(13 years, 8 months ago)
Commons Chamber5. What steps his Department is taking to improve rail transport in the south-east.
Despite the crisis in the public finances, the Government have secured investment of more than £18 billion in rail capital projects, including Thameslink and Crossrail, which will deliver major benefits to the south-east as well as to the national economy. To protect the interests of passengers, the Department for Transport also monitors the performance of train operators under their franchise contracts.
The issue in the south-east seems to be capacity, and we cannot continue to put ever more passengers on the same lines. Does the Minister agree that an upgrade of the Brighton to Ashford line might increase capacity and improve the quality of travel for passengers, and that it would be a great addition for all residents of the south-east?
My hon. Friend has fought a long campaign on that issue, and I understand why she fights in that way for her constituents. However, the project would be expensive and, in the light of passenger usage, probably hard to justify in value-for-money terms—but I am always prepared to keep an open mind on it, as something to consider for the future. It is also the case, however, that significant capacity was introduced to the south-east in December 2009, and of course more will follow with the Crossrail and Thameslink projects.
May I ask the Minister for her Department’s thinking in respect of Southeastern’s application to vary its franchise commitment on exits and entrances to Lewisham station? Southeastern’s proposal to close the exit from platform 4 is opposed by the vast majority of my constituents who use the station, and I urge her to take their views into account when making a decision.
I have to acknowledge to the hon. Lady that that is not an application to vary the franchise that I have yet received. Of course, when such decisions are taken it is very important for the views of local stakeholders—passengers—to be properly taken into account in terms of the outcome.
My right hon. Friend was right to talk about the benefits of Thameslink, but many in south London will not enjoy the full benefits unless Network Rail timetables through trains from the Sutton loop. Will she ensure that Network Rail continues to keep that option open?
I will certainly expect Network Rail to do all it can to minimise the disruption caused for passengers by the works under way on Thameslink and forthcoming works at major London termini. I will keep my hon. Friend’s proposal in mind, and I am happy to discuss it with Network Rail. I believe that he and I are meeting to discuss this soon.
Will the Minister of State rule out breaking up our national rail infrastructure and handing those vital assets to the private sector, creating in the south-east and across the country what has been described as a series of mini-Railtracks?
The hon. Lady knows perfectly well that this Government have shown a major commitment to investment in our railways, but we expect the rail industry to rise to the challenge of reducing costs, which spiralled under her Government. For the sake of taxpayers and fare payers, the cost of running the railways needs to come down. We expect Sir Roy McNulty to come up with workable proposals for delivering that essential goal.
The whole House will have heard the Minister refuse to rule out a return to the days of Railtrack, with private profit, not safety in the interests of passengers, coming first. She is in danger of repeating the shambles of rail privatisation, so will she urge her right hon. Friend the Secretary of State to think again, step back from this ideologically driven plan to fracture our rail industry further, and abandon this recipe for disaster?
The hon. Lady was a member of the Government who established the McNulty review to find out the answers to the very questions that she is asking, yet she wants me to rule out a range of options before Sir Roy McNulty has had a chance to report. This is a review that the Labour Government set up, and I think it makes sense to wait for Sir Roy’s report before making a decision.
6. What assessment he has made of the role of branch lines on the rail network in stimulating growth and employment.
The Government recognise the positive role that branch lines can play in supporting economic growth. Such lines receive substantial support from the taxpayer via the train operator subsidy and Network Rail grant. In addition, the DFT’s community rail strategy is aimed at making it easier for local communities to get involved in promoting and supporting local lines.
With the big society in mind, will the Minister of State be sympathetic to a local community in my constituency who are interested in making use of the Berkeley line to develop tourism and links between communities and to stimulate economic growth?
I am very impressed with the work being done by local volunteers and enthusiasts on that project. I know that they have applied for lottery funding. As for the logistics of getting such projects up and running, they would need to think about long-term sources of funding and discuss their plans with Network Rail and local train operators, as well as local authorities. I understand that they are considering both heritage tourist use and commuter use. It is often very difficult to combine the two, so they might want to keep their ambitions within a reasonable scope if they are to succeed.
In view of the McNulty report’s interim findings, will the Minister refuse to go ahead with a policy of saving money by a wholesale closure of branch lines, which would create a second Beeching?
There is no suggestion of doing that. The point of the McNulty review is to find a way to deliver current services—and, one hopes, more services in the future—at a lower cost to the taxpayer. It is vital that Sir Roy comes up with good proposals for doing that if we are to relieve the burden on the taxpayer and the fare payer.
7. What recent steps he has taken to encourage cycling as a means of transport.
T2. As the Minister will be aware, passengers travelling from Northern Ireland to London will be hit by two increases—the air passenger duty increase and the passenger landing charges being proposed at Heathrow and Gatwick. What discussions will the Minister have with the Northern Ireland Executive and other colleagues in government to ensure that there is still good access between London and Northern Ireland for business commuters?
I refer to the comments of my right hon. Friend the Secretary of State: taxation is a matter for the Chancellor. I am sure that he will bear in mind the impact of decisions on air passenger duty on regional connectivity. This Government fully recognise the importance of good regional connections between London and all parts of the United Kingdom.
T5. One way to help hard-pressed rural motorists in my constituency would be to reverse some of the short-sighted Beeching decisions taken decades ago that ripped the heart out of our rural railway services. Will the Secretary of State undertake to look closely at one proposal on the table—that of the TransWilts railway, which would link Swindon, Salisbury and stops in between, and bring enormous economic benefits to the county of Wiltshire?
I know that my hon. Friend has done great work on this issue, and that there is a lot of activity locally. She will appreciate that such projects, which have primarily local benefits, need to find funding locally. It is therefore important that she should engage with the local authorities, Network Rail and the train operators to see what might be logistically feasible in getting the project off the ground.
T4. The Secretary of State has today offered my hon. Friend the Member for Swansea East (Mrs James) sight of the business case for the decision in Swansea, but we were previously promised that the full facts and everything about the case would be placed in the Library. That has not happened yet. In view of the importance of what is a major European route, including its importance to the economy of west Wales, will the Secretary of State promise to put all the details in the Library without delay?
London has rightly invested in the necessary infrastructure to ensure that the Olympics are a success, so will the Secretary of State work with the Rugby Football Union, Network Rail and local authorities to ensure that the rugby world cup in 2015 is not overlooked, and that we can have a station that is fit for the home of rugby and can meet the demands?
We will certainly be working with all those stakeholders on the preparations for the rugby world cup, and plans are already under way to lengthen platforms at Twickenham station. We are also in negotiations to add new carriages into Waterloo. We have not yet taken a decision on where they will go, but Twickenham might benefit from that. I know that there is an interesting local scheme to redevelop the station, which could generate significant local benefits, and that the local authorities and other stakeholders are working hard to try to take that forward.
(13 years, 8 months ago)
Commons ChamberI congratulate my hon. Friend the Member for Portsmouth North (Penny Mordaunt) on securing this debate. She made her case with great clarity and determination—she is a steadfast defender of her constituents’ interests. The first question that I should like to answer concerns the meeting she requested: I would be happy to meet her to discuss this further.
I fully appreciate how important rail services are for the residents of Portsmouth North—my hon. Friend’s constituents—and I am very much aware of the concerns that have been raised about the provision of class 450 rolling stock on the London-Portsmouth main line, which is an essential artery connecting communities across Hampshire, Surrey and south-west London. The provision of reliable rail services on the line is enormously important for economic activity and growth along the route. Nearly 7 million passenger journeys were made to and from Portsmouth stations in 2009-10.
To answer the questions asked by my hon. Friend, some explanation is required of the contractual history of the SWT franchise. The current Stagecoach South Western Trains franchise was competitively tendered by the previous Government in 2006, with the contract commencing in February 2007. All bidders were required to give a commitment to lease both the class 450 and the class 444 rolling stock for the life of the franchise term, because the Strategic Rail Authority—a body now disbanded but which at the time handled franchise decisions for the Government of the day—gave a statutory undertaking to the rolling stock company that owned the trains. That arrangement, known as a section 54 undertaking, was part of the funding package agreed to replace the older slam-door stock, which had operated in the south-west since the ’60s.
New-build class 444s and 450 electric multiple units were phased in between 2001 and 2007. If the previous Government had not required the operator to lease the trains, the taxpayer might have been left to foot the whole bill. Although the section 54 undertaking requires SWT to lease the trains, the operator takes the decisions on where to deploy the rolling stock across the different parts of the franchise network to address capacity problems as efficiently as possible.
As we have heard from my hon. Friend, SWT deploys a mixture of class 444s and 450s on services between Portsmouth and London. A 10-car maximum formation class 444 provides 598 seats, whereas a 12-car maximum formation class 450 provides 738 seats. My hon. Friend is rightly and understandably focused on the concerns of her constituents, but the train operator needs to balance the competing interests of different communities that use the services provided by the franchise.
Is the Minister in a position to ask her Department to examine the figures that justified the decision by South West Trains to move the rolling stock away from Portsmouth to elsewhere? Is she able to argue that those figures are somewhat arbitrary to say the least and totally misleading in most cases?
I am always happy to respond to the concerns of colleagues; I am happy to look at the numbers again and ask my officials to do that. As I shall point out later, however, there are very real capacity problems on the line that would be difficult to address without the use of class 450s.
The key part of my argument, which I hope the Minister will understand, is that South West Trains has not addressed overcrowding on the line. The fact that spaces for people to sit are provided does not mean that people have space to sit down. The group of people who suffer overcrowding potentially are the same group of people who suffer painful and uncomfortable seats. They are the same group of people who are asking for the new trains.
I very much understand my hon. Friend’s concern, but in reality we—the Government and the train operator—have to balance the interests of different communities along the line. Even if it were affordable to replace all the 450s with class 444s, and even if they were used on all services, it would have a significant detrimental impact on people further up the line, many of whom would not be able to get a seat as a result. I shall come to that in a moment, however.
The most recent route utilisation strategy work makes it clear that the infrastructure is just too full to deliver additional trains. That leaves limited options for relieving overcrowding, one of which is to use longer trains with more seats, which the operator has chosen to do. The seats on the 450s provide vital capacity for passengers closer to London. If SWT were to use class 444s for all Portsmouth services, it would worsen peak crowding problems from stations such as Guildford and Woking. More passengers would have to stand between Woking and London than do today, and removing 450s from the Portsmouth to London route might have other knock-on effects, such as displacing the class 450 carriages on to the Weymouth line, where journey times are even longer than from Portsmouth to London.
We all accept that key crowding between Portsmouth to London occurs during peak hours. In response to public concern of the sort that my hon. Friend has raised, SWT has promised to use 444s in the off-peak where it can. The extent to which it can do this, though, is dependent on complex issues to do with timetabling and the availability of trains and train crew. These complexities flow from the intense use we make of our railways and the need to deploy rolling stock and staff in a way that generates maximum passenger benefits. That means that some off-peak trains have to be class 450s to ensure that they are in the right place for the peak-time slots.
My hon. Friend set out her view that three-plus-two seating is not suitable for services on journeys of the 90-or-so minutes that her constituents face in getting to London. I can understand her concerns. However, three-plus-two seating is currently deployed on a number of routes with comparable journey times—for example, journeys between London stations and Margate, and London Liverpool Street and Ipswich. Issues of health and safety are the responsibility of Her Majesty’s railway inspectorate and the Office of Rail Regulation. Neither of those bodies, I am afraid, has sought to restrict the use of class 450s on longer-distance journeys.
At the heart of my hon. Friend’s speech is the request that the Government should introduce new requirements on rolling stock seating into current and future franchises. I hope that she will understand that to intervene in the current franchise and require SWT to change its rolling stock would involve renegotiating contractual terms. This always comes at a cost to the taxpayer—a cost that I am afraid we can ill afford when we are striving to address levels of borrowing inherited from the previous Government which are the highest in our peacetime history. Looking forward to what might be included in the next franchise, she will be aware that the decisions that the Government make on the railways are constrained by a number of factors, including infrastructure capacity, affordability and value for money.
The experiences of my hon. Friend’s constituents reflect some of the very difficult trade-offs that are made on our railways every day of the year. I acknowledge, of course, that many passengers in Portsmouth would probably prefer the environment and the seating pattern of class 444 carriages rather than class 450s. However, for the practical reasons that I set out in my response about crowding levels further up the line and infrastructure limitations, I would be unwise to make promises on the pattern of rolling stock use on the Portsmouth line in the future. Changes of the sort that she would like in relation to the seating patterns on trains would have a significant impact on the affordability of the franchise process.
As well as these practical considerations, there is another reason why I am reluctant to make declarations on rolling stock deployment on the south-western franchise in years to come. We are in the process of reforming franchises, and we have recently completed a consultation on this. A significant element of the approach that we propose would involve giving railway professionals greater flexibility to make key operational decisions to enable them to react more effectively to passenger needs and to run their services in a more commercial way. We do not envisage specifying detailed operational issues such as the seating layout of rolling stock required on specific routes, as we do not believe that it makes sense to take that sort of decision in Whitehall. We want instead to put in place the right incentives to ensure that operators respond to passengers during the period of their franchises. We will therefore be looking to include demanding requirements on service quality.
I would very much like to hear from the Minister a commitment on this and an understanding of the implications of these types of seating, especially over long journeys. While I acknowledge that these trains are being used for longer journeys elsewhere, this is causing a tremendous amount of physical damage. People are having to employ osteopaths and chiropractors and are really suffering. It is not just a comfort but a health and safety issue. There are a wide range of options—for example, sticking the different trains together when they get to Guildford. Often, trains join up when they get to Guildford, and class 450 carriages can be put on when they get to Guildford and Woking to allow other commuters to use them. If they are in operation down in Portsmouth, people will sit on the comfier seats first. Also, there is other rolling stock that the Department is trying to do something with—I think that they are called class 460s and they used to be on the Gatwick line. There must be a solution to this out there, and I urge the Minister to pull the train operating companies together to try to find it.
I am happy to work with my hon. Friend and the train operating company to see whether there are alternatives that have not been considered which can be brought into play without unfairly compromising the interests of passengers on a different part of the route, and without affecting the affordability of the franchise for taxpayers and fare payers. I encourage her to continue this dialogue with the train operator, and I am happy to take part in that. I think she will accept that I cannot promise to issue a directive to train operating companies on the detail of the seating plans of their rolling stock. That would not be affordable and it is not the right long-term option for the management of the railways in this country.
I appreciate the opportunity to debate this issue with my hon. Friend. As I have said, I am happy to continue to work with her to see whether a compromise can be found. I look forward to meeting her, and perhaps other colleagues who have attended this debate, to discuss the matter further.
Question put and agreed to.
(13 years, 8 months ago)
Written StatementsAs part of the commitment to deliver a safe and secure Olympic and Paralympic games, the Government are today announcing their plans for temporary airspace control measures that will apply over London and the south-east during the games period.
The measures comprise an inner prohibited airspace zone and an outer restricted zone, approximately 60 nautical miles across, centred on the Olympic park.
Only certain categories of aircraft—those operating commercial services and subject to full security procedures—will normally be permitted to operate within the prohibited zone. Certain aircraft involved in, for example, police, medevac and Olympic broadcast operations will be exempted. Other operations at airports within this zone may also be considered for exemption subject to strict conditions, which will be assessed on a case-by-case basis. Similarly, we are working with Battersea heliport to agree a basis on which operations there may be allowed to continue.
All types of aircraft will be permitted to operate in the wider restricted zone provided that they can satisfy certain requirements designed to ensure that all aircraft within the zone can be readily identified and monitored by air traffic control.
It is envisaged that the measures will be in place from 13 July to 12 September 2012, to cover the period of both the Olympic and Paralympic games.
These measures have been designed to help to protect key games locations from potential airborne threats. It is normal practice to implement airspace restrictions during large-scale events such as major sporting events, and similar measures have been put in place for previous Olympic and Paralympic games. The measures have been developed to be proportionate and to minimise the impact on the aviation community during the summer of 2012.
It is not expected that any airports will need to close as a result of the measures. There should be no impact on scheduled air services, and limited impact on most other types of operation outside the prohibited zone.
The Government, the Civil Aviation Authority and NATS will now work with airspace users and others to ensure that the planned measures, and their potential impacts, are fully understood and discussed before the regulations to implement them under the Air Navigation Order 2009 are made later this year.
Options for airspace controls over other Olympics venues outside the south-east are still being considered and plans for these will be announced later.
Copies of a leaflet entitled “London 2012 Airspace”, aimed at the general aviation community, showing the coverage of the zones and setting out in more detail the restrictions that will apply within them, have been placed in the Library.
(13 years, 8 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
It is a pleasure to speak under your chairmanship, Mr Benton. I congratulate my hon. Friend the Member for Bexleyheath and Crayford (Mr Evennett) on securing the debate and on his passionate defence of his constituents, particularly his commuting constituents. He is a steadfast campaigner for his constituents. I am very much aware of the significant concern expressed about the quality of rail services in south-east London and Kent by my hon. Friend and a number of other MPs, stakeholders and passengers. It is good to see my hon. Friend the Member for Orpington (Joseph Johnson) and the hon. Member for Erith and Thamesmead (Teresa Pearce) here to take part in the debate as well.
I fully appreciate how important rail service provision is in the suburban constituency of my hon. Friend the Member for Bexleyheath and Crayford, where so many people commute into London every day and which I have enjoyed visiting on a number of occasions during the past 10 years or so. As he set out, recent months have seen an overall decline in the reliability of services under the Southeastern franchise, culminating in the huge disruption that occurred during the cold weather episodes at the end of last year. He outlined some of the most troubling examples.
Ministers and officials were in constant contact with train operators and Network Rail throughout the severe weather. I think that we all accept that, unfortunately, some disruption is unavoidable when extreme weather conditions occur, but it is imperative to ensure that lessons are learned from the severe problems that passengers experienced in my hon. Friend’s constituency and elsewhere during the severe weather at the end of last year. That is why we asked David Quarmby to conduct an urgent audit of how our transport networks performed. We now expect the rail industry to act on the findings of that audit.
I have already had many discussions on the cold weather episode with senior representatives of the rail industry and will be meeting them again soon for an update on extending the trial of heated conductor rails, which could make a significant difference to resilience on the third rail networks; strengthening de-icing arrangements; dealing with stranded trains; and, crucially, improving passenger information generally and during times of disruption.
My hon. Friend rightly said that that was exposed as a severe problem during the recent poor weather. Like him, David Quarmby emphasised that electronic information on its own simply is not enough; train operators need to ensure that staff are properly briefed so that they can give passengers as much information as possible about which services are running and what they can expect despite the disruption.
It is imperative that reliability on the Southeastern network improves. It is imperative that the train operator becomes more responsive to its customers, as my hon. Friends the Members for Bexleyheath and Crayford and for Orpington emphasised. I will ensure that their comments on step-free access at Crayford, the waiting rooms at Barnehurst, toilet cleanliness and the lifts at Orpington are passed on to the train operator. The rail reforms that we are considering are designed to give train operators more opportunities to invest in improvements to such facilities, to make them more responsive to passengers and to give them the right incentives to perform reliably and well.
I have asked the rail industry’s national taskforce specifically to consider the performance of Southeastern and Network Rail in Kent. We need improved performance from the operator and Network Rail, as the infrastructure provider, if we are to make the progress that the constituents of my hon. Friend the Member for Bexleyheath and Crayford want. I say that because Network Rail is responsible for about 60% of delays and cancellations on the Southeastern network.
My officials monitor Southeastern’s performance on a four-weekly basis. I met Charles Horton, managing director of Southeastern, on 14 February and I asked him a series of searching questions based on the concerns raised with me by MPs and their constituents, many of which my hon. Friend has echoed. In the coming weeks, I will follow that up with a further meeting with Mr Horton and the Network Rail route director for Kent, and I will expect them to set out how they plan to improve their performance and to respond to the concerns that have been rightly raised in the debate. I will interrogate them on their response to the Quarmby audit and on the lessons to be learned from the cold weather disruption, although I should emphasise that there was already a significant problem before the snow arrived, as my hon. Friend said. I will urgently seek assurances from Network Rail and Southeastern on how they propose to improve overall performance.
In those discussions with the management of Southeastern, will my right hon. Friend please ask when fast trains will stop at Orpington during peak hours? Orpington is a major commuter town, but we do not have fast trains during peak hours. My constituents are on their knees begging for such a service.
I appreciate the importance of that issue. Although my discussions will focus on the reliability of the current service, I am happy to take on board my hon. Friend’s representations, and we will obviously take them very seriously as and when preparations are under way for timetabling changes.
It is important to mention some major capacity improvements, which will be delivered in the years to come. Despite the crisis in the public finances, the Chancellor has prioritised rail, and £18 billion will be invested in rail capital projects during the spending review period. Our ambitious programme will deliver real benefits for rail users across the country, including in south-east London and Kent.
Thameslink is going ahead in line with its original scope, albeit over a slightly longer time frame than originally envisaged. That will virtually double the number of north-south trains and deliver up to 1,200 new carriages. It is too early to say exactly how the programme’s benefits will be shared between different areas, because timetabling decisions are still some way off. However, even those communities that do not benefit directly from the new upgraded services could receive cascaded rolling stock to relieve overcrowding.
As my hon. Friend the Member for Bexleyheath and Crayford recognised, the coalition has secured the funding to ensure that Crossrail is delivered in its entirety, including the Abbey Wood branch, which was the subject of so many scare stories from our political opponents. The project will deliver a 10% uplift in rail capacity across London and much improved access to jobs for many people across the capital, including south-east London, and in the south-east. It will open up new journey opportunities to docklands, the City, central London and our major airports. Furthermore, the Secretary of State recently announced that negotiations had been successfully concluded to allow a station box to be constructed at Woolwich. The coalition’s plans for rail therefore offer real potential benefits for people in south-east London.
I very much recognise the concerns that my hon. Friend’s constituents have expressed about rail fares. The retail prices index plus 3% formula was included in the franchise when Labour let it in 2005. That was to reflect the more than £600 million spent on 618 new rolling stock vehicles and the £93 million of investment in power supply, stations, depots and related infrastructure. Much as I would like to see the RPI plus 3% formula abandoned, that is unfortunately not possible in the current fiscal climate. The deficit we inherited from the previous Government means that we face some difficult choices, including asking passengers to pay a little more to support the massive investment in rail that I have just outlined, although we expect significant elements of that programme to benefit people across south-east London. None the less, it is imperative that the cost of running the railways comes down, because it is too high. Sir Roy McNulty is running an in-depth review into why the cost is so high. For the sake of taxpayers and fare payers in my hon. Friend’s constituency and across the country, we are determined to find the right solutions to deliver a more sustainable financial future for the railways.
My hon. Friend talked about his long-running campaign to extend Crossrail to Ebbsfleet. The route to Ebbsfleet was safeguarded in 2009, and we expect that to remain the case. Safeguarding preserves that option for the future. Of course, our current priority is to press ahead with construction and to deliver the Crossrail project within budget and according to the new timetable. However, we do not rule out the option of extension in the future.
My hon. Friend also raised concerns about the compensation regime that applies to Southeastern. I have not seen evidence that the figures have been dealt with inappropriately, but if any were drawn to my attention, I would of course take action. I recognise the concerns raised by his constituents about the way the compensation regime operates, and we are certainly happy to consider a more robust regime for future franchises that perhaps gives passengers more effective protection.
I am grateful for that helpful answer, but Southeastern is so marginally over the figure that one can understand constituents being sceptical.
I am aware that there is a lot of concern and scepticism about the figures, but, as I said, I can reach a judgment only on the basis of the facts that are presented to me. My hon. Friend will appreciate that Southeastern is legally required under the franchise to have its figures independently audited, so we have that safeguard of an independent check on the figures.
In conclusion, it is vital that Southeastern and Network Rail significantly improve their performance on the lines serving my hon. Friend’s constituency and the whole of south-east London, as well as on its routes in Kent. I will continue to press both on the issue, and I very much welcome the opportunity to debate it today.
(13 years, 9 months ago)
Written StatementsLocal authorities and integrated transport authorities from time to time wish to develop proposals for new or enhanced rail services where, in their view, they offer the best way of meeting the transport needs of their area. They have the necessary powers to secure the provision of such services but they are sometimes inhibited by the risk that significant revenue funding may need to be committed over the long term. I am keen to encourage local bodies to identify the best solutions for identified local needs and therefore wish to ensure that they are not deterred from considering an improved rail service where it clearly offers value for money.
The Government’s priority remains one of reducing the budget deficit and, therefore, careful consideration has to be given to any proposal that might increase the cost of the railway, either in the short or long-term. However, we recognise the arguments put forward by promoters that regional and local rail services need to adapt to population, housing and economic growth in localities. Therefore, it is only right that, once they have demonstrated value for money after a trial period, new or improved services promoted by local authorities are treated in a similar way to the more established services which are currently funded as part of the national network.
I would therefore like to announce to the House that the Government still intend to fund the provision of new or enhanced services promoted by authorities which have rail industry support, but in view of the tough financial decisions made as part of the spending review, no such funding will be provided prior to April 2015 (the start of the next spending review period).
It is important that the promoter demonstrates that a rail scheme is the best way to address regional and local transport issues; hence promoters would still be expected to fund a new or enhanced service for the first three years to demonstrate its commitment to the service and show that it delivers value for money in the light of actual experience.
Schemes which the Department would consider funding in this way would be subject to a number of conditions, details of which have been deposited in the Library of the House and will be made available on the Department for Transport’s website.
(13 years, 9 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
The hon. Gentleman makes an interesting point. We must all recognise economic constraints, but we have to consider seriously the implications of any policy that might price people off rail.
I hope that I can give the hon. Lady some reassurance. Of course we want to see passenger numbers increase. That is important for our economic future and for our environmental policies. We have had to take a difficult decision on fares in order to deliver the vitally needed rail capacity improvements. As we are dealing with an enormous deficit that we inherited from our predecessors, we have had to ask passengers to pay a bit more to contribute towards the investment that they want to see put into the railways.
I thank the right hon. Lady for her comments. I recognise the Government policy context in which these decisions are taken.
Let me now draw attention to the issue of rolling stock. If people are going to be asked to pay more for their fares, it is reasonable to ask whether the rolling stock will be adequate to ensure that people have a reasonable journey. The more people pay, the more concerned they will be if the rolling stock is not adequate. The situation is extremely confusing. The announcements made by the Department for Transport on what rolling stock is to be provided, where and when have been unclear.
When our Committee issued its report last year, we expressed deep concern at the postponement in issuing the rolling stock plan for 1,300 new carriages that were expected by 2014, and at the uncertainty and confusion the delay was causing within the industry, but we recognised that the commitment to electrification legitimised the pause in assessing exactly what rolling stock was required and when. However, since then, little real progress has been made in delivering new carriages. Instead, we recently received another announcement by the Department that 2,100 new carriages would be delivered by 2019, 1,850 of which will be net additional vehicles. As my right hon. Friend the Member for Derby South (Margaret Beckett) said, many of these are for the Crossrail and Thameslink projects, which will then lead to electric carriages on the network being cascaded to other parts of the country, including the north. If and when that happens, I hope that it will not be a matter of the north getting the cast-offs from the south. I expect the stock to be in good condition and well suited to meet the needs of the people in the north.
Given that the completion dates for both Crossrail and Thameslink have been delayed to 2018, will the Minister tell us when these much-needed carriages that the industry has been waiting for, will finally be delivered? How many of those carriages expected by 2014 will actually be delivered by that date?
That is undoubtedly the case, but I do not accept that that is necessarily an immovable barrier to innovation. Network Rail is the greatest purchaser and procurer in the whole of the industry and it works in the long term. Frankly, many of the manufacturing companies that rely on contracts from Network Rail want to deal in long-term investment and want a long-term reassurance that the work will be there 10 or 20 years down the line. If the will is there, innovation can happen and, as I have said, that is irrespective of whether the industry is privately or publicly owned.
I shall say a few words about High Speed 2. I have long been a supporter of the project, although not on environmental grounds. As Rod Eddington said in his 2006 report, there may well be a case for high speed on capacity grounds, but there is probably not an environmental case. In addition, there is probably not a great case in terms of connectivity, because Britain is a relatively small country and is already pretty well connected. However, there is a case for high speed on capacity grounds. When we get letters and complaints from our constituents, apart from fares, capacity is the burning issue at the moment. It has been for a number of years and will continue to be until we do something serious about capacity. HS2 will relieve capacity on the west coast main line, and I hope that it will do something for freight as well.
I worry about the debate that is developing in this country on HS2 and that supporters of it are dismissing out of hand the concerns of people who live along the line and colleagues who represent communities based along the line. I hope that we can conduct that debate in a more consensual and less provocative manner.
The hon. Gentleman is too pessimistic when he says that the supporters of HS2 dismiss the concerns of local communities. As far as I know, the vast majority of supporters of HS2, including the Government, take those concerns very seriously. We believe that significant efforts need to be made to mitigate what will inevitably have some local impact on communities.
I accept the Minister’s reassurance on that. I simply speak from the point of view of reading reports of the debate that is going on. I am not trying to separate the arguments; I am trying to bring people together. I make the point that people’s concerns are not down to nimbyism or the fact that they are selfish or somehow anti-public transport. People have valid concerns, which can be overcome. HS2 is a nationally important strategic piece of infrastructure that must go ahead for the good of the country, but we cannot sweep those concerns under the carpet. I have heard the Minister say that those concerns will not be swept under the carpet, and I therefore hope that between now and when construction starts, we can come to some kind of agreement and compromise. We need to accept that those concerns are absolutely valid and that people have a perfect right to protest and raise concerns about something that might well have an adverse impact on their local environment. I thank you for giving me the opportunity to speak, Mr Owen.
I join other hon. Members in congratulating the Chair of the Transport Committee, the hon. Member for Liverpool, Riverside (Mrs Ellman), on securing this debate about the priorities for rail investment. That is an important topic, as it involves the relative merits of what our money is spent on. Value for taxpayers’ money is a subject dear to my heart.
Almost a year ago, I was the unsuspecting candidate for South Northamptonshire. Suddenly, I heard Lord Adonis’s announcement about high-speed rail that was, quite literally, to change my life, and it hit me out of the blue that the line would go through the middle of South Northamptonshire. Within days, I held a public meeting that was attended by about 550 people. Of those, 400 were on two floors of a town hall in Brackley, and 150 were outside on the pavement trying to get in.
I do not want to focus on that today. Hon. Members from across the House have made accusations of nimbyism, noted that if we want to make an omelette a few eggs have to be cracked and made other helpful remarks. Therefore, I will not talk about the fact that I have had nigh on 1,000 pieces of correspondence. My right hon. Friend the Minister knows that only too well, as I am in regular correspondence with her and the Department for Transport.
There are real concerns. Some schools in my constituency may be unviable from now on because of the risk that high-speed rail will run so close to the school that in a few years’ time—within the time frame for parents to decide where to send their children to school—that school will be forced to close. If that threat exists, why would any sensible parent send their child to such a school? There are families who need to move but do not quite meet the criteria for the exceptional hardship scheme. They do not know when they will be able to move, if ever. There is a risk that the famous English battle site at Edgcote will be severely damaged by the proposed route. There are many small battles to fight in South Northamptonshire to protect ourselves in terms of mitigation. Again, I will not talk about that now, because I have been accused of nimbyism too many times. Instead, I will focus on my 23 years in banking and finance, and hope that that will give me the credibility to point out the issues about value for money and the choices that we need to make about our priorities for rail infrastructure.
We expect the High Speed 2 line from London to Birmingham to cost around £17 billion. That is largely a guess, as such major infrastructure projects often have big overruns. I know the Department for Transport is concerned about the fact that civil engineering in this country costs such a great deal. As a frequent user of the line from Euston to Milton Keynes, I accept that the west coast main line is at capacity. I have taken trains home at 8 pm, and still found myself standing shoulder to shoulder. It is a matter not of having a seat, but of having anywhere to stand. However, is that need for capacity best met through a brand new, 250 mph train line, or can we achieve something similar by providing additional capacity on existing railway lines, and using the change—a significant amount of money—to fulfil some of the other interesting and compelling projects that hon. Members have mentioned today?
As I have heard many times, because of the capacity issue there has to be a new train line, and if we are to have a new train line, it may as well be high speed. That is my first challenge. High-speed rail has massive implications in terms of engineering costs and the impact on the environment and the communities through which it passes. Does the line have to be high speed? Will it even reach 250 mph? Certain international rail consultants have challenged whether such a line in Britain—a small country with complications caused by the lie of the land, the wrong sort of leaves, the wrong sort of snow and probably the wrong sort of trespassers on the line—will actually ever reach 250 mph on a regular basis. If it does not, what on earth is the point of spending the money to go in a straight line? That is my first major question.
Secondly, I have seen evidence that suggests that a similar amount of capacity could be freed-up on the west coast main line by providing 12-coach trains, making adjustments to certain stations and carrying out other alterations that would not incur the type of disruption that we saw in previous upgrades to that line. Is this an issue of capacity, or is it a case of, “HS2 is the answer, what is the question?”? I am unconvinced that we have said, “There is £17 billion to be spent, how best can we spend it?” I did not give the Minister prior notice of that question, but I would appreciate it if she would indicate whether she will be willing to talk to me separately about it.
I am not a transport expert by any means. My favourite film as a child was “The Railway Children”, and my 15-year-old has told me excitedly about Maglev. That is the future, although not in our lifetime I have been told. Meanwhile, we are stuck with ancient 21st-century technology, and we have to look at what we can do now.
Hon. Members have spoken about the importance of the electrification of other lines. They have mentioned the northern hub and the east-west line. A number of colleagues who will not be affected at all by HS2 have said, “What about my line? My constituents want to get from the east coast to the west coast. What are we doing for them?”
I hope that my hon. Friend appreciates that over the next five years, the coalition Government will be embarking on one of the most extensive upgrades of our existing network in modern history. There is no evidence to suggest that high-speed rail is going to squeeze out other important rail upgrades. Both are important, and both will be delivered on.
I am pleased and reassured to hear that; nevertheless, in this time of great financial constraint, there is no doubt that a £17 billion project will lead to other choices not being taken.
The hon. Member for Luton North (Kelvin Hopkins) made an excellent contribution—he is clearly an expert on this matter. He spoke about a dedicated freight line. I do not wish to be a nimby, but if such a line went through my constituency, I can see the obvious merits of a dedicated freight line that I cannot see having looking carefully at HS2.
I add my congratulations to the Select Committee on Transport on its most excellent report. If I may say so, however, there is one area of the report that could have done with strengthening a bit—high-speed rail. I have already made my position clear: I do not support High Speed 2. As the report makes clear, the estimated cost of the London-west midlands line is about £11 billion, with the total cost rising to £69 billion for a full 1,500-mile network. High-speed rail is therefore a major part of the long-term investment in our railways, and I believe that it should be heavily scrutinised before we commit so much public money to it. I appreciate that the report mentions some of the arguments surrounding high-speed rail, but I believe that more time should have been given to it and it should have been studied in greater depth, given the potential cost to the country over the long term.
Given that in 2007 the Department for Transport broadly accepted the Eddington transport study, which concluded that high-speed-rail would be poor value for money in the UK, it is incumbent on Parliament to ask what has changed so much in the space of the last three years to reverse that conclusion.
Apart from anything else, there has been a change of Government. We are taking a forward-looking approach, so as to address the transport needs of our country over the next century. We have to make this upgrade to deal with the massive growth of future years. It is the best way to deliver it in a sustainable way.
I thank my right hon. Friend for her comments.
If I may pursue my argument further, there are still some questions to be asked—such as whether the assumption of background growth in demand of 133% is truly realistic; such as whether potential competition from conventional rail has been taken into consideration when calculating the returns to be generated by this investment; such as whether new developments in technology, including video conferencing, online communication and information sharing, will seriously reduce the need for travel.
Large countries such as China are considering whether there are clear benefits to high-speed rail. A report by The Economist only two weeks ago entitled “On the wrong track” highlighted the fact that many of the newly added lines are making hefty losses and are thought to be operating at under half capacity. The Chinese Academy of Sciences has asked the Chinese Government to reconsider the case for investment in high-speed rail.
I am pleased to contribute to this important debate. I congratulate the Transport Committee on its report and my hon. Friend the Member for Liverpool, Riverside (Mrs Ellman) on securing this debate. I am pleased to have had the opportunity to listen to the views and concerns of right hon. and hon. Members. There has been good, thoughtful and powerful debate from all parts of the Chamber. The Select Committee report posed a number of questions about the future of the rail industry that are relevant to our deliberations today. The report might be a year old, but it is very much a case of back to the future. Many of the challenges outlined in the report are still to be answered satisfactorily or properly addressed by the Government.
The report looked at a wide range of issues facing the rail industry. There are perhaps too many to cover adequately in the time that we have left. A key issue is how we deal with severe overcrowding on services and how we realign rail investment more equally across the whole country. The report considered ways in which we could increase electrification on the network and examined rail investments that could be shared with all parts of the country.
As you are no doubt aware, Mr Owen, Labour is currently undertaking a policy review. As part of that, the transport team is looking at the ways in which we can deliver improvements in our railways. With nothing ruled in or out at this stage and with all ideas on the table for further discussion and examination, these ongoing discussions will form the basis of Labour party policy on transport for the next general election. A number of the ideas that have been raised today will be considered seriously.
The Minister pre-empts what I will come to later in my contribution, but we are in favour of faster trains and better connectivity, and high-speed rail will certainly form part of our policy review.
Returning to the Transport Committee’s report, there are a few issues that it addressed that I would like to revisit briefly. As the report clearly identified, it is likely that there will be serious capacity issues all over the rail network in the years to come, and the Labour party remains committed to addressing both overcrowding and capacity issues on the network. However, where a Government makes future investment in the rail network is clearly important and tough decisions have to be made about the future priorities of the network.
As the report also clearly identified, investment decisions will have a huge impact on regional growth, and those decisions can help to perpetuate a vicious cycle of increasing disparity of wealth between regions. They will be all the more important in light of the abolition of the regional development agencies, which was referred to by both my hon. Friend the Member for Liverpool, Riverside and the hon. Member for Blackpool North and Cleveleys (Paul Maynard). I myself represent a constituency in the north-west of England, so it is frustrating for me to see how rail congestion is having a real economic impact in areas such as Manchester and in the wider north-west, with knock-on effects on jobs and prosperity for my constituents and others.
The report rightly identified the northern hub as the key to improving rail services across the north of England. As we have already heard, it is an ambition of the northern hub project to increase train services in the north, including to cities such as Newcastle, Liverpool, Manchester, Leeds and Sheffield, by 40% during the next 20 years. That means 700 more trains a day, making it possible for 3.5 million more passengers to travel by train every year. The estimated wider economic impact of the project is also significant, with the creation of 23,000 new jobs and a return of £4 for every £1 that is spent. Of course, it has been frustrating for the northern hub project that there are no firm commitments about when work on that worthwhile and economically beneficial project will start. I want to take this opportunity to ask the Minister if she envisages that the project will be in the next Network Rail control period.
The report also examined the benefits of electrification, both for the environment and for improving the efficiency of our rail network. As we know, a number of regional schemes were announced by the previous Labour Government, and many of them were reconfirmed by the current Government through the comprehensive spending review. As yet, we are still awaiting a final decision on whether or not the Great Western main line electrification will extend all the way to Wales. People in Wales will feel pretty upset if that decision is delayed unduly, especially when the Conservative party manifesto itself said:
“We support…the electrification of the Great Western line to South Wales.”
I am not sure whether there were any Welsh MPs in the room during the coalition negotiations, because that commitment was subsequently downgraded to a general statement of support for
“further electrification of the rail network.”
It is crucial that the economic benefits of electrification extend to south Wales, and by that I mean that electrification should extend not only to Cardiff but Swansea.
Similarly, we wait with bated breath to see whether the newly electrified lines in the north-west, when they are eventually upgraded, will actually have electrified trains running on them from day one. Rightly there is a concern that, with delays to Thameslink, the carriage cascade to the north-west will be delayed. After all the internal investment to electrify the north-west part of the network, it would be a travesty if the old, overcrowded and slower diesel units continue to be used on the newly electrified lines.
I would warmly welcome any updates on these issues that the Minister can give us today. Can she let me know when there will be a decision on electrification to Wales? Likewise, can she outline the time scales that are in place for the replacement of Thameslink rolling stock and for cascading trains to the Great Western main line and the north-west?
The Transport Committee report also identified the importance of having new rolling stock on the network. Clearly, the delaying and reprofiling of some major schemes that had been announced by Labour is disappointing, especially as train fares were hiked up last month, but new carriages remain some years away for some commuters.
It is a similar story regarding the delivery of replacement stock for the outdated inter-city fleet. Clearly, the Government have delayed their decision on the inter-city express programme, with all the knock-on effects for cascading rolling stock. It is time that the Government ended the delays and allowed that project to proceed.
I will not take any lectures from the hon. Gentleman—a Labour MP—about the IEP, given that his Government made little progress on it and spent £26 million on merely trying to procure the new trains.
I would welcome an update from the Minister about where that infrastructure project has got to and when we can expect to see new inter-city trains.
After rail fares increased last month by RPI plus 1%, as we have already heard, it is disappointing for commuters that the Secretary of State keeps claiming that fare increases across the CSR period will be only 10%. Is not the truth that RPI plus 3% will deliver a cumulative increase of more than 30% on the inflation forecasts by the Office for Budget Responsibility?
The Minister’s Department confirmed to me—it seems that it has also confirmed this to my hon. Friend the Member for Luton South (Gavin Shuker) in an answer to a written question—that it expects the effect of those rises to be rail passengers opting for other forms of transport. There is a concern, which the Minister used to share, that higher fares will price people off trains. That concern exists despite what the hon. Member for Cheltenham (Martin Horwood) has said. In turn, pricing people off trains will reduce people’s access to work and force them back on to the roads, generating more congestion, increasing carbon emissions and setting back our goal of achieving a sustainable transport system.
Briefly, I want to talk about high-speed rail, which was also mentioned in the Transport Committee’s report. As I have said in response to an intervention by the Minister, the Labour transport review will look at all areas of policy in detail, including high-speed rail. Clearly it is right that we should look in detail at the best way of delivering faster journey times between our core cities while increasing capacity.
The connectivity gains of high-speed rail arise not only from faster trains but from the new route alignments that comprise the proposed Y-shaped network of lines from London to Birmingham and—eventually—north to Manchester, Leeds and beyond. However, I have a real concern about the Government’s commitment to taking the planned high-speed line to the north. They have decided not to use the forthcoming high-speed legislation to secure the legal powers that would be needed to take the line beyond Birmingham, as Labour had planned to do. We will support the Government in taking the line beyond Birmingham, if that is what they choose to do. Perhaps the Minister can provide us with assurances that the Government will look again at seeking powers to extend the route beyond Birmingham.
It is also worth briefly mentioning freight on the rail network, which was an issue referred to both in the Transport Committee’s report and by my hon. Friend the Member for Luton North (Kelvin Hopkins). Freight operations play a big part in the economy, and we should look at ways of ensuring that freight capacity can continue to play a role in the rail network. Will the Minister outline how she sees rail freight being prioritised, especially with an eye on possible structural changes to Network Rail in the coming years? Indeed, is rail freight still a Government priority?
That brings me on to the McNulty review on value for money, which will have a real bearing on the future functioning of the rail network. I welcome that review of the rail industry, which was started by Labour when we were in government. When Sir Roy McNulty publishes his final report in April, we will consider any sensible proposals that would take costs out of the industry without reducing the quality of services for passengers. Does the Minister agree that, as the cost to the Government of running the railways comes down, the cost to the public of travelling by train should come down as well? Such a reduction would go some way towards helping hard-pressed commuters up and down the country, who are facing record fare rises of more than 30% in the next few years. The initial findings of the McNulty review have suggested that savings of £1 billion can be found without cutting services. Will the Minister now commit to sharing the benefits of those savings with passengers and to rethinking some of the fare rises that are due in future years?
In conclusion, as the Transport Committee report shows, the Government need a long-term vision for rail, and we need to deliver projects to build on our ambition to have a world-class rail service in this country. Where we agree with the Government, we will support them. The previous Labour Government left the rail network in a far better condition than the one in which we found it. Rail passenger numbers increased by 40% during the last decade, punctuality and quality of service also improved steadily in that time and consumer satisfaction with services increased. However, I recognise that there is still a huge amount to do, and this Transport Committee report is a good starting point for that future work.
It is a pleasure to serve under your chairmanship, Mr Owen, and I, like everyone else, congratulate the Chairman of the Select Committee, the hon. Member for Liverpool, Riverside (Mrs Ellman), on securing this debate on such an important issue.
It has been a good debate, and we have at times been in danger of breaking out into a bit of cross-party consensus, which is extremely unusual on rail. It has been enlivened by references to Trotskyism and Leninism—the first time I have seen such elements enter into a debate on the railways. Everyone has recognised the crucial importance of our transport networks in general, and our rail network in particular, to our future economic prosperity, and to our ambition both to address environmental concerns, including those about climate change, and to deal with congestion on our roads by providing a viable alternative to the lorry and the car.
The coalition has pledged to cut the deficit and also recognises that securing growth is vital, which is why in the comprehensive spending review the Chancellor placed a priority on transport spending. As many Members, particularly the hon. Member for Luton South (Gavin Shuker), have acknowledged, transport projects can generate wider economic benefits many times their cost. I very much welcome the generous acknowledgement by my predecessor as rail Minister, the hon. Member for Glasgow South (Mr Harris), that the anxiety about a Conservative Government slashing spending on the railways has not materialised. Rail emerged from the spending review in a far stronger position than most people had expected, and that was acknowledged also by my hon. Friend the Member for Blackpool North and Cleveleys (Paul Maynard).
We have had to take a difficult decision on fares and I, of course, wish that that could have been avoided, but without the three years of RPI plus 3 increases, we simply would not be able to deliver the vital capacity improvements that passengers need. To make the sums add up, we had no choice but to ask passengers to pay more, but we are absolutely confident that passenger numbers will continue to grow. I was surprised that the Select Committee Chairman asked whether we were committed to new capacity and whether we expected growth to continue, because we are embarking on one of the most ambitious extra-capacity programmes in the history of the railways. That demonstrates our confidence that passenger numbers will grow, and our commitment to relieving overcrowding, which, as she rightly highlights, is a major concern.
Do the right hon. Lady’s statements mean that she gives a categorical commitment to delivering the rolling stock as promised, and will she include in the conditions of future franchises a requirement to look at the health and safety implications of overcrowding?
I will, in a moment, outline the Government’s commitments on extra rolling stock. Health and safety is a matter for the Office of Rail Regulation, which takes on board all such factors in its decisions on safety in the rail industry. There has been a significant improvement in safety on our railways over recent years, and we need to pay tribute to the fact that they are one of the safest forms of transport.
In response to the hon. Member for Glasgow South, we do not at the moment have any plans to reintroduce the flat cap. Affordability is the concern, but we will keep the matter under review, and see if it becomes more affordable in the future.
The improvements that we have promised are extensive, and over the next four years the Government propose to invest £30 billion in transport, £14 billion of which will support capital maintenance and investment in our railways. Major projects that we are funding include high-speed rail, Crossrail, Thameslink, Birmingham New Street and the tube upgrades. In answer to the question that the hon. Member for Liverpool, Riverside asked about carriages, we expect there to be about 2,100 new carriages on the rail network by 2019, of which about 1,850 will be additional capacity, and I shall go into a little more detail on carriages in a minute.
Will the right hon. Lady look into the fact that more than 100 mark 3 carriages could be available immediately? We would only need to have new bogies to cope with the gauge difference with Ireland. The Irish need the money, I think.
It is open to the train operators to lease additional capacity if they so wish, and they may well be interested in exploring the option that the hon. Gentleman outlines.
Substantial work is under way on the strategic freight network, and I have repeatedly paid tribute to the work done on that by the previous Administration. I emphasise that rail freight plays a really significant part in our strategy for reducing carbon emissions and relieving congestion, and that is why the coalition has prioritised investment in projects such as the Felixstowe-Nuneaton gauge clearance.
The hon. Gentleman would like to see a dedicated freight line. I know his enthusiasm for that project and am always happy to engage with him on it, but the freight industry as a whole prioritises the projects in the strategic freight network, rather than a dedicated line. If the hon. Gentleman can make the case for going ahead with something like that in the future, I and my colleagues will of course be prepared to listen.
On the regional balance, in making project funding decisions it is important to take account of the needs of different areas. Although the business case for rail investment in the south-east can often be stronger because of the sheer volumes of passengers, assessment of the business case is just one element in the decision-making process and we can, and do, have regard to other factors, including the appropriate balance of funding between different parts of the country. It is worth recognising that improvements in London and the south-east can yield benefits for the economy as a whole, but the north of England will benefit directly from a whole range of programmes that are under way, including faster journey times between Liverpool, Manchester and Leeds, additional carriages, electrification, station improvements and important upgrades on the east coast main line, as well as the extension of light rail in Manchester and Newcastle, and in the longer term the north will benefit massively from our high-speed rail plans. The tough decisions made in the spending review mean that we are able to provide more than £1.5 billion for local authority major schemes in the period up to 2014-15, and that is a larger amount than the average annual Department for Transport spend on such schemes over the past 10 years.
High-speed rail has been a big issue in the debate this afternoon, as ever. My hon. Friend the Member for South Northamptonshire (Andrea Leadsom) spoke with her usual passion and articulacy on her concerns about high-speed rail, and I welcome the input of all colleagues on this issue as it is one of the most important parts of the coalition’s programme to improve our railways. Very soon we will start a major consultation on our strategy for a Y-shaped High Speed 2 network, and I can assure the shadow rail Minister, the hon. Member for Denton and Reddish (Andrew Gwynne), that we are committed to taking this railway to the north of England, in two delivery phases. Opponents of HS2 say that it will not have a big impact on the north-south divide, the important response to which is that they should look at the extensive support for the project in the north of England, and also at the rest of Europe, where cities such as Lille have been transformed as a result of the connectivity that can come with a high-speed link to a capital city.
Demand for travel between our cities is expected to increase significantly, and there is an industry consensus that the west coast route will be full to capacity within little more than a decade. My hon. Friend the Member for Blackpool North and Cleveleys indicated that there was some contention about passenger growth figures, but everyone accepts that there will be significant growth on the west coast main line.
I am afraid that I really cannot. I do apologise.
We will face severe congestion and overcrowding on those routes in years to come, unless we act now to begin the process of delivering that capacity.
On the alternatives, upgrades of an existing line, even extensive ones, could deliver only half a new line’s capacity benefit and would be more expensive. My hon. Friend the Member for South Northamptonshire asked whether 12-car trains would deliver the equivalent capacity: no, they absolutely would not. The hon. Member for Luton North asked whether new signalling would deliver it, and the answer is the same. We are already introducing new capacity on existing lines, and there comes a point at which incremental changes do not deliver the upgrade needed. Moreover, High Speed 2 will deliver the benefits of capacity released on the existing network, with major benefits for places such as Milton Keynes, Luton, Northampton and Peterborough, and also for freight operators.
I sincerely believe that careful mitigation can address many of the most serious local impacts, and I know that my hon. Friend will continue to fight hard for her constituents, who might be affected by the line. We welcome their involvement in the consultation process on which we are about to embark, to ensure that we get the right answers on high-speed rail and that we listen to the views of people affected by it.
After 20 years of discussion, Crossrail is finally going ahead. I hope that that answers those concerned that High Speed 2 will swallow up all the funding available for rail. The hon. Gentleman complained that the Hitchin flyover might not go ahead as a result of the funding pressure on high-speed rail. It is under way, or will be shortly, as it is in an investment programme to which the Government have committed. We have confirmed that the Thameslink programme will proceed in full, despite anxiety that it might not. Some 1,200 new carriages will be delivered, almost doubling the number of north-south trains through the capital at peak times.
On the Derby factory and the procurement of the Thameslink trains, the hon. Member for Glasgow South tempted me to depart from the EU’s procurement rules. I fear that I would find myself falling foul of the European Communities Act 1972 if I did, so I will not advocate failing to abide by our treaty obligations, but I can assure the House that bids from UK-based operators will be considered carefully and assessed fairly, objectively and equally.
The Government expect an additional 650 carriages in several of our major cities by 2014. We expect services to be strengthened into Leeds, Manchester, Sheffield, Liverpool, Newcastle, Birmingham, Bristol—to answer the concerns of the hon. Member for Chippenham (Duncan Hames)—London Paddington and London Waterloo. In addition, new Thameslink and Crossrail rolling stock will enable the redeployment of hundreds more existing electric carriages, strengthening the case for further electrification of our network. I hope that that responds to the concerns expressed about the quality of rolling stock in the north. The hon. Member for Bolton West (Julie Hilling) rightly raised concerns about the quality of that rolling stock and the notorious Pacer trains. We believe that our programme of new rolling stock will help address those concerns.
As the Chancellor confirmed in his Budget speech, lines between Liverpool, Manchester, Preston and Blackpool will be electrified. The redeployment of electric rolling stock to those routes will in turn free up hundreds of diesel units, which will be available for train operators to lease after 2015. In November, the Secretary of State announced that Network Rail will electrify routes on the Great Western main line from London to Didcot, Oxford and Newbury. We expect to make an announcement shortly on the further electrification of that line. We have decided to press ahead with plans to buy a new fleet of trains to replace most of the high-speed trains operating on the Great Western and east coast lines. We have narrowed down the options to two, and we hope to give the House more information in the near future.
The hon. Member for Luton South and others were concerned about stations. We are continuing with the £150 million national stations improvement programme and the £370 million access for all programme, including £2.3 million to be spent on a scheme at Luton.
I am afraid that I cannot. I have run out of time. Birmingham New Street will go ahead, hopefully delivering economic benefits of £2 billion. Improvements at Reading will address a long-standing bottleneck, benefiting people across the Great Western line.
The Chairman of the Select Committee and others are absolutely right to say that it is crucial to get better value for taxpayers’ and passengers’ funding of the railways. Reforming our railways and reducing their cost is essential. The Chairman of the Select Committee and the hon. Member for Cheltenham (Martin Horwood) rightly expressed concerns about the high cost of Network Rail compared with other operators in Europe. We recognise fully the concerns about rail fares. To answer the shadow Minister’s question, we believe that we should share the benefits of the reduction in railway running costs that we expect the McNulty review to deliver. They will be shared between fare payers and taxpayers. We are also clear that any changes suggested by the McNulty review must protect freight operators’ interests.
There is an important role for open access, as my hon. Friend the Member for Blackpool North and Cleveleys urged me to make clear, although open access is not necessarily his only hope of direct train services between Blackpool and London. No decisions have been made yet, but it is possible that that might form part of franchised operations.
We are working closely on the northern hub. I recognise that there is a lot of support for it. Dealing with the problems identified in the project would be of great benefit to the economy of the north of England. I cannot give any guarantees today, but it must be a strong candidate for funding in the next control period.
Hon. Members have supported a list of projects. On the Swindon-Kemble line, if there were any spare funding down the DFT’s sofa, as the hon. Member for Cheltenham asked, I am sure that Swindon-Kemble would be a good candidate. However, he will appreciate that our rail budgets are fully committed. He made a good point about the improvements to resilience that the project would deliver. The hon. Member for Liverpool, Riverside mentioned the midland main line. There is a strong business case for it, but again, affordability is a concern. I am always happy to talk about Kirkstall Forge, and I look forward to the revised bid, which I believe will be made in September. It is a good scheme with significant benefits, and I hope that one day it will proceed. We will have to see whether it proves affordable, given our budget constraints.
I am grateful for the time allowed me to speak in this debate.
(13 years, 9 months ago)
Written StatementsI attended the Informal Meeting of EU Transport Ministers, organised by the Hungarian presidency in Budapest and Gödöllo on 7 and 8 February. The theme was: “TEN-T revision: towards a long-term, well-balanced European transport network”.
In the plenary debates, I put forward the UK view that the future TEN-T budget should take account of the aftermath of the financial crisis and the need to put recovery on a strong footing. EU funding will be limited and should be focused on projects that deliver real benefits to the network. Cost benefit analysis should inform funding decisions. Member states should aim to do more with less, concentrating on projects that deliver the best value for money. We think that the current model should be followed, focusing funding on the core network, with some funding also available for the comprehensive network.
In the debate on the role of PPPs, I pointed out that PPP is only appropriate in selected circumstances, implementation can present challenges and requires a high level of commercial skills, and particular attention needs to be paid to the long-term budgetary consequences of its use. I cited the M6 toll road and River Severn crossings as good examples of private investment enabling major pieces of infrastructure to be constructed and the cost returned through tolling. I said that the UK Government are open to tolling as an option for brand new alignments, with potential private sector investment, but noted that we have ruled out the introduction of a national road-user charging scheme (except in relation to heavy goods vehicles).
In the margins of the event I was pleased to be able to have a meeting with the vice president of the European Commission responsible for transport, Mr Siim Kallas, to discuss a range of current issues.
During my discussion of airport security scanners with Mr Kallas, I welcomed the Commission’s general approach to the deployment of scanners. We now need to move quickly to amend existing European legislation to give airports the flexibility to deploy scanners effectively and efficiently. The decision on whether to deploy security scanners should be for member states. We acknowledge health, data protection and privacy concerns and believe that these can be addressed through existing European and national laws.
I also discussed the transport aspects of transposition of the air quality directive with Mr Kallas. I pointed out that, although we are fully committed to improving air quality, and we recognise the part that transport has to play, we are keen to ensure that the air quality targets are properly targeted at improvements in health, and are consistent with our ambitious goals to reduce carbon and to create growth.
(13 years, 9 months ago)
Written StatementsSubject to parliamentary approval, the Office of Rail Regulation departmental expenditure limit (DEL) and annually managed expenditure (AME) will be increased as follows:
DEL: £792,000
AME: £243,000
The impact on resources and capital are as set out in the following table:
Change | NEW DEL | ||||
---|---|---|---|---|---|
Voted | Non-voted | Voted | Non-voted | Total | |
Resource | 242 | 550 | 2 | 550 | 552 |
Of which | |||||
Administration budget | 242 | - | 2 | - | 2 |
Capital | (450) | - | 350 | - | 350 |
Depreciation | 150 | - | (750) | - | (750) |
Total | (58) | 550 | (398) | 550 | 152 |
(13 years, 9 months ago)
Written StatementsI am today announcing the Government’s “in principle” decision to reform the air travel organisers’ licensing (ATOL) scheme to improve clarity for consumers about its coverage and also to put the scheme’s finances back on a sustainable basis. There will be a full consultation on the details of the proposed reforms.
The ATOL scheme, operated by the Civil Aviation Authority (CAA), was introduced in the 1970s to provide financial protection for the purchase of package holidays in the event of travel company insolvency. Affected passengers are entitled to a full refund if they are yet to travel, or repatriation after completing their holiday if they have already reached their destination.
However, as a result of new ways of selling holidays and a recent Court ruling, the scheme no longer completely fulfils its intended purpose: the proportion of holidays with ATOL protection has fallen, and it can be difficult for consumers and the travel industry to know which holidays are protected and which are not. The proposed reforms will make it easier for everyone to understand which holidays are covered, and will restore protection to what looks like a package holiday but now falls outside the legal definition.
The Air Travel Trust Fund (the fund) provides the money for refunds and repatriation costs when a travel company becomes insolvent. For historic reasons the fund had no income for a number of years. As a result of this legacy, combined with travel company failures in 2008 and 2010, the fund’s deficit has increased significantly. Until it is back in surplus, it can only meet its obligations because of a Government guarantee, currently £42 million, in support of commercial borrowing facilities. Reform is needed to secure the sustainability of the fund so it can continue to provide financial protection for consumers, while reducing and eventually eliminating the exposure to taxpayers. It is envisaged that the ATOL protection contribution (APC) paid into the fund will remain at £2.50 per holiday sale until the fund is restored to health.
The last Government consulted on reforming the ATOL scheme in December 2009, and the coalition has continued work on developing these important reforms. In outline the proposed reforms would:
Create a new category of “flight plus” holiday in ATOL. This would cover holidays including a flight where the various elements were purchased within a specified short time period, and so look similar to package holidays, but are not packages as currently legally defined in the UK. New secondary legislation would be required to do this.
Ensure that where businesses sell holidays that look like packages, but where the travel agent has arranged matters so they are acting as an “agent for the customer” and so remain outside of ATOL, consumers are made fully aware of this, so that they can make an informed decision about their purchase. We are looking at using the Consumer Protection from Unfair Trading Regulations 2008 to enforce this measure.
Replace the current arrangements with clearer, standardised information for consumers that their holiday or flight is ATOL protected. The CAA has already begun discussions with the industry about a recognised document, the ATOL certificate, that would be both proportionate and fit for purpose. This can be done by CAA using its existing powers.
A consultation on the details of the proposals, including draft secondary legislation, is planned for the spring, with the aim of implementation by late 2011 or early 2012.
I believe there may also be a case for new primary legislation to address other issues in the ATOL scheme and will be considering that further in the course of this year.
(13 years, 10 months ago)
Commons Chamber5. What assessment he has made of the effects of the ending of the west London extension of the congestion charge zone.
The removal of the western extension of the congestion charging zone is a devolved matter for the Mayor of London.
Does the Minister of State agree that one of the beneficial effects will be for those who live or try to run small businesses around the perimeter of the zone, for whom life was made very expensive? However, perhaps the biggest benefit will be for City Hall in the restoration of a reputation for proper democratic governance.
My hon. Friend has a strong record in her former capacity as a London Assembly Member for representing the views of residents on this issue, as she has in her current capacity as the hon. Member for Ealing Central and Acton. There are always pros and cons to be considered in relation to the impact on business of congestion charging schemes. No doubt when the Mayor made the decision on the western extension zone he will have taken on board her concerns about the impact on small businesses on the periphery and boundary of that zone.
Notwithstanding the fact that this is a devolved matter, the Department provides a great deal of resources to the Mayor of London for traffic issues. His removal of the western extension has cut £70 million annually from his revenue stream. Did the Department express any concerns at any time about the effect of that cut on funding for future transport schemes in London? The rest of us are paying higher charges and fares as a result of that hole in the Mayor’s budget.
This is a devolved matter. The settlement was established by the Labour Government, who made it clear that congestion charging matters were rightly for the Mayor of London to decide and not for Ministers in Whitehall.
6. What plans he has for the reform of rail franchising; and if he will make a statement.
11. What plans he has for reform of rail franchising; and if he will make a statement.
I thank the Minister for that answer. Last week, the east coast main line announced a new direct service from London to Harrogate—the first for 20 years—after some excellent local work promoting the economic case for that service. As the new franchise requirements for the east coast main line are developed, will that economic case see Harrogate-London links built into those requirements?
I thank my hon. Friend for his question. I have been impressed with the work done by him, the Harrogate chamber of commerce and Harrogate business interests to make the case for improved rail services between Harrogate and London. I would encourage them to continue that input when the consultation takes place on re-letting the east coast franchise. We will, of course, take those representations into account in our decisions on Harrogate services.
Given the announcement last week that the west coast main line franchise will be up for renewal, how soon does the Minister think we will see the extra carriages and, perhaps, the extra trains that we need to relieve the severe overcrowding on the line, particularly for my constituents in Lancaster?
The Government will be funding 106 extra carriages on the west coast main line, which are due to come into operation with the new franchise. Some of those carriages will be available in a new train that will be available earlier, once its testing period has been completed. At that point, it will be available for Virgin to sub-lease, if ordinary commercial terms can be agreed.
Will the Minister give an assurance that under the new franchise services to north Wales, in particular, will not be reduced, especially given the news this week that services from Wrexham to Marylebone will cease as of Friday?
We are engaged in a consultation on the level of services and the configuration that will go into the west coast main line. We fully appreciate the importance of the services in Wales, including north Wales, and I would encourage the right hon. Gentleman to take part in the consultation. Of course, we are very much aware of passengers’ disappointment at the closure of the Wrexham and Shropshire service, and we will take that on board in the decisions that we make on the west coast line.
Could the Minister say how the reform of rail franchising will support infrastructure investment, especially the necessary electrification on the Wrexham to Bidston line, for example, which runs through my constituency?
I believe that longer franchises, which are a key part of our reform, will provide stronger incentives for private sector investment in improving stations, rolling stock and—potentially—infrastructure. The current short franchises, through which it was difficult to get a return on significant investments of that sort, made it difficult for the private sector to maximise its investment in the railways. The rail franchising reform will therefore help to deliver the sort of improvements that the hon. Lady talks about.
As part of the consultation on the inter-city west coast main line, will the Minister consider the negative impacts of the use of power boxes and mechanical signalling on the ability of franchise holders servicing the north Wales coast to provide an enhanced level of service to my constituents?
We do not seek to micro-manage Network Rail’s decisions on signalling—we take a technologically agnostic approach to that—but we encourage it to deliver its renewals and upgrades in the most cost-effective way possible, and I am happy to pass on my hon. Friend’s points to Network Rail, so that it can take them on board in its decisions.
The demise of the Wrexham-Shropshire service is particularly sad. Local people really valued it, not just because it provided the direct link to London, but because the staff provided a superb service. Would the Minister be willing to meet MPs from all parties with constituencies along the line to discuss how we can consider not just how open-access services operate generally, but how we can put the line through Shropshire and up to north Wales back into the west coast franchise?
I would be happy to have that meeting. I encourage the hon. Gentleman, as I did the right hon. Member for Delyn (Mr Hanson), to take part in the west coast main line consultation under way.
How will the Minister’s franchising reforms facilitate much-needed investment, both trackside and on train, in smarter signalling, such as in the world-class systems developed by Invensys in my constituency, which I would be delighted to show her, if she would be so kind as to visit Chippenham?
I shall certainly try to fit a visit to Chippenham into my diary. As I said to the hon. Member for Wirral South (Alison McGovern), I believe that longer franchises with more flexibility will encourage private sector investment in the railways. Longer franchises in the past for Chiltern Railways have enabled the train operator to become involved in signalling work. However, we have to acknowledge that major infrastructure works will need to continue to attract public funding, although there is no reason to believe that rail franchising reform could not assist private sector and train operator involvement in improving signalling.
7. What steps he is taking to reduce the incidence of people driving while uninsured.
9. When his Department plans to publish its consultation on changing the law to allow UK nationals with diabetes to drive heavy goods vehicles in the UK.
The Department for Transport plans to publish the consultation document very soon. We welcome views from anyone interested in the proposed changes and will consider all representations before making our final decisions.
I thank the Minister for that reply. She will be aware from correspondence that my question arises from a rather long-running constituency case, which is not untypical of those of other hon. Members across the Chamber. Given that the EU directive dates back to August 2009 and that we have an utterly inconsistent position in the UK—registered diabetic heavy goods vehicle drivers from elsewhere in the European Union can drive on our roads, whereas UK-registered diabetic HGV drivers cannot—can she give some consideration as to how quickly this glaring anomaly can be cleared up?
We will certainly be working hard to get the consultation document out as quickly as possible. However, given that what is being contemplated is a relaxation of current road safety rules, I am sure that my right hon. Friend will agree that this is not something to be undertaken lightly. We must ensure that we take the time to consider all the relevant factors to ensure that it is safe to make the change.
10. When he plans to publish his proposals for the modernisation of Her Majesty’s coastguard.
T3. Some 84% of rail users are currently satisfied with their service. Does my right hon. Friend agree that that is welcome news, and will she elaborate on that statement?
Obviously, we welcome the positive response from the Passenger Focus survey. We are aware that there is always a need to improve provision of services on the railways, and that is one of the main reasons why we are supporting the work of the McNulty review to get costs down, to make it easier to deliver the improvements that people want.
T4. Many of my constituents and those of other Members were severely disrupted by the effects of the weather on airports in London and elsewhere. Does the Minister agree that the Civil Aviation Authority needs more powers to assess the situation and hold airport operators to account?
My hon. Friend has raised an important issue. There was real concern about the way in which Heathrow dealt with the severe weather. That is one of the reasons for our plans to reform airport regulation, which include a new licensing system that will indeed give the CAA more powers to ensure that airports are properly prepared for winter.
The marine environment is dangerous, and we are fortunate to have Stornoway coastguard, which is based in my constituency. However, I have been told that the Government’s reorganisation proposals are not accompanied by any proper risk assessment. Is that true?
T5. Can the Minister give us a likely date for the decision on electrification of the Great Western line to Swindon and beyond?
My hon. Friend is a staunch campaigner for further electrification. We have already announced electrification of the lines to Oxford, Newbury and Didcot, and we will shortly announce what further electrification of the Great Western line can be achieved in co-ordination with the linked inter-city express programme.
You will recall, Mr Speaker, the procedural exchange that you and I had earlier this week about the failure of the Department for Transport to answer questions about river and port pilotage. The first question has now been answered inaccurately; as for the second, the Department refuses to publish the advice that it has received. This is a fundamental matter of safety. Will the Secretary of State examine it personally and review the decision to refuse to publish the information, in order to give us confidence that our pilots are properly trained?
Apropos the disruption at Heathrow, the temperature has dropped again today. Ministers need not go abroad to find examples of the way in which airports can cope with snow. Aberdeen airport, which is also owned by BAA, managed to cope perfectly well with 2 feet of snow, while Heathrow was closed for nearly two weeks because of 2 inches of snow. What guarantee will the Government give passengers—not just those like me, but the many people who travel through Heathrow, which is one of the major hubs—that such disruption will not occur again?
We must be realistic. When the weather is as severe as that which we witnessed before Christmas, there is bound to be some disruption. I pay tribute to airports such as Aberdeen, which worked very hard to deal with it—as did Gatwick—but we must recognise that Heathrow airport faces special challenges that make it tougher to respond to such conditions. Heathrow is conducting a review, and the Department is carrying out an investigation through the South East Airports Taskforce. There may be lessons that we can learn from measures taken by other transport systems, such as the imposition of emergency timetables when severe weather seems likely to reduce capacity significantly.
T7. Some of the residential areas in Loughborough face considerable pressure on parking as a result of having houses occupied by students, each of whom brings a car to the town. Can the relevant Minister confirm that under this Government local councils, communities and universities will continue to be able to implement local solutions that suit the local needs of the town?
T8. I know that the Minister is aware that Fleetwood has a railway line that has been redundant since the 1960s but which has most of its infrastructure intact. What hope can she offer my constituents that there may be a chance of reopening the line and providing much-needed regeneration to the town?
I know that my hon. Friend has championed this cause, and I enjoyed my visit to the disused rail line. Programmes such as he outlines can confer significant local benefits, but it is primarily for the local authorities to identify the funding to restore railway lines and, importantly, to identify the funding for any ongoing subsidy that is needed. Local authorities may well wish to consider those options in order to enhance economic growth in their areas.
What assessment has been made of increasing fuel prices and the rising costs of motoring in rural areas, particularly for lower-income households?