Sustainable Aviation Fuel Bill
Lord Hendy of Richmond Hill ExcerptsTuesday 10th February 2026
(4 days, 21 hours ago)
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Member’s explanatory statement
This amendment and my other amendments to clause 1 provide that a revenue certainty contract can only relate to UK produced aviation fuel (as defined).
The Minister of State, Department for Transport (Lord Hendy of Richmond Hill) (Lab)
My Lords, I thank all noble Lords for their extensive engagement between Committee and Report. Amendments 1, 2 and 4 in my name will ensure that the Secretary of State can enter into revenue certainty contracts only where the supported SAF is produced at a facility in the United Kingdom. This will provide the industry with a clear signal of support. I hope that this measure reassures noble Lords that I have considered the contents of the amendments tabled in Committee by the noble Baroness, Lady Pidgeon, the noble Earl, Lord Russell, and the noble Lord, Lord Grayling. I thank noble Lords for their constructive engagement in reaching this position. I urge noble Lords to support the inclusion of these amendments in the Bill. I beg to move.
Lord Grayling (Con)
My Lords, I apologise to the Minister and the House that I was unable to be here in Committee because of a family crisis. I am very glad to be here today and to welcome these amendments. I have no intention of moving my own amendment since the Minister has addressed my concerns. The important thing was to ensure that nobody could game the system: that we knew that we were supporting UK manufacturing and not somebody playing a fast one on us by shipping mostly complete fuel to our country, polishing it up a bit and claiming it was British. The Minister has done that with these amendments and I very much welcome them. I am grateful to him and I support them.
Lord Moylan (Con)
My Lords, I wish only to congratulate my noble friend Lord Grayling on his amendment and, further, on having persuaded the Government to table alternative amendments that have the same effect as his. We have no objection to those amendments.
Lord Hendy of Richmond Hill (Lab)
I thank the noble Lord, Lord Grayling, for Amendment 5, which we debated in Committee, and for his contribution. I am very grateful to hear from all noble Lords that the amendments that the Government have tabled deal with the issue that was raised in Committee.
Member’s explanatory statement
See the explanatory statement for my first amendment to clause 1.
Lord Mackinlay of Richborough (Con)
My Lords, I am the director of the Global Warming Policy Foundation, so the House might believe that I am immediately against all this sort of thing, but that would not actually be true. I am certainly in favour of proper CO2 accounting, hence my support for Amendments 14 and 15.
We cannot do another Drax, dare I say, where we end up with a situation that sounds very renewable and sustainable, but when we peel the surface away, we are actually generating more CO2 in creating the final outcome than by doing nothing. My concern if we allow crops, particularly if they are imported sustainable fuels that are derived from crops, is we do not have the CO2 accounting arising in the UK, and we pat ourselves on the back and say how marvellous and virtuous we are, but the reality is that we have increased global CO2 on an undertaking that is anything but sustainable.
I would like an assurance from the Minister that, as we progress the sustainable aviation fuel future, there is proper mindfulness about the CO2 effects of what we are doing. One of my grave concerns about the power-to-fuel ambitions is that they require such a huge amount of energy in the creation of the fuel that, by the end of the process, we will have actually created a lot more CO2. I hope that we have learned something about CO2 accounting, particularly on the back of the Drax experience, which allows virgin forests from North America to be cut down, presumably powered by petrol. It then goes to drying mills run by gas, is put on a diesel-powered train to a shipping port, comes across the Atlantic by a diesel-powered ship and is then burnt in a power station in the UK, and, hey presto, we say that it is zero-carbon. We have to do better than that as we progress a net-zero future. I do not want to see us conned and just kidding ourselves and the public that we are doing something for the right reasons when actually we are creating more CO2. I would like that type of assurance from the Minister.
Lord Hendy of Richmond Hill (Lab)
My Lords, I thank all noble Lords who have taken part in this debate.
Amendment 3, tabled by the noble Lord, Lord Moylan, seeks to prevent the revenue certainty mechanism supporting power-to-liquid sustainable aviation fuel projects. However, as the noble Earl, Lord Russell, noted, Amendment 7 from the noble Lord, Lord Ravensdale, produces the reverse, in that it would require the Secretary of State to enter into at least one revenue certainty contract with a SAF producer that is using power-to-liquid technology.
We believe that there is value in potentially supporting power-to-liquid fuels because they have a high greenhouse gas emissions reduction potential, lower competition for their feedstocks and lower risk of wider environmental issues such as land use change. Adopting either of these amendments would limit the Government’s negotiation flexibility by setting criteria in advance, which could ultimately reduce overall value for money in the contracts agreed.
The Government will establish a fair and transparent contract allocation process to assess each project’s costs, benefits and risks. It is important that government retains the flexibility to support a range of technologies if they can deliver cost-effective greenhouse emissions reductions and support the SAF mandate obligations—and, to address the point made by the noble Lord, Lord Moylan, whenever they are able to do so. He cannot predict the future any more than I can, and in any event, there is a sunset clause to the Bill which means that it can be extended in five-yearly increments. We are currently developing our approach to allocation, and we will publish an allocation strategy which outlines our approach to different SAF technologies and how the revenue certainty mechanism will support mandate targets.
On Amendments 14, 15 and 16, our intention is for HEFA technology and feedstocks to be excluded from RCM contracts because HEFA SAF—I am sorry about all these acronyms—has already overcome many of the barriers to investment that the revenue certainty mechanism seeks to address. However, the SAF market is at an early stage and uncertain, so the legislation needs to remain flexible to allow for potential future changes in the market to which the revenue certainty mechanism may need to respond.
Lord Moylan (Con)
Could the noble Lord kindly repeat the beginning of that statement where he talked about the Government’s intentions on HEFA? It is important that the House hears exactly what the Minister is saying about that.
Lord Hendy of Richmond Hill (Lab)
Of course; I am very happy to repeat it.
Our intention is for HEFA technology and feedstocks to be excluded from RCM contracts because HEFA SAF has already overcome many of the barriers to investment that the revenue certainty mechanism seeks to address. However, the SAF market is at an early stage and uncertain, so the legislation needs to remain flexible to allow for potential future changes in the market to which the revenue certainty mechanism may need to respond.
I hear noble Lords’ concerns on growing crops for purposes other than food; the sustainability criteria in the revenue certainty mechanism will align with the sustainability criteria in the SAF mandate. This will be implemented through the eligibility criteria within the contract allocation process and will reflect the latest market and technological developments.
We are actively monitoring trends to ensure that the policy keeps pace with technical and commercial developments. Therefore, we have launched a call for evidence on the eligibility of crops in the SAF mandate, which will run until 16 March this year. It asks for evidence on potential benefits, risks and trade-offs of using crops in SAF production. In answer to the questions from the noble Lord, Lord Mackinlay of Richborough, about carbon dioxide, I am sure that evidence on that will be provided as a consequence of that call for evidence.
The call for evidence does not propose any changes to the SAF mandate. Should there be a case to review the feedstock eligibility criteria, it would be subject to consultation, and any changes would require amendments to legislation. We would not want to exclude specific feedstocks in the Bill in case updated evidence proves that they meet the sustainability criteria for eligibility in the SAF mandate.
In answer to the point raised by the noble Lord, Lord Harper, on the position of the United States, we note that, but we will run the consultation first to understand the evidence arising from the questions we have asked.
I thank the noble Lords, Lord Moylan and Lord Ravensdale, for tabling their amendments and ask that they do not press them based on the actions already being taken to give flexibility and ensure value for money.
Lord Harper (Con)
May I press the Minister a little on the point the noble Lord, Lord Moylan, made? I listened very carefully both times he said it. The Government’s intention, unless something changes, is to exclude HEFA. Can he commit that if that intention changes and the Government direct some contracts to be issued which include HEFA, a Minister will come to the Dispatch Box to set out clearly and explicitly what has changed and the evidence that supported that change?
Lord Hendy of Richmond Hill (Lab)
The noble Lord makes a fair point. I mentioned the call for evidence precisely because it would be useful to have evidence from any party that cares to give it about using crops, for example. I am happy to say that in those circumstances, somebody should come back and say something about that position.
Lord Ravensdale (CB)
I thank the Minister for making that strong statement from the Dispatch Box on the intention to exclude HEFA technology and feedstocks. That is further than the Government have gone before in their statements. It sets out a clear direction of travel for the legislation and the revenue certainty mechanism, and I thank him for that.
““UK-produced sustainable aviation fuel”: sustainable aviation fuel is “UK-produced sustainable aviation fuel” if any part of the process for converting any feedstock into the fuel takes place in the United Kingdom.”Member's explanatory statement
See the explanatory statement for my first amendment to clause 1.
Earl Russell (LD)
My Lords, I am responding to Amendment 6 in this group, which seeks to cap the length of revenue certainty contracts to a maximum of 10 years. On the face of it, this might appear to be neat and disciplined but, in practice, we conclude that it is both arbitrary and unduly restrictive.
The noble Lord spoke about the need to control costs and we agree with that. It is also important, as we discuss this, to recognise that the Bill covers a range of technologies and huge investments going into them, but it may also include emerging technologies. Ten years is not derived from any settled evidence about what different SAF projects will require; it is simply a round number that seeks to be written into this primary legislation.
Some plants with high upfront capital costs and long asset lives may need longer-term revenue support to be financed at all, particularly in the current high interest rate environment. Others, especially later or more standard projects, could be perfectly viable on shorter contracts, which I am sure is the Government’s intention for many of the projects that will be considered. However, a single statutory ceiling takes no account of any of that diversity in these emerging markets. It is not really for us to know more than the Government and their officials, as they have details that we do not.
This amendment is also restrictive because it removes one of the Government’s key design levers. The ability to adjust contract length between technologies and over time, in response to costs and market maturity, is fundamental to achieving value for money. If we fix 10 years in the Bill, any future Government who judge that a 12-year or 15-year term is necessary to secure a first-of-a-kind project would be unable to do so without further primary legislation. This rigidity could also play into commercial hands, encouraging developers to structure bids around fixed terms in ways that actually undermine the very affordability that is spoken about.
While the intention is understandable, imposing an arbitrary timeline would remove the flexibility and pragmatism that any evidence-led scheme requires. It would, in effect, ask the Government to negotiate with one hand tied behind their back. We do not believe that this amendment is helpful in this emerging market, but we do think it is important that contracts are reviewed. On that, I ask the Minister, in the context of reporting later on, whether the length of caps that are imposed under the Bill is something that he would be prepared to include in the reporting information that will be made available.
Lord Hendy of Richmond Hill (Lab)
My Lords, Amendment 6 would require that the Secretary of State set a maximum contract term for revenue certainty contracts before exercising the regulation-making power in Clause 6. I draw noble Lords’ attention to the overall intention of the Bill, which is to generate a new and growing United Kingdom industry that, I hope—contrary to what the noble Lord, Lord Moylan, said—will be financed in the United Kingdom as well.
We are currently consulting on the detailed design of the revenue certainty mechanism. The consultation provides the rationale behind the indicative heads of terms, which sets out the framework for principal terms and conditions that could be included in a revenue certainty mechanism contract. As highlighted in the Government’s continuing consultation, we propose a 15-year term for all contracts. This aligns with the expected 10-year to 15-year debt repayment period that SAF producers will encounter. It is important that this flexibility is retained and not restricted by detailing a contract length in the Bill.
Final decisions are subject to the continuing consultation, which will inform the detailed design of the full terms and conditions of revenue certainty mechanism contracts. In answer to the question posed by the noble Earl, Lord Russell, I am sure that we can find a reporting mechanism that sets out the actual length of those contracts. I therefore respectfully ask the noble Lord, Lord Moylan, to withdraw Amendment 6.
Lord Hendy of Richmond Hill (Lab)
My Lords, I thank noble Lords for this debate. Amendments 8 and 9, tabled by the noble Lord, Lord Grayling, seek to address how funds from the levy are used. I am happy to reassure the noble Lord from the Dispatch Box that money raised through the levy will be used only to support eligible SAF plants in the United Kingdom, and that that is already set out in the Bill.
Clause 6 restricts the costs incurred by the counterparty under the revenue certainty contracts and in carrying out its functions under the Bill. Under this clause, the levy funds will be used only to meet the cost of the revenue certainty mechanism scheme. It is important that the counterparty is able to recover its costs, which include the cost of administering the contracts, the levy and the payment of surpluses.
Amendment 10 intends to ensure that there is a specific mandatory point at which the supplier becomes liable to pay the levy. The Government agree with the intention of the amendment but believe that it is unnecessary because Clause 6(7) already provides that a person becomes liable to pay the levy at the same point when they become liable to an obligation under the SAF mandate.
On how individual levy contributions are calculated, it is important that the Bill provides sufficient flexibility to ensure that final levy design decisions deliver our design principles, including simplicity, solvency, affordability and fairness. The Government are currently reviewing responses to their recent consultation on the detailed design of the levy and engaging with stakeholders to deliver these objectives. I remind noble Lords that the regulations made under Clause 6(1), to set out how the levy will work, will be subject to scrutiny under the affirmative procedure, which will give Parliament the opportunity to continue to consider the approach.
Amendments 17 and 18, tabled by the noble Lord, Lord Grayling, seek to prevent the levy being imposed until a domestic sustainable aviation fuel producer is approaching readiness to receive payments under the Act. I reassure the noble Lord that the purpose of the levy, as set out in Clause 6, is to meet the costs of payments made by the counterparty to SAF producers and to cover the counterparty’s administrative costs. The costs of payments under RCM contracts will be insured only once eligible SAF is being produced and sold by producers who have entered into RCM contracts, which is the outcome sought by these amendments.
The Government are currently reviewing responses to their recent consultation on levy design. Some stakeholders have expressed a desire to build up a reserve fund prior to the first producer payments, which could help smooth out the costs of the scheme and help manage risks of underforecasting required payments. As the Government consider their response to the consultation, it is important that the Bill retains a degree of flexibility around levy design, which will be set out via secondary legislation and will be subject to parliamentary scrutiny.
Amendment 11, tabled by the noble Lord, Lord Moylan, intends to introduce a standardised rate for the levy. We are currently reviewing responses to our recent consultation on the detailed design of the levy and continue to engage with stakeholders to help inform the drafting of levy regulations. Within the consultation, we sought views on the publication of a forecast levy rate, expressed in pence per litre, which could help provide greater transparency for the supply chain.
The Bill as drafted does not specify a particular mechanism and allows the Secretary of State to consider a range of options for calculating the levy paid by individual companies. It is important that the Bill retains a degree of flexibility around levy design, which will be set out via secondary legislation and will be subject to parliamentary scrutiny. Therefore, I do not consider the amendment to be necessary.
To reassure noble Lords, the Government are live to the potential impacts of different levy designs and recognise industry’s desire for certainty and transparency, while ensuring fairness and affordability for the consumer. We recognise that the levy must be dynamic and responsive to the changing market, while ensuring that the counterparty has funds to make payments under the scheme. But, to be clear, this levy will not be used to generate unnecessary funds and will raise sufficient money to cover only the counterparty’s costs under the revenue certainty scheme.
Although final decisions will be informed by the consultation, we are exploring options that deliver this and many of the proposals, and options set out in that consultation could help provide greater certainty and transparency. As I have said, the levy regulations will be subject to the affirmative procedure, which will allow further parliamentary scrutiny. I hope noble Lords will note the steps the Government have taken in the levy design and that they therefore will not press their amendments.
Lord Grayling (Con)
My Lords, I am grateful to the Minister for a detailed explanation of the situation. I am greatly reassured by what he said. What matters in all this is that we provide the right balance. This is something the airlines are calling for, but we do not want it to unduly penalise fare payers, and to end up with disinvestment in conventional aviation fuel. I am reassured by much of what the Minister said, but I am looking to him and his colleagues to ensure over the coming months that that balance is properly found, so that we do not end up with legislation that has unintended consequences.
The Minister made a point about the reserve. I proposed six months because I believe it essential to have a short period of reserve building, but it must be short—it cannot be year after year. That was the point of my amendment. I am reassured by what he said, and I shall watch with interest what the Government do, but in the meantime, I beg leave to withdraw my amendment.
Earl Russell (LD)
My Lords, Amendment 12, tabled by the noble Lord, Lord Moylan, concerns the potential impacts of this Bill on airline ticket prices. I entirely understand the motivation behind the amendment. Passengers and airlines deserve transparency about how the levy costs will flow through to fares. However, this transparency is already in the Bill, and this amendment is not a particularly good way to improve on it. These Benches accept that there will be reasonable and affordable costs involved in introducing a revenue certainty mechanism, which will reflect the necessary investment to drive the transition to sustainable aviation fuel. However, we cannot support this amendment, for several practical reasons.
Amendment 12 would require the Secretary of State within one year of Royal Assent to publish a report assessing the impact of the revenue certainty mechanism on ticket prices, including whether the average increase exceeds £1.50 per ticket per year, followed by further annual reports for as long as the mechanism operates. The intention is fair, but the proposed process is largely unworkable in our opinion. The mechanism will take time to design, consult on and implement. Contracts will not be allocated immediately, and levy collection will ramp up gradually as supply chains mature. Within 12 months, there would be no meaningful data to analyse, only speculative modelling. A report produced on that basis would lack credibility and offer little value to Parliament or consumers. In the early days, as required by this amendment as drafted, it would provide very little value or information at all. Moreover, the Bill and its associated frameworks already provide robust reporting obligations, so, again, this is not a choice between providing transparency through this amendment or having no transparency.
The Government will lay a report before Parliament on levy design, contract allocation, production volumes and market development. These will give Members regular insight into the performance and the cost trends associated with the Bill.
In addition, airlines, which are best placed to assess the costs passed through to fares, will report on their sustainable aviation fuel uptake and related costs under the SAF mandate and wider aviation reporting requirements. That industry-driven data will provide a timelier and more accurate picture of the real-world price effects than a separate government study could ever hope to achieve.
There are also serious practical and cost concerns. Calculating per-ticket impacts would require access to commercially sensitive data, such as flight occupancy levels, which the Government do not hold and cannot compel airlines to divulge without imposing disruptive burdens. Establishing a separate, perpetual reporting duty would therefore create unnecessary bureaucracy and expense without improving transparency.
The Government expect that airlines will readily report on the impact of the Bill on air tickets. The practical solution is to build on existing reporting channels and refine them through guidance if needed, rather than introducing an additional obligation that cannot deliver meaningful insights at the required pace.
We share the desire for transparency and recognise that costs must be visible and fairly borne for this market to work, but Amendment 12 would not be the right way to do that. The information it seeks will already be available through integrated, industry-based reporting mechanisms. Ministers and officials both expect that this will be reported. I therefore urge the House to reject the amendment and support the Government’s practical approach to these problems.
Lord Hendy of Richmond Hill (Lab)
My Lords, bearing in mind the diligent research of noble Lord, Lord Moylan, on sustainable aviation fuel, I have resisted repeating the general aims of the Bill, but I want to say in respect of Amendment 12 that the Government are committed to keeping air travel affordable for UK holidaymakers and UK air travellers while fostering the development of a United Kingdom sustainable aviation fuel industry.
As the noble Earl, Lord Russell, said, it will take time for contract negotiations, for sustainable aviation fuel plants to be constructed and for the fuel itself to be produced and sold before any meaningful effect on fares can be assessed. The Government’s cost-benefit analysis, from which the noble Lord, Lord Moylan, quoted, of the revenue certainty mechanism that was published last year is the most reliable estimate of the likely impact on passenger air fares over this period. Given that little has changed since that cost-benefit analysis was produced, the amendment is unnecessary, as it would merely produce the same answer. I hope my explanation is sufficient for the noble Lord not to press his amendment.
Lord Moylan (Con)
My Lords, it was open to the Minister to take up the offer of my noble friend Lord Harper and suggest that any infelicities in the drafting of the amendment—for example, the requirement that the first report should happen within the first year—could be dealt with through his offering to bring forward an amendment himself at Third Reading that was drafted with the benefit of government legal advice, but he has not done so. He has no difficulty with relying on speculative reports that claim to estimate the cost of this measure, but he does not want reports based on actual experience at due time in the future.
As I say, there is a voice that is not being heard in this, except from these Benches, and that is the voice of the consumer. We will not give up on the consumer, and I wish to test the opinion of the House on my Amendment 12.
Lord Hendy of Richmond Hill (Lab)
My Lords, I thought I might constrain myself to discussing the amendment before us. In that respect, I offer my thanks to both the noble Baroness, Lady Pidgeon, and the noble Earl, Lord Russell, who have followed the course of the Bill very closely. I have listened very carefully to everything they said. I am grateful for their scrutiny on this particular subject and I am pleased to have the opportunity to address it in more detail.
I recognise the need for transparent and accessible reporting to monitor the effectiveness of the RCM scheme. I will continue to explore options for reporting on the RCM scheme, including by using existing reporting. For example, we are already publishing statistics on the volume of SAF supplied each year in the UK under the SAF mandate and we will continue to do so. This covers the total volume of SAF supplied to the UK, the fuel type and greenhouse gas savings from the SAF supplied.
The renewable transport fuel obligations statistics and reports, which cover costs and the fuel supplied into the UK, are published regularly. We are taking a similar approach with the SAF mandate. Additionally, a formal review has been incorporated into the SAF mandate legislation, with the initial review scheduled to occur by 2030. This process will facilitate an evaluation of the availability of SAF supply. We will consider further options for reporting, including interactions with the emissions trading scheme reporting on the use of fuel by aircraft. These existing publications will provide an extensive picture of the UK SAF market, as well as the revenue certainty mechanism scheme.
We remain absolutely committed to transparent reporting that is comprehensive, regular and accessible in one location, once the revenue certainty mechanism has contracts in place. In addition to the above, this could include requirements for producers to share information with the counterparty. This would be consistent with how the counterparty for the Department for Energy Security and Net Zero contracts for difference schemes publishes information on contract terms and levy rates. As raised earlier by the noble Earl, Lord Russell, we will include the length of RCM contract terms in our transparent reporting.
The current live consultation on indicative heads of terms for the revenue certainty mechanism contracts proposes potential options. However, we will need to continue to seek views from industry on the mechanism for this reporting, so further work will be required before we can finalise our approach.
In response to my noble friend Lord Berkeley, we continue to work closely with my noble friend Lord Whitehead’s department on the global availability of feedstocks as sustainable fuels. While I cannot commit my noble friend Lord Whitehead to a meeting, I do sit opposite him in our palatial ministerial office upstairs, so I will mention to him my noble friend Lord Berkeley’s interest and I will see what he says.
I hope that what I have said about reporting is sufficient reassurance for the noble Baroness, Lady Pidgeon, not to press Amendment 13.
Baroness Pidgeon (LD)
I thank the Minister for his response and the noble Lord, Lord Berkeley, for his support for my amendment. From listening to the debate, I think I am living in a different world from the noble Lords, Lord Harper and Lord Moylan, who seem to have an unhealthy obsession with these Benches’ and my personal contributions, rather than the Bill before us, no matter how dry it might be.
This amendment and the previous amendment that was discussed are completely different, as the Government have recognised. I am grateful to the Minister for listening and agreeing to the intent of my amendment on the effectiveness of the RCM scheme, which looks to make sure that we have some comprehensive reporting in one place, so that we can understand how effectively this scheme is working.
I thank the Minister for listening and responding to our suggestions in this area—both mine and my noble friend Lord Russell’s—and I beg leave to withdraw Amendment 13.
Public Transport: Remote Communities
Lord Hendy of Richmond Hill Excerpts(5 days, 21 hours ago)
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Lord Berkeley
To ask His Majesty’s Government what plans they have to improve the service, quality and affordability of public transport to remote communities.
The Minister of State, Department for Transport (Lord Hendy of Richmond Hill) (Lab)
My noble friend asked this Question in relation to the Isles of Scilly. At present, there are no plans to introduce a new subsidy, regulatory framework or funding model for the islands’ transport services. Support is therefore a matter for local discretionary schemes, which the Isles of Scilly council already has. However, the Government have provided targeted support where appropriate, including £750,000 in July 2025 through the clean maritime demonstration competition to explore a potential clean technology passenger sea route between the mainland and the islands.
Lord Berkeley (Lab)
I am grateful to my noble friend for that Answer. Coincidentally, I received a letter last Friday from his colleague, Keir Mather, the Minister for shipping, who gave me much the same answer, but he prayed in aid the £3 bus fare cap which goes around the whole country. He regretted that there was no similar scheme for the Isles of Scilly, because it was not a local transport authority. The result is that, rather than £3, if a bus could get to Scilly, it would cost £100 single—plus somewhere between £10 and £70 within the islands. So I am grateful to my noble friend, but it needs a closer discussion. I hope that my noble friend will agree to have a meeting with myself and the chairman of the council, as well as the noble Baroness, Lady Taylor, to see whether we can come up with a solution that is economically viable for the council and something better for the population.
Lord Hendy of Richmond Hill (Lab)
My noble friend will recognise the 28 miles of sea between the mainland and the Isles of Scilly and that the road network on the Isles of Scilly is all of 14 miles. So it is hard to see that comparable bus fares and bus practices are applicable. But, recognising the particular challenges with transport both to and from the islands and between them, my noble friend Lady Taylor and I will be happy to meet my noble friend on the Benches behind me and the leader of the council to discuss these issues further.
Baroness Pidgeon (LD)
My Lords, there are higher per-passenger costs and of course structural challenges to serve low-density remote areas. Will the Government therefore revise their bus service funding formula to introduce a rural weighting to help authorities provide the public transport that is essential for these communities?
Lord Hendy of Richmond Hill (Lab)
I am surprised that the noble Baroness is not aware that the local transport funding formula does recognise rural areas. We had extensive discussions, as the noble Baroness will recognise, in the then Bus Services Bill, and, indeed, the Government, compared with previous Governments, have chosen, rightly, to fund every English transport authority in a way that was not done previously.
It is hard to see quite how bus services permeate some very remote places, but the noble Baroness will also know that there are some demand-responsive schemes—transport and others—which are eligible for subsidy. In the English devolution Bill, we are a couple of days from discussing taxi and private hire vehicles, which also form part of the transport solution in those areas.
Lord McLoughlin (Con)
Will the Minister look at the role that the Community Transport Association can play? I believe that it can play a vital and important role, particularly in remote country areas, usually with small charities. In the past, the Department for Transport—I cannot remember exactly when—set up a special grant so that those charities could apply directly to get new community buses, which makes a direct impact and does a great deal of good work, particularly in remote rural areas.
Lord Hendy of Richmond Hill (Lab)
The noble Lord is absolutely right. Community transport is a very elegant way of solving some of these issues. I am glad he cannot remember when that funding was established, because I cannot either. It might even have been when the noble Lord was the Transport Secretary himself. But his point is well taken: community transport is a good answer in those circumstances, and I echo his point that it should be well regarded and we should look at it in those circumstances.
Lord Forbes of Newcastle (Lab)
My Lords, further to the question from the noble Lord, Lord McLoughlin, can I ask my noble friend the Minister to join me in thanking the many hundreds of volunteers who run our community transport services? Furthermore, when we see the extension of combined authorities with transport responsibilities covering more rural areas, will the Minister give consideration to the role that community transport services can play in the provision of public transport to ensure that they are not overlooked and continue to add value and good-quality services in the areas that need them most?
Lord Hendy of Richmond Hill (Lab)
I completely agree with my noble friend. People who serve voluntarily in community transport should be absolutely praised for coming out in all weathers for everybody. As I said, and as he is right to say, it is a good solution to mobility in those areas and we will reiterate the use of these things as the mayoral combined authorities are established.
Lord Grade of Yarmouth (Non-Afl)
My Lords, is the Minister aware that one of the great transport scandals in this country is that it costs something like £20 per mile to take the smallest car from Portsmouth to Fishbourne on the Isle of Wight? There is a monopoly there that operates completely against the economic interests of those trying to make a living on the Isle of Wight and, as we call it, the north island.
Lord Hendy of Richmond Hill (Lab)
The noble Lord is certainly correct to identify that people on the Isle of Wight think that this is a problem. When I wrote the Union Connectivity Review report, although it was not specifically about the Isle of Wight, I had more correspondence from the Isle of Wight than I did from Northern Ireland, Scotland or Wales.
This Government are tackling this issue. We set up the Cross-Solent Transport Group and Minister Mather, to whom my noble friend Lord Berkeley referred, has recently appointed Brian Johnson CBE, the ex-MCA chief executive, as the group’s independent chair to, first of all, sort out its terms of reference and then focus on locally led solutions to what the noble Lord correctly describes as a perceived and real problem of connectivity between the Isle of Wight and the English mainland.
Lord Moylan (Con)
My Lords, if the Government are so worried about connectivity to the Isle of Wight, why are they introducing a carbon tax on the domestic maritime sector from June this year? According to the operators, this will have a devastating effect on fares not only to the Isle of Wight and the Isles of Scilly but to the many other islands that are dependent on affordable ferry connections to the mainland. Do the Government have any idea of the mayhem this is causing at a time when they are meant to be concentrating on reducing the cost of living?
Lord Hendy of Richmond Hill (Lab)
The noble Lord ought to know that, in respect of ferry transport to the Isle of Wight and the Isles of Scilly, new ships and methods of transport are being procured and built in order both to provide up-to-date transport and to reduce carbon emissions on those services. We reject absolutely the concept that somehow these ferry routes have to survive under conditions of excess carbon emissions when modern ships, and indeed the technology I referred to in respect of the potential new service to the Isles of Scilly, are there for the very purpose of reducing carbon emissions but increasing connectivity.
Lord Hunt of Kings Heath (Lab)
My Lords, perhaps my noble friend the Minister could point to the noble Lord opposite that the mayhem that will be caused by prices will be far outstripped by the mayhem caused by climate change. I refer him to the latest projections, which show that climate change is increasing rapidly and that, unless we take decisive action on carbon emissions, we face a very frightening future indeed.
Lord Hendy of Richmond Hill (Lab)
I agree with my noble friend absolutely. More to the point, the ferry operators recognise that, too, as befits the ordering of new ships with reduced carbon emissions and the experimentation to the Isles of Scilly to which I previously referred.
Viscount Thurso (LD)
My Lords, I am sure the Minister will recognise that many remote rural areas are particularly reliant on their rail services. Coming from Thurso, which is the most northerly station on the main line of the United Kingdom, I recognise both the fragility and importance of the Far North Line. While I recognise that much of the responsibility for that lies with the Scottish Government, does he agree with me that the creation of Great British Railways offers the potential for a reset between the various companies that are responsible: ScotRail, Network Rail and Great British Railways? To that end, what discussions is he having with the Scottish Government?
Lord Hendy of Richmond Hill (Lab)
The noble Viscount is certainly right to say that the railway to Wick and Thurso is a lifeline. In answer to his question, we have had a lot of cordial discussion with the Scottish Government, which is resulting in a methodology of operation proposed as a consequence of establishing Great British Railways, which will continue the integration of operations and infrastructure in Scotland and therefore continue the operation of that line into what one would hope to be the very, very distant future.
English Devolution and Community Empowerment Bill
Lord Hendy of Richmond Hill ExcerptsMonday 2nd February 2026
(1 week, 5 days ago)
Grand CommitteeRead Full debate English Devolution and Community Empowerment Bill 2024-26 View all English Devolution and Community Empowerment Bill 2024-26 Debates Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: HL Bill 150-IV(b) Amendment for Grand Committee (Supplementary to the Fourth Marshalled List) - (2 Feb 2026)
The Minister of State, Department for Transport (Lord Hendy of Richmond Hill) (Lab)
My Lords, I thank the noble Lord, Lord Moylan, and the noble Baronesses, Lady Jones of Moulsecoomb and Lady Pidgeon, for their amendments on micromobility.
I will begin with Amendments 104A and 105A. The noble Baroness is right that delivery devices such as pavement robots are used—and in the future may well be used very frequently—in Great Britain. This framework is designed to license the provision of shared micromobility vehicles. It is not designed to regulate how they are used on the streets, but I reassure the noble Baroness that all the categories that she spoke about could be included in the category of “non-passenger micromobility vehicles” in future under the Bill’s existing drafting, as it is broad enough to capture vehicles used for different purposes, including delivery vehicles.
I turn to Amendments 105 and 106. The Bill sets out clear parameters for what could be considered a micromobility vehicle for the purposes of this licensing framework and Amendment 105 seeks to remove them. The framework will initially cover shared pedal and e-bikes, but it needs the flexibility to extend to other modes, such as e-scooters, once they have been regulated for under separate UK-wide regulation. The framework must be future-proof to be fit for purpose. We must retain flexibility or risk leaving our local leaders without the ability to effectively manage their streets every time a new technology enters the market. Retaining this flexibility without being overly broad is key and the parameters and definitions that we have set out in the Bill achieve this balance. These amendments would defeat this intention to the point of being prohibitive, leaving only cycles and e-cycles in scope.
Amendment 107 seeks to remove the power of the Secretary of State to create exemptions to the requirement to hold a licence. A future-facing licensing framework for shared micromobility is essential to ensure that local leaders have the powers that they need to maximise the benefits of these schemes and decisively tackle any negative impacts. However, these requirements must be proportionate. To ensure this, it has always been our intention to exempt schemes from licensing requirements based on their scale and nature. It is not right that a community-led scheme providing five or six bikes for shared use in a village should be held to the same standard as a commercial operator applying for a licence for tens of thousands of bikes—and that it could face criminal prosecution for doing so. This power has been created to ensure that such situations are avoided.
It is not possible to account in primary legislation for all the potential exemptions to licensing requirements that might be necessary to ensure proportionality, not least as this may differ by vehicle type and usage. Micromobility is a new industry, and new business models and technologies will continue to emerge. This framework is designed to account for the shared use of these future technologies on our streets. The impacts of different vehicle types on shared street space will be different and it is impossible to anticipate these future impacts with certainty right now. Therefore, the types of schemes that it is appropriate to exempt may vary by the type of shared micromobility vehicle or business model. For example, a scheme of 10 shared cycles may be small enough to exempt from licensing due to very limited impacts, but a scheme of 10 pavement delivery devices could have significantly different impacts that may make it appropriate to require a licence. That is why the flexibility to make further exemptions in regulations is essential to the effective future functioning of the framework.
On Amendment 108, while I agree with the noble Baroness, Lady Pidgeon, that parking density and standards are critical to the success of shared micromobility licensing, I believe that the framework as introduced already tackles this in the most appropriate way. The framework already contains regulation-making powers on what must be included in a licence. That includes the power to set specific licence requirements on parking, if deemed necessary following consultation.
On density, as with other traffic management measures, local authorities know their roads best and are best placed to consider what level of provision is appropriate and in what locations. However, we will set out statutory guidance following detailed consultation to help licensing authorities to make these decisions. Where the licensing authority and traffic authority are not the same, they will have a legal duty to co-operate on parking. I will be happy to discuss this subject, and Amendments 109 and 113, with the noble Baroness further after Committee.
On Amendment 109, regarding parking for micromobility vehicles, and Amendment 110, tabled by the noble Lord, Lord Moylan, a key intention of the framework is to ensure the provision of shared cycle parking in the right spaces. So, while I appreciate the sentiment behind these amendments, I do not believe that they are needed. The licensing authority is intended to be the highest tier of local government to ensure that oversight of these schemes happens at the strategic level. However, traffic authorities are best placed to deliver effective parking solutions locally. The legal duty, as it exists in Schedule 5, has been drafted to facilitate collaborative working relationships between these bodies. These amendments would place the burden of resolving parking challenges entirely with traffic authorities, which could have the effect of making them junior partners in parking provision and would not be conducive to the genuine positive collaboration and partnership between authorities that is necessary to make schemes successful.
The proposed amendment, tabled by the noble Baroness, Lady Pidgeon, also would not add any further specificity to the duty, given the ambiguity of what is meant by “sufficient parking”. That could create further challenges and opaqueness for local authorities to navigate as part of a licensing process that is intended to make managing these schemes more straightforward and efficient. Local leaders know their areas best, and effective and constructive co-operation will look different in different places. We may well set out in further detail in guidance what constructive co-operation could look like, but it is important that that is done following in-depth consultation to ensure its effectiveness.
I turn to Amendment 111, tabled by the noble Lord, Lord Moylan. Licensing authorities will be able to set licence conditions on the parking of shared cycles and enforce these through the framework. The issues that the amendment seeks to address are largely ones that are likely to arise with illegal private vehicles rather than shared micromobility. Identifying the owner of a private cycle can be challenging but, in the case of shared e-cycles, it is commercially essential that the operator is clearly identifiable and engageable. The police and local authorities in certain circumstances already have powers to remove and dispose of broken-down, abandoned and obstructive or dangerously parked vehicles. For local authorities, the powers extend to cycles and other micromobility vehicles. Indeed, as the noble Lord observed, those very powers have been used by no less than the Royal Borough of Kensington and Chelsea to seize more than 1,000 obstructively parked rental e-bikes in 2025, according to the council’s own website. Similarly, concerns about inherently unsafe vehicles are generally focused on illegal electric motorcycles rather than shared e-cycles operated by legitimate businesses. The Government’s Crime and Policing Bill will strengthen existing police powers by removing the requirement for a warning to be issued before the seizure of vehicles being used illegally.
On Amendment 112, on which the noble Lord, Lord Moylan, spoke, ensuring the safe use of shared micromobility vehicles is at the heart of this framework. We recognise the role that insurance plays in safety and accountability for operators, users and non-users of shared cycles. That is why we have taken powers that allow us to set out in regulations what insurance may need to be in place as part of a shared-cycle scheme. However, insurance is a commercially and legally complex area. Therefore, it is vital to first consult in depth to understand the full impacts of any potential requirements.
I understand of course how crucial it is that we get the insurance question right, and that the consequences of not doing so could have serious impacts on lives and livelihoods. It will be particularly important to strike the right balance of responsibility between operators and users, and it may not be reasonable or appropriate to place the burden of obtaining insurance entirely on the user, as this amendment would do. This approach would also deviate from existing approaches to insurance for other shared modes, such as rental cars or rental e-scooters. Insurance requirements will need to align with any related aspects of licensing which may be deemed necessary following consultation, such as potential processes for user identity or age verification. It is important that flexibility exists to ensure such alignment in secondary legislation and thereby that the framework is as effective and rigorous as possible.
Baroness Jones of Moulsecoomb (GP)
I think there were some pilots of privately owned e-scooters. Have the results of those come through? Have they been published?
Lord Hendy of Richmond Hill (Lab)
To answer the noble Baroness’s question, the original pilot e-scooter experiments were started in the days of the previous Government and there were no results. This Government have extended both the number and the length of the pilots, so there will be some results in due course that relate to current circumstances rather than the circumstances of several years ago.
Baroness Jones of Moulsecoomb (GP)
I thank the noble Lord for his answers to my concern about micromobility delivery vehicles. I think I heard the conditional in his words about them, so “could” rather than “would”. I will read Hansard very carefully and then come back to him, perhaps in a Corridor somewhere or on Report. I beg leave to withdraw the amendment.
Baroness Pidgeon (LD)
My Lords, I will speak to my noble friend Lady Pinnock’s Amendment 238, as she cannot be here today. Local authorities currently have civil enforcement powers which enable council officers to enforce parking contraventions on the highway, such as parking on a bend, across a driveway or too close to a junction. They have the power to impose penalty charge notices. This Bill will enable these powers to be taken by a mayor, which in my noble friend’s opinion will result in a less accountable system as mayoral authorities are likely to have populations of around 1 million.
This amendment seeks to achieve a retention of civil enforcement powers by local authorities and, more importantly, contains a provision to extend the powers to other highway infringements such as speeding on local roads—those which are not A or B roads. I understand that in the past my noble friend looked to table a Motion in the ballot to enable local authorities to enforce speeding problems on residential roads, which had huge support from the Local Government Association, London Councils and many boroughs. That is why she tabled this amendment, so I hope the Minister can respond to that point.
We have had a really interesting discussion about Amendment 121A in the name of the noble Lord, Lord Blunkett. The noble Lord, Lord Young, made a really good point, to which I hope the Minister can respond. It is an anomaly. Outside London, while it is an offence to drive on the pavement, it is not a specific offence to park on a pavement in most instances. This amendment tries to resolve this.
We have had briefings, as the Committee has heard, from the Walk Wheel Cycle Trust, and I have had a briefing from Guide Dogs about this issue. According to Guide Dogs, four in five blind or partially sighted people have said that pavement parking makes it difficult to walk on the pavement at least once a week and over 95% have been forced to walk in the road because of pavement parking, so, as we have heard, this is a serious issue. The noble Lord, Lord Bassam, refers to the fact that five years ago the Department for Transport conducted a consultation, and we had the results in on 8 January. I believe this is the legislative opportunity for the Government—that is, if they need one, and if they do not, I hope the Minister can clarify that—and it clearly has cross-party support. It is important that we look to resolve this anomaly as soon as possible.
Lord Hendy of Richmond Hill (Lab)
My Lords, on Amendment 114A, tabled by the noble Lord, Lord Moylan, the Bill does not provide powers to combined authorities or combined county authorities in respect of parking provision. As parking restrictions inherently apply with localised variations, the same imperative for consistent enforcement does not arise across a combined authority and combined county authority area, as is otherwise the case for the enforcement of bus lanes and other moving traffic restrictions. Civil parking enforcement powers are not considered to be appropriate at combined authority and combined county authority level. The Bill provides combined authorities and combined county authorities only with the ability to take on powers to enforce on a civil basis contraventions of bus lane and moving traffic restrictions with the agreement of the constituent local authorities.
The amendment would have no effect because combined authorities and county combined authorities are not defined as local authorities under Section 45 of the Road Traffic Regulation Act 1984. That provision limits the power to make traffic regulation orders for paid on-street parking to specific bodies: county councils, unitary authorities, metropolitan district councils, London boroughs, the Common Council of the City of London and Transport for London. The use of any surplus revenue from the designation of parking places is strictly ring-fenced under Section 55 of the Road Traffic Regulation Act 1984 for local authority-funded environmental measures and public transport schemes. This important principle will apply equally to combined authorities and combined county authorities for bus lane and moving traffic contraventions, which is appropriate in the interests of consistency and already dealt with in the regulations.
I turn to Amendment 121A, spoken to by my noble friend Lord Bassam and supported by the noble Lord, Lord Teverson, the noble Baroness, Lady Grey-Thompson, and others. I welcome my noble friend’s interest in this matter and I share the concerns that the amendment seeks to address. Vehicles parked on the pavement can cause serious problems for all pedestrians, especially people with mobility or sight impairments, as we have heard, as well as those with prams and pushchairs and of course in wheelchairs.
On 8 January this year, my department published a formal response to the 2020 public consultation on pavement parking, summarising the views received and announcing the Government’s next steps of pavement parking policy. We plan to give local authorities power later in 2026 to issue penalty charge notices for vehicles parked in a way that unnecessarily obstructs the pavement. That offence already exists and can be enforced by the police, but making it enforceable on a civil basis can be achieved through secondary legislation and will clearly be welcome.
In addition, and I hope this answers the noble Lord, Lord Young of Cookham, the Government have announced our intention to make primary legislation to give powers to local transport authorities to prohibit pavement parking in their area. That will allow the highest tier of local government in an area to prohibit pavement parking, with exemptions for vehicle classes and streets where necessary. This will ensure accessibility on pavements for all pedestrians, including, as we have heard, some of our most vulnerable pavement users.
This is a complex area. Due consideration needs to be given to a range of matters, including how local transport authorities enact a prohibition, which vehicles might be excluded, permissible defences for parking on the pavement in a prohibited area and the governance by which local transport authorities decide to implement a prohibition.
I am grateful to my noble friend for his efforts to move this matter forward, and I agree that the amendment captures the overall intent of the policy to create new devolved powers to prohibit pavement parking in the interests of all pavement and road users. The Government intend to bring forward legislation to enable this at the earliest opportunity, and I believe that my noble friend’s amendment may need only small drafting changes to allow it to fully represent the Government’s position. I am happy to meet my noble friend to discuss this matter further.
In respect of the point made by the noble Lord, Lord Teverson, about parking on cycleways, it is already an offence to park on a cycle track.
Lord Young of Cookham (Con)
If it is the case that only minor amendments are needed to what is now before us, why can that not happen on Report?
Lord Hendy of Richmond Hill (Lab)
As I say, I am very happy to meet the noble Lord and my noble friend Lord Blunkett to see whether we can move this forward.
Lord Hendy of Richmond Hill (Lab)
I am sorry for sitting down prematurely.
Amendment 238, spoken to by the noble Baroness, Lady Pidgeon, would have no effect because there already exists a long-established and well-established civil enforcement regime in regulations made under Part 6 of the Traffic Management Act 2004. That regime covers matters such as conditions for issuance and levels of penalty charge notices, rights of representation to the issuing local authority, and onward appeal to an independent adjudicator if representations are unsuccessful. The Secretary of State has also published statutory guidance, to which local authorities must have regard under Section 87 of the 2004 Act, to ensure that civil enforcement action is carried out by approved local authorities in a fair and proportionate manner.
With these assurances, I hope that noble Lords are able not to press their amendments.
Lord Moylan (Con)
My Lords, I will be very brief because, on this occasion, the Minister has brought great clarity to a number of the debates that were initiated in this brief discussion. The sensible thing would be for us to take away what he said and consider, ahead of Report, whether there are any matters that we still wish to pursue. Indeed, I understand that there will be negotiations on at least one of the main topics that were the subject of this discussion. With that, I beg leave to withdraw my amendment.
Baroness Dacres of Lewisham (Lab)
I thank noble Lords for their numerous comments. I will respond to just a few, because I think some might have been a bit rhetorical. As in any family, it is about communicating and having those discussions. My view is that there is room at the table for London Councils, but we do have those conversations with the Mayor of London and the GLA and invite them down to our boroughs, et cetera.
The other point I wanted to make is that we always work to make sure that we are moving in the right direction. We work cross-party as much as possible and when there is consensus, things can move forward.
Lord Hendy of Richmond Hill (Lab)
My Lords, I will begin with the proposition tabled by the noble Lord, Lord Moylan, on Clause 27. I will also say what a pleasure it is to hear my noble friend Lady Dacres of Lewisham on this and other issues. Just deviating from the amendments for one moment, I will say that the noble Lord is incorrect about the devolution of rail, because the Secretary of State is currently considering the devolution of northern inner suburban trains to the Mayor of London from the national railway network.
Transport in London is devolved, with the mayor responsible for managing the capital’s transport network, so it is right that, in line with the wider purpose of the Bill, the mayor should be empowered to consent to operational land-disposal applications from TfL. The noble Lord referred to operational land and therefore it is necessary to consult Network Rail, and that is enshrined in the proposition. This will therefore simplify the existing process and better enable the Mayor of London to unlock land for much-needed housing, supporting growth in the capital. The Secretary of State does not need to get in the way of housing developments on land owned by Transport for London and suitable for housing.
On Amendments 118 and 119, on local transport plans, constituent councils of strategic authorities with responsibility for managing local highways have a crucial role in supporting the delivery of the strategic authority’s local transport plan. Clause 29 is intended to support close working between constituent councils and the strategic authority by requiring the constituent council implementing the policies in the local transport plan to have regard to the proposals in the plan. This duty already applies to some constituent councils and this clause will extend that duty to all constituent councils.
The clause aims to strike the right balance between supporting close working between authorities while not giving the strategic authority undue control over how constituent councils manage their local highway network. These amendments would undermine this balance by weakening the duty placed on constituent councils to implement policies and instead substitute “have regard to” them. As members of the strategic authority, constituent councils have a key role in the development of the authority’s local transport plan. As set out in other parts of the Bill, this includes a vote on whether to approve the local transport plan.
I turn to Amendments 118A, 118B, 119A and 119B. Constituent councils of strategic authorities with responsibility for managing local highways have a crucial role in supporting the delivery of the strategic authority’s local transport plan. As I said earlier, Clause 29 is intended to support close working between the constituent councils and the strategic authority, by requiring the implementation of policies in the local transport plan and having regard to the proposals. As I said, the clause aims to strike the right balance between supporting close working and not giving the strategic authority undue control over the way that constituent councils manage their local highway network.
These amendments would undermine this balance by requiring constituent councils to “implement” rather than “have regard to”, and would therefore give strategic authorities indirect powers over how constituent councils manage local roads. However, we recognise that there are benefits to strategic authority mayors having levers to implement agreed plans. Clause 28 and Schedule 9 therefore give mayors a power to direct constituent councils in the exercise of their functions on the key route network of the most important local roads, helping mayors to implement their local plans.
On Amendment 120A, I know that workplace parking levies can be effective in delivering local transport priorities, as demonstrated—as my noble friend Lord Bassam observed—by the successful scheme in Nottingham, the only such scheme currently in operation in England. It has both reduced congestion in the city and provided funds to support the operation of the light rail system. We therefore hear the arguments for a greater role for strategic authorities, and for mayors to make decisions such as these in their area, but we need to take time to consider the issue fully before making changes to the framework. We need to be certain that any changes are the right ones. I am grateful to my noble friend for raising this issue, but I urge him to withdraw his amendment, while reassuring him that my department is giving this matter careful consideration.
I turn to Amendments 120B and 120C. Transport and Works Act orders can be used as a single process to obtain the majority of powers to construct and/or operate a range of both transport and waterway schemes. As observed, the Secretary of State is the decision-maker for schemes applied for under the Act across England, operating within a well-established and legally robust framework. The procedure is set out in legislation and would need to be followed regardless of who the decision-maker is. Powers granted through these orders are wide ranging and can apply or disapply legislation. They have significant legal and practical implications. Creating multiple new decision-making bodies would risk introducing inconsistency in the interpretation of policy and the use of powers, creating uncertainty, causing delays and potentially increasing the risk of challenge to the schemes.
However, the new Planning and Infrastructure Act 2025 recently introduced changes to this regime to improve the efficiency and predictability of delivering new schemes via this route and, in particular, to address the need for taking decisions quickly where necessary. Secondary legislation will drive further efficiencies. Very careful consideration would be necessary if such powers were to be devolved so that the benefits of the recent improvements that I have just referred to are not undermined and the necessary protections are in place for all parties.
I turn to Amendment 120D on Vision Zero. Noble Lords will remember that bus safety was discussed at length during the passage of the Bus Services Bill. The contributions of the noble Lord, Lord Hampton, helped highlight this important issue and ensured that bus safety is included in the recently published Road Safety Strategy. Published on 7 January, it is the first such strategy for 15 years. It sets out the Government’s vision for a safer future on our roads for all road users, not only buses. I say to the noble Baroness, Lady Pidgeon, that the whole strategy is based on the internationally recognised safe system approach, a core component of Vision Zero. The safe system principle accepts that human error will happen but ensures that all road users, roads, vehicles, speeds and post-crash care work together to prevent fatalities. It is a shared responsibility. It is right that local areas, including Greater Manchester, Oxford and London, which has also been mentioned, are adopting Vision Zero. The Government welcome other local areas doing so in respect of buses, but it must be right for them.
On Amendment 120E, buses already provide one of the safest modes of road transport in Britain and we remain committed to increasing that safety further. During the passage of the Bus Services Bill, we discussed adherence to the highest standards of safety, monitored by the Driver and Vehicle Standards Agency and regulated by traffic commissioners. This subject was exhaustively discussed then. There is already collection of data by the department, the Driver and Vehicle Standards Agency and the police, carried down to local authority level through the STATS19 framework. Data is also collected from PSV operators who must report incidents to the DVSA thanks to their operator licensing requirements. These datasets already provide a comprehensive picture of bus safety and, as observed during the passage of the Bus Services Bill, to require more frequent or richer data would increase the burden on drivers, strategic authorities and the police. I thank the noble Baroness for speaking to the amendments of the noble Lord, Lord Hampton, on this issue and I hope he will be reassured that we remain committed, as we were during the passage of the Bus Services Bill, to increasing bus safety and are taking real action to do so.
On Amendment 120F, tabled by the noble Baroness, the Government committed in the English devolution White Paper to ensuring that, for non-mayoral strategic authorities, key strategic decisions will have the support of all constituent councils. Adopting a local transport plan is one of those decisions, and the Bill therefore requires the consent of all constituent councils. Existing non-mayoral combined authorities and non-mayoral combined county authorities already have provisions in their constitutions that require local transport plans to be agreed by all constituent councils. We know that those provisions provide reassurance to prospective constituent councils. There is already a duty on local transport authorities to keep their local transport plans under review and alter them if they consider it appropriate to do so, and the Government are committed to providing updated guidance to local transport authorities on local transport plans, which will provide advice to authorities about when they should review and update their local plans.
On Amendment 121, tabled by the noble Lord, Lord Moylan, at the moment concessionary travel is managed by travel concession authorities, which are also the local transport authority for their area. This means that one authority does local transport planning, secures the provision of public transport services and manages concessions. Reverting to the approach taken before 2011, as the amendment would do, would make travelling locally more difficult due to a range of concessionary travel frameworks as one moves from one area to another. Since that point, combined authorities and combined county authorities have all become both the local transport authority and the travel concession authority for their area, following a period of transition. This has proven effective, with local transport managed at the strategic level across the broader geography. With travel concessions managed alongside local transport functions, there are also streamlined benefits that would not be possible were these two separated at two different levels of local government.
I thank the noble Lord, Lord Pack, for his Amendment 236. The vast majority of applications to install cattle grids are decided by local highway authorities. Only when there are unresolved objections, or objections following the consultation stage, does the Secretary of State get involved, or where the Secretary of State, via National Highways, is the highway authority. There were no appeals in the years from 2016 to 2025 and only one in 2025, so it is scarcely a huge burden on either national government or the Department for Transport. There were two in 2014 and one in the years 2010, 2011 and 2012, so I submit that this is not a huge problem for government and it would resolve only the unresolved issues arising from the primary consideration by local government. I hope that, in the light of my remarks, noble Lords feel able not to press their amendments.
Lord Moylan (Con)
My Lords, I am mildly astonished that the Minister has not addressed the perfectly serious question I raised about the potential for internal conflict between the Mayor of London, acting with regard to his housing responsibilities, and his responsibility as chairman of Transport for London. No doubt we will have an opportunity to come back to that later. However, for the rest of it, the Minister has set out the Government’s position relatively clearly. We will have an opportunity to reflect on it at a later stage. I beg leave to withdraw my proposition.
Lord Shipley (LD)
My Lords, my name appears on two of the amendments in the name of the noble Lord, Lord Moylan: Amendments 115A and 115B. However, I also subscribe to the principle of Amendment 116 in the name of the noble Baroness, Lady Bennett, which was just discussed by the noble Baroness, Lady Jones of Moulsecoomb. I do so because it is very important indeed that highways, or proposed highways, that constitute key route networks are both genuinely strategic and accepted as such by local councils and local authorities. As it stands, the Bill is unclear on where the powers around and responsibility for traffic management—and, indeed, for the allocation of resources—lie. It is important to clarify these matters in the Bill.
I want to ask the Minister two questions as clearly as I can. First, who will decide on the traffic calming measures proposed for residential roads? Will it be the local authority, the mayor or, in practice, a commissioner making recommendations to the mayor? Secondly, who will hold the budget for such measures? Will the money for the whole area of a strategic authority be transferred from Whitehall to the mayor, or will local authorities have their own budgets for such traffic management schemes? The noble Lord, Lord Moylan, said a moment ago that it is important to clarify these matters in advance. I agree with him: it is absolutely essential that these matters are clarified in advance because mayors must not undermine the powers of local authorities.
Lord Hendy of Richmond Hill (Lab)
My Lords, I turn to Amendment 115 in the name of the noble Lord, Lord Moylan. By requiring mayors to propose at least one road to be part of a key road network, this measure would ensure that all mayoral combined authorities and combined county authorities can adopt a key route network. By establishing and agreeing these priority links across an area, authorities can work together to manage improvements and maintenance to make a difference to people’s lives. It is also important that combined authorities and combined county authorities have a consistent set of transport duties. This amendment would create an inconsistency where combined authorities had this duty but county combined authorities did not.
Baroness Pidgeon (LD)
My Lords, these amendments from the noble Lords, Lord Moylan and Lord Lansley, are really testing the provision for rail devolution for passenger rail services and its legal status. It has been a really interesting discussion.
The Government’s White Paper said:
“Mayors will be given a statutory role in governing, managing, planning and developing the rail network. In addition to partnerships with Great British Railways, Mayors of Established Mayoral Strategic Authorities will have a clear right to request greater devolution of services, infrastructure and station control where it would support a more integrated network”.
I am not sure that anything before us today goes that far. When we debated the public ownership legislation, I kept talking about Manchester being really keen to extend the Bee Network. I was doing my weekly reading of the rail press earlier today and there was a picture of a lovely branded Bee Network train up in Manchester. They are keen to move forward with that. In response to my amendments on rail devolution on Report of that Bill, the Minister said,
“this Government are absolutely committed to strengthening the role of local leaders and local communities in shaping the provision of rail services in their areas … I can reaffirm to your Lordships’ House that the railways Bill will include a statutory role for devolved governments and mayoral combined authorities”.”.—[Official Report, 6/11/24; col. 1543.]
Yet when I look in the Railways Bill and at what is before us today, I am not sure that the Government have gone as far as they promised at that stage of that earlier legislation. What has changed? Can the Minister assure us that they are not rowing back on rail devolution? Has there been a change of heart or are we all slightly misinterpreting it and will we see far more rail devolution across the country, whether to Manchester, London or other regions?
Lord Hendy of Richmond Hill (Lab)
My Lords, on Amendments 120 and 120EA, via provisions in the Transport Act 1968, mayoral combined authorities with passenger transport executive functions already have the appropriate powers as envisaged by Amendment 120. These are the combined authorities of West Yorkshire, West Midlands, Greater Manchester, Liverpool City Region, North East England and South Yorkshire. They either have passenger transport executives acting on their behalf in relation to rail functions or have had the powers of passenger transport executives transferred to them.
Other mayoral combined authorities do not have these powers. Instead, via the Transport Act 1985, they can secure and subsidise services where the public transport requirements in their area would not otherwise be met. The Government have the powers to confer new functions on strategic authorities, individually or as a class. This includes the powers in Schedule 25 to this Bill, which enable the Secretary of State to confer new functions on strategic authorities on a permanent or pilot basis. Therefore, should an authority require these powers, there are mechanisms in place to achieve it.
Amendment 120EA, tabled by the noble Lord, Lord Lansley, would not be an appropriate mechanism to enable further devolution to establish mayoral strategic authorities. The heart of the matter is that, for example, where services have been devolved, such as Merseyrail in the Liverpool City Region, this has been achieved by the exemption of services from designation by the Secretary of State under Section 24 of the 1993 Act. After the Great British Railways Act is passed, the Secretary of State will not be the franchising authority, so Section 13 of the 2005 Act will not be the appropriate mechanism. I hope that this answers the noble Lord.
It is anticipated that Great British Railways and mayoral strategic authorities will deliver a new place-based partnership model to deliver on local priorities. This will bring the railway closer to communities, enable collaboration and shared objectives and improve multimodal integration and opportunities for local investment. The depth of partnership will vary depending on local priorities, on capability and also, very significantly, on the geography of the railway, which seldom accords with local government boundaries.
The Government are open to considering further devolution of rail responsibilities should an authority make the case for it. I referred earlier to the Mayor of London’s proposal to take over the Great Northern inner suburban services. If operations are devolved, mayoral authorities will have a choice on how the operations are performed—either through Great British Railways or another operator. The Department for Transport recently published guidance on this topic. In making a decision in response to a request for devolution, key considerations will include the financial and commercial implications, the capability and the geography. The impacts on neighbouring services and communities beyond the combined authority boundary will also need to be factored in. I hope that this is clear and enables the noble Lord to withdraw his amendment.
Lord Moylan (Con)
My Lords, this has been a fascinating discussion—at least, a very small number of us found it fascinating, others perhaps less so. This is an important topic, as everyone on all sides has acknowledged. Having listened to the Minister, I am sure that we will want to come back to it at a later stage. For the moment, I beg leave to withdraw my amendment.
Nationalised Passenger Rail Services
Lord Hendy of Richmond Hill Excerpts(1 week, 5 days ago)
Lords ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Lord Moylan
To ask His Majesty’s Government what performance improvements have been delivered by nationalised passenger rail services since 28 November 2024.
The Minister of State, Department for Transport (Lord Hendy of Richmond Hill) (Lab)
My Lords, public ownership is a vital step towards reforming our railways and rebuilding trust and pride. On average, publicly owned train operators perform better on punctuality and cancellations than those yet to come under public ownership. They are already delivering improvements, with lower cancellations on the TransPennine Express and Northern, and South Western quadrupling the number of new trains entering service. I expect all operators, both public and private, to deliver good performance for passengers.
Lord Moylan (Con)
My Lords, when the figures were published a month ago, cancellations were reported to have risen by around 50% on South Western services in the months following nationalisation in May last year, alongside a marked increase in delay minutes and late arrivals. Clause 18 of the Railways Bill places a duty on the Secretary of State to promote high standards of railway service performance. Can the Minister explain how the Government intend to incentivise and enforce those standards in practice, given that the proposed passenger standards authority appears to have no direct enforcement powers and the Office of Rail and Road’s remit in this area is being restricted?
Lord Hendy of Richmond Hill (Lab)
The discussion on the forthcoming Railways Bill will happen in this House in due course. Meanwhile, the Government are pursuing reliability very strongly. If a train company is left, by a combination of the previous Government and the previous operator, desperately short of drivers, with 83 of 90 new trains parked in sidings for nearly five years, it takes a bit of time to recover from that position. That position is being recovered from, in respect of South Western. More than 30 of the new trains are now in service, and two-thirds of the drivers have now been trained to drive them. That takes time. It should have been done before, but it is now being done by this Government.
Baroness Pidgeon (LD)
My Lords, what progress has been made to address the poor Sunday levels of service and high levels of Sunday cancellations as part of train operator nationalisation? Can the Minister say when passengers can hope to see any improvements in Sunday services?
Lord Hendy of Richmond Hill (Lab)
The Sunday position, particularly for drivers in a number of train companies, is very difficult. A number of them, after 30-odd years of the previous regime, have no contractual commitment to work on Sundays and volunteer. That is unsatisfactory. In several train companies, negotiations are taking place to incorporate Sundays into the working week.
In the case of Northern, where a dispute about guards has been going on for seven years, Sunday services have never been satisfactory because there are a number of guards in that company who have never been contractually obliged to work Sundays. We have worked extraordinarily hard with the management of Northern, and I hope that will come to a conclusion very shortly.
Baroness Butler-Sloss (CB)
Just to produce a cheerful note, I can tell the Minister that despite appalling South Western journeys, I travelled a fortnight ago and it was excellent.
Lord Grayling (Con)
My Lords, I have asked the Minister a couple of times about transition payments made during the renationalisation process by the Government to the private operators, and the way that happened previously when franchises changed hands. Is he yet in a position to tell us—this is nearly 12 months later, so he really ought to be—how much money has actually been paid in transition payments to the private operators so far?
Lord Hendy of Richmond Hill (Lab)
I should have foreseen that the noble Lord would ask that question. I will have to write to him because I knew he would ask it, but I forgot to research the answer.
Lord Snape (Lab)
Does my noble friend acknowledge that the spokesperson for the Conservative Party has a pretty thick skin to ask this Question? After all, the last Conservative Government renationalised no fewer than four train operating companies during their period of office because of the incompetence of the operators at that time. Can the Minister assure the House that we will not return to those days and that the improvement we have seen in punctuality and service, so far as the nationalised companies are concerned, will continue in future?
Lord Hendy of Richmond Hill (Lab)
My noble friend is right. LNER, in particular, has demonstrated all the excellent characteristics that a public service train company can deliver. The previous Government did not attempt to put back into the private sector any of the other train companies that came into public ownership during their term of office. All those companies are now doing better under this Government’s supervision than they were.
Lord Beith (LD)
Has the Minister assessed the impact of the new timetable on east coast main line punctuality? There have been some very severe delays, which are mainly infrastructure-related and therefore the responsibility of Network Rail, a different nationalised company. It appears that the new timetable does not give space to deal with delays when they arise.
Lord Hendy of Richmond Hill (Lab)
I am sure that I have just written to the noble Lord on the same subject, but I have been monitoring the east coast main line timetable daily since December when it went in. There have been some very good days, but he is right that there have been some infrastructure failures. There have also been some train failures, one of them really rather catastrophic. On a good day it works quite well; on a bad day it recovers reasonably well. There are a whole host of people working really hard to make it work. It is tight, but it follows £4 billion of investment in both infrastructure and trains, and it is right that the railway should operate as many trains as it can and operate them well.
Lord Watts (Lab)
My Lords, does the Minister agree with me that it is ridiculous to expect, after the ruinous privatisation of our rail system and 13 years of neglect by the Tory Government, that we can fix something in 13 months that they took 13 years to wreck?
Lord Hendy of Richmond Hill (Lab)
One of the interesting things that has been going on since this Government took office is re-establishing some pretty basic rules about staff allocation—the numbers of drivers and guards and the way in which they are utilised—which in some of these companies was miles away from what ought to have been established. As my noble friend says, it takes a long time to put things right, but we are putting them right.
Lord Dobbs (Con)
If the Minister was travelling on a successful South Western train this morning, he was on a different train from the one I was on. I ask him to look back: the very first breath that this Labour Government took was to give a record-breaking, inflation-busting pay rise to train drivers. One would normally expect, in a public service, for that to bring about better punctuality and improvement of service, yet all those have gone backwards and there has been an increase in the number of complaints. I know some people suggested at the time that it was all to pay for the Government’s friends; we can dismiss that with a wave of our hands. But what is, and was, the point of an inflation-busting pay increase to train drivers if there is no improvement in public service?
Lord Hendy of Richmond Hill (Lab)
Let us reflect on the effect of the continuous dispute with train drivers, which cost £700 million or £800 million in revenue; on the fact that the pay increase was about 2% more than the previous Government intended to pay; and, particularly, on the fact that there were no productivity proposals on the table at the time it was paid, because the previous Government had wasted their time having a discussion with the owners about what percentage of those productivity benefits they took for themselves and, in consequence, there was nothing on the table to put forward. We have changed all those positions.
Lord Polak (Con)
My Lords, there is nothing more annoying than being on the platform early, trying to go to work, when it comes up saying, “Staff didn’t turn up. Train cancelled”. This is happening regularly on TfL, on the line from Elstree & Borehamwood to London. What can be done about that?
Lord Hendy of Richmond Hill (Lab)
I think the noble Lord will find that that goes via Thameslink, which will be taken into public ownership in four months. It is one of the operators whose management tries modestly hard, but it has a problem with a number of drivers. In due course, the Government will take steps to fix it.
Lord Hamilton of Epsom (Con)
My Lords, last time the trains were nationalised, they were dirty and late, and the sandwiches were so old that they were curling up at the corners. Why is it going to be different this time?
Lord Hendy of Richmond Hill (Lab)
That is a sort of music hall view of railway life, is it not? The truth is that the system this Government inherited had got to the end of its life—that is a polite way of putting it. You can prove that it did because the train companies that they took into public ownership stayed in public ownership. They chose to keep LNER, which had three failed operators, in public ownership because, frankly, it ran better. That is what we are trying to achieve. The growth in passenger numbers, which is greater in all the publicly owned train companies over the last year than it has been in privately owned operating companies, is testimony to that.
Number Plates Intended to Defeat Enforcement Cameras
Lord Hendy of Richmond Hill Excerpts(3 weeks, 2 days ago)
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Lord Snape
To ask His Majesty’s Government what steps they are taking to prevent the manufacture, sale and use of number plates intended to defeat enforcement cameras, including automatic number plate recognition systems; and whether they plan to strengthen regulation or enforcement in this area.
The Minister of State, Department for Transport (Lord Hendy of Richmond Hill) (Lab)
The Government recognise the urgency and importance of tackling the use of illegal number plates designed to evade enforcement cameras. The Driver and Vehicle Licensing Agency is working hard with the police, other enforcement agencies and the industry to address the manufacture and misuse of such plates. This includes tightening application, inspection and audit processes for number plate suppliers. In the recently published Road Safety Strategy, the Government have set out proposals for reviewing standards, tougher enforcement, tougher penalties and the potential use of AI to help stamp out illegal plates.
Lord Snape (Lab)
My Lords, will the Minister join me in congratulating Sarah Coombes, the Member of Parliament for West Bromwich, on pursuing this matter in the way that she has? Does he agree that the fact that anyone can apply to be a number plate issuer on a payment of £40 to his department, and that 36,000 people or companies have already done so, is an open incentive for fraud so far as motoring is concerned? As the penalty for non-compliance with number plate regulations is £100, does he further agree that it is a better bet to take a chance with a false number plate than it is to properly insure your own vehicle?
Lord Hendy of Richmond Hill (Lab)
I second my noble friend’s congratulations to Sarah Coombes on raising this important subject. The DVLA is already on the case to strengthen the application process to become a registered number plate supplier and to make it more robust. Options being considered include, as my noble friend remarked, the fee level, the structure, eligibility criteria, and much greater enforcement.
Baroness Pidgeon (LD)
My Lords, what discussions are the Government having with major online retailers about preventing the sale of illegal number plates, and what is the Government’s assessment of the scale of this problem?
Lord Hendy of Richmond Hill (Lab)
The actions taken by the Government include considering online sales of number plates, which is clearly one source of illegal number plates. As to the scale and for an example: in 1,000 vehicle checks carried out by the Metropolitan Police with Transport for London in March 2023 using cameras which are able to detect ghost number plates, 41% of licensed taxis and private hire vehicles were found to have non-compliant plates.
Lord Hogan-Howe (CB)
My Lords, the noble Lord, Lord Snape, raised a really good point, together with others. The ANPR system is very good. It is fixed in various places around the country, it is also in many police vehicles, and it helps to spot people who commit crime, particularly those who have no insurance. Some people pass that off, but 70% of those who are uninsured are criminals, so it is a really interesting group to keep an eye on. People in that group are five times more likely to have collisions, and when they have them, it is nine times more likely that they will be serious. This is a really important piece of kit. There are two things the Minister might want to look at. One is that the scientific support that was available to the police has been subsumed within the defence realm, and I am afraid it has reduced in its significance and the expertise has been lost. Secondly, and probably as importantly, the people who deliver these registration plates to us all are registered, so somebody needs to check that they are doing what they say they are doing. I am afraid that that is not happening.
Lord Hendy of Richmond Hill (Lab)
Of course, the noble Lord has huge experience in policing and enforcement. I have to say that I was not aware of the point that he makes about scientific support, but the department is working hard on understanding the technical characteristics which prevent these plates being seen by ANPR. I answered the point about registered makers on a previous question.
Viscount Goschen (Con)
My Lords, given what the Minister has quite rightly said about enforcement, why do the Government and the police appear to tolerate the use on our streets of illegal, high-powered electric motorcycles, particularly by delivery companies, which bear no registration marks and whose riders carry no insurance?
Lord Hendy of Richmond Hill (Lab)
The noble Viscount is straying some way from illegal number plates, but that subject has been discussed in this House before. The enforcement is of course a matter for chief police officers, but the Government are very seriously considering the sale of such motorcycles.
Lord Spellar (Lab)
My Lords, I echo the comments from my noble friend Lord Snape regarding the Member of Parliament for the neighbouring seat to my old one, Sarah Coombes in West Bromwich, but I also highlight the point that this is linked to lots of other crime. It is linked to petrol theft, which is an enormous problem for retailers, to county lines drug dealing, and to robbery and car boot sales. There is a real problem with this. Therefore, should we look not just at increasing the penalties but at the confiscation of improperly plated vehicles?
Lord Hendy of Richmond Hill (Lab)
My noble friend is absolutely right, and the Government are considering precisely those two things, among others.
Lord Geddes (Con)
My Lords, is the legality of number plates checked during MoT inspection?
Lord Hendy of Richmond Hill (Lab)
That is a very good point. The legality of number plates is checked during MoT inspection, but my understanding is that many of those who use false number plates have a proper set for the MoT or other examination and an illegal set which they then change afterwards.
Lord McLoughlin (Con)
My Lords, bearing in mind that the Question relates to enforcement cameras, would the Minister like to inform the House as to the reliability of those cameras, bearing in mind the recent story about Highways England failing to monitor them correctly?
Lord Hendy of Richmond Hill (Lab)
I refer the noble Lord to Hansard for yesterday, when we discussed precisely that issue at Questions.
Lord Moylan (Con)
My Lords, as noble Lords have made clear and illustrated, we are living in an increasingly lawless environment on the highway: everything from bicycles at red lights to uninsured vehicles—a number of things have been mentioned. The Department for Transport seems to regard its role as quite separate from that of the enforcement authorities. When the department is devising new regulations or changing existing ones, what engagement does it have with the police but also with local highways authorities, who are there to enforce those regulations, as to how realistic it is and what resources they have to be able to deliver the enforcement?
Lord Hendy of Richmond Hill (Lab)
I refer the Lord to page 40 of the recently published Road Safety Strategy, where there is a lot of text headed by:
“Continuing to work closely with the police and other enforcement agencies to ensure the outcomes of the Roads Policing Review are fully considered”,
and underneath it is text that indicates very clearly that the department is working very closely with the police, other enforcement agencies and highway agencies to get the law enforced on our roads.
Baroness McIntosh of Pickering (Con)
My Lords, I am grateful that the noble Lord is showing such an interest in the pilots for illegally operated, privately-owned e-scooters. Can I urge him to show a degree of urgency? When will the pilots come to an end, and when will the Government bring forward legislation to implement regulations?
Lord Hendy of Richmond Hill (Lab)
I absolutely guarantee that this Government will show more urgency than the last one, who started an experiment a very long time ago but concluded nothing from it, and we have had to virtually start again.
Baroness Royall of Blaisdon (Lab)
My Lords, does my noble friend agree that, while I understand what the noble Lord opposite said about a “lawless” society, it is irresponsible to use such terms? In fact, we live in a much safer society than in many parts of the world and live in the great city of London, and I think we would all admonish some people in other parties who refer to London as an unsafe city.
Lord Hendy of Richmond Hill (Lab)
I certainly support my noble friend’s statement in that regard. We are dealing here with a particular issue, that this boil needs to be lanced. It is not indicative of our whole society crumbling.
Lord Leigh of Hurley (Con)
My Lords, in other parts of the world, bicycles for hire—Lime bikes—are required to have small number plates attached to them so that perpetrators of crimes and offences can be easily identified. Can we adopt such plans?
Lord Hendy of Richmond Hill (Lab)
This Government and previous Governments have looked at identifying cycles on the road and concluded that it is really quite a difficult issue and would be disproportionate to the results, but the noble Lord must know that the Government are taking action about bicycle hire schemes, because their proprietors bear responsibility for the safety of the cycles and some responsibility for the behaviour of the riders. That is being considered by the Government and will come before this House.
Motorway Speed Cameras
Lord Hendy of Richmond Hill Excerpts(3 weeks, 3 days ago)
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The Minister of State, Department for Transport (Lord Hendy of Richmond Hill) (Lab)
This Government are working to fix an anomaly dating back at least to 2021 affecting how some speed cameras interact with variable speed signs on some motorways and A roads. A small number of motorists have been impacted, and the police are contacting each of those affected. The public must have confidence in technology on our roads, which is why my department has announced an independent review into how the anomaly occurred, its handling and the changes needed to ensure that this cannot happen again.
Lord Young of Cookham (Con)
I am grateful to the Minister for that reply. National Highways is clearly doing all it can to remedy the injustice done by the erroneous recording of speeding offences. Is the Minister satisfied that all those involved have now been contacted, with fines repaid and points restored? What about those who had to take time off work to attend speed awareness courses and, more importantly, what about those who lost their licences because of the accumulation of points, and thereafter lost their jobs? What compensation will be offered to them?
Lord Hendy of Richmond Hill (Lab)
We estimate that approximately 2,650 incorrect activations took place between 2021 and now, and we are checking further back. The number of drivers affected is considerably lower, as not every activation resulted in enforcement. The relevant police forces will contact those affected directly with details on what action is being taken to provide redress. All those notified by the police will receive details on how to contact National Highways if they have evidence of costs associated with this incorrect enforcement—for example, those associated with licence loss.
Baroness Pidgeon (LD)
My Lords, will the independent review look at how long the highways agency has known about this defect in its speed cameras? What confidence do the Government have that speed cameras on other roads are not affected?
Lord Hendy of Richmond Hill (Lab)
I can confirm that the review will look at the time it took between first knowledge and public action. We remain very confident that this is both a subset of speed cameras and a subset of variable speed signs, and that it applies only to some motorways and, I think, two A roads.
Lord Kirkhope of Harrogate (Con)
My Lords, there is considerable concern at the vast numbers of different speed limits that are now being applied in this country, both fixed and variable. I understand that the rules are being changed regarding the implementation of 20 mph speed limits in rural areas and some urban areas. Can the Minister update us on the present position regarding the 20 mph speed limits?
Lord Hendy of Richmond Hill (Lab)
The 20 mph speed limit is utilised in areas where local highway authorities believe that road safety would be enhanced by its imposition. The Government do not intend to try to write the rules for all those circumstances; it is for local highway authorities to make judgments about speed limits and the road safety that is derived therefrom.
Lord Geddes (Con)
My Lords, in his initial reply to my noble friend Lord Young, the Minister mentioned the importance of maintaining public confidence. I declare an interest in having been done for doing 60 mph in a temporary 50 mph motorway limit in broad daylight with fine weather, no roadworks, no obstruction and no accidents. Can the Minister persuade the highway authorities not to abuse these temporary limits?
Lord Hendy of Richmond Hill (Lab)
The noble Lord is subject to the same legislation about driving properly as all the rest of us. The variable speed limit signs are particularly used on busy urban roads to even out the flow of traffic, because stop-start jams, particularly on motorways such as the M25, both create some dangers themselves and, crucially, lower the capacity of the road. My advice to people when the speed limit goes down is to follow it, because that will save them getting into a huge jam.
Lord Scriven (LD)
My Lords, what confidence do the Government have in the agency when the software upgrade that led to this issue took place in 2019 yet the Department for Transport was informed only last September, some six years later?
Lord Hendy of Richmond Hill (Lab)
I think the date was October, not September, but we can confirm that. The purpose of the review, which is a serious activity, is to make sure that this does not happen again. In the process, we will discover how long it took to identify, whether that should have been done faster, how it has been handled and what changes are needed to avoid such a thing happening again. The noble Lord is right: we should have confidence in government agencies, and it is important in these matters that people follow the signage and have confidence in the enforcement that goes with it.
Lord Burnett of Maldon (CB)
My Lords, the noble Lord, Lord Young of Cookham, has identified some of the financial costs that might flow from being wrongly picked up for speeding, and it is good to hear that the Government are working on a plan to compensate people. In this context, points do not mean prizes. They mean increased insurance premiums, and it can be extremely difficult for any of us to understand precisely why an insurance premium has increased from one year to another. Will the Government be sympathetic to those who are unable to produce precise figures because their insurers will not give them to them?
Lord Hendy of Richmond Hill (Lab)
I understand the point that the noble and learned Lord is making. The Government have to be a good custodian of public money and therefore should understand whether there is a loss and what it is, but if I were a claimant I would think the evidence of one year’s premium against another, if it related solely to points and not to any other form of driving, was admissible.
Lord Clarke of Nottingham (Con)
Anyone who drives north out of London on the M1, as I do twice a week, knows that there is always a 60 mph variable speed limit throughout Bedfordshire, whatever the traffic conditions and whatever the weather, which are usually identical to the weather and traffic conditions north and south of Bedfordshire. Can the Minister inquire why Luton needs to have the traffic going so slowly past it, and does the department occasionally question highway authorities to see whether some are not tempted to use variable speed limits plainly as a way of raising revenue by way of fines?
Lord Hendy of Richmond Hill (Lab)
I defer absolutely to the noble Lord’s knowledge of the M1 in Bedfordshire and will, of course, ask National Highways officials whether it is the case that it is permanently at 60 mph and, if it is, why. The reasons for variable speed limits and speed limits in general are road safety and traffic management, not revenue raising.
Lord Snape (Lab)
My Lords, I assure my noble friend the Minister that there is nothing wrong with the speed cameras on the M5 motorway in the West Midlands, as those of us who have recently completed a speed awareness course will testify.
Lord Hendy of Richmond Hill (Lab)
If that was a question, all I can say is that the noble Lord has given his own answer.
Lord Moylan (Con)
My Lords, the highways agency and the police forces have acted responsibly in this case by paying compensation, but in London responsibility for enforcing moving traffic offences is almost entirely devolved to the boroughs. I believe those powers have been enacted and made available in the rest of the country as well. In cases where cameras are used for the enforcement of moving traffic offences—I appreciate that they do not have very many variable speed limits—what audit are the Government undertaking of the systems being used to ensure that they do not have bugs and problems as well?
Lord Hendy of Richmond Hill (Lab)
It is important to note that this is an issue because of the interaction of two systems. The technology used for camera enforcement is obviously checked and there is an audit process—I cannot describe it to the noble Lord in detail. The matter we are discussing about enforcement of variable speed limits has come about because of the interaction of two systems, and the noble Lord is describing circumstances about cameras used only either for speed enforcement or, more often, yellow boxes and suchlike.
Great Western Railway: Infrastructure
Lord Hendy of Richmond Hill Excerpts(3 weeks, 3 days ago)
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Lord Davies of Gower
To ask His Majesty’s Government what assessment they have made of the condition, maintenance, and long-term resilience of rail infrastructure on the Great Western Railway network; and what steps they are taking to ensure its reliability following recent flooding and extreme weather.
The Minister of State, Department for Transport (Lord Hendy of Richmond Hill) (Lab)
My Lords, Network Rail has robust plans in place to deal with resilience because of climate change. The Wales and western region will see a £2.6 billion spend on asset renewals and £1.6 billion invested to maintain assets from 2024 to 2029. There is also a comprehensive weather resilience and climate change adaptation plan focusing on safe- guarding assets, embedding resilience into daily operations and adapting to climate change impacts along the route.
Lord Davies of Gower (Con)
My Lords, recent months have seen the western region suffer delays and cancellations through infrastructure issues. Signalling failure is partly to blame, but inclement weather frequently causes severe flooding. In particular, Chipping Sodbury tunnel, built in 1902, has been plagued by flooding issues since the day it opened. Successive Governments have funded remedial work over the years on a piecemeal basis, but, as the Minister is aware from his former role at Network Rail, this has not provided a solution to the ongoing problem. Can he therefore commit to resolving the issue in order to bring travel in the western region into the 21st century? As the operator, can he take steps to ensure that GWR provides a full set of rolling stock on its intercity services, as opposed to the frequently provided overcrowded half-set of carriages?
Lord Hendy of Richmond Hill (Lab)
The noble Lord knows more about Chipping Sodbury now because I arranged for the route director for the western route to talk to him. He is right that it was opened in 1902. Great Western Railway built the cutting and the tunnel straight through an aquifer and it has been flooding ever since. The good news is that remedial work over the past five years has significantly reduced the delays created by flooding in that location. However, there are many other examples of flooding due to climate change, including, as he knows, one recently in Neath, which has never flooded before.
Baroness Brown of Cambridge (CB)
My Lords, I declare an interest as chair of the Adaptation Sub-Committee of the Committee on Climate Change. My sub-committee’s recent advice to the Government was that we need to prepare for 2 degrees of warming by 2050. That implies that, in many areas, typical weather will be rather like the extreme weather we see today, and extreme weather will be much more extreme than that, with maximum temperatures potentially towards the mid-40s. Can the Minister assure the House that the HS2 line to Birmingham and the recently announced Northern Rail developments will be ready for this weather?
Lord Hendy of Richmond Hill (Lab)
The truth is that the whole railway network has to be adapted to weather that was once exceptional and is now common- place. The budget for Network Rail, as the current infrastructure owner, was at least quadrupled compared with 2019 to 2024, precisely to cope with that. I am sure that the new lines, such as HS2 and the Liverpool to Manchester line, will be built with that mind, but our greater preoccupation at the moment is our existing railway and its reliability.
Baroness Pidgeon (LD)
My Lords, recent reports in the press have highlighted the serious shortages of carriages on Great Western Railway services, with one in three engines not functioning properly due to fuel pump issues. What are the Government doing to ensure a fully operating service now, as well as when the Government start to directly run this part of the railway?
Lord Hendy of Richmond Hill (Lab)
The noble Baroness is completely right. At one stage, out of the total train fleet for long-distance services, with 400-odd engines in those trains, some 110 of them were not functioning due to a fault that appears to be something to do with fuel supply and fuel pumps. The good news is that the number is now down to 38. I am very frustrated by the time it has taken to fix them, but they are being fixed.
Lord Anderson of Swansea (Lab)
My Lords, I am confident that the noble Lord, Lord Davies of Gower, will join with me in praising the care of the GWR staff. Nevertheless, both he and I suffer on our journeys, often together, from Swansea, because of the delays. Can my noble friend the Minister say where the GWR stands in the comparative performance rates of all the railways in this matter?
Lord Hendy of Richmond Hill (Lab)
It was pretty good. It has got worse because of the engine shortage. Reliability has been very poor. I am expecting it to now recover. I am on its back.
Lord Harper (Con)
My Lords, I agree with the noble Lord, Lord Anderson, about the quality and care that GWR staff take in looking after their customers, of whom I am one.
I take the Minister back to his Written Answer about Chipping Sodbury. He knows that I raised that issue when I was Secretary of State and he was chair of Network Rail, and I was assured that work had been done to solve the problem. It has improved it, as he said. It delayed the flooding impact of Storm Claudia by 27 hours. He says that more work is going to be done in 2026-27. Is that work planned to fix the problem once and for all?
Lord Hendy of Richmond Hill (Lab)
I think the noble Lord is a bit optimistic. If mother nature continues to pour water into the railway infrastructure, because of the way it is built, any fix will be related to what the climate is actually doing.
Network Rail is very confident that there can be further reductions, some of which will be through big infrastructure, such as building small reservoirs and fitting more pumps. So, I cannot guarantee that the tunnel will never flood, but I can guarantee that every effort is being made to reduce the delays when it does.
Lord Wigley (PC)
My Lords, the points that have been raised by the noble Lords, Lord Davies and Lord Anderson, are absolutely right. In particular, west of Cardiff, there are severe problems going through to Carmarthenshire. This is probably due to underinvestment over a number of years. Can the Minister give a commitment that he will look at the situation running through to west Wales, in view of the recent experiences?
Lord Hendy of Richmond Hill (Lab)
I have spoken to the Welsh regional manager of Network Rail in the past 24 hours to ask him what the incidence of flooding was in south Wales, in preparation for this question. As I said earlier, there are several sites which have never flooded before—Neath and west of Swansea—and Network Rail it is looking very urgently at dealing with those issues in order to keep the reliable railway running.
The Earl of Devon (CB)
My Lords, Brunel built the South Devon Railway in 1842, alongside the River Exe estuary and down past Dawlish—a very scenic route. By 1860, it was realised that that route was unsustainable, and an alternative route was planned over the Haldon Hill. Over recent years, we have seen the line collapse in Dawlish and, on an almost monthly basis, overtopping along the Powderham banks alongside the Exe estuary. What plans have the Government to reroute that line to one that is sustainable in the long term? I note my interest as a local resident.
Lord Hendy of Richmond Hill (Lab)
Since the collapse of the line into the sea in Dawlish in 2014, about £140 million has been spent on resilience to keep the railway running. There is work left to do, in particular on the cliffs at Teignmouth, but there is no practicable, affordable alternative route that can be provided any time soon. So railway colleagues have to keep going on keeping that line open, whatever the weather.
Lord Rooker (Lab)
I warn my noble friend that this morning the Environment and Climate Change Committee took evidence from three water companies. We discovered that storing water in reservoirs is very expensive; it is a lot cheaper to store it in aquifers. So what are the prospects of extending the aquifer that is the cause of the problem to the railway?
Lord Hendy of Richmond Hill (Lab)
I could do without anybody storing water in the aquifer next to the Chipping Sodbury tunnel and cutting. If they try it, there will be some serious legal action. The water companies have their part to play in managing surface water, just as landowners do and just as Network Rail does. It is an increasing problem, it needs to be treated seriously and a lot of public money is going into dealing with it.
Lord Moylan (Con)
My Lords, I appreciate the difficulties for the Minister. However, changing the subject slightly, if there is so little money available for rail infrastructure and so many demands on it, why are the Government persisting with this plan that Great British Railways should build its own retail website and app for selling tickets when that is done perfectly well by the private sector already? Is it not time to abandon this vanity project?
Lord Hendy of Richmond Hill (Lab)
Nobody said that there was too little money. A lot of money is being spent on railway infrastructure. The problem has been that the climate has changed faster than adaptation of the railway infrastructure. The noble Lord is quite wrong about ticket retailing. There are currently 14 websites from train operating companies. They are very confusing. Many people do not think that you can buy a ticket for First Great Western from South Western, but you can. The objective of GBR is to replace this system with one that people can trust and will use to increase rail travel.
Northern Powerhouse Rail
Lord Hendy of Richmond Hill Excerpts(3 weeks, 5 days ago)
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Baroness Pidgeon (LD)
My Lords, as we have heard, the northern powerhouse initiative was launched in June 2014 by the then Chancellor George Osborne. Featuring new and significantly upgraded railway lines, it should be the region’s single biggest transport investment since the Industrial Revolution. Twelve years on, despite various promises by various Prime Ministers, all that seems to have happened so far is lots of talking and planning, but no concrete plans.
On these Benches, the Liberal Democrats fully support measures to grow our economy across every nation and every region. We are supporters of delivering Northern Powerhouse Rail and a new Liverpool to Manchester rail connection. But the only solid information in this Statement, as we have heard, is just over £1 billion be spent over the next four years planning what should be in the final plan, not on spades in the ground.
I absolutely accept that the previous Conservative Government failed to deliver infrastructure projects such as this and High Speed 2, but surely our northern towns and cities were hoping for so much more. Can the Minister confirm that while we can hope that there may be some upgrades to rail infrastructure at some point in the 2030s, there will be no new trains running on new tracks until 2045 at the earliest? Can the Minister assure the House that the Government are not falling into the trap of the previous Government’s playbook of stop-start funding and delay on rail projects?
Safe, reliable and affordable railways are vital for employment, quality of life and economic growth. This is particularly true for the north of England, where the need for investment in infrastructure is clear. How will the Minister ensure that this major transport infrastructure project, no matter how welcome, secures the funding that is needed and does not go wildly over budget and end up years behind schedule? Will some clear strategic thinking by shadow Great British Railways be undertaken now to avoid costly feasibility studies being undertaken by other parties and to ensure a grip on the project?
Northern Powerhouse Rail, if delivered properly, will unlock growth, connect communities and boost employment opportunities. I hope the Minister can provide clear answers that help us all understand what is being promised in this Statement and when it will be delivered.
The Minister of State, Department for Transport (Lord Hendy of Richmond Hill) (Lab)
My Lords, the Statement by my honourable friend the Secretary of State in the other place last Wednesday set out a practical and deliverable set of railway improvements in northern England related to an economic plan for the northern growth corridor across either side of the Pennines. The noble Lord, Lord Moylan, and the noble Baroness, Lady Pidgeon, have set out some of the more tangled history of Northern Powerhouse Rail over the past 10 years.
This Government are drawing a line under some uncosted and, frankly, undeliverable plans, of which Network North was the worst, although the Integrated Rail Plan for the North came near it, because there was a little bit of funding but it was not prioritised in any way. We are setting out a realistic plan for the delivery of a better railway for the north of England, which will include more frequent trains—so frequent that you do not need a timetable—more reliable trains, faster journey times and a mixture of using existing lines, upgrading existing lines and, as has been pointed out, a new railway between Liverpool and Manchester.
It is also phased. Noble Lords will note that, on the east side of the Pennines, improvements can come more quickly, because the upgrading will be to existing lines. The line across the Pennines is already being significantly upgraded: the trans-Pennine route upgrade has not so far been mentioned, but £11 billion-worth of railway improvements are being carried out now, with capacity, electrification, reliability and journey time improvements. The plan then sets out a new railway between Liverpool and Manchester, using the northern part of the stalled powers for HS2, which are languishing in Parliament at the moment, together with a new railway from Millington to Liverpool.
Thirdly, upgrades will be made later from Bradford to Manchester and Sheffield to Manchester. The Government believe that the plan, set out in that way, is much more deliverable and practical than any previous plan has been.
The noble Lord, Lord Moylan, asks about abandoning a new railway across the Pennines. Yes, there will not be a new railway across the Pennines because, in effect, the trans-Pennine route upgrade will deliver what is virtually a new railway but on the existing alignment. He also asked about the proposition that, somehow, Northern Powerhouse Rail will not be effective without the delivery of HS2 to Manchester. He will note that one of the things in the Government’s plan and the Secretary of State’s Statement is the reservation of the existing purchase of land from Birmingham to Manchester, because more capacity—note that phrase; it is more capacity, not a high-speed line—is likely to be needed at some stage. It will therefore eventually complement the part of the HS2 alignment that will be used as a result of the new railway from Liverpool to Manchester.
The £1.1 billion-worth is in this spending review period, rather than to 2030, which was referred to last week. It will deliver some enhancements, too: for example, the cost of the new station in Bradford, subject to its business case, will be part of that £1.1 billion. We expect delivery to be well started, because the site is nearly agreed and the proposition is sound. We are also expecting improvements to Leeds station, which is a critical block to having more trains on either side of the Pennines, as a result of this expenditure. But it is true that a lot of that money will be spent on planning, because one of the lessons from HS2, to which this House will return fairly shortly, was the foolishness of starting to build a railway without specifying it and with contracts that make the contractors money whatever they are building and however long they take to build it.
The funding envelope of £45 billion is a very sensible proposition, bearing in mind the experience of HS2, by which government can limit the costs and give some budgetary pressure to those specifying the improvement. As the House will hear fairly soon, one of the difficulties with HS2 was the zealotry with which the original specification was written and the consequent enormous cost. We are not going to make that mistake. The last point of course is that the £45 billion is a sum to be spent after the end of this spending review, so the first part of it will be in this Government’s term.
The Government are working very hard to produce a practical programme of improvements that can be delivered by both the railway and its supply chain. I say to the noble Baroness that we do need to plan first; it is sensible to do that. She asked whether GBR would be involved. It will: very much so. One of the mistakes of HS2 was to regard it as a completely independent railway when, actually, it has to be regarded very much as part of the railway network, which is certainly what this Government envisage Northern Powerhouse Rail to be.
Baroness McIntosh of Pickering (Con)
My Lords, can I press the Minister on the timetable? Obviously, I have a vested interest as a resident of the north. The Chancellor of the Exchequer has announced that the benefits will be felt by the early 2030s, but I understand that the final project will not be finished until the 2040s, and there may be a change of Government in that time. Can the Minister give a clearer setting out of the timetable, and in particular when the stretch from York to Middlesbrough might benefit?
Lord Hendy of Richmond Hill (Lab)
The noble Baroness is right that railway improvements, sadly, take a very long time. They take a long time to be delivered safely, unlike in the Victorian era when hundreds of people were killed during their construction, and many of them have to be done on the operating railway, which can tolerate some closures but cannot tolerate everything.
The Chancellor spoke correctly in saying that the benefits will start to be felt in the 2030s. In fact, I think some benefits will be felt before then, because we must improve Leeds station and a new station in Bradford will make a significant difference to Bradford’s economic prospects. I cannot tell the noble Baroness precisely when all the parts of the improvement will be delivered, because we need to plan this out properly, but the Government hope that, with a general consensus about the economic prospects of the north of England being improved by better transport, we have for the first time seen a plan that sets that out in a progressive way that enables it to be delivered. The hope is that, whoever the Government are—hopefully, this Government will be here for a long time—it can be delivered over the course of a number of Parliaments.
The noble Baroness will of course recall that the most difficult occasion in the recent history of railway planning was the peremptory cancellation of phase 2a of HS2, which was done, sadly, without any contemplation of a replacement. If future Governments were to modify this plan, one hopes they would contemplate the effects of what they were doing, in order to be able to deliver the plan roughly as it is set out today.
Lord Grocott (Lab)
My Lords, there is a great deal in this Statement that I warmly welcome: in particular, the bit the Minister has just referred to about what was HS2, the link from Crewe to Manchester. He has repeated, and it is clear in the Statement, that
“we will retain land … already purchased between the west midlands and Crewe”.—[Official Report, Commons, 14/1/26; col. 931.]
The only point of retaining the land—I strongly welcome the fact that it will be—is that a railway will be built on it at some stage.
I would like the Minister’s confirmation that, welcome as these improvements to east-west connectivity are—they are very welcome and probably should be taking precedence—they will not in any way help to solve the capacity problems on the west coast main line, which are being solved in part as far as Birmingham but need to be solved between the West Midlands and Manchester as well. What hope can the Minister offer me that a new railway—he can call it HS2 or whatever he likes—will be built to replace HS2 to Manchester and correct the huge mistake that was made when it was cancelled?
Lord Hendy of Richmond Hill (Lab)
My noble friend is right: the Government are retaining that part of the land between the West Midlands and Crewe that they have bought for precisely that purpose, because they know that at some stage a railway will have to be built. It will probably not be a high-speed railway. It is certainly not a railway to the specification of High Speed 2 phase 1, which has cost an extraordinary amount of money because of its specification. It might be that only part of that route is needed sooner than the more northern parts.
It is clear that the west coast main line is full of trains. There is no space left. The Office of Rail and Road declined all the open access applications last summer, simply because there was no timetable space on the railway to accommodation them. It is right for the Government to think about the future and to plan to deliver this new railway at a time when it is needed.
Lord Birt (CB)
My Lords, I worked at No. 10 as Tony Blair’s strategy adviser in 2005 when an in principle go-ahead was given to an ambitious high-speed rail network for the whole country. Twenty-odd years later, we do not even have one small part of that plan in place. In the same period, since 2008 China has built 48,000 kilometres of high-speed rail.
I am a Liverpool supporter, so I regularly go—
Lord Birt (CB)
It has been a difficult weekend. I regularly visit the north-west of England, as I did at the weekend. I am involved in an east of Pennines business, so I am very familiar with the 19th-century infrastructure of the whole of the north of England. Are we remotely ambitious enough with our rail infrastructure?
Lord Hendy of Richmond Hill (Lab)
The simple answer is yes. What the north of England needs is better, more reliable connectivity, most importantly at a frequency at which a timetable is not needed. This is the intention of this Government’s whole plan. It can be delivered as a consequence of finishing the trans-Pennine route upgrade and carrying out, in sequence, the plans set out by the Secretary of State last week.
Baroness in Waiting/Government Whip (Baroness Blake of Leeds) (Lab)
May I remind noble Lords that this is an opportunity to ask questions of the Minister? Can we keep comments succinct? There is plenty of time for everyone to get in if we all keep our questions sharp, so that he can answer them.
Lord Harper (Con)
My Lords, I am grateful to the Minister for recognising the success of the trans-Pennine route upgrade—which was, of course, started by the last Conservative Government, when a lot of significant work was done. The Minister also had responsibility for that in a previous role.
I have two specific questions. Is the £45 billion pound cost envelope that the Minister mentioned calculated in 2026 pounds, or is it going to be uprated for inflation? That is a very important question, given the length of time HS2 has taken and the significance of that. Secondly, is the delivery authority for the Northern Powerhouse Rail project going to be GBR?
Lord Hendy of Richmond Hill (Lab)
The £45 billion is in 2026 pounds. I think the noble Lord will recognise that, for example, we have been accounting for HS2 in 2019 prices for a number of years, which is clearly a ridiculous proposition. I expect GBR to take responsibility for much of this, except that the Government may well decide to deliver building a brand new route between Liverpool and Manchester separately, as with East West Rail. We have to regard the whole thing as part of the national railway network and not as something dreamt up, delivered from Mars and imposed on the railway, with the consequent loss of connectivity and the ability to change trains at stations for all the journeys people want to make.
Lord Liddle (Lab)
My Lords, I accept the incrementalism of the plan, but can the Minister give us a little more detail about how it will be managed? What will be the role of the northern mayors? Is funding to be solely from the Treasury, or will it be regionally based? Are the Government exploring how the railway can benefit from the development value of the surrounding land, which will then increase greatly in value?
Lord Hendy of Richmond Hill (Lab)
I thank my noble friend for raising a really important point. First, the mayors are party to the proposal, and there is a compact with each of them in the northern growth corridor. This is really important, because previous proposals have been done to those mayors and not with them. They play an important role because, as it says in the announcement, although there is a funding cap, which has been discussed already, they should have the ability to change or improve the specification in line with the aspirations for their region’s economy, jobs and homes. If they do, they should be able to raise some money, and the Government are going to pursue that with them discussions.
The noble Lord is right that one of the underused features of infrastructure funding so far is not buying into the inevitable rise in value of the land. One of the most difficult things to witness and not comment on is that, as you approach Birmingham, the skyline is full of cranes and buildings but none of the owners or developers of the land has paid a penny towards the railway. That cannot be right.
The Lord Bishop of Newcastle
My Lords, I have spoken in the Chamber before about the Leamside line, which is a modest 21 miles of railway in the north-east. Would the noble Lord agree that it illustrates the disconnect between statement and construction timeline? Would it be worth considering prioritising projects such as the Leamside line in order to power up the northern powerhouse, particularly in the north-east, which sometimes feels on the edge of plans?
Lord Hendy of Richmond Hill (Lab)
I am delighted that the right reverend Prelate has raised that, because I discussed this very subject with Kim McGuinness two or three times in the last month. The extension of the metro to Washington, which is the northern part of the Leamside line, is proceeding anyway. The development of the southern part of the Leamside line will be pursued alongside the first tranche of Northern Powerhouse Rail, with a view to deriving economic growth, homes and jobs benefits from extending services southwards. I hope I have answered the right reverend Prelate’s question very positively.
Lord Lennie (Lab)
My Lords, I welcome the noble Lord’s statement regarding Liverpool, Manchester, Leeds and Bradford. There is also Newcastle, as the right reverend Prelate just said. The journey time from Newcastle to Manchester is longer than from Newcastle to London. Is the plan designed to improve that particular journey?
Lord Hendy of Richmond Hill (Lab)
The answer to my noble friend is yes. The trans-Pennine route upgrade will make a significant improvement to the journey time across the Pennines. In addition, the intention is to have trains at higher frequency, which means less waiting time. That journey time will be improved in both respects.
Viscount Stansgate (Lab)
My Lords, I am delighted that the right reverend Prelate raised the question she did because, by pure chance, I have a Question on tomorrow’s Order Paper about east coast main line capacity. What impact, when delivered, will the Statement, which I welcome, have on the east coast main line, as well as on the points raised by other Members about capacity from the Midlands to the north and to the west coast?
Lord Hendy of Richmond Hill (Lab)
I will not spoil the Answer to my noble friend’s Question tomorrow, except to say that the east coast main line has a better timetable with more trains on it. The Government do not see the end of their aspirations for railways in the north to be solely the announcement from last week. There may well have to be further improvements to the east coast main line; if there are, they will only enhance its capacity, both in journeys north-south and in the connections between Newcastle, York, Leeds and places to the west side of the Pennines.
Lord Kempsell (Con)
My Lords, I thank the Minister for the update on this important cause. Let us assume that the cap will be busted. If that is the case, and the Treasury’s £45 billion envelope is broken, what assessment have the Government made of the impact on local authorities and businesses that will have to shoulder the local funding uplift?
Lord Hendy of Richmond Hill (Lab)
Let us not assume that the cap will be busted, because the progress on the trans-Pennine route upgrade demonstrates pretty satisfactorily that, planned properly, you can make substantial railway enhancements without limitless additions to the budget. We will come back to this House and the other House in short order about the costs and timescale of HS2, but there are some really substantial lessons to be learned from starting a project with no specification and giving contractors, in essence, a licence to print money. There is no way that this Government are prepared to do that with anything that has been announced in the past few days. One of the consequences of that is to allow ourselves time to plan what needs to be done properly, to cost it properly and to contract for it properly. I do not think that we can tolerate assuming that caps will be busted, because we have a terrible example of it at the moment, and we should leave that example in isolation and deliver projects properly, having planned them first.
Lord Faulkner of Worcester (Lab)
My Lords, I thank every noble Lord who has spoken in this exchange and warmly welcome the Statement that was made last week in the other place. I congratulate the Minister on getting his head around the facts and being able to explain what is happening with such clarity—for example, to the right reverend Prelate the Bishop of Newcastle on her remarkably technical but important question about the Leamside line. Did the Minister see the press coverage at the weekend on the completion of the Chiltern tunnel for High Speed 2, and does he agree that it is time that we started to celebrate such engineering feats? When it is built, the railway is going to have some marvellous engineering—not just tunnels but viaducts as well—which I think will make our railway the envy of the world.
Lord Hendy of Richmond Hill (Lab)
I agree with my noble friend. There are some remarkable structures, either in the ground or coming out of the ground, for HS2, but he would have to agree with me that you have to be tinged with sadness to stand here and not know how much they have cost so far. That is a shocking weakness, which we will come back to and no doubt debate at some stage. My noble friend is right that British engineering can produce some extraordinary feats, and the tunnel that was in the newspapers at the weekend and the viaduct across the Colne Valley are very elegant structures.
Incidentally, if noble Lords who take a train journey between Manchester and Leeds would like to give me prior notice, I can arrange for them to travel in the cab with the driver, and they can see the extraordinary amount of work that is being done on an operating railway, which is neither trivial nor simple, and get some understanding about what is going on there. My noble friend Lord Faulkner is right to highlight these great structures on HS2, but, equally, what has been going on between Leeds and Manchester and out to York is extraordinary, and it has been done with relatively little disruption to the train service. If any noble Lords—within reason—would like to see it at some time, I will arrange for them to be able to do that.
Buses: Safety and Security
Lord Hendy of Richmond Hill Excerpts(1 month ago)
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Baroness Pidgeon
To ask His Majesty’s Government what work they are undertaking to ensure the safety and security of buses.
The Minister of State, Department for Transport (Lord Hendy of Richmond Hill) (Lab)
This Government are committed to ensuring that buses are safe and secure for all passengers and road users, and we expect the bus sector to uphold the highest possible safety standards. The Bus Services Act 2025 helps to deliver safer, more reliable and more accessible bus networks, and we have just published the new Road Safety Strategy, setting out the Government’s plan to make our roads significantly safer for everyone.
Baroness Pidgeon (LD)
My Lords, given that there are around 700 Yutong electric buses in operation across our country and that concerns have been raised internationally that these buses can be stopped or made inoperable through remote interference from China, will the Government issue clear guidance for procurement of such electric buses, including new security requirements, such as firewalls, to prevent our buses being hacked?
Lord Hendy of Richmond Hill (Lab)
My department and other parts of government are looking into the media reports on this from Norway, and the Secretary of State has already committed to updating the Transport Select Committee on this work as soon as we can. We cannot legally mandate that funding given as subsidy is used to purchase British-built buses, but where local authorities are running their own procurement to buy buses directly, they can design these exercises in a way that maximises the wider economic benefits offered by domestic suppliers. We also launched last year the UK bus manufacturing expert panel to support UK bus manufacturing. Through that, we are actively encouraging mayoral combined authorities—many of which will shortly procure bus fleets to support their new bus franchising programmes—to embed best-practice social-value criteria within their procurement.
Lord Berkeley (Lab)
My Lords, can my noble friend the Minister explain how the roads can be made safer for buses? In the press today, there are reports of two accidents involving school buses and quite a few children injured. Is it not time that we had a system to make the roads safe for buses and for everyone, in the way that happens in many other countries?
Lord Hendy of Richmond Hill (Lab)
I refer my noble friend to the Road Safety Strategy that has just been published—the first for many years—which sets out a whole variety of actions to be taken with vehicles, drivers, pedestrians, other road users and infrastructure, which he refers to, in order to reduce deaths and serious injuries on the roads. Nevertheless, travelling by bus is a very safe mode of travel.
Lord Grayling (Con)
My Lords, given the current weather conditions, buses on icy roads are obviously an issue. Does the Minister know whether we mandate bus companies to have winter tyres on buses? If we do not, should we do so?
Lord Hendy of Richmond Hill (Lab)
I have never heard of any mandate for winter tyres. The speed at which the weather changes, given the climate change just discussed in this Chamber, would make changing tyres overnight a seriously impractical activity. What is needed when the roads are frosty and temperatures are below freezing is adequate gritting and care by local transport authorities. Ministers in my department in the other place have this week been looking into the adequacy of gritting across the country.
Lord Brennan of Canton (Lab)
My Lords, Covid had a big impact on the number of people using our buses. What is the Government’s latest assessment of take-up of bus use post Covid, and what are the Government doing to promote the use of buses to the public?
Lord Hendy of Richmond Hill (Lab)
The noble Lord is quite correct: Covid had an effect on all public transport demand. The Government have taken a series of actions, including the Bus Services Act 2025, which changes the landscape to enable local transport authorities to provide services designed for the people who live and work in their communities. I refer the noble Lord to recent funding announcements, which include funding for every transport authority in England—unlike the previous Government’s selective funding—and we have now guaranteed funding over the next three years. Consistency of service will encourage the increase of passengers on buses, and we are determined to achieve that.
Lord Harper (Con)
My Lords, can I take the Minister back to the Question asked by the noble Baroness, Lady Pidgeon? My understanding is that officials in his department, in conjunction with the National Cyber Security Centre, have already carried out an analysis of those Chinese-made buses and confirmed that there is a security flaw which enables them to be remotely dealt with, although there is no evidence that it has happened. Can he confirm that to your Lordships’ House and say what the Government are doing with not just buses but all transport technology to make sure that it is not vulnerable to attack by our enemies?
Lord Hendy of Richmond Hill (Lab)
The noble Lord is clearly in possession of information that I do not have, because my department and other parts of government are still looking at this. But it is a fact of life that all modern vehicles, including buses, are using software to support safer driving, improve diagnostics and provide a host of other services, and updating this software remotely is an effective and efficient way of doing so. That has been the practice for years, but it is a concern and that is why we are looking at it. If something needs to be done, of course this Government will do it.
Lord Goddard of Stockport (LD)
My Lords, what will the Government provide to the UK electric bus industry to ensure competition in the bus sector and real choices for local authorities and transport authorities? What additional safety features will the Government require for bus fleets across the country to work towards Vision Zero, as initiatives in London and West Yorkshire are doing at present?
Lord Hendy of Richmond Hill (Lab)
I already referred to the UK bus manufacturing expert panel, which has been set up by this Government precisely to support the UK bus manufacturing industry. I also said that we are actively encouraging those mayoral combined authorities which will procure bus fleets to embed best-practice social-value criteria so that they are more able to procure buses made in Britain. If the noble Lord looks at the Road Safety Strategy—I am not suggesting that he is remiss in not having done so, because it has been published only in the last few hours—he will see that it includes real commitments to the safe system, which is the rather less-interesting title of Vision Zero, devised in Sweden. It looks to embed that in every aspect of road safety in Britain, including the operation of buses. We had some discussion here about the safe system in the debates on what became the Bus Services Act. I think the noble Lord and others will be very pleased to read what is in the strategy when they are able to do so.
Baroness McIntosh of Hudnall (Lab)
My Lords, I must confess that, when I saw this Question on the Order Paper, I envisaged a discussion about safety in buses as much as the safety of buses, so I hope my noble friend will forgive me for asking an adjacent question to do with safety in buses. What can he tell us about the way that the training of drivers and the design of buses is now being taken forward to ensure the safety of young women in particular travelling in buses, especially at night?
Lord Hendy of Richmond Hill (Lab)
My noble friend is absolutely right. The Bus Services Act 2025 mandates training for all bus drivers, to make buses part of the safer streets initiative to deal with violence against women and girls. The department is actively producing guidance for bus operators and local authorities about how that is done so that every bus driver in Britain has the ability to spot what is going on and deal with it. Some 96% of buses in Britain now have CCTV, which is a means of providing both evidence and reassurance to passengers that their safety is being considered. I am looking forward, as I am sure my noble friend is, to this training being rolled out to every driver in Britain.
Lord Moylan (Con)
My Lords, it remains the case that very large numbers of people are injured daily though accidents inside buses, especially elderly people, in large measure as a result of sharp braking. Nothing has been done to reduce this number over the years. The Minister is very aware of it. What can he say that this new strategy that we have the benefit of today is going to do to make a real difference to that number?
Lord Hendy of Richmond Hill (Lab)
I would take issue with the noble Lord in saying that nothing has been done. There has been a lot of individual work. In particular, Transport for London, post his and my time there, has spent a lot of effort and activity in interior bus design and specification of vehicles themselves. But he, too, when he sees the Road Safety Strategy will see words in there about better driving and infrastructure, which was previously referred to, and about the use of Vision Zero, all of which must make a difference in how people drive and, consequently, the effects of braking. Of course, you want vehicles to stop when the vehicle in front of them stops, or there is some hazard, but sharp braking is, of course, as he says, particularly damaging to older people and vulnerable people. We want to avoid it, which is why the Road Safety Strategy has to affect all users of roads.
Channel Tunnel Infrastructure: Reliability
Lord Hendy of Richmond Hill Excerpts(1 month, 1 week ago)
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Lord Snape
To ask His Majesty’s Government what discussions they have had with Getlink about the reliability of the Channel Tunnel infrastructure given the recent failure of the electrical supply and the subsequent cancellation of train services between London, Paris and Brussels.
The Minister of State, Department for Transport (Lord Hendy of Richmond Hill) (Lab)
My Lords, it is important that there is a full investigation into the three separate incidents which disrupted tens of thousands of passengers’ journeys on 30 and 31 December last and saw some passengers stranded throughout the night, which is clearly unacceptable. I am therefore commissioning the relevant authorities—the binational Intergovernmental Commission, the IGC, which oversees the Channel Tunnel, and the Office of Rail and Road—to review last week’s incidents and also the implementation of recommendations from previous reviews of similar incidents, to ensure that urgent lessons are learned for good.
Lord Snape (Lab)
I am grateful to the Minister for that response. Am I correct in thinking that, when these occurrences happen in and around the Channel Tunnel, it seems to take twice as long to restore services on that part of the line which is the responsibility of HS1 or Getlink as it does on the other side of the channel, where the infrastructure is the responsibility of the French and Belgian railways? Does he agree with me that the latest outage ruined the new year holiday for thousands of people? Could he assure the House that the Government will do what they can to ensure that proper compensation is paid to them for having their holiday ruined? Finally, could he assure me and those of us who are interested in these matters that companies such as Eurostar and Getlink have proper resources, not only to own the infrastructure for which they are responsible but to repair it when things go wrong—something that obviously did not occur promptly on this occasion?
Lord Hendy of Richmond Hill (Lab)
I share my noble friend’s concern about the disruption caused to travellers, in particular those whose holidays were spoiled or at least delayed. There is appropriate compensation made by Eurostar and Getlink, which are private companies, for that.
I take a particular interest in the noble Lord’s last point about ownership and proper maintenance, because there have previously been similar incidents and they do seem to take a long time. I am not sure that I can distinguish between incidents that take five hours on our side of the tunnel and, for instance, one last summer that took seven hours on the French side—but all that time is too long. My concern in this review, which is why I specifically mentioned the review of previous recommendations, is that it is not currently clear to me that all the previous recommendations for better maintenance, fewer incidents and for dealing with incidents when they occur have been followed through to completion by any of the parties that the noble Lord mentioned.
Baroness Pidgeon (LD)
My Lords, while I welcome the review the Minister has mentioned, given that there is widespread support for increasing competition and international rail travel from the UK to other European destinations, what assurance can the Minister provide to passengers that the infrastructure is capable of running more services for both passengers and, indeed, freight in the future?
Lord Hendy of Richmond Hill (Lab)
The review that I have talked about already will look at the resilience of the infrastructure and at previous recommendations to make sure that the infrastructure is resilient. Obviously, everything that we are talking about is certainly less than 40 years old, which, by railway standards, is like yesterday. There should be no reason—I cannot think of any good reason—why the infrastructure cannot support the much-increased level of service.
To that end, as the noble Baroness knows, the Government are committed to expanding the use of the tunnel for both passengers and freight trains. She will know that Virgin has been granted access to the depot in London, which it believes is necessary for its competitive activity with Eurostar. She will also know that Trenitalia, which is the Italian state railway, has found a funder to independently start additional competitive services with a depot in France, but not needing one in London. So, I am confident that all the infrastructure she mentions can support those services in the future.
Lord Young of Cookham (Con)
My Lords, the Minister mentioned compensation in his response. The Government want people to travel by train rather than by plane. He will know that the compensation available to the Eurostar passengers mentioned by the noble Lord, Lord Snape, is much less than the compensation offered to air passengers, such as those disrupted at Heathrow recently, leaving many of the Eurostar passengers severely out of pocket. Is there not a case for aligning the compensation regimes between the two modes?
Lord Hendy of Richmond Hill (Lab)
The noble Lord will know that we used to have far more influence over Eurostar and its commercial policies because we were once part-owners of it, but, sadly, a previous Conservative Government sold their 40% share in Eurostar to what has turned out to be the French state railway 10 years ago. So, we have no commercial influence over what Eurostar does.
If there is a case for what the noble Lord suggests, it would certainly require some examination, but I am not sure that we particularly want to interfere in people’s commercial businesses. What I do want to do is make sure that the infrastructure provided by Getlink, HS1 and SNCF on the other side of the tunnel is reliable, as the noble Baroness, Lady Pidgeon, said, so that the services that currently run and additional future services run reliably.
Lord Moylan (Con)
My Lords, I welcome the attempt by the noble Lord, Lord Snape, to hold a private railway company to account. Can the Minister tell us how we will hold Great British Railways to account when it is in operation, given that it is only obliged to “have regard” to guidance from the Secretary of State rather than to comply with it, according to the Railways Bill currently being considered in another place?
Lord Hendy of Richmond Hill (Lab)
We are quite a long way from the New Year’s Eve disruption in the Channel Tunnel, but never mind.
The noble Lord knows perfectly well that the principal means by which the Government hold arm’s-length bodies to account is by control of the appointment of the chair and the board. That is a pretty reasonable level of control. If he reads the Bill that is currently in the other place, he will see that there is a variety of mechanisms for the Secretary of State to make sure, on behalf of customers and passengers, that Great British Railways does what the Government want. I do not think there is any defect in those arrangements, but no doubt we will discuss them further when the Bill comes before this House.
Lord Kirkhope of Harrogate (Con)
My Lords, it is rather curious that we have a situation where many providers would like to join in and provide services to the continent through the tunnel. However, I am concerned —and I would like the Minister to respond—by the limitations and regulations that seem to be being applied, which are preventing the speedy setting-up of these new services. Is he happy that there are no impediments whatever to further commercial services being provided?
Lord Hendy of Richmond Hill (Lab)
I am happy, because the principal constraint is actually the availability of trains compatible with the infrastructure on both sides of the channel and in the tunnel itself. They are very specialised; there are few manufacturers who can make them, and the constraint on Virgin starting its services will be the availability of trains. My department is working very hard to make sure that the depot facilities needed in London are provided for it. The relatively recent announcement from Trenitalia that it believes that it can also provide competitive services without a depot in the UK—and it may have access to trains sooner because it has already ordered some for other services in Europe—is a very welcome development.
Viscount Stansgate (Lab)
My Lords, may I ask the Minister whether we will get a report back on what happened in late December? Whether it is an electricity failure that knocks out the Channel Tunnel or an electricity substation fire that knocks out Heathrow, the national grid is an absolutely priceless part of our critical national infrastructure and I am sure the House will want to know that everything is being done to prevent these events taking place again.
Lord Hendy of Richmond Hill (Lab)
I thank my noble friend. I think it is a distraction to regard the electricity suppliers as the principal reason for the three separate failures. In fact, the first failure, we believe—or it is believed—was a train failure which brought down some of the wires. The second failure was an alarm on a freight train that suggested that the train had a seized wheel, although that proved not to be the case. The third was some form of failure, but it does not look like a particularly strong failure of the electricity supply. That needs to be fully examined. I agree with my noble friend that all these failures are unacceptable. The review I have already mentioned, along with previous reviews, ought to do their very best to make sure that these failures are obviated in future.