Oral Answers to Questions

Debate between Lord McLoughlin and Julie Hilling

Thursday 22nd January 2015 Commons Chamber

[Julie Hilling (Bolton West) (Lab)]

The Prime Minister has said that the Pacer trains are going, but the Treasury has said it will only encourage bidders, so will the Secretary of State give a guarantee that all Pacers will be replaced and a date for when that will happen?

[Mr McLoughlin]

I am pleased that we are making progress that was not made between 1997 and 2010. We are making huge investments in trains and I am very pleased about that. The invitations to tender will be issued shortly and I hope to be able to say more about it then.

Oral Answers to Questions

Debate between Lord McLoughlin and Julie Hilling

Thursday 23rd October 2014 Commons Chamber

[Mr McLoughlin]

I start by thanking my hon. Friend for all the work he did in improving and getting franchises back on the road after the difficulty that we inherited when we first entered the Department two years ago. He made a great contribution to that. I completely agree with him. As I said, all the meetings I have with various local authority leaders now are about increasing capacity and providing more and better services. The train operating companies and the rolling stock leasing companies all have roles to play in doing that.

[Julie Hilling (Bolton West) (Lab)]

My constituents frequently play “sardines” on Northern Rail trains, often with passengers left at stations. Was the massive increase of up to 162% in fares a perverse way of reducing demand?

[Mr McLoughlin]

As I said, it is important that we provide that extra capacity. My only regret is that the previous Government did not order enough rolling stock for us to be able to do that. We are putting that right.

Oral Answers to Questions

Debate between Lord McLoughlin and Julie Hilling

Thursday 8th May 2014 Commons Chamber

[Mr McLoughlin]

I think I have just been setting out in the answers we have given the huge amount of investment that we are making in the new rolling stock that are coming on to our railways. I hope my hon. Friend’s frustration will not continue in the longer term.

[Julie Hilling (Bolton West) (Lab)]

Given the loss of nine trains already to the south of England, what steps is the Secretary of State taking to ensure that more trains cannot be taken from TransPennine Express or Northern Rail during the direct award period before the franchise is re-let in 2016?

[Mr McLoughlin]

I understand very much the case that the hon. Lady makes for the services in Bolton, and I am keen to see those services improved and increased. As a result of the huge amount of money we are spending on investment in the railway sector, her constituents will get a far better railway in the future than they had under the previous Government.

Oral Answers to Questions

Debate between Lord McLoughlin and Julie Hilling

Thursday 19th December 2013 Commons Chamber

[Julie Hilling (Bolton West) (Lab)]

Electrification is very welcome, but it is creating mayhem in my constituency, with cuts to services and terrible overcrowding. The Prime Minister told The Bolton News:

“I will go away and look into it.”

However, the Under-Secretary of State for Transport, the hon. Member for Wimbledon (Stephen Hammond), has washed his hands of the issue and said:

“It is for Network Rail and operators”

to solve the problem. Who is right and who will provide more rolling stock for my constituents?

[Mr McLoughlin]

If one is quoting the Prime Minister and the Secretary of State or any other Minister, it is usual to assume that the Prime Minister is right. I will look at the case. The hon. Lady is right that we cannot make such major improvements without causing inconvenience. However, at the end of the day we will get a far, far better railway. I am pleased that we are investing in the electrification of the railways, which the last Government singularly failed to do.

Rail Franchising

Debate between Lord McLoughlin and Julie Hilling

Tuesday 26th March 2013 Commons Chamber

[Mr McLoughlin]

I think that that was a welcome for the new station and for the greater investment. Of course one always has to strike a balance when these cases are put forward, but I think that Ilkeston, Derbyshire county council and my hon. Friend the Member for Erewash (Jessica Lee) made a strong case for why Ilkeston should be successful. The case was judged by a panel that did not include me, and I am very pleased that Ilkeston has been successful.

[Julie Hilling (Bolton West) (Lab)]

So much for the Government’s grand promises to radically change franchising—only three franchises will be let before the next election. Some of the extension periods are enormous, following the extensions that operators have already had. What guarantees has the Secretary of State had that there will be investment by those companies during the extension periods?

Rising Cost of Transport

Debate between Lord McLoughlin and Julie Hilling

Wednesday 9th January 2013 Commons Chamber

[Mr McLoughlin]

The Under-Secretary of State for Transport, my hon. Friend the Member for Lewes (Norman Baker), has made a statement on that, in which he also outlined some of the requirements we expect of London Midland. He and I will be watching the performance of that franchise very carefully. It is important that we give passengers the service they rightly expect and demand. We have put in place a number of measures that will cost London Midland considerable money to put into operation, and I expect it to do so.

I am conscious of the time—time moves on when I am continually trying to help colleagues to understand where their policies have gone wrong in the past. We are looking at ways to improve our railway services. As I have said, the Labour party, which is in control in Wales, has kept exactly the same flexibility on rail fares that the UK Government have retained.

In 10 years, the Labour Government electrified only 10 miles of railways; this Government will electrify 850 miles, including the midland main line, for which my hon. Friend the Member for Loughborough (Nicky Morgan), the Whip, who is sitting on the Front Bench, has campaigned so hard.

[Julie Hilling (Bolton West) (Lab)]

Will the Secretary of State give way?

[Mr McLoughlin]

I will give way only briefly, because I am conscious of the time.

[Julie Hilling]

Does the right hon. Gentleman remember the amount of money the Labour Government had to put into the railway to rebuild it after 18 years of no investment under the previous Tory Administration?

[Mr McLoughlin]

The hon. Lady is a sadly missed member of the Transport Committee, and was there when I first appeared before it. She should be careful, however, because she was probably a member of the Committee during its inquiry on “Rail 2020”, which quite clearly shows that the worst year for subsidising the railways was 2000-01. I cannot remember what party was in government at that time, but it is true that investment went up afterwards—[Interruption.] She is looking for the page number. Page 9 simply and straightforwardly sets out the record.

--- Later in debate ---

[Julie Hilling]

Will the Secretary of State give way?

[Mr McLoughlin]

I must press on. I am sorry I cannot give way to the hon. Lady. The facts I have pointed out are in the report. I will try to make progress and give other hon. Members the chance to contribute to the debate.

We are putting record investment into the railways. In the 19th century, our railway was a symbol of Britain’s innovation—including London’s underground, the first anywhere and 150 years old today. Now, the railway is experiencing an extraordinary renaissance. Last year, the number of passenger miles travelled was almost 50% higher than it was in 2000. More people are travelling by rail today than at any time since the 1920s, and rail freight has grown by more than 60% since privatisation. We have soaring demand, but limited space. Regular passengers on busy lines know only too well what that can mean—overcrowded carriages and uncomfortable journeys. That is not good enough and we are going to sort it out.

In July, we announced £16 billion of funding for the network between 2014 and 2019. Inter-city travellers will benefit from the completion of the northern hub in Manchester, a £240 million investment on the east coast main line and a further £300 million for high-value, small-scale schemes in other parts of the country. We approved a £4.5 billion contract to build a new generation of inter-city trains in County Durham, creating some 900 jobs, and we are procuring thousands of new carriages for Crossrail and Thameslink. We are also getting cracking with HS2, the biggest new transport scheme since the building of the motorways. Meeting demand, however, is only part of the problem.

While the previous Government blew the budget, the railway was allowed to grow wasteful—up to 40% more expensive to run than those of our European competitors. We have therefore had to take a hard look at the industry and have a rail reform programme to tackle the £3.5 billion annual efficiency gap identified by the McNulty report in his rail value-for-money study. Already, major savings are being found. Ultimately, this focus on efficiency will help us to deliver our goal and put an end to above-inflation fare increases at the earliest opportunity. A railway that is efficient and modern is a railway that is affordable to use.

Oral Answers to Questions

Debate between Lord McLoughlin and Julie Hilling

Thursday 18th October 2012 Commons Chamber

[Julie Hilling (Bolton West) (Lab)]

As a directly operated railway, the east coast main line returned £187 million to the taxpayer last year. How much money will Virgin pay to the taxpayer during the period of extension to its west coast main line franchise?

[Mr McLoughlin]

Negotiations are ongoing.

Rail Fares

Debate between Lord McLoughlin and Julie Hilling

Wednesday 5th September 2012 Commons Chamber

[Mr McLoughlin]

My hon. Friend is a tremendous advocate for the many commuters in her constituency who rely on this service. I hope they have already seen some improvements and will see further improvements as time goes on.

Electrification will not only deliver new fleets of cleaner and more environmentally friendly trains but will reduce the long-term costs of running the railways. The hon. Member for Cambridge (Dr Huppert) was just a little ahead in the timing of his question; the next part of my speech will put the record straight. I always try to be accurate. While in 13 years the previous Government electrified just 10 miles of railway—I got the figure wrong, too!—between Crewe and Kidsgrove, which is an important part of the railway network but not too widespread, we have set out plans for over 850 miles of electrification and investment of over £1 billion. It does not stop there, as we have approved a £4.5 billion contract to build a new generation of inter-city trains at a purpose-built factory in County Durham, creating 730 skilled jobs and a further 200 during construction. We are procuring around 1,200 new railway carriages for the Thameslink line and, with Transport for London, we are working on the procurement of new trains for Crossrail.

There is a lot more to do, but let me be clear. We are able to fund this massive programme to build a railway fit for the 21st century only because we have taken tough but correct decisions to cut spending elsewhere, redirecting our resources to boost growth and to get our economy moving. Of course, when it comes to resources, when we invest in our rail network, fare revenues are crucial in helping to fund the massive upgrade programme we are delivering. In fact, the previous Government set out plans to increase the share of rail funding paid by passengers. The alternative for us in 2010 would have been to slash investment. This would have been the wrong answer for the long-term economic future of this country and, indeed, for rail users themselves.

[Julie Hilling (Bolton West) (Lab)]

I join others in welcoming the right hon. Gentleman to his post. He talks about the passenger paying, but I could have a week in Benidorm with £80 spending money for the cost of my return travel between Wigan and Euston. One of the right hon. Gentleman’s predecessors, the right hon. Member for Runnymede and Weybridge (Mr Hammond), said he thought that the railways were already a rich man’s toy. Does the Secretary of State agree with that? If not, how is he going to enable ordinary people to use the railways—or should they just go to Benidorm instead?

[Mr McLoughlin]

It sounds as if the hon. Lady knows more about Benidorm than I do. I think there are a number of anomalies in ticket fares. I see them on the train service I use, in that it can cost £170 to use one train, but a train 20 minutes later is a lot cheaper. We need seriously to try to address a number of these problems and to look at how the fares and fare structures used by the rail industry are implemented. I do not accept that everything is fine and fair. In certain areas, consumers have strong cases to make; we should look at them, and I will do so.