(1 year, 1 month ago)
Commons ChamberI thank my right hon. Friend for his question. It is sometimes difficult to know what the Leader of the Opposition supports or does not support. We have had a three-way flip-flop in just the last few days. It is interesting that the hon. Member for Sheffield, Heeley (Louise Haigh), from the Opposition Front Bench, raised the fact that I am here today rather than the Secretary of State, given that the shadow Chancellor of the Duchy of Lancaster seems to have a very different opinion from the hon. Lady about what is going on with Labour policy.
I thank the Minister for answering the urgent question.
(1 year, 5 months ago)
Commons ChamberWith permission, Madam Deputy Speaker, I wish to make a statement on the steps that the Government are taking to ensure that bus travel remains accessible and affordable for everyone, while bearing down on the cost of living.
Let me start by summarising the situation as we find it. People across the country are facing massive cost of living pressures following Russia’s illegal invasion of Ukraine. That is why we have a commitment to halve inflation this year to ease the cost of living and give people greater financial security. For the bus sector, that comes on the back of a global pandemic that saw passenger numbers drop to as low as 10% of their pre-pandemic levels. However, bus journeys are now recovering to around 90% of their pre-pandemic levels outside of London. Taking the bus remains the most popular form of public transport, and millions of people rely on these vital services every day.
Local bus networks provide great access to work, education and medical appointments, driving economic growth across the country. They can be a lifeline for those for whom travelling by car or other forms of public transport is simply not possible. That is why over the past three years we have invested more than £3 billion to support and improve bus services in England outside of London. That level of investment was a sign of the times, but today, we need to move out from underneath the shadow of covid-19, where the sudden absence of passengers made it necessary for the Government to step in, first through the covid-19 bus service support grant, and later through the bus recovery grant.
We face a challenge to return the network to its pre-pandemic footing while confronting fundamental changes to travel patterns, but buses remain a critical part of our transport infrastructure for many people, especially outside London in suburban and rural areas. Billions in Government funding has been made available to keep fares down and to keep services up and running. Bus routes have been kept alive where they may have proven so uneconomic that they risked being scrapped altogether. Without them, whole communities would have lost out, risking people becoming totally disconnected, especially older and more vulnerable people. While we have seen overall patronage recover to around 90% of pre-pandemic levels, concessionary fares continue to lag significantly behind. We recognise that we can maximise opportunities to bring concessionary passengers back to the bus, and I will return to that point later.
Supporting bus services at their lowest ebb was the right thing to do. However, if the public purse alone props up bus services, that would not be a funding model; it would just be a failing business. It is not the business of this Government to allow our buses to fail. We must reform bus funding in the long term, and we will work with the sector to better understand the impact before moving ahead with any implementation. We must adapt to new levels of patronage, acknowledge that there are extremely challenging financial circumstances and balance the needs of taxpayers, the travelling public, operators and local authorities. All parts of the sector have their role to play.
The Government will play our part. Today, I can announce a long-term approach to protect bus services, keep travel affordable and support the bus sector’s long-term recovery. I can announce that the Government will provide: an additional £300 million over the next two years to protect vital routes until April 2025; £150 million between June 2023 and April 2024; and, another £150 million between April 2024 and April 2025.
Some £160 million of that funding will be earmarked for local transport authorities through the new bus service improvement plan plus—a mechanism to improve bus services while empowering local authorities to make the call on how services are planned and delivered. It comes in addition to the existing £1 billion of funding through the national bus strategy that has already been allocated. BSIP+ will be focused on communities that did not previously benefit from BSIP allocations. In addition, a further £140 million will be provided to operators through the bus service operators grant plus mechanism, supporting them with the services they run.
This package means that passengers can continue to rely on their local bus to get around. Alongside it, we will consult with operators and local authorities on measures to modernise and futureproof bus funding for the long term. This is part of the Government’s vision to improve connectivity through the bus services that this country relies upon. This funding and our bus vision will grow the economy, creating better-paid jobs and opportunities in every part of the country.
At a time when the cost of living is a challenge for many, we also recognise that price is a key barrier to growth. The more affordable travel is, the more likely passengers are to get on board. We understand that every penny counts. The Government stepped up during the pandemic with support for businesses and their workers with low-cost loans and, most vitally, the furlough scheme. Following Russia’s illegal invasion of Ukraine and the knock-on inflation caused by the energy price shock, we again stepped up. We have delivered an energy package of more than £90 billion, literally paying half the energy bills of households across the country, with extra support for the most vulnerable. We will halve inflation this year to ease the cost of living pressures and give people financial security. We will grow the economy, creating better-paid jobs and opportunity right across the country.
In transport, we also understand the pressures placed on people’s finances. That is why we cut fuel duty by 5p a litre, kept train fare rises significantly below inflation and introduced the “Get Around for £2” bus scheme nationwide and provided the funding for local authorities in Greater Manchester, West Yorkshire and elsewhere to do the same. The nationwide scheme was initially for three months until 31 March this year. I then extended it until 30 June. Today, I can also inform the House that the Government will provide a further £200 million to continue capping single fares at £2 in England outside London until 31 October 2023. After that, we will continue to support bus passengers with the cost of living. We will replace the £2 cap with a £2.50 fare cap until 30 November 2024, when the Government will review the effectiveness of future bus fares.
Since the £2 cap was introduced, it has saved passengers millions of pounds, boosted businesses and put bums on bus seats across the country. This decision builds on the Government’s help for households initiative and supports everyone through the cost of living increases, especially those on the lowest incomes, who take nearly three times as many bus trips as those on higher incomes. It puts money back into people’s pockets and keeps them connected to key local services. It encourages millions of passengers to get back on the bus by knocking close to a third off the average single fare, and more for longer journeys. Taking that forward, my officials will work with the sector to confirm operators’ participation in the scheme. We will also undertake a review of bus fares at the end of November 2024 to support the sector in moving to a sustainable, long-term footing.
In conclusion, what I have shared with the House today is part of the largest Government investment in bus services for a generation. It exceeds our bus back better commitments by half a billion pounds, providing certainty to industry, securing value for taxpayers, protecting access to vital public services, delivering our priority to grow the economy, and helping people with the cost of living. All the while, we will work with the sector to reform bus funding in the long term. We will work towards affordable and reliable bus services for everyone, everywhere, all at once. That is what the travelling public deserves, and that is this Government’s ambition. I commend this statement to the House.
It was delightful to hear the shadow Secretary of State’s prepared attack lines, because I do not think she actually listened to the statement. We are exceeding the bus back better commitment by £500 million. I note that the hon. Lady did not mention the fact that Sheffield city region is getting £3.15 million today—[Interruption.] If the hon. Lady would let me speak, rather than shout at me from a sedentary position, she might actually learn something. Stoke, which she mentioned, has already had £31.6 million in BSIP funding. Hampshire, which she also mentioned, is also getting £3.6 million today.
The hon. Lady talked about her plan for the devolution of powers, but we have already done that. She does not seem to be paying any attention to what is happening in her own area of South Yorkshire, which has received £570 million. Greater Manchester is receiving over £1 billion over five years. That was never delivered by Labour in government, but delivered by this Conservative party right across the country. There are sustainable transport schemes and city region sustainable transport settlements—all delivered with money from this Government—[Interruption.] She shouts that this is about Labour Mayors, but we have done deals with Conservative Mayors and Labour Mayors. I do not care about party politics; I want to deliver for bus users right across this country.
That is different from the ideological approach taken by the hon. Lady, who seems to think that if everything was under total state control, everything would be better. We know from the past that that is not true. We want to deliver for people up and down the country. That is why we are extending the £2 bus fare, delivering for people on the lowest incomes right across the country. I know that the hon. Lady is in the pocket of the train drivers’ unions, but I suggest that she stand up for working people right across the country, the majority of whom use bus services.
Today, we are delivering £500 million of extra support and for an extra two years, not only for the cost of living, but for bus services right across the country. I think the hon. Lady would do well to follow our example and think of the long term, rather than ideological and political attacks.
(2 years, 1 month ago)
Commons ChamberTo pick up the comments from my right hon. Friend the Member for Chingford and Woodford Green (Sir Iain Duncan Smith), there is a cost to this for people in the UK. He was right that we have to be honest about that, and I think the hon. Member is also making that point. However, we also need to reinforce the point that there is a bigger cost to our constituents if we do nothing. Does he agree with me on that point, and that we really need to ensure that people see we are doing this for a much greater reason? All the points he is making about refugees are absolutely right, but we are trying to prevent something much wider and much more destructive.
Order. That was quite a long intervention and there is a time limit, so such interventions do prevent other people from having their allocation. If interventions are taken, it would be good if Members could still stick to their five minutes.
(2 years, 7 months ago)
Commons ChamberThe real insult the hon. Gentleman should be thinking about is the insult to the dead people killed on the streets of Britain when the leader he supported asked the Kremlin to check whether it was their poison that had killed them or not. Does he not reflect on the fact that Britain was the first country in the world to provide military training and defensive weapons in support of the Ukrainian people, or that it was his party, under Ed Miliband, that did everything possible to stop our support for the Syrian opposition at that time? [Interruption.]
Order. First of all, the hon. Gentleman knows that he should not refer to another Member by name; he needs to refer to their constituency. Secondly, it is important that we stick to the motion in front of us. There is a bit of a tendency to wander off into different subjects that are perhaps leading us slightly astray from the matter in hand, which is the process we are discussing with regard to peerages and so on. It was said at the beginning that we should try to keep our language moderate and calm. I think we need to return to that and I am sure Mr Tarry will now do so.
(3 years, 9 months ago)
Commons ChamberThese measures are clearly part of a proper package that is being presented by the Government today. I particularly welcome the first instrument, which extends the zero rating on aircraft, because that is particularly important for Teesside airport and for Newcastle airport, both of which have employees in my constituency. As a former special adviser to the Department for Transport, I also welcome the new zero rating for international rail, and I would like to hear from the Minister what impact he expects that to have on jobs in the UK. Will he also tell us what impact he expects the changes to the pension fund services to have on good jobs and revenue for the Exchequer? On the second instrument, it is pretty clear that Members across the House support the essential measures to stop tax avoidance, although there have been questions from the Opposition.
With your indulgence, Mr Deputy Speaker, I might just stray slightly, as the right hon. Member for Orkney and Shetland (Mr Carmichael) did, into the wider debate on VAT-free sales to non-EU visitors and the extra cash that is being raised from the VAT charged in the UK. I can quite understand why the Government are taking the decisions that they are, but with £1.4 billion at stake it seems pretty clear to me why we would not reverse that decision.
I would like to mention a couple of points regarding small businesses in my constituency. GetDressedForBattle is a small family business based in Consett, and Lanchester Wines is one the largest businesses and employers in my constituency, although it sits just outside my area. Both companies have faced issues with customs and excise over recent months. I ask the Minister to ensure that customs and excise staff are not being over-zealous since our departure from the EU, and to ensure simplification and speed in our customs and excise arrangements wherever possible so that small businesses can continue to export and create jobs in the United Kingdom.
(4 years, 1 month ago)
Commons ChamberI agree with quite a lot of what the hon. Member for Easington (Grahame Morris) has just said, and also what my hon. Friend the Member for Bishop Auckland (Dehenna Davison) said.
We all understand that localised restrictions are better than national ones, especially when there are particular spikes in local areas, but there are variations within our communities as well. Weardale in my constituency has far fewer cases than much of the rest of my constituency, so it would be great to see some really localised data and some really localised regulations. I understand that the Government have to respond to local authorities and have worked with them, and they have listened to Members when we have raised some issues. I thank the Minister and the Secretary of State for responding to the childcare issue that we raised recently.
More broadly, people in my constituency are concerned about three overarching things. First, the clarity of the schemes—how areas are put into them and how they get out. People really want to know the path forward, because currently that is really worrying people, and particularly local businesses in the hospitality sector.
Secondly, on the 10 pm curfew, my local pubs, clubs and restaurants really benefited from the eat out to help out scheme, but they are now really worried about what we are going to do going forward. We need to understand why the 10 pm curfew is in place—people need to hear what the Government are saying and the evidence behind it.
Thirdly, on test and trace, we have seen a huge increase in testing in the UK, but recently there has been a problem with speed of response, which has led to more concern locally. We really need some answers from the Government on how we are moving forward on that.
I shall conclude quickly, because lots of other Members want to speak. The Government really need to explain and justify the things that are being put forward, as my hon. Friend the Member for Crewe and Nantwich (Dr Mullan) said. Only by doing so will we maintain the consent of the people to impose measures. I agree with my hon. Friend the Member for Bishop Auckland that, with our local businesses facing real local impacts after being locked down once, and now facing restrictions again, they really need the Government to come forward with a clear message and some clear support.
Order. I want to bring the Minister in at the end for at least five minutes. We can get everybody in if people think about each other. If people take, say, two and a half minutes, we can get everybody in. I am sure Margaret Greenwood will lead the way.