East Midlands Rail Franchise

Debate between Lord McLoughlin and Andrew Jones

Thursday 11th April 2019 Commons Chamber

[Andrew Jones]

There are a lot of questions there. First, Stagecoach has acknowledged to the Department that it had bid non-compliantly. We have received offers from other bidders in all competitions that are fully compliant in providing the required pension arrangements for railway workers so, to answer the hon. Gentleman’s question on whether this means the bid process is failing and others are refusing, clearly they are not because we have a compliant bid that won in good form.

Stagecoach is an experienced bidder and fully aware of the franchise competition rules, so it is regrettable that it submitted a non-compliant bid that breached the established rules. In doing so, Stagecoach is responsible for its own disqualification. Bidders were invited to bid on the basis of a pension deficit recovery mechanism. They knew that at the very start of the process[Official Report, 25 April 2019, Vol. 658, c. 8MC.]. Stagecoach did not accept it and made some amendments as it submitted the bid. On what would happen if all companies refuse, clearly, by definition, they are not all refusing, so the question does not apply.

We will see an entirely new fleet of trains—a full replacement fleet—come into service. Inter-city services will receive new bi-mode trains, and regional services will receive new diesel trains. The express fleet, which is the Corby-Bedford-London service, will receive new electric trains that offer significantly enhanced environmental improvements.

What is interesting in this franchise is that we will see the first trial of a hydrogen-powered train. [Hon. Members: “When?”] In terms of timing, we will see the new trains coming into service in a phased way. We hope to see the first trains coming in next year, and so on over the next three years.

The bidding process was conducted in a fair and consistent way, applying the rules of engagement equally to all bidders. We have provided feedback to those who have not been successful. The reasons are always commercially confidential. Losing bidders may publicise them if they wish, but we will not do that because they are commercially confidential. The key thing that we are seeing here is a franchise awarded in the typical way that franchises are awarded in our rail industry, delivering passenger benefits.

[Sir Patrick McLoughlin (Derbyshire Dales) (Con)]

I am rather surprised at the late withdrawal, or barring, of Stagecoach from this franchise. It seems to have come right at the end, so it is odd that my hon. Friend is saying that somehow Stagecoach knew it was non-compliant, because if the Department knew so early that it was non-compliant, one would have thought it would have been told quite some time ago. These franchise bids are not cheap to make and they are very expensive for the company.

Will my hon. Friend be more specific, as usually is the case, about where the new trains are coming from? If they are to be in operation from next year, presumably an order is about to be made very soon. Where will that order come from? I congratulate the Government on widening state ownership of the railways, albeit that of other states.

[Andrew Jones]

There were a number of points in my right hon. Friend’s question. As soon as the decision was taken on this franchise, all the bidders were notified. That is entirely standard. He has a great track record of delivering improvements across our rail network. Bidders were notified, of course, across all competitions, so that they did not incur extra costs. These things are expensive to operate, so this was awarded in a fair and consistent way.

Obviously, the contract to deliver the rolling stock will be between the successful bidder and its rolling stock provider, but we expect to see significant improvement in the rolling stock, and the feedback I have had from passengers along the line and from colleagues who serve along the line is that they are looking forward to seeing the benefits that those will bring.

Oral Answers to Questions

Debate between Lord McLoughlin and Andrew Jones

Thursday 14th February 2019 Commons Chamber

[Andrew Jones]

Again, I give the answer that I gave to my right hon. Friend the Member for Haltemprice and Howden (Mr Davis): we are doing both. It is not a question of one or the other. We are delivering HS2, which is required to add capacity into our rail network, and, at the same time, we are also delivering, in control period 6, maintenance and enhancements worth £48 billion across our classic rail network. So we are doing both, not one or the other.

[Sir Patrick McLoughlin (Derbyshire Dales) (Con)]

Will my hon. Friend tell us what progress is being made on replacing the Pacer trains, which the previous Government continually failed to do? When will that train be off the tracks and replaced by new rolling stock?

High Speed Rail (West Midlands - Crewe) Bill

Debate between Lord McLoughlin and Andrew Jones

2nd reading: House of Commons & Allocation of time motion: House of Commons & Carry-over motion: House of Commons & Money resolution: House of Commons & 2nd reading & Allocation of time motion & Carry-over motion & Money resolution
Tuesday 30th January 2018 Commons Chamber

[Andrew Jones]

Well, the hon. Gentleman suggests that even more public money should go in, so I am not sure where his argument takes him, apart from round in a circle. We are seeing long-overdue public investment in the rail industry.

[Sir Patrick McLoughlin]

We do not want to spend too much time on this issue, but the simple fact is that in the past, when the nationalised railway had to rely solely on the Government, the Government cut off its funding. With privatisation, it has attracted funding. The truth of the matter is that that has seen growth in the rail industry that has made something like HS2 absolutely necessary.

[Andrew Jones]

My right hon. Friend is as wise as ever. Not only do we have public money going into our railways, but we are seeing private investment attracted into our railways and therefore more investment in aggregate. We have this urgent need for capacity within our network to cater for the growth both in passengers and in freight.

After years of decline, this decision has been taken to go for growth. The next question that successive Governments have faced is what form that should take. Should it be investment in the classic rail network, or should we be embracing new technology? Well, we should of course be embracing new technology. Perhaps it is again worth remembering that that has not always been the case under nationalised industries. The UK built its last steam engine in 1960, and it was only in 1964 that the Japanese introduced the bullet train. The Government are buying investment not in phone boxes, but in fibre broadband. Technology should of course be at the heart of our investment decisions.

Oral Answers to Questions

Debate between Lord McLoughlin and Andrew Jones

Thursday 22nd January 2015 Commons Chamber

[Andrew Jones (Harrogate and Knaresborough) (Con)]

8. What financial assistance he is providing to local authorities to repair potholes.

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

Potholes are a menace to all road users and that is why this Government are taking action. I announced in December 2014 that we are allocating just under £6 billion for councils in England to tackle potholes and improve local road conditions over the next six years. This funding is on top of the £4.7 billion we have provided since 2010.

[Mr McLoughlin]

I pointed out in my announcement that Southend-on-Sea would get £7.3 million over the period I have just referred to. Despite the financial situation we found ourselves in when we entered government, we allocated 27% more for road repairs in this Parliament than the previous Government did in the last Parliament.

[Andrew Jones]

North Yorkshire has one of the biggest networks of rural roads in the country, and we are very grateful for the extra cash the Government have provided to help. Rural areas often have a large road network, supported by the small tax base of the rural population. Can the impact of rurality be better reflected in funding for future repairs to our road network?

[Mr McLoughlin]

I certainly understand the point my hon. Friend makes—indeed, I have a large rural constituency that has many similar problems. It is up to the highways authority to look after its entire network fairly. Account is taken of rurality and road usage in the various highways authorities when we allocate this money to them.

Oral Answers to Questions

Debate between Lord McLoughlin and Andrew Jones

Thursday 4th December 2014 Commons Chamber

[Mr McLoughlin]

I understand the point that my hon. Friend makes. The lease is up on the premises where the headquarters are currently located. I want the new franchise company to consider where its headquarters will be, but one of the announcements was that there would be training facilities in London, Derby and York to train people to operate that service. York will always be a very important part of the service.

[Andrew Jones (Harrogate and Knaresborough) (Con)]

5. What assessment he has made of Network Rail’s planned control period 5 investment.

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

Between 2014 and 2019 Network Rail will spend over £38 billion on running and expanding the British rail network. The Office of Rail Regulation’s recent assessment of Network Rail’s performance against the control period 5 delivery targets is that the company has not made the progress expected in some areas. The ORR has asked Network Rail to provide plans to demonstrate how it will bring about improvements and will hold the company to account for its delivery, as will I.

[Andrew Jones]

I thank the Minister for that interesting reply. The current CP5 plan includes electrification of the Leeds-Manchester TransPennine services, which is a great benefit to many of my constituents, but how will we get the benefits of electrification to more people, to put right the historical lack of progress that saw just 9 miles electrified in 13 years under the previous Government?

[Mr McLoughlin]

My hon. Friend serves on the wider taskforce that I set up to look into electrification in the north. I believe the taskforce is meeting today and I await its report. It is looking at 72 routes, some of which are freight routes. My hon. Friend rightly points to the massive expansion in rail electrification that will take place over the CP 5 period, which is widely welcomed across the rail industry and across the House.

Road Investment Strategy

Debate between Lord McLoughlin and Andrew Jones

Monday 1st December 2014 Commons Chamber

[Mr McLoughlin]

I am not sure that I can add much to the last two answers I gave on that point. There is a desire to find a solution, but it is not the easiest area to deal with. I have made a commitment to start work on it during the RIS programme so that a solution can be found in the longer term to this serious bottleneck.

[Andrew Jones (Harrogate and Knaresborough) (Con)]

I warmly welcome the statement and, in particular, the planned works on the M62 and the first increase in trans-Pennine capacity since 1971. Does my right hon. Friend agree that improving the connectivity between our great northern cities will provide a significant boost to the economy of the north?

[Mr McLoughlin]

I agree with my hon. Friend. My right hon. Friend the Chancellor of the Exchequer has taken a keen interest in doing that. That is why we have money not only for the road investment strategy, but for rail improvement over the coming years. Our work on the northern hub will go a substantial way to addressing that area of concern. I also announced extra services last week under the new franchise on the east coast main line.

East Coast Main Line

Debate between Lord McLoughlin and Andrew Jones

Thursday 27th November 2014 Commons Chamber

[Mr McLoughlin]

The fact is, as I said, that directly operated railways have basically paid £1 billion to the Exchequer over the past five years. The new intercity express will pay £3.3 billion over eight years.

[Andrew Jones (Harrogate and Knaresborough) (Con)]

I welcome my right hon. Friend’s announcement, particularly in respect of the six additional trains per day running between London and Harrogate. I think this is a transformation of our services in Harrogate and Knaresborough. Does my right hon. Friend agree with me that this deal represents a huge boost—not just to our part of the economy, but to that of the whole of the north of England?

[Mr McLoughlin]

I do indeed. My hon. Friend can look forward to those extra services for his constituency, along with the others to which I have referred. We are talking, basically, about an increase of some 33% of services across the board, with 75 new destinations being served as a result of this morning’s announcement.

Oral Answers to Questions

Debate between Lord McLoughlin and Andrew Jones

Thursday 6th February 2014 Commons Chamber

[Mr McLoughlin]

The hon. Gentleman can use whichever statistics and figures he wishes to. I, too, have asked for other figures. In 2009-10, the spend for Yorkshire and the Humber was £283 per head and £754 per head in London. I am pleased that under this Government transport spending in the north has gone up from 38% to 45%. It is important to make the point that the Kings Cross station development and the Alexandra Palace to Finsbury Park six-tracking are allocated to London spending, but the benefits will be enjoyed by all east coast main line users. It is not always possible to put the value of spending down to certain parts of the country.

[Andrew Jones (Harrogate and Knaresborough) (Con)]

We have seen good progress on rail investment, particularly in the north. What impact does the Secretary of State think HS2 will have on the local economy in Yorkshire?

[Mr McLoughlin]

HS2 is vital for the long-term capacity of the rail network. We have seen a massive increase in patronage, both in passengers and freight, and I welcome that. If we are to see that continue to grow, we have to increase capacity.

Oral Answers to Questions

Debate between Lord McLoughlin and Andrew Jones

Thursday 7th November 2013 Commons Chamber

[Mr McLoughlin]

I know how very important the high-speed service has been to my hon. Friend’s constituents. Although high-speed rail does not run right down to Deal or Sandwich, his constituents get the benefit from HS1 as the Javelin train from St Pancras carries on to serve them. There are ongoing negotiations about the franchise extension, which we will be doing with Southeastern, and I will certainly bear his comments in mind.

[Andrew Jones (Harrogate and Knaresborough) (Con)]

4. What plans he has to extend railway electrification.

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

In the rail investment strategy the Government are investing in more than 800 miles of electrification up to 2019. This includes lines in the north-west, north trans-Pennine, midland main line, electric spine, Great Western main line and Welsh valley areas. That is a substantial advance in electrification of the railways in this country.

[Andrew Jones]

I thank my right hon. Friend for that answer. A couple of weeks ago, I launched the business case for the electrification of the Harrogate to Knaresborough rail line, which would bring more frequent and quicker services for passengers, and a great return for taxpayers from public money. Will he meet me to discuss this opportunity?

[Mr McLoughlin]

I will be delighted to meet my hon. Friend, who wastes no opportunity to raise this case for electrification with me. He has been a doughty campaigner for it. We have received a copy of the business case for the electrification of the Leeds, Harrogate and York line. The case looks promising and I am more than happy to discuss it further with him.

High Speed Rail

Debate between Lord McLoughlin and Andrew Jones

Monday 28th January 2013 Commons Chamber

[Mr McLoughlin]

The hon. Gentleman is making a representation to me that he has made before to the Minister of State. We will consider that representation and when we are in a position to make an announcement, we will do so.

[Andrew Jones (Harrogate and Knaresborough) (Con)]

I congratulate my right hon. Friend on his excellent statement. Does he agree that this investment should be seen alongside the other major rail announcements for the north that have been made recently, such as those on the northern hub and the TransPennine Express electrification project? Together, those projects will transform the experience of rail in the north.

[Mr McLoughlin]

I agree completely with my hon. Friend. Those announcements show the Government’s commitment to the rail industry and to the railway services that we all want in our constituencies.