Oral Answers to Questions

Lord McLoughlin Excerpts

Thursday 28th January 2016 Commons Chamber

[David Mowat (Warrington South) (Con)]

1. What progress has been made on finalising the route for phase 2 of High Speed 2.

[The Secretary of State for Transport (Mr Patrick McLoughlin)]

May I associate myself with your remarks, Mr Speaker, to both members of staff who are retiring and wish them well in their retirement? I am sure they would be welcome to come back and observe us in a different role, if they so wished.

In November last year I confirmed plans for accelerating the construction of phase 2 from the west midlands to Crewe so that it opens in 2027, six years earlier than planned. We are developing our plans for the rest of phase 2 and I intend to make decisions on the rest of the route by the autumn at the latest.

[David Mowat]

The Secretary of State will be aware that HS2 Ltd is currently evaluating a proposal to extend the line north of Manchester to Wigan. The cost of that is around £1 billion but as yet no incremental business or economic case has been produced. Will my right hon. Friend undertake that, before a decision is taken to extend the line north of Manchester, a business case will be laid before this House so that it can be reviewed?

[Mr McLoughlin]

When we come forward with proposals, they will receive the same scrutiny as those for the earlier part of the line. I believe that high-speed rail is essential for the long-term economic future of the United Kingdom. It gives us the increased capacity that we so desperately need on our railways, and that is a whole other scheme.

[Mrs Louise Ellman (Liverpool, Riverside) (Lab/Co-op)]

Can the Secretary of State tell us how planning the route for HS2 will be linked with planned improvements for east-west rail travel—for example, Liverpool to Hull?

[Mr McLoughlin]

The hon. Lady, as Chairman of the Select Committee, is absolutely right that that is part of what needs to be done. It is part of what is being addressed by David Higgins as chairman of HS2 in his designs for the routes. Also, we wait to see what the National Infrastructure Commission led by Lord Adonis comes out with on the east-west link on HS3.

[Fiona Bruce (Congleton) (Con)]

Will the Secretary of State give close consideration to how Middlewich railway station can be reopened to passengers? That would facilitate much increased use of the rail line right into Manchester from Crewe and relieve considerable congestion on the M6, which has the support not only of local residents, but of a number of surrounding Members of Parliament.

[Mr McLoughlin]

I am not sure that comes into the HS2 line route development, but I am more than happy to discuss these matters with my hon. Friend, as is the rail Minister, the Under-Secretary of State for Transport, my hon. Friend the Member for Devizes (Claire Perry). One of the reasons for developing a high-speed rail link is that we need to find a lot more capacity on the existing rail network, and one of the ways we do that is by providing the extra capacity that HS2 will give.

[Graham Jones (Hyndburn) (Lab)]

I share the concerns of the hon. Member for Warrington South (David Mowat). Is not it poor that there are no plans for any HS2 rail service north of Manchester, particularly to Wigan? The 530,000 people in east Lancashire will be completely disconnected from phase 2 of HS2. Will the Secretary of State look at that?

[Mr McLoughlin]

The simple fact is that from day one I see HS2 serving areas wider than just those in which it is built. When we start the service from Birmingham, it will be possible to link with conventional rail routes, rather as high-speed trains currently run from St Pancras to Ashford and then beyond. I hope that the northern parts of the United Kingdom will be served by HS2 straightaway.

[Jeremy Lefroy (Stafford) (Con)]

When the plans were put forward in November, they included none of the proposals for mitigation in my constituency that I and my constituents had put forward. Will my right hon. Friend give me an assurance that those proposals will continue to be looked at throughout the passage of the Bill?

[Mr McLoughlin]

Indeed. When we bring forward the Bill, my hon. Friend and his constituents will have every opportunity to make their case, including throughout its consideration in Committee.

[Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

This is one of the largest and most expensive Government projects on the table. Just before Christmas the Public Accounts Committee heard from the Secretary of State’s permanent secretary about the evaluation of High Speed 1, which was two years late and was therefore not included in the evaluation for the early stages of High Speed 2. How can he convince us that he really has a grip on the costs of this project and that the House will have proper, full scrutiny of that challenge?

[Mr McLoughlin]

The hon. Lady represents a London constituency and will therefore get the benefit of Crossrail, which is a very expensive scheme—the expense is not dissimilar to that of the first part of phase 2 of HS2. We are evaluating the project very carefully indeed, and we look very closely at anything the Public Accounts Committee tells us—of course, it always tells us in hindsight; never in advance.

[Mr David Nuttall (Bury North) (Con)]

If the Wigan spur proceeds, does that mean that when it comes to extending the HS2 line up to Scotland, it will go up the west coast, rather than the east coast, thereby missing out the north-east and Newcastle?

[Mr McLoughlin]

No, I very much want to see Newcastle served. Those decisions are yet to be taken in full, but there is no reason why Newcastle should not be served on the east side of the HS2 spur.

[Lilian Greenwood (Nottingham South) (Lab)]

We welcome the decision to accelerate HS2’s construction to Crewe. However, the whole of phase 2 is crucial for the midlands and the north. We were told that Ministers would confirm the route by the end of 2014, but that target has now slipped by at least two years, prolonging blight for residents, creating uncertainty and scaring off investment. Does the Secretary of State agree that there must be no doubt about the Government’s commitment to phase 2? Does he further agree that were a Chancellor with a Cheshire constituency to terminate the route south of Manchester, that would be an abject betrayal of the northern powerhouse?

[Mr McLoughlin]

I agree with the first part of the hon. Lady’s question, but I have had no stronger support in promoting this scheme from any member of the Government than I have had from the Chancellor of the Exchequer, even though it affects his constituency. He has been very clear about the benefits it will bring not only to the north, but to the whole of the United Kingdom. To intimate that he is somehow against the scheme is wholly wrong. I said that I hoped to have the full scheme announced by the end of this year, but I left a bit of leeway in order to make announcements sooner if I possibly can, to alleviate the blight of certain areas affected, which might not be affected under the proposals now being worked on.

[Graham Stuart (Beverley and Holderness) (Con)]

3. What recent assessment his Department has made of when the UK will meet its target in the EU renewable energy directive of 10% of its transport fuels coming from renewable sources.

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[Suella Fernandes (Fareham) (Con)]

8. What his policy is on rail franchising.

[The Secretary of State for Transport (Mr Patrick McLoughlin)]

The Government believe that franchising is the best way of delivering benefits for both passengers and taxpayers. The proof of that is in the benefits we gain for passengers and taxpayers on the open market, such as new trains, new services, more frequent services and improved stations. As my hon. Friend is aware, we are currently consulting on the specifications for the next south western franchise. I hope that she and her constituents are fully engaged in the process.

[Suella Fernandes]

Southern rail allegedly serves Fareham, Swanwick and Portchester stations in my constituency, but commuters are fed up with the cancellations and severe delays. I am glad that the Secretary of State acknowledges that the service is not good enough, but will he reassure me that the mainline west and coastway west routes will be considered as part of the future improvement plans? Will the franchise be withdrawn if no improvement is shown?

[Mr McLoughlin]

We are seeing unprecedented growth in rail traffic and transport. Importantly, the Government have matched that by increasing the investment for Network Rail over the next control period. Some of the improvement that my hon. Friend talks about needs to take place. I say to my hon. Friends, however, that there will be disruption while some of this improvement is taking place. Sometimes that will be because of the train operating companies, but sometimes it will be because of the failure of previous Governments to invest properly in the railways and upgrade them.

[Nic Dakin (Scunthorpe) (Lab)]

There is unlikely to be much UK steel used in the train contract that has just been awarded to the Spanish. What can the Government do to use franchising and other measures to ensure that their new procurement guidelines, which are a big step in the right direction, begin to have some purchase to ensure that steel content is included in such contracts?

[Mr McLoughlin]

First and foremost, I would point out to the hon. Gentleman the amount of money that is spent by Network Rail in purchasing steel from his constituency or thereabouts. That is an important movement in the right place. It would have been a bigger betrayal to the people of the north had we not said that we need new rolling stock to replace the Pacers. I am pleased that the Government will replace the Pacers. The very fact that our train builders in this country—Bombardier and Hitachi—are busy is because of the record investment the Government are putting into the railways.

[Chris Green (Bolton West) (Con)]

For many years, commuters in Bolton West have found that the trains and carriages at rush hour are heavily overcrowded—we have about the third worst overcrowding in the country. Will the Secretary of State assure me that the new franchising will deal with that problem?

[Mr McLoughlin]

Yes, but the new franchising could lead to more passengers on that track and the problem might grow. I am very pleased with the investment taking place in and around my hon. Friend’s constituency, not least the work on the Farnworth tunnel, which will increase the capacity and availability of electric trains to eventually serve his constituency.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Will the Secretary of State learn from the Scottish Government on franchising? As well as new trains and capacity, will he get commitments for the real living wage for all staff and subcontractors, new apprenticeships, no compulsory redundancies and, importantly, an end to toilets being emptied on to railway tracks?

[Mr McLoughlin]

I trust that the Scottish Government are learning from what the UK Government have managed to achieve in the franchises we have let. A lot of the policies that are being followed by the Scottish Government are based on policies that we have implemented.

[Andy McDonald (Middlesbrough) (Lab)]

In 2011, FirstGroup, which runs Great Western, avoided paying contractual premium payments to the Treasury by choosing not to take up its option of a three-year extension, but in January 2013, the Secretary of State abandoned the competition for a new franchise and simply agreed a renewal with First until 2015, and subsequently announced a second direct award running till 2019, thereby avoiding the inconvenience of a competitive bidding process. Have not the Government made a mockery of free market franchising?

[Mr McLoughlin]

I welcome the hon. Gentleman to his post. As I said last week in a transport debate, I hope he lasts longer than his predecessor—[Interruption.] I think there was somebody in between. The contract to which he refers did have a break clause for First, but it was negotiated by the Labour Government. Therefore, they caused that break and it was part of their contract.

I am pleased to be able to remind the hon. Gentleman of the words of the right hon. Member for Tooting (Sadiq Khan), who I believe has an important role in the Labour party—I hope it is a very unsuccessful one in a few weeks’ time. He said that:

“one reason we are able to invest record sums in our railway service is the revenues that the franchises bring in and the premiums that they pay”.—[Official Report, 1 July 2009; Vol. 495, c. 430.]

He said that when he was in a position of responsibility: that of Transport Minister.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

9. What recent discussions he has had with Network Rail on the proposed electrification of the trans-Pennine rail line.

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[Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)]

12. What recent discussions he has had with the Secretary of State for Environment, Food and Rural Affairs on new emissions tests for cars.

[The Secretary of State for Transport (Mr Patrick McLoughlin)]

I have held regular discussions with my ministerial colleagues on the new European emissions tests for cars. The Government strongly support the real driving emissions agreement, which is expected to significantly reduce real-world oxides of nitrogen emissions from diesel cars.

[Dr Cameron]

The Secretary of State will be aware that the European Commission has proposed new rules to test car emissions following the scandal involving Volkswagen vehicles. What discussions have the UK Government had with their EU counterparts on the proposals?

[Mr McLoughlin]

There have been several sets of negotiations. This came up at the last Transport Council I attended and I reported back to the House on its conclusions. The hon. Lady is absolutely right. This a very important subject that needs to be addressed right across the car manufacturing industry.

[Paul Maynard (Blackpool North and Cleveleys) (Con)]

13. What steps his Department is taking to implement the Government’s road investment strategy.

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[The Secretary of State for Transport (Mr Patrick McLoughlin)]

I pay tribute to Network Rail and its hard-working orange army of more than 20,000 staff who successfully delivered £150 million of essential improvements to the network over the holiday period, as part of our record programme of investment in the railways. Planning for Easter is well advanced, and the good practice demonstrated over Christmas is being embedded in the planning process for Easter and beyond.

[Iain Stewart]

Network Rail is rightly criticised when it fails to deliver, but given its unsung success in delivering many complex projects on time and on budget, will my right hon. Friend join me in congratulating the orange army on a job well done?

[Mr McLoughlin]

I am more than happy to do that. It is difficult to do these works. We tend to do them over bank holidays, when there is not so much usage on the network. I realise it inconveniences people who want to travel by train, but it is all part of a major and vital upgrade of our rail network.

[Mr Ben Bradshaw (Exeter) (Lab)]

15. What additional investment the Government plan to make in rail infrastructure in the south-west during this Parliament; and if he will make a statement.

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[Graham Jones (Hyndburn) (Lab)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Transport (Mr Patrick McLoughlin)]

This has been a very difficult time for the communities of the north of England. I have enormous sympathy for those flooded out of their homes. I am determined that we will continue to stand shoulder to shoulder with local communities as they strive to return to business as usual. That is why I have commissioned the highways agencies and Network Rail to work particularly closely with the local authorities directly affected by flooding.

[Graham Jones]

Unsustainable cuts by the Department for Communities and Local Government have left Lancashire County Council able to provide only statutory services across the county. This has led to an end to fare box subsidies. Some 2,400 bus routes have been cut or downgraded by this Government nationally. Why is it that this Government are leaving bus users without services?

[Mr McLoughlin]

The hon. Gentleman needs to question Labour-controlled Lancashire County Council about how it provides its services, along with those local authorities that have managed to enhance their bus services. My Department has secured funding through the bus service operators grant and will continue to do so, and will continue to support bus services across the country.

[Sir David Amess (Southend West) (Con)]

T2. Given the adverse impact that c2c timetable changes are having on the quality of commuters’ lives in Southend, and that the franchise has been renewed and the impact is now being blamed on the Government, will my right hon. Friend leave the train operators in no doubt at all that the Member of Parliament for Southend West believes that these timetable changes are simply untenable?

[Mr McLoughlin]

I well remember my hon. Friend campaigning for c2c to keep the franchise for that particular line. Obviously any changes early on in a franchise sometimes lead to difficulties, but I am concerned to work with him. c2c is improving the service. It has one of the highest reliabilities among train operators across the country and I know it is going to bring in additional rolling stock in late spring.

[Daniel Zeichner (Cambridge) (Lab)]

In last week’s Opposition day debate on the cost of public transport, Government Members seemed reluctant to say anything about buses and particularly fares, which is no great surprise, because the Department keeps hardly any information on the issue. Others tell us that fares have risen by 26% since 2010—three times as fast as wages. What does the Secretary of State think about that and when is he going to start collecting and publishing the data—or would he rather the public did not know?

[Mr McLoughlin]

I think—I will check this, and if I misinform the House, I will come back to it—we publish the same data and a lot more than the last Government ever published.

[Daniel Zeichner]

Oil prices are now low, but we have not seen bus operators passing on the savings to passengers. It was very different when oil prices were going up: fares quickly went up too. What has the Secretary of State been doing to put pressure on the operators to cut fares? When is he going to start standing up for hard-pressed bus passengers?

[Mr McLoughlin]

I hope that bus fares come down as a result of falling fuel prices, but I would also point out to the hon. Gentleman that fuel prices are only one part of the industry’s costs—I think they represent about 40% of the costs. Another part is investment in new buses, which I very much welcome—I have seen many examples of that. Quite often the oil is bought in advance, but I agree with him that the bus companies should look to see whether there is room to reduce the cost of using buses.

[Oliver Dowden (Hertsmere) (Con)]

T3. Thousands of hard-working people from Radlett, Elstree and Borehamwood rely, like me, on Thameslink to get into London every day. We are utterly despairing at the ever declining service under the new franchisee. What reassurance can the Minister give us that Govia Thameslink will be held to account for those failures and what hope can he provide for future improvements to the service?

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[Marion Fellows (Motherwell and Wishaw) (SNP)]

T7. What discussions has the Secretary of State or the Vehicle Certification Agency had with Volkswagen to ensure that the UK taxpayer is not out of pocket for the re-testing of Volkswagen vehicles following the recent scandal?

[Mr McLoughlin]

I refer the hon. Lady to the response I gave to the hon. Member for East Kilbride, Strathaven and Lesmahagow (Dr Cameron). Discussions on this particular matter are ongoing. I have taken the issue up in meetings with Volkswagen, which I believe appeared before the Transport Select Committee earlier this week.

[David Rutley (Macclesfield) (Con)]

T5. Will my right hon. Friend tell us how, with Arriva having secured the new 10-year Northern rail franchise, this will help to improve and support the Government’s northern powerhouse strategy, and, more importantly, how it will help to improve rail services in Disley in the Macclesfield constituency?

[Mr McLoughlin]

My hon. Friend should know that this franchise was last let in 2004 on a nil-growth exercise—quite the reverse of what we have done. What will happen with the new franchise is that we will see the complete removal of the outdated and unpopular Pacers by 2019; £400 million of investment in 281 brand-new air-conditioned carriages; more than 2,000 extra services provided each week, including around 400 on Sundays; space for an extra 31,000 passengers; and £45 million invested in stations. Yes, my hon. Friend’s constituents will see a major improvement.

[John Pugh (Southport) (LD)]

I invite the Minister to comment on my question 18 on Government support for hydrogen fuel cell technology.

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[Huw Merriman (Bexhill and Battle) (Con)]

This morning my train to London Bridge got me in on time. Does the Minister agree that, as well as being negative when things do not work, we should adopt a positive attitude to our rail franchises when they get it right, as they do on most days?

[Mr McLoughlin]

My hon. Friend is absolutely right. Trains to London Bridge, and other Thameslink trains, are benefiting from a massive upgrade costing some £6.5 billion. Obviously there will be difficulties at certain stages of the line’s reconstruction, but once it is finished it will be a far superior line, and it will benefit from the new trains that will come into service in the spring.

[Stewart Malcolm McDonald (Glasgow South) (SNP)]

The proposals on emissions standards that were published yesterday by the European Commission give us a real opportunity to turn a corner and get to grips with an industry that has been circumventing environmental regulations for too long. Will the Secretary of State assure us that those proposals will not become a bargaining chip in the Prime Minister’s renegotiation, resulting in watered-down outcomes?

[Mr McLoughlin]

We want to consider the Commission’s proposals very carefully, and that is what we will do.

[Sir Gerald Howarth (Aldershot) (Con)]

Ten days ago a group of us visited Cairo, where everyone from the Prime Minister downwards impressed on us the devastating impact of the suspension of flights to Sharm el-Sheikh on the Egyptian economy. Has my right hon. Friend any plans to reinstate those flights so that the 1 million British visitors to Sharm el-Sheikh can resume their holidays there?

[Mr McLoughlin]

I cannot yet say when the resumption of flights might be possible, but the agreement that was reached with the Egyptian authorities in December on a joint action plan was a significant and welcome step forward. Since then we have had an ongoing presence in Sharm el-Sheikh, working with the Egyptians on the implementation of that plan, and I think that good progress is being made. I fully understand the importance to Egypt of the resumption of flights to destinations in the country.

[Greg Mulholland (Leeds North West) (LD)]

Leeds City Council is currently consulting on road options for leaving Bradford airport, but it is ignoring the obvious solution of a rail link to the railway line, which is 1.1 miles away. Why is the council considering those options, given that they are based on flawed assumptions in a flawed report from the Department for Transport?

[Sir Alan Haselhurst (Saffron Walden) (Con)]

I warmly welcome the prospectus offering new rail passenger services in London and the south-east. It states, on page 26, that

“Crossrail 2 would move inner suburban services onto new tracks”,

thus improving those services. However, there is no plan to try to run this enhanced metro on the current rickety two-track system, which means further delays in train services from outer suburban stations. Can my right hon. Friend reassure me about that?

[Mr McLoughlin]

The document I issued last week with the Mayor of London was a consultation document. I will take my right hon. Friend’s question as part of that consultation exercise, and we will not leave alone the points he has made.

[Paula Sherriff (Dewsbury) (Lab)]

The main platform at Mirfield railway station in my constituency is only accessible via very steep steps, which can make it very difficult, and sometimes impossible, for the disabled and the elderly or infirm to access the station. Will the Minister agree to meet me or perhaps visit Mirfield to see how we can facilitate much needed improvements to the station?