 clauses contain delegated powers, all of them subject only to the negative procedure. Amendment 23 attempts to rectify this, ensuring that the substantive clauses of the Bill are subject to the affirmative procedure.
I also want to note that the Constitution Committee said specifically that Bills like this are difficult for Parliament to scrutinise and—this is the key phrase—present a fundamental challenge to the balance of power between Parliament and the Executive. Given the reference just now by the noble Lord to the number of statutory instruments that we have coming through, it is important that we continue to maintain a more stringent attitude to SIs than is indicated by the Bill as currently written.
Amendment 21 particularly highlights Clause 17, which would give the Secretary of State the power to create offences by statutory instrument. Labour’s Amendments 24, 25 and 27 relate to the sifting committee for statutory instruments, which was recommended in the report of the Delegated Powers Committee. I believe that these are very sound suggestions and I support them. There are good reasons for adopting a more rigorous attitude towards this and I am sure that the Minister would be the first to admit that at this stage the Government do not have absolute clarity as to how they are going forward. To my mind, that is an even stronger argument for why we should have some form of sunset clause and sifting to ensure that the important elements of this Bill are properly scrutinised in the future.
My Lords, I have no idea why your Lordships keep banging on about affirmative orders and want everything to be done by the affirmative procedure. It is good that we have my noble friend the chairman of the Delegated Powers and Regulatory Reform Committee with us, and we have his counsel. However, in my opinion, and it may be wrong, his committee keeps recommending the affirmative procedure when it is not appropriate.
These are insignificant matters. We are talking about having an international permit for heavy goods vehicles and about registering trailers. The Bill does not provide for significant or severe penalties—they are limited in the Bill. But my noble friend the Minister can make drastic changes by means of negative instruments. For instance, using Section 42 of the Road Traffic Act 1988, she can change the construction and use regulations, having decided one day that every car must have a 20 kilogram dry-powder fire extinguisher. That would be really painful and a tremendous waste of money, but she can do that under the negative procedure. Or she could put a requirement in the construction and use regulations that it is very easy to fall foul of. That would be undesirable, but again, she can do so under the negative procedure.
It there was a problem with the regulations that will arise from this Bill or with a negative instrument—perhaps the penalties are too severe, although they are limited, or have other unintended consequences—the negative instrument can be prayed against; I think the praying period is 40 days. Industry and stakeholders have very good means of alerting Her Majesty’s Opposition to any problems with new regulations. If there are undesirable effects, the Opposition and other parliamentarians have a range of tools they can use to flag them up. Her Majesty’s Opposition can require a negative instrument to be debated on the Floor of the House, and they can also make sure that it takes place in prime time.
I recall the noble Earl saying similar things last time, but he knows as well as I do that the precedents for that kind of activity—that kind of movement against negative instruments—indicate how difficult it is to actually change anything. He knows there is an outcry if we try to deal with things like that in the way that he describes. Is it not therefore better to have a more precautionary approach? Although the issues here might seem small, the big issue of whether we can trade properly abroad and with our neighbours is fundamental to the whole economy. I think the noble Earl would accept that the tenor across the Room today has not been that of a group of people seeking minute regulation. There has been a very reasonable attitude towards increasing regulation.
On the precautionary principle, the problem I have is that we are using precious time to debate things that we do not need to. When I was an Opposition Front-Bench spokesman, I dealt with affirmative orders while thinking, “Why in God’s name are we debating this?” One day, the noble Baroness, Lady Symons, came in with a defence order—a Foreign Office order or something. She made a big speech, and I just smiled at her and then the order went through.
The other point that the noble Baroness raised was about the difference between an affirmative order and a negative one. The ability to debate it and to change it is no different whether the order is affirmative or negative. The only difference is whether it has to be debated or whether it gets debated only if we can flag it up: our ability to amend it is no different. I am going to get killed now.
My Lords, my Amendment 28 in this group is to Clause 23. It provides a sunset clause which would cause Clauses 1 and 3 to expire after three years, which is a period that the Secretary of State could extend by affirmative resolution. This was recommended by the Delegated Powers Committee.
Amendment 22 to Clause 21, moved by the noble Lord, Lord Tunnicliffe, requires the Secretary of State to lay a draft of the regulations he intends to make under Clauses 1 to 5 and 2 to 18 before the House within three months of the Bill passing. I understand the purpose of this: to improve scrutiny and introduce a sunset clause, but I am not sure that we support the three-month timeframe in this case. We expect the Secretary of State to consult thoroughly before making the regulations and, to my mind, three months is not a realistic period. I understand that the need to make law quickly has to be balanced by the need to make law well, and that always requires consultation, but the Minister has our sympathy if she has to keep to a three-month timescale. I think that that is overly ambitious, but the principle of a period within which the work has to be done is very good.
My Lords, I have some sympathy for the noble Baroness’s amendment. I have general concern about Acts of Parliament hanging around on the statute book that have not been commenced. I have drafted an amendment that I have not used yet—I will willingly share it with the noble Baroness—and discussed it with officials, along with my noble friend Lord Young of Cookham. Some pretty high-profile bits of legislation have hung around causing hellacious problems when the Government did not implement them. I have sympathy with her amendment, but I suspect that there are reasons why it is not appropriate for the Bill, although we need to stop legislation hanging around that has not been commenced.
To clarify, the reason for this is that with most Bills we pass here, the Government believe that they need the legislation—whether we like it or not—and have a clear idea of how they are going to implement it. This Bill suffers from a number of uncertainties over exactly how it is going to work in practice and even whether it will be needed. It is worth remembering the Minister’s opening words, which were to the effect that this was a Bill the Government hoped they did not need.
(6 years, 8 months ago)
Grand CommitteeMy Lords, I rise to speak specifically to Amendment 12, to which I added my name, but also to the group as a whole, because it covers the cost of all this to the haulage industry: the cost of UK-registered vehicles operating in the EU; the efficiency of haulage after Brexit; future arrangements for the international transport of goods; and the cost impact. I have a slight feeling of Groundhog Day. I will spare your Lordships much of the detail, but I have been through this once in the previous 24 hours, during the EU withdrawal Bill debate, when we covered some of the same territory. For the sake of variety, I will say a few different things because there are plenty of things to say.
A report came out today—hence it was not the topic of my speech last night—by Clifford Chance and Oliver Wyman. It estimates that the costs to business of Brexit in terms of customs arrangements, additional legal and bureaucratic requirements and haulage requirements in relation to customs arrangements for goods in transit will be £32.8 billion. I always measure things in relation to £350 million, for reasons that might be obvious to some noble Lords here; that figure comes out at roughly double £350 million a week. That is a very significant issue and I am delighted that the noble Lord, Lord Campbell-Savours, illustrated the situation so well with original documents. I recall that, a year ago, one of the haulage organisations—forgive me, I am delving into my memory and cannot remember which one—sent us a briefing about the costs to the haulage industry. It illustrated them by saying that, depending on the type of goods being carried, driving from the UK to Italy and back could require 64 different pieces of documentation. In this day and age, I am sure that would not be pieces of paper, but people have to fill in the forms online in just the same way. Anyone who spends as much time filling in forms online as I do will know that it is very easy to make one of the mistakes referred to by the noble Lord.
Last night, we talked about delays at the ports. Dover is a particularly stark example because of its geographical configuration and the built-up area around it. That all adds to the cost, and the issue of permits and other documentation is key to getting the lorries through Dover and all the other ports as quickly as possible.
The amendments address the impact of additional border controls and delays, the costs of which go well beyond the haulage industry. When we had Operation Stack—and Dover port is predicting worse queues than Operation Stack as a regular feature—it cost the police and council in Kent £1 million a day. All these other things add up, so it is so important that any permit system is simple, straightforward and as flexible as possible.
I also emphasised last night that we talk all the time about the cost to government, but businesses have to internalise and absorb those costs or pass them on to their customers. In the case of large companies, that might be quite reasonable over a period, but there are SMEs that have only ever exported to EU countries. They will never have dealt with custom systems before, and will not be familiar with the whole process. They will have to set up whole new departments and systems, which will be of significant cost to business and have significant impact on our industry. That applies across the board.
The Clifford Chance report picked out the impact on the car industry because car parts move across borders frequently during their production. The impact will be on car manufacturers not just in this country but in other countries bringing their cars and car parts to us.
I very much hope that the Minister will be able to assure us that the Government are doing some work on this and will soon be able to produce some hard figures. Reports have been published. They may be accurate or inaccurate, but the work has been done. Individual industries are doing that work. It would be very useful if we had some information on what the Government calculate will be the impact.
My Lords, I see merit in some of the amendments. Clearly, we need to know the outcome of the negotiation and what the impact will be. The noble Lord, Lord Campbell-Savours, mentioned demurrage, which is a good point. If you have a complex system, you can foul up. The problem for a small haulier is getting anyone to pay demurrage. It might be in the contract, but you try getting your customer to pay it for a small haulage business: you will struggle. It may be okay if you have a supertanker and your contract agreed on the Baltic Exchange, but for a little haulage deal? Forget it.
The Committee needs to consider the position of our EU partners. It is not in their interest to have a complex system either. We have the Hams Hall engine plant making BMW engines that have to go to Germany. We know perfectly well that automotive components go backwards and forwards several times, as the noble Baroness, Lady Randerson, said. It is in no one’s interest to have a complex system.
(8 years ago)
Lords ChamberMy Lords, I take this opportunity to thank the Minister for his courtesy in giving us his time in meetings, and I thank his officials for their work. We are grateful for the care with which he has considered our amendments and has responded to them, even when he was rejecting them.
We on these Benches support the principles behind the Bill and we are pleased that the Government are attempting to improve bus services. For some 30 years, since the Thatcher Government introduced deregulation, bus services outside London have been a story of decline. In contrast, buses have thrived in London within a much more regulated system. Although franchising may not be the whole answer—indeed, may not be the answer used in much of the country—we believe that partnerships have a much more active role to play for local authorities as well as for bus companies. They mark an important way forward.
Good bus services are an important part of a thriving economy. They are the most frequently used form of public transport and are essential to the mobility of older people, young people and, in particular, those who are less well-off. They are essential to the sustainability of rural communities and for a healthy environment. Air quality is a major issue of public concern, as the Government are painfully aware at this time, so frequent, reliable and reasonably priced bus services are key to discouraging car use. We hope the Bill will improve bus services and I hope our contributions on the issues of emissions, disabled access, youth fares and so on have helped to focus the Minister’s mind and those of his colleagues on ways the Bill needed to be improved and on ways in which a more ambitious approach might future-proof the Bill and make it more robust for the years ahead. I hope our work here in this House has done enough to make it strong enough to succeed in its aims.
My Lords, as is customary at this stage in the passage of a Bill, I shall be brief. Obviously the amendment moved by my noble friend the Minister is a good one. As he has said on several occasions, the overall aim of the Bill is to make bus services even better, and I agree with everything just said by the noble Baroness, Lady Randerson, about the importance of bus services. There is much to support in the Bill, not least because it will pave the way for even greater partnership working between bus operators and local authorities. I was especially delighted to see the Government amend the Bill to ensure that passengers will have greater access to bus service information. This will make travelling on buses easier and perhaps a less daunting experience not only for those with disabilities, but for everyone.
However, not all the changes we have made were, I believe, so welcome. Giving any and all local authorities access to franchising powers is, in my view, a mistake. It will just serve to introduce uncertainty into the bus market and bus companies will have no incentive to invest. There will be no incentive to buy new vehicles, to keep passengers happy or to react to their needs, which runs counter to the overall aim of the Bill. This House prides itself on being a revising Chamber and it has certainly revised the Bill, so let us see what becomes of it when it reaches the other place. I hope that the next time we see it, the Bill will do what it says on the tin and enable local bus services to flourish and deliver for passengers.
(8 years, 1 month ago)
Lords ChamberMy Lords, many of the amendments to the Bill have dealt with issues of detail and degree, but not so with this amendment, which is appropriately numbered 111. It involves a fundamental principle. I am bewildered why the Government are clinging to this nasty and mean-spirited clause which is totally at odds with the purpose of the Bill as a whole. Indeed, earlier today the Minister reaffirmed to us that this is a devolutionary Bill.
We on these Benches strongly support the principles behind the Bill. They will give local authorities more control over local bus services after three decades of decline since the deregulation of bus services in the 1980s. We have been fully supportive of the Government’s attempts to strengthen the role of local authorities in setting up both partnerships and franchise agreements. We believe that the structure being created through the Bill should raise the game of bus operators and at the same time should encourage local authorities to be much more proactive in recognising and supporting the role of bus services in their communities—local authorities will thus be able to raise their game as well to ensure that they are all as proactive as the best now are. We will have more Readings and fewer Oxfordshires, for example. So it is truly amazing and counterintuitive for the Minister to cling to this clause which takes away powers from local authorities in a Bill that is designed overall to give them more powers.
I am not convinced by the Minister’s arguments so far on why the clause needs to be in the Bill. I have listened carefully to him and read Hansard to analyse the thinking behind the clause. As the noble Lord has just pointed out, municipal bus services actually do rather well. I say to the Minister: go with the evidence. Municipal bus services, of which there are approximately a dozen, consistently feature in among the 10 best-performing bus companies in Britain—I give him just two examples: Nottingham and Reading. There are also very good examples of municipal bus services which work in partnership with commercial operators, bestriding the divide between local authorities and commercial operators. Such municipal operators are the remnants of the system that existed prior to deregulation. I remind noble Lords that, despite still having the power to set up bus companies, local authorities have not rushed out in the past 30 years to set them up. Rarely has there been anything other than a gradual dwindling in the number of such companies. Why are the Government determined to intervene now?
We have to bear in mind that bus services might need the intervention of local authorities in the future. Local authorities might want to set up new bus companies. For example, a rural authority, faced with the collapse of its local bus company, might want to run its own limited service, integrating specialist transport for schools and social services with regular bus services.
What part of Conservative dogma does this clause serve? There is no doubt that we are legislating here for decades ahead—the previous Act was 30 years ago. The Government need to be flexible and far-sighted. On these Benches, we are certainly not in favour of large-scale renationalisation of bus services, but we are a devolutionary party which believes that local authorities should have ultimate responsibility for ensuring that local bus services are provided where they are needed. For that, they need all the powers in their armoury, so I ask the Minister to let them retain them by deleting Clause 21.
My Lords, despite the passion shown by the noble Lord, Lord Kennedy of Southwark, I am afraid that I am still not convinced by the renewed arguments for removing this clause. No one denies that existing locally owned bus companies are by and large a success story—I said as much in Committee. They have a great track record of securing awards and a very high satisfaction rate among their passengers. I can see nothing in this Bill that would change that and I wish those municipal bus companies every success as they continue to deliver for their customers.
The noble Lord, Lord Kennedy, asked: “What is wrong?” The only reason why a local authority would wish to set up its own bus company now would be to put it in prime position to win a franchise contract, a contract that its parent company, the local authority, was awarding. That would make something of a mockery of that franchise competition. Why would another bus operator go to all the expense, in both time and monetary terms, of submitting a bid for the franchise knowing that it was up against another company that was owned by the awarding authority? It would be a done deal from the start, so other operators in that area might as well shut up shop straightaway. I therefore disagree with the suggestion of the noble Baroness, Lady Randerson, that Clause 21 is not consistent with the objectives of the Bill. It is necessary to make the Bill work properly. Of course, a local authority company would also have to invest resources in submitting a bid, but those resources would come from the local authority, so the body awarding the franchise would have paid for its own company to bid. That does not seem right.
I have a final point which I believe is very important: there is nothing new in this clause. All it does is extend the bar on establishing a bus company to types of local authority that did not exist when the Transport Act 1985 was passed; for example, unitary authorities. The UK bus market has coped very well for the past 30 years without district councils being able to set up their own bus companies, so why the outcry now? I think that I have answered my own question: a combined authority or unitary authority, having secured the necessary powers, would want to establish its own bus company now only to gain a foothold in the franchise process and wipe out the competition. That is not an acceptable way of proceeding. I hope that my noble friend the Minister will vigorously resist the amendment and support Clause 21.
(8 years, 1 month ago)
Lords ChamberMy Lords, I am grateful to the noble Lord, Lord Bradshaw, for introducing his amendment. I find it quite interesting and I look forward to what counsel the Minister gives us. I understand why the noble Lord has put the tests in new subsections 5A(a) and (b), but I am worried that subsection 5A(a),
“unless … it has received complaints about the operation of the franchise”,
could be used as part of a spoiling process by an aggrieved third party. On subsection 5A(b),
“unless … there has consequently been a significant adverse effect on competition”—
admittedly, it talks about an adverse effect—the problem I have is that it is bound to have an effect on competition because it eliminates competition. So I have a lot of sympathy with the noble Lord’s amendment, subject to what the Minister says, but if we are going to go down that route the tests might need better drafting. It will be very interesting to see how the Minister advises the House.
My Lords, the noble Earl is raising a legitimate concern but, as much of the Bill is in a skeleton form with guidance to follow, I would have expected the spoiling process that he is warning about to be addressed in those guidance notes.
I remain seriously concerned about the tone and content of the CMA letter about the Bill to the Department for Transport, to which I drew noble Lords’ attention in Committee. It sets what I regard as an impossibly high bar: franchising should be allowed only if it is the only way to improve services. That is effectively impossible to prove. It is reasonable to ask local authorities to demonstrate that franchising is designed to improve services or that services need improvement. However, it is not possible for them to prove that there is nothing else they could possibly do, other than franchising, that would provide that improvement.
The Department for Transport has responded to the CMA, saying that it accepts the recommendations of the CMA letter in full. I am anxious to hear from the Minister in some detail about what impact accepting the recommendations will have on the Bill and its subsequent guidance. The CMA view seems to run counter to the thrust of the core aspects of the Bill, rendering it in practice likely to become yet another overcomplex piece of legislation on buses—sadly, along with the two attempts made by the previous Labour Governments—to reverse the impact of deregulation. We support the Government’s intentions with the Bill and we think they are working very strongly on the right lines, but we are concerned that inadvertently, as a result of the CMA’s response, their approach might be undermined.
Our concern, expressed in these amendments, is that the CMA could be seen to be overpowerful in this context. Given that it is clearly at odds with the thinking of the Department for Transport in some respects, it is important that the CMA is not allowed to become judge and jury in these cases. If it is consulted beforehand, it should not be allowed to come back after decisions are made unless there are genuine causes for concern as to how the franchise is working.
(8 years, 4 months ago)
Lords ChamberMy Lords, this amendment would add an additional subsection to the list of requirements for an enhanced partnership scheme. The ability of commercial bus operators to set their own fares is a key feature of the deregulated market. Of course, fare structures are set competitively in the same way as any commercial enterprise looks at its cost base and what its competitors are charging and then structures its charges accordingly. The competition authorities have important safeguards in place to ensure that bus companies do not collude to stitch up the market and set fares at levels that disadvantage passengers, so there are already checks and balances. As an aside, I have heard people say that bus operators are charging people off their services by setting fares so high that they deter passengers. What nonsense. Why would a bus operator want to charge so much that no one uses their services?
Clause 9 inserts new Section 138C into the Transport Act 2000, setting out the requirements for an advanced partnership scheme. There are many useful things in here and I very much support the concept of enhanced partnerships where quality partnerships or even advanced quality partnerships have not been possible, for whatever reason. It would be an important addition to this new section if fare structures can be specified in an enhanced partnership only where all the bus operators in the partnership agree. Bus operators have the expertise to make these sorts of decisions and have been doing so for decades. It really should be their call, within the usual constraints of what is reasonable, on what the market will tolerate and so on. I do not think that local authorities have this expertise. Therefore, fare structures within an enhanced partnership should be for the bus operators to determine collectively. I beg to move.
Before I speak to the amendments in my name, I will contribute to the debate on the amendment of the noble Earl, Lord Attlee, which puzzles me. I cannot understand how a bus operator would be about to enter into an enhanced partnership if it did not agree with something as fundamental as the fare structure. The enhanced partnership would not be taking place. This is not something that local authorities are forcing bus companies to do; it is an agreement that is entered into by both sides. Therefore, if they could not agree on the fare structure, it would not be going ahead. I find the amendment puzzling.
Amendments 96 to 99 seek to find out more about how the Government envisage the system will work for enhanced partnerships. Once again we are trying to tackle the potential power of a bus operator to block an agreement or a partnership in an unreasonable manner. New Section 138F(11) refers to what the regulations may cover. But, to be honest—and I have read this a dozen times—it is pretty meaningless without seeing the draft of the regulations. So Amendments 97 and 99 require that the regulations be approved by Parliament—they cannot be slipped through by negative resolution. The important thing is that both Houses get the chance to debate the practicality and robustness of the regulations.
I remind noble Lords of what I said the last time we debated these issues. First, the Bill is a skeleton Bill. It stands or falls on the quality of the regulations. Basically, in this part of the Bill, we are being asked to approve a blank sheet of paper because we have no concept of what the regulations will look like. I remind the Minister that there are no guarantees of success for the Bill. The fact that there is a great deal of cross-party agreement with the principles of it does not mean that it will actually work in practice, because two previous attempts failed. The 2000 and 2008 Acts have not been practical. The practicality of the Bill lies in the regulations.
Secondly, I am not confident that even the Minister and his officials have a clear view yet of how some of this will work. I say this not out of any kind of inspired thought process but because the Explanatory Memorandum actually says at one point that the policy has not yet been finalised on an issue. You think to yourself, “If the Explanatory Memorandum confesses that the Government have not got round to the policy yet, clearly the regulations have not been prepared and the practicality and difficulties of them have not been assessed”.
I turn to Amendment 98. The concept is introduced elsewhere in the Bill that unreasonable objections should not be allowed. I am puzzled about why there is no mention of the concept at this point in the Bill. In this case, the provision allows objections on a purely numerical basis, rather than introducing again—consistently, I would argue—the concept that an objection might be unreasonable. This amendment attempts to introduce the concept of unreasonable objections to enhanced partnerships and address how they should be dealt with and tested. We suggest that, in the case of unreasonable objections, local authorities should have an appeal mechanism to a traffic commissioner. I hope the Minister will take on board the spirit of these amendments in an attempt to find out more details and practicalities of how this will actually work.
Amendment 127A in my name would insert a new clause after Clause 21 that would cover essentially two things. First, it would phase out the bus service operators grant, with the money instead going to local transport authorities. Secondly, where there would otherwise be no bus service, yet there is a demand for such a service, it places an obligation on local transport authorities to work with specialist and community operators in partnership.
On the bus service operators grant, in a recent reply to me the Minister stated that this grant is worth £250 million a year to bus operators and local authorities, and that it has helped to extend the rural bus network by 13%. But that is only part of the picture. Basically, the bus service operators grant is going directly to operators. It is a poor incentive, particularly to greater energy efficiency. It represents the largest proportion of direct funding for the bus industry outside concessionary travel, which, of course, is not a subsidy. I believe that BSOG is currently paid to operators at a rate of 34.57p per litre of fuel used for running eligible bus services. Because it is directly linked to fuel consumption, a bus operator receives more subsidy if it increases its fuel consumption. It is therefore poorly linked to environmental objectives. BSOG artificially lowers the price of fuel and therefore reduces commercial incentives to bus operators to invest in more expensive low-carbon buses which deliver longer-term fuel and carbon savings.
At the moment, the grant subsidises bus journeys regardless of value or profitability of the service. Therefore, my amendment suggests that this grant should be phased out and that the money should go directly to local authorities. I suggest that it needs to be ring-fenced. These are, after all, tough times for local authorities and we need to ensure that the money is retained for the subsidy of bus services. Local authorities are well placed to decide local needs and priorities and to use the money to help them meet the objectives they set in their local transport plans; for example, the greening of their bus fleets. It is reasonable for the Government to decide what type of schemes can be covered by the grant but to leave it up to local authorities to choose local priorities. Crucially, the grant could be used to offer tenders to bus companies when otherwise local services would be withdrawn. I remind noble Lords that small operators, in particular, work to very small profit margins in some areas, particularly rural areas. Life as an operator in such areas is very tough and often on the margins. This grant could be used to assist them. We need to give local authorities the tools to encourage operators to keep running rural services.
Finally on this issue, as I understand it, the Government have already said that the bus service operators grant will be devolved to local authorities where franchising exists, so clearly there is no objection in principle to that. I urge the Minister to apply that approach everywhere.
The second part of the amendment is designed to ensure that local authorities work with other organisations which have a responsibility to provide local transport services, such as education, health and social services. In practice, this often means one local authority department being asked to co-operate with another local authority department, or it could mean co-operation with a neighbouring authority or with the Post Office or the health service. It seems to me simple common sense to require local authorities to work with others to get what is in effect best value for money. This is already done by some local authorities so there is no reason why it should not be done by many more. This amendment encourages them to do this. It does not force them to do it; it simply encourages them. I urge the Minister to give that serious consideration. I beg to move.
My Lords, I have always had concerns about the fuel efficiency argument that the noble Baroness so skilfully articulated. I do not oppose her vision but do not quite understand why the proposed new grant to local authorities would not get swallowed up in their general budget and not result in any additional services. If the noble Baroness would touch on that point, it would be helpful.
(8 years, 4 months ago)
Lords ChamberMy Lords, I do not know that, but I expect the Minister will tell us.
The agreement between the authorities that comprise those areas is hard fought. Some tough battles are still extant where devolution deals just could not be worked through. Through their earlier legislation, the Government have established a process for a new kind of local authority, which has wide-ranging powers but first has to satisfy the Government that the right kind of structures and accountability are in place. The amendments would give the same wide-ranging powers to local authorities that have not taken those brave and often difficult political steps.
I am afraid therefore that I disagree with those noble Lords who say that this Bill treats local authorities without elected mayors or an agreed devolution deal differently from those who have. There is no unfairness here. It is a simple fact that authorities with elected mayors and agreed devolution deals already have government approval to introduce bus franchising; other local authorities do not. What would be unfair, I believe, is allowing any local authority access to bus franchising powers without having gone through the democratic process of electing a mayor and acquiring government agreement to a devolution deal. I am not at all convinced by the arguments put forward for these amendments and the Minister has my full support should he ask the Committee to resist them.
My Lords, the amendment to which I have added my name, along with the noble Baroness, Lady Jones, would remove the power of the Secretary of State to decide what other local authorities, along with mayoral authorities, may have franchising powers. The report of the Delegated Powers and Regulatory Reform Committee states that it is,
“puzzled by the implication in the memorandum that mayoral combined authorities have expressed an interest in pursuing a franchising approach, given that there are currently no combined authorities with a mayor”.
Although an order has been made preparing Greater Manchester for this situation, its mayor will not be elected until 2017. I would be interested to hear the Minister’s response on exactly what the provision in the Explanatory Memorandum refers to. Does it refer to Manchester or other areas? Even more fundamentally, why should a mayor be any better at running bus services than a designated executive member within a transport authority? After all, the previous Mayor of London did not have a glorious record when running the buses. A great deal of resources were wasted on the “Boris bus”, and the fact that London buses run very well is down to the experience and expertise built up over many years by Transport for London. Compare the record to which I have just referred with that of Reading, which has an excellent municipal bus service run on a traditional civic structure, and has had the wisdom to invest well in its bus services over the years and maintain its municipal service operating at arm’s length from the council.
I give another example: the Mayor of Liverpool, in his wisdom, shut all the bus lanes. I do not think those are examples of mayors’ wonderful wisdom trumping other forms of local government organisation. I am puzzled about the position in which this Bill puts Cornwall, because, as the noble Lord said, Cornwall was promised franchising as part of its devolution deal but now, according to the Bill, has to get the Secretary of State’s permission to go ahead with franchising. Previously in Committee, My noble friend Lady Scott referred to Jersey as an excellent example of how franchising can work, even with small authorities. Jersey has 80 buses and a population of 100,000, but has increased bus passenger usage by 32% since it had franchising, saved more than £1 million a year in public subsidy, added five routes and increased the frequency of its buses. That is an example of franchising working in a very small locality. Therefore, I very much hope that the Secretary of State will accept our arguments, agree to look at this issue and consider whether the need for the Secretary of State to intervene can be removed from the Bill. I hope the Minister can give us hope in this regard.
(8 years, 4 months ago)
Lords ChamberMy Lords, not-for-profit bus services, or community transport, cover a wide spectrum of services, including those operated by charities. I am the first to praise the extraordinary work the sector does for people who need a lot of support in their daily lives—drivers who walk users to their door to make sure they have not lost their keys and then carry their shopping into the hall are local heroes. The sector can also plug a few gaps in services for the general public where there are not enough passengers to make a route a commercial proposition and the hard-pushed local authority does not have sufficient resources to fund a standard bus service.
However, I urge my noble friend the Minister to resist the amendment. Community transport services are not subject to the same regulatory regime as local bus services. Their drivers are not subject to the same stringent training regime as those driving registered services, nor do they need to satisfy many of the other compliance requirements set down by the traffic commissioner.
Services operated under Section 19 of the Transport Act 1985—it is mainly this type of service we are talking about with this amendment—are exempt from many safety and fair competition rules so long as they are not provided to the general public. So how on earth can they contribute to the success or otherwise of a franchise?
The whole issue of services operated under Section 19 and indeed Section 22, permits has been a bone of contention for many years with the EU. If community transport operators were required to enter the local bus market and operate under the same rules as operators of registered services, it would be a different matter, but they are not. There is no level playing field and, at the moment, community transport operators are able to operate more cheaply but without the regulatory safeguards in place for other operators. I therefore urge my noble friend to resist the amendment as gently as he can.
My Lords, in contrast, I support the noble Lord, Lord Kennedy, in his amendment, because I believe strongly that there is a valuable role for community transport and not-for-profit operators. That role is particularly important in rural areas. I take this opportunity to thank the Minister for the very useful letter that I received today, which gives great detail about the Government’s approach to rural areas. I regret that the information is not in the formal impact assessment; nevertheless, it is now publicly available and useful to us all.
It is important not just that not-for-profit operators work in rural areas but that we look at the widest possible range of community-based schemes in urban areas as well. I give as an example Hackney Community Transport, which operates commercial services for Transport for London, and Ealing Community Transport, which runs buses in Dorset with Go-Ahead. Those are urban examples that have spread out from the area where they started, but the point I am making is that community-based and not-for-profit transport services are part of a flexible mix. If we are truly to improve bus services, we must have more variety: we must have an alternative to the big five bus companies which effectively run the vast majority of bus services outside London. Although they compete, in most cases they do not do so on the ground—they rarely compete against each other service to service. We need an alternative to that if we are to have a flourishing bus service throughout Britain.
My Lords, I support the comments of my noble friend. I had not intended to speak, but the noble Earl, Lord Attlee, slightly provoked me into it when he commented that not-for-profit services “plug a few gaps”. I can tell him that in areas such as mine, in Suffolk, they are the service. Almost all rural areas in Suffolk now have no bus service.
I agree with the noble Earl that I would not want community transport schemes to be tied up in a whole plethora of red tape, but nor would I want emerging franchising models to ignore the opportunities provided, in the way that my noble friend Lady Randerson has described, or inadvertently to disadvantage smaller community services. It is easy to see how you could do that—by cherry picking parts of their routes and not linking with others, you can affect their viability. Whether it is an urban or a rural area, but particularly in the rural area I know, it is important to understand and get the ecology of the bus industry right: to understand that something you do to one part is going to impact on another.
(8 years, 4 months ago)
Lords ChamberThe noble Lord will know that London bus operations have been regulated for some time, so the issue does not arise in London. It is a new situation.
Under any other circumstances this practice would be prohibited under the provisions of the Competition Act, so why is it okay in this case?
I remind the Committee that when the passenger transport executives sold their bus operations after deregulation in the mid-1980s, such data were a huge factor in the price they sold those businesses for in the private sector. That slightly answers the point of the noble Lord, Lord Berkeley. However, 30 years on, such data appear to have no value and local authorities can get back for nothing what they originally sold for rather a lot of money, with operators providing the means to determine their own execution.
My amendment does not put a monetary value on the data simply because they will be different in each case; I am suggesting that operators and the authority should come to an agreement on their worth. I am under no illusion—such agreement is not likely to be easy and may not actually be achievable at all. In that vein, I hope that my noble friend the Minister does not regard this as a wrecking amendment. That is certainly not my intention and I will not be seeking to test the views of noble Lords on this point at any stage. However, I hope that he will be able to give some words of comfort to bus operators. Intellectual property must surely have a value, as does good will.
My Lords, I rise to speak to Amendment 74 tabled in my name. Before I address it specifically, I will say that we are supportive of Amendment 70. It deals with air quality data, which I have addressed on several occasions in discussions on previous amendments. However, we would certainly not be supportive of the noble Earl’s Amendment 72. For a start, it is about information that any reasonably good operator will have at their fingertips. We are not asking operators to do a great deal of work to find these data; they are all easily available. Secondly, the noble Earl states that this is a reasonable request but this information is publicly available as regards the railways, for example, and there is no reason why we should have this level of information about the railways but not about bus services.
Does the noble Baroness agree that if, without the benefit of the legislation, one operator shared this information with another operator, it would be in serious difficulties with the competition authorities?
That is a separate issue. The issue here is enabling local authorities to make a reasonable judgment in order to produce a good franchising scheme. I accept that there are separate issues to be addressed in relation to competition.
I turn to Amendment 74, on the power to obtain information about local services and franchising, and the handling of that information. This is purely a probing amendment designed to investigate the unevenness within the Bill. I have referred to the uneven approach to the three types of schemes and simply wish to point out to the Minister that on page 58 of the Bill appear identical words to those in my amendment, which set out the circumstances in which information could be disclosed in the case of enhanced partnerships. However, in the case of franchising, on page 33 there are no such caveats or restrictions on the use of the information. I am interested to find out from the Minister the legal reason behind this—or is it just chance that there is a long list of things that one can and cannot do with that information in the case of enhanced partnerships, but which are not included in the list on franchising?
(10 years, 8 months ago)
Lords ChamberMy Lords, the House has been extremely flexible about what we have discussed. We are really supposed to be discussing Amendment 1 and whether or not we should adopt it. My noble friend the Minister has answered quite a few questions and we ought to let her wind up this debate and move on.
I will, however, answer the noble Lord’s question. I am not speaking of specific numbers because that is also for the inquiry, but the issue is this: letters were sent following inquiries from a number of people. Those who received a letter that said “There are no known issues against you” were therefore free, if they wished, to return without fear of prosecution. Not everyone who made an inquiry received a letter of that nature. Does that make it clear to the noble Lord? By implication, therefore, there were ongoing inquiries in many cases. That is an important fact that reveals the nature of the exercise; there were and are ongoing inquiries in many cases.
(11 years ago)
Lords ChamberThe noble Baroness has given me a large number of questions to answer and I will do my best to cover all the major points. I take issue with her opening comment that the Government have accepted the majority of the Silk recommendations. Although technically that is the case, I feel that it is a pretty large majority to accept 30 out of 31 recommendations. “The overwhelming majority” is the way I would put it.
The noble Baroness makes the point that the Welsh economy is lagging behind the rest of the UK. It has lagged behind the rest of the UK for many decades. It is a matter of great sadness to me as someone who lives in Wales that it has fallen further and further behind the rest of the UK. This is not a recent thing since the coalition Government came to power: it is something that has existed for far too long, and the coalition Government, in making this series of announcements today, are determined to give the Welsh Government and the National Assembly for Wales the tools with which to do the job—the tools with which to repair the Welsh economy and ensure that it becomes fully efficient and effective again.
On the timing for the M4 financial package, our intention, as with everything else in this series of announcements, is to ensure that it can be put into practice as soon as possible. Early borrowing powers will be put into practice very rapidly. The Welsh Government are currently undertaking a consultation on a possible route for the M4 relief road and it is clearly going to be some time before any kind of actual building on the ground will take place. But I promise the noble Baroness that the tools will be in the hands of the Welsh Government in plenty of time to undertake that. It is the Government’s intention to ensure that that legislation is passed in this Parliament if at all possible. We intend to set about that with all speed.
In relation to the question on the level of borrowing that the Welsh Government will be able to undertake, clearly, as with prudence in one’s household budget, the level of borrowing that one can undertake must be related to the potential for revenue raising—your potential income. There will be one level of borrowing possible for the Welsh Government with the minor taxes, but there will be a much higher level of borrowing if the Welsh Government and the Assembly go forward with a referendum and the people of Wales vote yes on that. The timing of the referendum is firmly in the hands of the Welsh Assembly and Welsh Government, and that is appropriate.
The noble Baroness asked about the model for income tax devolution. The Government have taken the view that the Scottish model is appropriate. It has been welcomed in many quarters and therefore it is a good model to follow in this case, particularly as Wales has a very porous border and people move all the time across the border—very much more than they do between Scotland and England. There was concern that the model of income tax put forward in the Silk commission report could lead to an imbalance in terms of tax receipts.
Finally, the noble Baroness referred to the October 2012 joint statement. She asked what would be the trigger for reviewing funding for Wales. The trigger would be agreement that convergence was occurring again. At the moment, there is divergence. It is estimated and, I believe, agreed by both the Treasury and the Welsh Government that it is likely to be at least 2017 before convergence occurs again. The Liberal Democrats have always been in favour of a very high level of devolution and I strongly welcome, as does my right honourable friend the Secretary of State for Wales, the fact that I am able to make this Statement here today.
My Lords, may I remind the House of the benefit of short questions to my noble friend the Minister so that she can answer as many as possible? I can help.
(11 years, 11 months ago)
Lords ChamberI thank the noble Lord for his response. The key point he made, which was also made in the other place, was that we would not tolerate this kind of behaviour and violence in Cardiff, London or Edinburgh and therefore we must not tolerate it in Belfast. We must condemn it strongly and insist that any issues of frustration or differences of opinion have to be dealt with and aired through freedom of expression and opinion, not through violence. There is no place for violence in a modern democracy. Northern Ireland has travelled a very long way in the past 10 to 15 years. When one looks back at the issues that the country faced 15 years ago, the progress that has been made is astonishing. It is important that we do not allow it to slip back, particularly, as the noble Lord pointed out, when 2013 offers the opportunity to bring the world spotlight on to Northern Ireland and to give it a real opportunity for economic progress.
The noble Lord referred to a number of issues. The first was the resources that have been provided. My right honourable friend the Secretary of State has had discussions with the chief constable, who regards himself as having sufficient resources. In the Statement, I referred to the extra £200 million that was given to take the PSNI through to 2015. However, there are now further discussions about any need for additional resources after that. My right honourable friend the Secretary of State is very willing to consider additional resources if it is felt that they are needed.
My right honourable friend the Secretary of State has kept the Prime Minister closely informed. The Prime Minister is extremely concerned and is in close touch on what is happening in Northern Ireland at this moment. She has also had a number of meetings and telephone discussions. She has spoken with David Ford, the Justice Minister in Northern Ireland, three times over the past week. She has spoken with the chief constable three times and has spoken to the MP for East Belfast, Naomi Long. I know that she—and, indeed, I—would be happy to do more if it were needed in order to ensure that people are brought together and that we bring an end to the appalling violence that we have seen in recent days.
My Lords, the whole House would benefit from short questions to the Minister so that she can answer as many as possible.
I thank the noble Lord very much for his comments. I freely and fully acknowledge that there have been a significant number of totally peaceful demonstrations in the past week. Unfortunately those people are overshadowed by those who decided that they wanted to provoke violence. The right to demonstrate peacefully is the core right of our democracy. That is absolutely accepted on all sides.
The timing of the decision on the flag on Belfast City Hall was a matter entirely for Belfast City Council. As for the noble Lord’s point on sectarianism, I join him in the hope that Northern Ireland politics will be less marked by sectarian differences in the future. He makes an interesting point about a new flag for Northern Ireland—one that I am sure will be well aired, now that he has raised the matter here. It is bound to be discussed with interest. I come from Wales and we talk a lot about the Welsh flag and the place of Wales in terms of the union jack. I can therefore understand the significance of a new flag, which could be an interesting option for the future.
My Lords, before we start the Question for Short Debate, I remind noble Lords of the speaking times. Except for the right reverend Prelate the Bishop of Derby, who has 10 minutes, and the Minister, who has 12 minutes, all speeches are limited to four minutes. I will be able to help noble Lords.
(12 years, 8 months ago)
Lords ChamberMy Lords, the document that the noble Lord, Lord Berkeley, referred to covers the Bristol metro. It would be very helpful to have a response from local stakeholders on how they want the balance to be struck between the needs of the metro system and those of longer-distance travellers.
Will the Minister give us an assurance that the franchise will be let in a manner that is compatible with the establishment of a south Wales valleys metro—a project on which there is a considerable degree of consensus and unanimity in the area?
My Lords, I am sure that officials take all relevant considerations into account, but I cannot comment on my noble friend’s particular point.
(13 years, 7 months ago)
Lords ChamberMy Lords, I am aware of the success of the lines. The noble Lord asked about a meeting. Yes, I will facilitate that. I think noble Lords need to understand that electrification can have a good business case when the existing rolling stock needs replacing and the frequency of vehicle movements is relatively high. That does not yet exist on the Ebbw Vale line.
My Lords, the announcement of the proposed electrification of the valley lines was strongly welcomed in Wales but there was some disappointment that the electrification of the First Great Western line did not go beyond Cardiff. I was very pleased to hear that the Government are keeping that under review. Can the Minister give us some detail of how that review will take place?
My Lords, Governments keep everything under review. It is important to understand that the rolling stock that will be used on the Great Western line is the bi-mode IEP train. The savings in time from Cardiff to Swansea will be minimal because the maximum speed on that line is severely restricted. Therefore, there would be no benefit from electrification in the short term.