All 3 Alan Brown contributions to the Haulage Permits and Trailer Registration Act 2018

Read Bill Ministerial Extracts

Mon 14th May 2018
Haulage Permits and Trailer Registration Bill [Lords]
Commons Chamber

2nd reading: House of Commons & Money resolution: House of Commons & Programme motion: House of Commons
Tue 22nd May 2018
Tue 22nd May 2018

Haulage Permits and Trailer Registration Bill [Lords] Debate

Full Debate: Read Full Debate
Department: Department for Transport

Haulage Permits and Trailer Registration Bill [Lords]

Alan Brown Excerpts
2nd reading: House of Commons & Money resolution: House of Commons & Programme motion: House of Commons
Monday 14th May 2018

(5 years, 11 months ago)

Commons Chamber
Read Full debate Haulage Permits and Trailer Registration Act 2018 Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: HL Bill 84-R-I Marshalled list for Report (PDF, 80KB) - (13 Apr 2018)
Alan Brown Portrait Alan Brown (Kilmarnock and Loudoun) (SNP)
- Hansard - -

I understand that the Secretary of State cannot speak for the Irish Government, but can he tell us what discussions he has had with the Irish Government about this, and therefore give us an indication of what the position might be?

Chris Grayling Portrait Chris Grayling
- Hansard - - - Excerpts

The hon. Gentleman will know that the Irish Government are part of the European Union negotiations. We continue to discuss this and other transport issues as part of those negotiations, and I am entirely confident that we will reach a sensible place at their conclusion.

Let me sum up. As I have outlined, we are committed to ensuring that the road haulage industry can continue to prosper as we leave the European Union. As part of our programme of EU exit legislation, this Bill prepares us for a range of scenarios. It will ensure that the UK can fulfil its international obligations and will be ready when we leave the EU.

The Government have been supported by the industry in bringing forward these sensible measures, and we have talked extensively with it over the past few months. I believe that this represents prudent planning for different eventualities. I personally want to lead a Department that is prepared for all those eventualities and that can deal with whatever circumstance lies ahead, notwithstanding my view that we will reach a sensible partnership agreement for the future this autumn that will enable us to remain good friends and neighbours of the European Union, and that will allow the trade between us to carry on flowing as it does today. I commend the Bill to the House.

--- Later in debate ---
Alan Brown Portrait Alan Brown (Kilmarnock and Loudoun) (SNP)
- Hansard - -

It is a pleasure to follow the right hon. Member for Scarborough and Whitby (Mr Goodwill), who must be one of the very few of us in this place to have a class 1 licence.

I think I will continue the theme of Opposition Members expressing their genuine concerns about what is happening and about how we go forward, while Conservative Members just continue to tell us, “Everything will be all right on the night. Why should we worry? Just believe us. It will all be okay.” The Government’s confidence is indicated by the fact that a Parliamentary Private Secretary has been going round the Government Benches giving out a crib sheet and lobbying for support. I think that tells us how confident the Government really feel.

I understand the need for the Bill, which is a back-up in case there is no deal. For that reason, I certainly would not vote against it, but I hope that the UK Government are doing their best to ensure that part 1 is not required and that the existing streamlined operations we enjoy under the Community licence scheme remain in place. However, we have to look at the current reality. We have a Brexit Cabinet that cannot agree a customs arrangement. The Tories are determined to pull out of the customs union and the single market. They are absolutely all over the place, and the clock is ticking away, so the prospect of a seamless transition becomes more and more unlikely.

In many ways, the Bill is symptomatic of the Government and their approach to Brexit. It is mainly superficial. There is a statement of intent, but we do not know the detail behind the Bill. We do not know what the permit system will look like or how it will operate. We do not know what fees will be applied. We do not even know whether limits will be applied to the number of permits. Like the Brexit process in general, the Bill is just the equivalent of talk but no action.

There is a further irony. The Bill is another example of primary legislation formulated in the other place. When it suits the UK Government they tell us that the House of Lords is only a revising chamber and that it should not get in the way of the business of the Government, yet if it is willing to do the Government’s bidding, we are supposed to laud its expertise. However, when it applies its expertise and says there is a need for a customs union, a vote to stay in the single market and a meaningful parliamentary vote in this place, somehow we have to ignore that expertise and wisdom. That shows the hypocrisy of Government Members when it comes to the House of Lords.

Another aspect of the Bill is that it is a part of the no deal preparations. The Brexiteer argument is that preparing for no deal will show the EU we are ready to walk away, thus strengthening our negotiating position. However, I am pretty sure that the Bill is not going to have Michel Barnier quaking in his boots. This is the first Bill going through Parliament in preparation for no deal. I suggest there is a long way to go to strengthen the Government’s hand. We are only a couple of months away from summer recess and a whole load of other legislation will be required for the Government to be in a competent place in terms of no deal arrangements. There is no way that the Government are strengthening their hand. If anybody thinks that we are in a stronger negotiating position, they are kidding themselves.

The Government have not even published their transport priorities in a single policy or place, so we do not really know their overall hoped for direction of travel. We know in theory that they want frictionless trade. They want extensive free trade agreements without any meaningful show of what that means in reality and how it would be implemented—that is a key issue.

On haulage, we know that the supposed preference is for things to remain much as they are under the Community licence arrangements, but where are we on those negotiations? If agreement is reached for arrangements to continue as is, or if a reciprocal licence arrangement is agreed, that means few extra checks will be required. There is still, however, the fundamental issue of the customs and border arrangements, which is far more relevant to hauliers and businesses reliant on the import and export of fresh goods.

What will be the timescale for a new IT system? Has any work actually started on it? How much of the £75.8 million allocation for transport Brexit preparation has been spent so far and what has it been spent on? What is the planned programme of work for the fund for the rest of the financial year? Is the renting of Manston airfield as an emergency lorry park part of the Brexit preparations and expenditure? As the shadow Minister said, they cannot even get their plans for a car park correctly in place. That is £13 million down the drain.

Chris Grayling Portrait Chris Grayling
- Hansard - - - Excerpts

It may be helpful to the House if I say that the preparations for any disruption, not necessarily Brexit-related, of the Channel ports are well under way. Work on the M20 will begin in a matter of weeks, either late this month or early next month, to ensure that we have greater capability than we did in 2015 to store more lorries. We are not relying on Manston airport. It remains available to us in the short term, but it is not included in our long-term plans.

Alan Brown Portrait Alan Brown
- Hansard - -

The Transport Secretary says that the work is going to start shortly. Can he give me a timescale for the completion of the lorry park?

Chris Grayling Portrait Chris Grayling
- Hansard - - - Excerpts

I will go into detail another time, but we are putting in place plans that will enable us to store at least as many lorries as we did at the worst of the situation in 2015 without creating a situation where the motorway cannot flow in both directions. Those plans are well advanced and we will have them in place before next March.

Alan Brown Portrait Alan Brown
- Hansard - -

I remain to be convinced. That seems to be another example of, “Believe me, it will be okay. We’re dealing with it, just trust me.”

Patrick Grady Portrait Patrick Grady (Glasgow North) (SNP)
- Hansard - - - Excerpts

I just wonder if perhaps this is the hidden agenda behind the Foreign Secretary’s proposed bridge, because that would create 20 miles of road between Britain and France. Perhaps the lorries could be stacked along that as well.

Alan Brown Portrait Alan Brown
- Hansard - -

It would certainly provide additional space. I wonder how long the bridge would take to complete, right enough. It is something else I would not trust this Government to implement.

On the Government’s overall preparations, the reality is, as James Hookham, the deputy chief executive of the Freight Transport Association stated:

“There is a lack of any progress in agreeing new systems for avoiding customs checks.”

He also explained that there is much detail to be agreed in two and a half years, a tiny period in business terms. His comments assume a transition period up to December 2020. If there is no deal, however, the transition period falls and that takes a year and a half out of that timetable. Time really is ticking on and we do not get a sense of urgency from the Government.

Our reliance on road haulage is confirmed by the fact that in 2016 3.7 million tonnes of goods were exported from the UK and 4 million tonnes were imported. For Brexiteers—we have heard the arguments already in interventions—this apparently shows how much the EU relies on the UK for its exports and so it will do everything it can to make sure its exports get here. What it actually shows, however, is how much UK businesses rely on EU imports to put food on the shelves and for it to be a reasonable price. The UK is far more reliant on EU imports. In terms of export value, it is 27 countries versus only the UK.

Jim Cunningham Portrait Mr Jim Cunningham (Coventry South) (Lab)
- Hansard - - - Excerpts

The hon. Gentleman raises a very interesting point. I suspect that when we talk about the import of food into this country, the Government will be reliant on the American market. If they do that, they will be held to ransom. That is what I suspect they are up to.

Alan Brown Portrait Alan Brown
- Hansard - -

That is a valid point. There have been mixed messages from the UK Government. The Trade Secretary says he will get a free trade deal with the United States. The Environment Secretary says we will get a deal but he assures us that there will be no chlorinated chicken or hormone beef. If we trade under World Trade Organisation rules, we cannot impose those welfare standards.

Sammy Wilson Portrait Sammy Wilson
- Hansard - - - Excerpts

I admire the hon. Gentleman’s ability to find a negative in every argument. He talks about the importance of food imports for the United Kingdom. Does he accept that those food imports come from farmers in Spain, Ireland, France and Italy? Does he think that they want transport to be disrupted to the point where their goods sit and rot in lorries? Is that not an incentive for their Governments to do the kind of deal that the Secretary of State is talking about?

Alan Brown Portrait Alan Brown
- Hansard - -

First, may I thank the right hon. Gentleman for saying I can find a negative in any argument? I can assure him that I have a wife who agrees wholeheartedly with that sentiment. He makes my point for me. There will be a whole raft of countries coming together, so the potential hit on them is much less than the potential hit on the UK. It is easier for them to play hardball. Government Members say that they will not play hardball, but why would they not? The UK is trying to play hardball with the EU, so it is quite clear that the EU is going to have to play hardball back.

Luke Graham Portrait Luke Graham (Ochil and South Perthshire) (Con)
- Hansard - - - Excerpts

My point would be that the hon. Gentleman finds the cloud in every single lining. Perhaps his wife would also agree with that. He talks about food policy and agriculture. When will the Scottish National party release its agricultural policy? The rest of the UK has been waiting for months for the Command Paper. When will the SNP finally come up with policies and make a constructive contribution to the debate, rather than haplessly hitting at the Government?

Alan Brown Portrait Alan Brown
- Hansard - -

For a start, the UK Government have delayed the agriculture Bill. The SNP wants control of immigration to support the farming industry. There are big concerns about agriculture, as the hon. Gentleman well knows. There are concerns about the power grab and the attempt to override devolved policy matters. We heard at the weekend about the much promised review into common agricultural policy funding. The UK Government kept money that was due to Scottish farmers. They held on to it and we heard at the weekend that the review has been delayed again. I will not take any lectures from the hon. Gentleman on agricultural policy.

For the benefit of the House, I will try to return to the Bill. Part 1 covers the haulage permit system, as stated earlier. This is just an enabling Bill, so the real proof of the pudding will come from a combination of Government negotiations and the secondary legislation that is required as part of the Bill. At the moment, we really do not know what we are getting from the Bill.

The Government have stated that they intend to consult on fees later this year when the negotiations are much clearer, but that does not give me much confidence either. The reality is that we should be there or thereabouts with the negotiations already if we are going to get systems in place and advise hauliers and the Freight Transport Association what the future looks like for them, and what they need to do to comply. Clause 2 also introduces further uncertainty by referring to possible random selection or selection on a first come, first served basis, if permits are limited. If that is the outcome, it will cause further uncertainty for businesses.

Gavin Newlands Portrait Gavin Newlands (Paisley and Renfrewshire North) (SNP)
- Hansard - - - Excerpts

My constituency is home to W.H. Malcolm Ltd, one of Scotland’s largest hauliers. When I met its staff, they said that the industry has gone through a tough time for a variety of reasons over the last few years. Does my hon. Friend agree that the Secretary of State’s gung-ho, “It’ll be all right on the night” approach gives little comfort to hauliers such as W.H. Malcolm and to exporters across the UK?

Alan Brown Portrait Alan Brown
- Hansard - -

I completely agree. I am sure that the haulage company that my hon. Friend referred to—it is clearly a massive haulage company—will have concerns about how the licence will come about, how vacancies will be filled in future and, as we heard earlier, the rising age profile of drivers. Something else that the UK Government have refused to do is help to pay for drivers to be trained so that they can get into the industry. Individuals cannot afford the £3,000 that it costs to train for an HGV licence.

Just to surprise the right hon. Member for East Antrim (Sammy Wilson), on a slightly positive note, I welcome the fact that clause 9 comes from the Government accepting a Lords amendment about future reporting on the impact on the UK haulage industry of the restrictions that apply to a permit scheme. What I find curious about that is that when I try to get amendments through in Committee that require the Government to report on future implementation, they always vote them down, so I hope that this will be a precedent for other future legislation. I welcome these provisions on future reporting.

Clause 12 covers Northern Ireland. Despite assurances from the Minister in the Lords that this legislation will not result in a hard border in Ireland—we have heard that from the Secretary of State—we need to know how the powers will be enforced and how it will not lead to a hardening of the border. I notice that the Secretary of State could not state clearly how the Irish Government see this operating. The Bill also specifically requires the consent of the Northern Ireland Assembly, which, as I am sure he is aware, has not been operating for 16 months, so will the Minister or the Secretary of State explain how consent will be sought in the absence of a devolved Government?

Overall, the Government may continue to assert that there will be no hard border, but they need to answer difficult questions about the broader picture regarding not only the Bill, but the customs arrangements and how they will do checks with this mythical “no infrastructure.” The Secretary of State talks time and again about how there are no checks on the US-Canada border, but I remind him that there are. Lorries have to stop there, so that model cannot be followed or else it will mean a hard border in Northern Ireland.

Part 2 of the Bill covers trailer registration as a consequence of ratifying the 1968 Vienna convention. Again, this is a series of enabling clauses with the detail to follow, so we do not know how this will be implemented or what the costs will be. The UK Government have stated again that private-use trailers such as caravans and horse trailers will not fall within the scope, yet those exclusions have not been put in the Bill, so how can we guarantee that that is the case? The Secretary of State might be aware that the National Caravan Council has raised concerns about the lack of clarity on exemptions for non-commercial trailers. It currently operates its own voluntary registration scheme, which is cost-effective and very successful, so any new scheme should not duplicate what it is doing. If needs be, a new scheme should build on what it is doing. We have also heard that this is only a registration scheme, yet clause 14(4) suggests that the regulations may make

“provision for a periodic mandatory safety standards testing scheme”.

What are the Government’s intentions regarding road safety measures for trailers? Is there a planned timescale for implementing them?

In conclusion—everybody will be pleased to know that I have come to the conclusion—we do not know if part 1 of the Bill is required, and if it is, we do not know what the secondary legislation will look like. We do not know what the fees will be. We do not know what the application process will be. We do not know whether there will be limits on the number of permits available. We do not know what additional checks will be required and how the situation will be managed regarding the Irish border. To borrow from Donald Rumsfeld, it seems to me that there are still a lot of known unknowns as regards the Bill. I also suspect that there are further unknown unknowns to follow. Having said that, the Government must be delighted with the progress they have made on taking back control, so I absolutely welcome the Bill.

--- Later in debate ---
Sammy Wilson Portrait Sammy Wilson (East Antrim) (DUP)
- Hansard - - - Excerpts

I congratulate the hon. Member for Charnwood (Edward Argar) on his positive speech. I hope that mine will be equally as positive, because almost every time anything about Brexit or leaving the EU is mentioned in this House the naysayers and those who wish to overturn the referendum result will find any excuse to look for faults in what is being presented.

I welcome the fact that the Government are bringing forward this legislation, because it will provide a contingency if there is no deal. Despite what the hon. Member for Kilmarnock and Loudoun (Alan Brown) said about this legislation hardly having Mr Barnier quaking in his boots, an important message is sent out every time that the Government—whether in this Bill or in conversations, interviews or statements—indicate to those negotiating our exit from the EU that we have the option of walking away if they are not prepared to play ball. Regardless of how small this particular warning may be, it is nevertheless part of a picture that we need to present.

Having said that, I share Ministers’ optimism and the optimism of many other Members who have already spoken. There is every reason why the current arrangements —the Community licence and the standard international operator’s licence—should be made available as a result of the Brexit negotiations. As we have already seen, road transport is vital not just for this country, but for every country with which we trade in the EU.

Alan Brown Portrait Alan Brown
- Hansard - -

The Democratic Unionist party obviously has first-hand experience of how good the UK Government are at negotiating. Given the concessions the right hon. Gentleman’s party extracted from the Government, the whole EU saw how the DUP had the Tories dancing on the head of a pin. Does he really trust that lot to negotiate a good deal from the EU?

Sammy Wilson Portrait Sammy Wilson
- Hansard - - - Excerpts

The proof of the pudding will be in the eating. When the Government stuck their heels in with the EU in December 2017, the agreement was changed and the protocols were not insisted on in March 2018. The Prime Minister stuck her heels in when the Irish Government said June was a deadline. The UK Government made it clear that it might not be done by June, and we have now moved to October 2018. When the Government make it clear that they intend to be in the driving seat on these negotiations, I have every confidence that we can get a good outcome for the United Kingdom.

Of course, there is every reason for us to be confident. Road transport is important to every European nation that trades with us, and it is particularly important to Northern Ireland—over 90% of our trade is via road transport. Road transport is not only important to us. If we look at who actually transports the goods we export to other parts of the EU, we see that 85% of the goods that go from the UK to other EU countries are carried in vehicles owned by EU-based companies. That being the case, there is every incentive for nations with lorries, lorry drivers and transport companies to come to an arrangement with our Government to ensure that free movement can happen. Equally, many of those goods are perishable, and it is therefore important that there is as little disruption to road transport as possible, hence why I believe it will be possible to get the kind of deal the Government seek. Nevertheless, it is important that we have this fall-back position.

The second issue is Northern Ireland. Although I heard the Minister’s explanation, I am still not clear on why we need a separate provision in the Bill for agreements on transporting goods to, and on lorries driving through, the Irish Republic and why the international agreements referred to in clause 1 are not sufficient to cover the Irish Republic. I do not share the optimism of the right hon. Member for Clwyd West (Mr Jones) that the Irish Government are willing, because of our long-standing arrangements on transport issues, to ensure that a bilateral arrangement can be put in place.

The Irish Government have almost cut off their nose to spite their face on the issue of the border between the Republic of Ireland and Northern Ireland. They know their own head of Revenue Commissioners has made it clear that there are technological solutions that could ensure there is no hard border so that trade flows easily across the border. The previous Administration in Ireland even started down the route of considering the kind of technology that could be used but, since coming in, the current Irish Government have cut off all the negotiations on those solutions. Only this weekend, they insisted that they will have no cameras, drones or any kind of technology that could make the border a soft border when we leave.

Sammy Wilson Portrait Sammy Wilson
- Hansard - - - Excerpts

It seems that the current Irish Government do not understand. Six times more of their trade is with Great Britain than with Northern Ireland, and more of their trade is with Great Britain than with the whole of the rest of the EU, yet they seem to be willing to pursue a solution that will mean a border and barriers between the Irish Republic and its main market in order to have an open border with Northern Ireland. When it is suggested to the Irish Government that they can have both an open border with Northern Ireland and access to the GB market, they simply put their hands over their ears and say, “We don’t want to hear. Nah, nah, nah, nah.”

I am not as convinced as the right hon. Member for Clwyd West that it will be easy to get a transport arrangement with the Government of the Irish Republic, and I would appreciate further explanation from the Minister as to why the international arrangements covering other EU countries cannot simply apply to the Irish Republic. If lorries from Northern Ireland go through the Irish Republic, they are going through another country, so why would the international arrangements and agreements not apply? Why do we need a specific bilateral arrangement with the Irish Government who, unfortunately, at present seem to be in a temper tantrum and are not willing to listen to too much logic, even if not doing so damages their own economy?

Alan Brown Portrait Alan Brown
- Hansard - -

While the right hon. Gentleman is castigating the Irish Government—he says they have said there will be no cameras and no technology—will he explain what technology he proposes? The UK Government have said that there will be no infrastructure and no cameras, or anything like that, at the border, so what is this magic technology that will rely on no infrastructure whatsoever?

Sammy Wilson Portrait Sammy Wilson
- Hansard - - - Excerpts

When people talk about infrastructure, they think of red and white posts on the roads across the border. The one thing we know—I do not want to digress too much—is that during the troubles 50,000 troops could not seal the Irish border. If we think we will seal the Irish border to trade with a couple of barber’s poles across a road, we are barking up the wrong tree. That shows a total misunderstanding.

The infrastructure that would be involved is used elsewhere and has been proven, whether it is GPS, telephones, early notification or electronic notification that trade is moving. There are a whole range of things that do not require a physical presence on the border, and that technology could also be used at Dover to avoid the kinds of problems highlighted by the hon. Member for Middlesbrough (Andy McDonald). It is not just a solution for the island of Ireland but a solution between the United Kingdom and the EU when we leave.

--- Later in debate ---
Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

I am grateful to the hon. Lady for that reassurance, but I do not think it was required by anyone in the House who has seen her at work.

The right hon. Member for East Antrim (Sammy Wilson) made an important speech in support of the Bill. He asked why we think the agreement will be doable. The answer is simple: because the interests of both parties are well aligned. I cannot comment on the views that will be held in the Irish Republic. This Bill addresses UK hauliers. I can say, however, that the Bill will not result in any impediment to trade between the two sides. We see no reason for concern on that front.

My hon. Friend the Member for Brentwood and Ongar (Alex Burghart) mentioned the 1968 Vienna convention. We are now a signatory to that. However, like many other contracting parties, we do not take the view that the testing and use of autonomous vehicles is in conflict with either the ’68 convention or the ’49 convention. Nevertheless, it is an important question and I thank him for raising it.

We have heard contributions relating to Operation Stack, on which we will be publishing a response shortly.

Alan Brown Portrait Alan Brown
- Hansard - -

Going back to the Northern Ireland border issue, surely it is incumbent on the UK Government to seek the views of the Irish Government to see how this is going to work instead of continually saying, “We can’t speak for the Irish Government—we don’t know what they’re thinking.” It is incumbent on them to find that out.

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

My officials are of course in regular contact with officials in Ireland and discuss these issues at length, so it would be quite wrong to suggest that there is no interaction between the two parties.

Let me conclude by mentioning the comments of the shadow Ministers. I have to say that the Labour position is very strange. Their strategy seems to be to cloud the issue and scare people as much as possible, and then criticise the Government in calling for clarity. They complain that everything is up in the air but then criticise a Bill whose specific purpose is to act as a sensible, belt-and-braces, common-sense backstop.

We do not think that this Bill is anything other than a thoroughly sensible move. It will ensure that the road haulage industry can continue to prosper as we leave the European Union. As part of our EU legislation programme, the Bill prepares us for a range of scenarios. It will ensure that the UK can fulfil its international obligations and be ready for what happens when we leave the EU.

Question put and agreed to.

Bill accordingly read a Second time.

Haulage Permits and Trailer Registration Bill [Lords] (Programme)

Motion made, and Question put forthwith (Standing Order No. 83A(7)),

That the following provisions shall apply to the Haulage Permits and Trailer Registration Bill [Lords]:

Committal

(1) The Bill shall be committed to a Public Bill Committee.

Proceedings in Public Bill Committee

(2) Proceedings in the Public Bill Committee shall (so far as not previously concluded) be brought to a conclusion on Tuesday 5 June.

(3) The Public Bill Committee shall have leave to sit twice on the first day on which it meets.

Proceedings on Consideration and up to and including Third Reading

(4) Proceedings on Consideration and any proceedings in legislative grand committee shall (so far as not previously concluded) be brought to a conclusion one hour before the moment of interruption on the day on which proceedings on Consideration are commenced.

(5) Proceedings on Third Reading shall (so far as not previously concluded) be brought to a conclusion at the moment of interruption on that day.

(6) Standing Order No. 83B (Programming committees) shall not apply to proceedings on Consideration and up to and including Third Reading.

Other proceedings

(7) Any other proceedings on the Bill may be programmed.—(Rebecca Harris.)

Question agreed to.

Haulage Permits and Trailer Registration Bill [Lords] (Money)

Queen’s recommendation signified.

Motion made, and Question put forthwith (Standing Order No. 52(1)(a)),

That, for the purposes of any Act resulting from the Haulage Permits and Trailer Registration Bill [Lords], it is expedient to authorise the payment out of money provided by Parliament of—

(1) any expenditure incurred under or by virtue of the Act by the Secretary of State;

(2) any increase attributable to the Act in the sums payable under any other Act out of money so provided.—(Rebecca Harris.)

Question agreed to.

Haulage Permits and Trailer Registration Bill [ Lords ] (First sitting) Debate

Full Debate: Read Full Debate
Department: Department for Transport

Haulage Permits and Trailer Registration Bill [ Lords ] (First sitting)

Alan Brown Excerpts
Committee Debate: 1st sitting: House of Commons
Tuesday 22nd May 2018

(5 years, 11 months ago)

Public Bill Committees
Read Full debate Haulage Permits and Trailer Registration Act 2018 Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: Public Bill Committee Amendments as at 22 May 2018 - (22 May 2018)
None Portrait The Chair
- Hansard -

That is a legitimate question, but I think that it will come up in the course of debate, and it is for the Minister, not for me as Chair, to respond. Because the measure has come up quickly, I have allowed amendments to go forward without notice, but the point has been made and I am sure that it will be addressed in the course of debate. I thank the hon. Lady for making that point.

Clause 1

International road transport permits

Alan Brown Portrait Alan Brown (Kilmarnock and Loudoun) (SNP)
- Hansard - -

I beg to move amendment 12, in clause 1, page 2, line 2, at end insert—

‘(3A) The Secretary of State must lay before Parliament a report outlining the nature of the regulations proposed to be made under this section and an assessment of the impact of those regulations on the road haulage industry.

(3B) The Secretary of State shall make no regulation under this section during a period of no less than six months from the date of his laying before Parliament the report required in subsection (3A).’

This amendment would require the Secretary of State to lay a report outlining the nature of the proposed regulations and assess its impact on the road haulage industry, at least six months before the regulations are made.

None Portrait The Chair
- Hansard -

With this it will be convenient to discuss new clause 3— Report on negotiations for a relevant international agreement

‘(1) The Secretary of State must lay before Parliament a report on progress made on any negotiations to secure a relevant international agreement.

(2) The report must be laid before Parliament within the period of three months beginning with the day on which this section comes into force, and within the period of each six months thereafter.

(3) In this section “relevant international agreement” has the same meaning as in section 1(4).’

This new clause would require the Secretary of State to outline the progress made in the negotiations to secure a relevant international agreement.

Alan Brown Portrait Alan Brown
- Hansard - -

It is a pleasure to serve under your chairmanship, Mr Davies. I will not be too long; I just want to make some brief comments. Amendment 12 and new clause 3 both call for the Government to submit reports. When the Bill was going through the House of Lords, the Government did, surprisingly, agree to report on accidents, and I thought that as the Government had now shown a willingness to do reporting, I would try their patience and see whether we could put additional reporting requirements into the Bill.

Overall, this is enabling legislation, which will allow the Government to bring forward regulations—secondary legislation—so we still do not know what the end outcome will be with regard to the Bill and subsequent regulations. On Second Reading, I concluded that the Government were saying, “We don’t know whether part 1 of the Bill will be required. We don’t know, if it is required, what the secondary legislation will look like. We don’t know what the fees will be. We don’t know what the application process will be and whether there will be limits on the permits available.”

Amendment 12 is therefore designed to firm up on that. We want the Government, as they develop the regulations, to submit a report outlining what the impact of the regulations will be, how they will apply to the haulage industry and what they mean for it. That is very important. The haulage industry as a whole is looking for continuity of the arrangements that are in place now—the community licence system—but if for some reason the Government cannot get a suitable agreement with their European counterparts, that might lead to a number of bilateral arrangements; it might lead to a whole scenario of additional requirements for permits. That could have an impact in terms of cost and time. We want to know what it means for the haulage industry, so we want the Government to set out clearly, once they know what the regulations look like, what the impact will be on the haulage industry. I think that is a fair ask of the Minister.

I am sure that the Government will not entertain new clause 3 because it asks for updates on the international negotiation process. We know that the Government like to play their cards close to their chest. We keep hearing how no one enters negotiations saying clearly what they want, and that they should play it close to their chest and keep negotiating effectively in a closed room. But that is not good enough. We want transparency. I think it is fair to ask the Government to come back and report on how the negotiations are progressing and what that means.

The other day, the Secretary of State for Transport commented that trade unions never state what their asks are before entering into negotiations, but I would argue differently: trade unions often do set out exactly what they are looking for. There is nothing wrong in stating what is being sought in negotiations and then advising and updating Parliament on how the negotiations are going, so I am interested in what the Minister has to say about the additional reporting requirements.

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
- Hansard - - - Excerpts

It is a pleasure to serve under your chairmanship, Mr Davies.

Labour Members believe that the Bill is important legislation, because it signifies many important aspects of the final agreement that is reached with the EU and the wider international community. Without it, and should negotiations result in no deal being struck, haulage movements and therefore our economy would seriously be damaged. Haulage is a servant of our economy, and getting this right is vital for its future. That is why we support the Bill and want to participate in the debate to improve it, should it ever be required. In fact, we argue that on some aspects of the Bill, regulations should be laid before the House come what may, as the Bill makes provision for improving and monitoring trailer safety. I thank the Minister for his part in this and, not least, I thank my hon. Friend the Member for Bristol South.

I first turn my attention to new clause 3, which is immensely sensible in so far as it is right to highlight the intrinsic link between the Bill and the continuing international trade negotiations with both the EU and the wider international community. Smooth passage over our borders is essential for the haulage industry’s survival, and more so for the business that haulage serves.

Labour Members believe that we should remain in the community licence scheme. The scheme currently enables goods to move frictionlessly over national borders with the EU, and I would find it incredibly helpful if the Minister could state whether it is his ambition to remain within it. I appreciate that that is subject to a negotiation process but, as the spokesperson for the Scottish National party, the hon. Member for Kilmarnock and Loudoun, has said, an indication of intention would not only help us to progress through the Committee sitting today, but inform those to whom the Bill would apply.

Understanding the intent of, and the progress being made in, this area of the deal could also assist in the planning of regulations associated with the Bill, which will need to be laid before the House before the UK leaves the EU, in the light of the timescales before us. Clearly there needs to be transparency, which is something the new clause brings about. We need to understand what happens after a community licence arrangement, or its equivalent, depending on where negotiations end up.

The Bill is a framework Bill and is subject to further regulations, and we appreciate that there could well be reciprocal arrangements, for instance with the EU as a partner on the continent. That, too, could assist, or have consequences for, the UK’s import and export markets.

The second part of the new clause focuses on the time by which reports must be laid in association with the Bill. Time is not on our side, and in the light of the fact that regulations need to be drafted after the Bill has completed its parliamentary process, it is right that we seek the shortest possible timeline for the preparation of the report to be presented. That will then inform any necessary regulations.

Labour is therefore fully supportive of new clause 3, and we trust that it will help with the process of smooth transition to an agreement that will assist the haulage industry.

Jesse Norman Portrait The Parliamentary Under-Secretary of State for Transport (Jesse Norman)
- Hansard - - - Excerpts

It is an honour to serve under your chairmanship, Mr Davies. I am delighted to rise to speak on the amendment and the new clause. I will start by making a few outline comments about the nature of the Bill, and then I will come to the points that have been raised, including the point made by the hon. Member for Rotherham.

Let me start by explaining clause 1 in slightly more detail. The clause does not make it an automatic requirement to carry a permit. Regulations made using the clause will only require permits where our international agreements mandate it, and they will exempt specific types of journey as covered in international agreements. Regulations made under this part of the Bill will set up a framework, as has been acknowledged by Opposition Members, for a permit scheme that will then apply to any permanent agreements we reach with the EU, as well as to our existing and future agreements with non-EU countries and the European Conference of Ministers of Transport permit scheme. The effect of that is that regulations will be made under clauses 1 to 3 irrespective of what arrangements we make with the EU; the difference will be in the scope of those regulations.

We stated during proceedings on the Bill in the other place that we intend to have a permit system in place and up and running by the end of the year. That will deliver our existing permit arrangements and give businesses the certainty that we can deliver on whatever arrangements are put in place for haulage after we have left the EU. Any delay in putting that system in place will cause more uncertainty and therefore additional cost to the industry.

We will introduce regulations shortly after Royal Assent so that the system can be up and running. A requirement to lay a report and wait a further six months before laying regulations before the House would prevent us from putting in place our planned systems to support hauliers in preparing for Brexit. Hon. Members will be aware that the consultation on the Bill was launched just last week, on 16 May. That consultation is part of the UK’s preparation for its future relationship with the EU.

Our overall aim in negotiations is to maintain and develop the existing liberalised access for commercial haulage. The hon. Member for York Central asked whether it was my ambition to stay in the licensing scheme, to which the response is that our ambition is to maintain and develop the existing liberalised access for commercial haulage, as we have said.

The future deal with the EU could, however, require a form of permitting system. The Bill will allow the Government to deliver an administrative system as part of the final deal. We are consulting on how permits will be allocated and what information the hauliers will be able to provide. We want to the system to be as practical and user-friendly for hauliers as possible and we will use the consultation responses to make sure that it is.

Should there be a limit on the number of permits available for haulage travel to EU member states, we want to make sure that the permit system does not adversely affect small operators, and we are confident that our proposed system will not do so. We hope that large and small operators will respond to the consultation so that we have a good understanding of the effect of the permit scheme on different sizes of business.

Alan Brown Portrait Alan Brown
- Hansard - -

The Minister stated that he aims to move quite quickly to introduce the regulations that form the secondary part of the Bill. Can he outline how quickly these regulations will be brought forward and how they will compare with the consultation that is ongoing at the moment? We still have the negotiations to come, so it is not clear how quickly regulations can be introduced and what they will look like, because they really will have to cover myriad options.

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

As I have said, the purpose of the Bill is to put in place a framework of permits, which will continue irrespective of any specific outcome with the EU. We aim to put it in place by the end of the year. We are moving with a certain amount of speed, but in no sense hastily. We have already had widespread consultation with the industry and other stakeholders. There has been quite a high degree of cross-party support, and I was pleased that the Labour Party and the SNP did not oppose the Bill on Second Reading. We have been happy to take late-tabled Opposition amendments to respect the desire to get everything in place.

That goes to the point raised by the hon. Member for Rotherham: there is no sense of undue haste, but we seek to put the framework in place. That means that regulations will need to be laid later this year, following the consultation that is in progress. This is a careful process of putting in place regulations that we will be able to use for the longer term.

The consultation includes draft regulations so that respondents can see what we propose. In addition, we have provided policy scoping documents that outline how we intend to operate a permit scheme, and they are available in the House Library. Those documents and the response to the consultation will set out the details of what the regulations laid before the House will achieve, and what their impact will be. A further report on what future regulations will cover would provide no further benefit to Members.

I am sure that the hon. Member for Kilmarnock and Loudoun will welcome the fact that in the other place, the Government added clause 9 to the Bill to honour an undertaking given by my noble colleague, Baroness Sugg. The clause will provide Parliament with a report for any relevant year on the impacts of a limited permit arrangement with the EU, should that be the outcome.

--- Later in debate ---
Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

My right hon. Friend is absolutely right. Of course, this legislation is designed to survive, as it were, whatever the outcome, which may be one of many different kinds. We confidently expect a liberalised access arrangement, as he knows, but it is wise to be prepared. For that reason, this is a belt-and-braces piece of legislation, but we cannot delay it further if we want to get it on to the statute book. Both parties recognise the importance of doing so.

If we secured a liberal agreement between the UK and the EU as part of a future relationship, as we expect to do, we would not be able to put the regulations in place until we had reported on the impacts, which would be minimal in this case. We would then have to wait a further six months until we could make the regulations, subject to parliamentary timescales. As a consequence of this requirement, a huge cost would be imposed on hauliers and they would not be able to take account of a deal that gave them the required access. I cannot believe that the hon. Member for Kilmarnock and Loudoun intends to impose those costs on UK hauliers, including on Scottish hauliers.

Delaying the making of the regulations would delay the implementation of the agreements, and that would have a huge detrimental impact on hauliers and on our freight trade. Any delay in implementing agreements might mean that hauliers could not access and use the correct permit for their journey, which would affect their ability to take on contracts. The Bill and subsequent powers will also cover our existing non-EU-based agreements, and the amendment would encompass those agreements. If we were to strike new agreements with non-EU countries, the amendment would require us to report on them and postpone the issuing of any of those permits for six months after the report.

I hope that explanation provides the hon. Gentleman with clarity about how we propose to ensure that the regulations made under the Bill are subject to appropriate scrutiny. We will report on the effects on the UK haulage industry of any EU-related permit scheme, should there be one, where there is a limit on the number of permits available for hauliers travelling to EU member states. In that spirit, I hope he feels that he can withdraw the amendment.

New clause 3 would require the Secretary of State to report every six months, beginning three months after the Bill comes into force, on progress in negotiations to secure international agreements on the transport of goods by road to, in or through other countries. The requirement is extremely broad; it covers any relevant agreement with any other country or organisation, at any stage in the negotiations. It would catch the smallest technical amendment to an existing agreement, and it could introduce a requirement to report on negotiations when they are at a particularly delicate point and when we are unable to report the substance of our negotiating position—along the lines hinted at by my right hon. Friend the Member for Scarborough and Whitby.

The danger is that reports made under the new clause could be a mixture of the bland and the trivial. The approach of regularly setting out in public the detail of our negotiating lines, tactics and prospects of success appears to be an almost certain way to undermine our negotiation and the prospect of securing a good deal for road transport users—something that we very much believe is in prospect.

I hope that I have been clear about the Government’s objective throughout. We want and actively expect to maintain the existing liberalised access for UK hauliers. A mutually beneficial road freight agreement with the EU will support the objective of frictionless trade. We are confident that our future relationship with the EU on road freight, as part of a wider continuing relationship on trade, will be in both sides’ mutual interest. While we are negotiating with the EU, however, it is not helpful to provide Parliament with speculation about the prospects for success in the negotiations.

The reporting requirement is also perverse in its effects. It would cover any agreement that includes permits—that is the effect of tying the definition of “relevant international agreements” to that in clause 1(4)—but not liberal agreements that do not involve permits, such as our current agreements with Albania and Turkey. Reports under the proposed new clause would not provide Parliament with a useful overall picture of the state of the Government’s work to help the UK haulage industry operate internationally.

The Government have been clear throughout proceedings on the Bill that it is not intended in any way to pre-empt the nature of the agreement between the UK and the EU and the future relationship, and it is not a suitable vehicle for such amendments. When the Bill was in the other place, noble Lords tabled amendments that would have required the Government to report on how the permits regime would affect the efficiency of haulage and their expectations for future arrangements between the EU and the UK. In response to those amendments the Government introduced clause 9, which focuses on the scheme’s actual impact on the haulage industry. By contrast, new clause 3 would require reports on the progress of negotiations on prospective agreements.

The hon. Member for Kilmarnock and Loudoun noted on Second Reading:

“when I try to get amendments through in Committee that require the Government to report on future implementation, they always vote them down”.—[Official Report, 14 May 2018; Vol. 641, c. 70.]

I am sorry to disappoint him today, but I do not believe that his amendment will provide Parliament with useful information. For that reason, I hope he will withdraw it.

Alan Brown Portrait Alan Brown
- Hansard - -

I have listened to the Minster’s arguments on amendment 12, which he thinks would be burdensome. I understand some of the logic. Equally, I still think there is merit in getting the Government to report on what the regulations would look like and their impact. However, I have listened to the Minister and I am happy to withdraw the amendment, although I am still concerned about how the regulations will align with the end agreement, and how Parliament understands that. New clause 3 reflects the importance of parliamentarians and industry understanding how the negotiations are going. The Minister said that the report would pick up bland things and small technical issues, but there is nothing wrong with reporting small technical issues. That would result in a very small report that would not need too much debate or scrutiny in Parliament.

We heard the classic excuse that the negotiations might be sensitive. If they are too sensitive, that can be reported, but it would still be good for Parliament to be kept updated on the negotiations. Given that the Government are willing to incorporate clause 9—on the future impact of the regulations—it seems logical that there is merit in reporting on how negotiations are going, because that will have the biggest impact on what the permit system looks like and the outcome for the road haulage network.

Having said that, I will not press the amendment to a vote. I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Question proposed, That the clause stand part of the Bill.

None Portrait The Chair
- Hansard -

It might be helpful if I mention at the outset that the Committee may debate the provisions of each clause during a stand part debate, even if no amendments have been tabled to that clause. As we proceed it will be helpful if Members who wish to debate any clause in any stand part debate could indicate that clearly to the Chair, either privately in advance or when we reach the relevant clause.

--- Later in debate ---
Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

We have no permit schemes in place because we have liberalised transport with the Republic of Ireland. If a permanent scheme were to be put in place as a result of further negotiations or discussions with the EU, we would expect it to be of a liberalised, frictionless kind. Were it not to be of a frictionless kind—and even if it were—there would then be a requirement for some form of permit in paper form carried within a truck with a load from a UK haulier doing business to and from the Republic of Ireland. This would not affect the border arrangements in any way, in the same way that the inspection of current and community documentation does not affect border arrangements at present.

Alan Brown Portrait Alan Brown
- Hansard - -

The Minister stated clearly that there would be no transport checks affecting how things are operating at the moment. If there are no transport checks, how will the UK Government get back control of the border in terms of people and goods, which is supposedly the whole advantage of leaving the EU?

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

What we have said that there will be no transport checks at borders. We do check transport. I have been out on patrol with the DVSA, and a very effective job it does too of pulling over truckers and checking whether their documentation is in order on a whole variety of different grounds, including compliance with the community licence. That is the difference, and that is the distinction we wish to draw and that it is important to make.

Question put and agreed to.

Clause 1 accordingly ordered to stand part of the Bill.

Clause 2

Number and allocation of permits etc

--- Later in debate ---
Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

Let me start by responding to amendment 8, tabled by the hon. Member for York Central, which proposes that the criteria to be considered in allocating permits may include compliance with emission standards.

As the hon. Lady will know, we have launched a consultation on what the criteria should be. One criterion we have suggested is precisely the emissions class of the lorries being used. That is beneficial for European Conference of Ministers of Transport permits because it has the effect of maximising the number of ECMT permits we will have, and we can also consider applying that criterion for future permit arrangements with the EU.

Vehicles are already required to comply with emissions standards under UK law, as my right hon. Friend the Member for Scarborough and Whitby has made perfectly clear. It is important to note that there can be no doubt about the Government’s commitments to a cleaner environment, on the day on which the clean air strategy has been published. That document and the intention to legislate go far beyond anything under any previous UK Government.

Alan Brown Portrait Alan Brown
- Hansard - -

Will the Minister confirm whether the consultation and proposed secondary regulations take transport emissions into consideration?

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

The consultation was published last week, so the hon. Gentleman is perfectly able to consult it if he wishes. It says that the emissions class of the lorries being used could be one of the criteria employed. We are consulting on that. That is the point of a consultation; we do not go in saying it will be a criterion. We consulted on it because it is important to get a balance.

Alan Brown Portrait Alan Brown
- Hansard - -

Will the Minister give way?

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

indicated assent.

Alan Brown Portrait Alan Brown
- Hansard - -

I love the rolling of the eyes as the Minister gives way.

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

I just want to make some progress.

Alan Brown Portrait Alan Brown
- Hansard - -

I want to clarify that the law of unintended consequences, which has been used as an argument against amendment 8, actually falls if the Government are already consulting on the inclusion of transport emissions.

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

The consultation is on the class of the lorries being used. If the consultation comes out in favour of an issue having some weight, the Government will look harder at what weight it should have, and will do precisely what has been contemplated by my right hon. Friend the Member for Scarborough and Whitby, namely balance it against potential unintended consequences. My right hon. Friend was pointing out that to legislate at this point would be to invite those unintended consequences, because it would lack the further scrutiny and balancing that a consultation is designed to give.

The Bill already gives the power to use a range of criteria, including compliance with emissions standards. It does not need to be included in the Bill for us to use that criterion. It is important that primary powers give flexibility to the criteria and allow for them to be amended in future. We intend to include those criteria in regulations, which will, of course, themselves be debated by Parliament and be subject to approval in both Houses.

We also wish—as no doubt future Governments will wish—to be able to change the criteria to make improvements to the scheme or as there are evolutionary changes in the industry. It is reasonable to include such detail in secondary legislation, which would allow those changes to be made more easily. I absolutely support the intention behind the amendment, in so far as it is to ensure that our haulage sector minimises emissions and complies with high environmental standards, but the amendment is not required to achieve that and I hope the hon. Lady will not press it.

Amendment 7, also tabled by the hon. Member for York Central, proposes removing the reference to

“first come, first served or an element of random selection”.

She asked how that would operate. It is important that those references remain in the Bill, not only because they deal with the more difficult situation, where there is a limited number of permits, but because they allow us to allocate permits in the “normal” manner, where there is no limit on permit numbers.

Let me look at the idea of first come, first served, in response to the hon. Lady. Our existing permits schemes are undersubscribed—it is very important to be aware of that—so applicants have always received what they have applied for. In 2017, for example, we issued 66 permits for Ukraine from a quota of 400. For Georgia, we issued six permits from a quota of 100. Permits are issued on demand, and in those cases it makes sense to issue permits as applications are received—that is to say, on a first come, first served basis.

In the future, where more permits may be available than are applied for, permits can be issued to all available applicants. The current drafting, with the reference to first come, first served, ensures that the Secretary of State clearly has the power to provide in regulations that permits may be allocated on that basis, and that no other factors are required to be taken into consideration.

--- Later in debate ---
Rachael Maskell Portrait Rachael Maskell
- Hansard - - - Excerpts

In the light of the Minister’s response and of the fact that Parliament will have the opportunity to ask questions and have debates on the matter, I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Clause 9 ordered to stand part of the Bill.

Clauses 10, 11 and 12 ordered to stand part of the Bill.

Clause 13

Trailer Registration

Alan Brown Portrait Alan Brown
- Hansard - -

I beg to move amendment 13, in clause 13, page 9, line 1, at end insert—

‘(2A) The Secretary of State must lay before Parliament a report containing proposals for a trailer registration scheme. This report must make provision for whether—

(a) the proposed registration scheme would be compulsory or voluntary;

(b) non-commercial trailers will be included in such a registration scheme; and

(c) it would be appropriate for the operation of such a registration scheme to be run by a third-party authorised by the Secretary of State.

(2B) The report must be laid before Parliament within the period of six months beginning with the day on which this section comes into force.”

This amendment would require the Secretary of State to lay a report before Parliament outlining their proposals for a trailer registration scheme within six months of the passing of this Act.

In many ways this is similar to amendment 12. This, again, is about trying to get further clarity from the Government about what the permit scheme might look like. The Government previously acknowledged that they did not want to put too many exemptions on the face of the Bill. There has been a whole discussion of whether the Bill might apply to non-commercial trailers, and this is about trying to tease that out. The Government should clarify the issue, because there is still talk of whether it is a compulsory or voluntary registration scheme.

We are just trying to look for clarification that the Government have to do a report that confirms whether the registration scheme will be compulsory or voluntary, whether non-commercial trailers are included, and also whether it would be appropriate for a registration scheme to be operated by a third party. The third-party issue is included because the National Caravan Council already operates its own voluntary registration scheme, and it is suggested that there is merit in duplicating this scheme. All that will depend on what the Government bring forward in terms of whether the scheme will be voluntary or compulsory, and also how matters evolve in other parts of the legislation that consider safety, and whether there should be further measures looking at road safety measures in terms of registration too. There seems a lack of clarity at the moment in what the endgame will look like. The amendment just tries to tease out whether the Government will provide that clarity and a report. I would like to hear the Minister’s thoughts on that.

Rachael Maskell Portrait Rachael Maskell
- Hansard - - - Excerpts

Labour supports this amendment. Clarity is needed on the eligibility of the compulsory and voluntary schemes, and the amendment would be helpful in making it clear where obligations sit in this regard. Labour wants to extend the application of the legislation to non-commercial trailers, since incidents occur as a result of poor tow bar instalment and failed safety features on domestic trailers. It is therefore important to incorporate domestic-use trailers into the scheme. The significance of a voluntary registration scheme is unclear if there are no other levers on this issue, such as liability if incidents occur. Perhaps the Minister will clarify the use of the voluntary scheme to the Committee.

However, Labour does not believe that a third-party operator should run the scheme and wants to see this kept in-house, especially as it is a critical road safety issue. We believe that this function should be exercised through an arm’s length body. We support the call not to delay producing the report mentioned in clause 13, thus ensuring that it can be used to influence the drafting of regulations to accompany this Bill.

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

We turn now to the second half of the Bill and trailer registration. I will respond to the points made and talk about the wider thrust of the legislation. Hon. Members will be aware that the consultation launched on 16 May covered the extent of the proposals in the Bill across both haulage permits and trailer registration. We are consulting with the industry to help us get the details of any permit scheme and the trailer registration scheme right. The consultation on the proposals, as they currently stand, seeks views on a number of issues relating to trailer registration. Our proposals require the registration purely of those trailers undertaking international travel to a foreign country that has ratified the 1968 Vienna convention. This goes to the point about voluntary registration. That would apply to commercial trailers weighing over 750 kg and non-commercial trailers weighing over 3.5 tonnes. Ministers and officials in the Department have been engaged with industry throughout the development of these proposals. In spring this year, we held workshops to discuss them with hauliers and relevant trade associations, among a range of other stakeholders.

In addition to the public consultation, we have published a number of documents to assist and inform discussion of the Bill. Policy papers have been issued on the Bill and on the 1968 Vienna convention, which the trailer registration scheme is being introduced to support. Policy scoping notes are available to Members in the House of Commons Library.

The Government’s outline policy makes clear which types of trailer will be subject to additional obligations if used abroad, upon the coming into force of the 1968 convention. Trailer registration is commonplace throughout continental Europe. As such, if we did not place any obligations on users taking trailers abroad that would be likely to attract targeted enforcement action from foreign enforcement authorities. That point was well made by my right hon. Friend the Member for Scarborough and Whitby on Second Reading. That enforcement action would cause disruption on a significant scale, even to those trailers that are correctly registered, and would have an adverse effect beyond hauliers, causing disruption to UK businesses and the international supply chains within which they operate.

Alan Brown Portrait Alan Brown
- Hansard - -

The Minister talks about disruption that might be caused by enforcement action. Does that not suggest that the registration scheme would need to be compulsory? If it were voluntary, it could still have the same net effect of enforcement action. Compulsion would make that easier to process.

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

We are concerned with enforcement action by foreign authorities, against which trailer registration would be a defence. That provides a reason for supporting trailer registration, as we have described it.

Alan Brown Portrait Alan Brown
- Hansard - -

If it is only voluntary, perhaps foreign enforcement agencies will not have any confidence in signing up for the scheme. If it were compulsory, one would assume they would be less likely to take enforcement because they would understand that there is already a compulsory scheme in place in the UK.

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

I think that language is not helping deliberation on this matter. We require registration for the classes of trailer that I have described, which undertake international travel to a foreign country. It is not voluntary for those trailers that fall within those categories. It is mandatory and therefore meets the hon. Gentleman’s concern. I will go on to discuss it in slightly more detail.

The Government’s outline policy makes clear which types of trailer will be subject to additional obligations if used abroad, upon the coming into force of the 1968 convention. As I have said, trailer registration is commonplace. The measure is designed to mitigate the effects of enforcement action undertaken abroad.

On the basis of engagement with industry and previously reported enforcement to UK authorities, we have drawn a distinction between commercial and non-commercial trailers, which is the basis for the higher weight limit of 3.5 tonnes for non-commercial trailers. Engagement with non-commercial stakeholders has indicated a negligible number of such trailers.

--- Later in debate ---
Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

I am grateful, Mr Davies. The hon. Member for Rotherham may wish to make a forensic dissection of the Government’s position or that of my right hon. Friend the Member for Scarborough and Whitby when she comes to speak. However, let me address the points that she made.

The first question is: what is a commercial trailer? Of course, it is not defined by weight. There are criteria as to what constitutes a commercial trailer, and the legal definition we are using is the idea of a trailer used for transport of goods or passengers’ belongings for commercial purposes, such as transport for hire or reward, or own-account transport, or for other professional purposes. That is closely aligned with the definition of a commercial vehicle in EU law.

The hon. Lady raised earlier the question of why one would have a weight threshold. I repeat that 3.5 tonnes is a common weight threshold for additional scrutiny obligations of the kind that my right hon. Friend the Member for Scarborough and Whitby pointed to in UK law, both in EU law and in the Vienna convention. We have no evidence of countries enforcing against unregistered foreign caravans and horse trailers. The smallest enforcement action against common non-commercial trailers, such as the one described by my right hon. Friend, does not justify mandatory registration, but the keepers of such trailers will be able to register them voluntarily if they wish, and of course they are subject to other regulatory constraints.

The hon. Member for Kilmarnock and Loudoun raised the matter of whether it would be suitable for an authorised third party to run a registration scheme. He raised the question of the status of the National Caravan Council and its CRiS—central registration and identification—scheme on Second Reading. As I said in that debate, I have previously met the NCC to discuss the proposals before us today in relation to CRiS and the scheme that it operates, for which I have a great deal of regard.

The Department’s legal team have considered that issue and the question of whether the registration standard specified in the 1968 Vienna convention on road traffic allows for a private organisation to operate the service. In order to fulfil the standards of the convention, it is clear that the trailer must be registered by a ratifying country or an administrative division of the nation. In this case, the Driver and Vehicle Licensing Agency will operate the scheme, which will ensure that registration fully meets the standards outlined in the convention.

The NCC offers a valuable service to its members and to the industry more widely. The scheme is not intended to duplicate or replace the NCC’s scheme. The registration standards of the convention simply necessitate that registration is not undertaken by a third party, and we are under an obligation to obey those standards. Guidance will be issued to explain how the registration scheme applies to users. It will clarify which users do and do not need to register under the scheme before using a trailer in a 1968 convention country. The guidance will make it clear that registration is not necessary for leisure-use trailers weighing under 3.5 tonnes. As such, we do not envisage that that will replicate the work of the NCC, but the Department will continue to work with it to avert any such risk.

I appreciate the intent behind the amendment, but I hope that Members will concur that it is not necessary in the light of the significant volume of material that the Department has published regarding our proposals and the ongoing consultation. We have worked extensively to involve stakeholders in the development of the proposals, and the consultation is directly seeking views on a number of issues relating to trailer registration. That will inform the ultimate detail of the first set of regulations to enact the scheme, which Members will note will be made by the affirmative procedure, allowing for their further consideration.

Alan Brown Portrait Alan Brown
- Hansard - -

I listened to what the Minister said, and I appreciate the clarification on the third-party issue. I am not particularly precious about that, and his explanation made sense. There is sense in the DVLA overseeing the entire scheme anyway.

The Minister mentioned the unhelpful language of “voluntary or compulsory”. Truth be told, I am still a bit confused about that because clause 13 (1) says:

“Regulations may provide for the compulsory or voluntary registration of trailers kept or used on roads”.

It seems to me that it is still a bit unclear, and it would be good to get further clarity. The amendment is really about getting that clarity for all parties, so they understand what will be compulsory and what might be voluntary. That said, particularly given the discussion on paragraph (c) of proposed new subsection (2A), I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Ordered,

That the programme order (this day) be amended as follows—

In paragraph (1)(a), leave out ‘2.00 pm’ and insert ‘2.30 pm’. —(Jesse Norman.)

Ordered, That further consideration be now adjourned. —(Jo Churchill.)

Haulage Permits and Trailer Registration Bill [Lords] (Second sitting) Debate

Full Debate: Read Full Debate
Department: Department for Transport

Haulage Permits and Trailer Registration Bill [Lords] (Second sitting)

Alan Brown Excerpts
Committee Debate: 2nd sitting: House of Commons
Tuesday 22nd May 2018

(5 years, 11 months ago)

Public Bill Committees
Read Full debate Haulage Permits and Trailer Registration Act 2018 Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: Public Bill Committee Amendments as at 22 May 2018 - (22 May 2018)
My final point is that I hope reporting will enable the Minister to make an informed choice. Will there be additional resources for the agencies will collate the information?
Alan Brown Portrait Alan Brown (Kilmarnock and Loudoun) (SNP)
- Hansard - -

It is a pleasure to serve under your chairmanship, Mr Robertson. I will be brief. I want to put on record a tribute to the work done by the hon. Member for Bristol South. When somebody gets elected and spends a lot of time in this place, they want to be able to say that they have made a difference. After three years of campaigning, the hon. Lady has been able to include in this Bill clauses that could make the difference, and obviously in the future they might lead to further regulations and a further enhancement of road safety, which would be for the benefit of us all. I thank her for her work, and commend the Minister and Government for an unusual approach—they actually worked with the hon. Lady to get to this point and to further improve the legislation.

My one “but” would be about the tow bar amendments. We have heard some fantastic examples of the risk and the potential weak point in the system—how tow bars are fitted and the subsequent maintenance work required. Hopefully the Minister will reflect on what he has heard, particularly the statistic that there is a 91% inspection fail rate, which should cause alarm bells to ring.

I congratulate both the hon. Lady and the Minister, but the Government must still consider those other aspects.

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

I am grateful to all colleagues for the very thoughtful and intelligent contributions they have made. I will pick up on each of the issues they have raised.

Perhaps I can start with the hon. Member for Bristol South who, in many ways, is the mother of these amendments. Her point about the importance of affecting driver behaviour and driver education has also been made separately and forcibly to me by the hon. Members for Rotherham and for York Central—it is very important and well understood. In due course, there may well be a case for extending our road safety communications more widely. As the hon. Member for Bristol South will know, we are effective in many ways on road safety education, but it is important that we cover all aspects, so I am grateful to her for that comment.

The hon. Lady asked whether the trailer safety report will fall away. The answer is that it will not. That is because I hope and suspect that the Bill will be enacted—with the support of the Opposition, it certainly will be—and even if it is not enacted, the Government have made a commitment to produce a report according to the standards we have outlined.

Let me pick up on a couple of points made by the hon. Member for Rotherham. Of course, it is an offence to use a trailer on the road that is not roadworthy or that is in an unfit condition. The hon. Lady is absolutely right to highlight, as several Members have, the 91% figure found on the assessment. Without getting too philosophical—the House will know my background in this area—there is a difference between data and evidence, and small numbers of data. We need a more comprehensive view. When we have one, we can legislate if we need to with certainty. If we need to regulate, we can do so with all the comfort and assurance that we would need.