Midland Main Line

Alan Meale Excerpts

Monday 16th April 2012 Commons Chamber

[Nicky Morgan]

I thank the hon. Gentleman very much for his intervention. He rightly says that there are many benefits to this—I shall set out five key ones later in my speech—and that cutting the running costs of the railway on an annual basis is one of the main benefits that the upgrade and electrification would bring.

[Sir Alan Meale (Mansfield) (Lab)]

I congratulate the hon. Lady on securing the debate. This issue is not just about saving money, however, but about unfairness. More than £12 billion is being invested in the railways and only £200 million in the midland main line. Is that one of her findings?

[Nicky Morgan]

It is indeed. I am not sure how long the hon. Gentleman has been a Member of the House—I suspect that he has been a Member longer than I have—but he is absolutely right. The midlands are sometimes too good at standing back and letting other regions get investment, which is why it is time for the midland main line to get the investment it so badly needs.

I know that the debate is also being watched outside the House by a good number of supporters of the upgrade works and electrification. I am grateful to all those who have been so generous with their thoughts and suggestions in helping me to prepare for the debate. In particular, I want to thank East Midlands Councils, the Association of Train Operating Companies, Network Rail, the CBI in the east midlands, LANRAC—the Leicestershire and Northamptonshire rail action committee—the Derby and Derbyshire Rail Forum and the Rail Freight Group. Indeed, as Jim Bamford of Nottinghamshire county council has said to me:

“I think it is a real strength of the campaign that all the key players—Network Rail, East Midland Trains, and a wide range of local stakeholders—have such a united view on the need for a complementary package of upgrade works followed by electrification”.

Although I realise that my right hon. Friend the Minister is unable to announce tonight that the midland main line is to receive the investment we all hope for, I hope that she will at least be left in no doubt about the strength of support both inside and outside the Chamber for the upgrade and electrification works.

In the time available, I thought it would be most helpful if I set out briefly what we as midlands MPs are all looking for and why.

--- Later in debate ---

[Mrs Villiers]

The hon. Gentleman knows that I have a very high regard for the Bombardier operation in Derby, and he will appreciate that we are bound by European rules on the procurement of rolling stock.

The Government appreciate the economic benefits that investment in transport can bring in general. That is why we have given priority to investment in our rail network, even when budgets are limited by the pressing need to deal with the deficit. As well as going ahead with high-speed rail, we have embarked on a major programme of rail improvements on a scale larger than anything attempted since the Victorian era. That programme plays a significant role in two of our important priorities: promoting economic growth and cutting carbon. It is also vital that we get the cost of running the railways down, so that we can respond to concerns about fares.

Where there is a strong business case, and subject to affordability, the Government support the progressive electrification of the rail network as a way to reduce the cost of running the railways, boost the economy, increase passenger comfort, and reduce carbon. As we have heard from my hon. Friend the Member for Loughborough, electric trains cost less in fuel and maintenance than their diesel equivalents; they are quieter; they are lighter, which saves on wear and tear to the track; and they emit less carbon dioxide. That is why the Government have already committed to an extensive programme of rail electrification, which includes the Great Western main line from London to Oxford, Newbury, Bristol and Cardiff, and lines in the north-west, including from Liverpool to Manchester and from Blackpool to Manchester. Indeed, Mr Deputy Speaker, your constituency is set to benefit from the changes. Subject to confirmation of the business case, the line from Manchester across the Pennines to Leeds and York is also due to be electrified.

As my hon. Friend the Member for Loughborough and others have rightly emphasised, the midland main line plays a major role in supporting the economies of the east midlands and south Yorkshire. Most inter-city services on the line are provided by modern, high-performance, diesel Meridian trains. The line also benefits from the recent investment in new stations at Corby and East Midlands Parkway, and from the £800 million transformation of St Pancras. The Government have committed to further improvements by 2014. Network Rail is due to complete a £69 million investment to deliver an eight-minute improvement in journey times for passengers between London and Sheffield. In the longer term, the economies of the east midlands and south Yorkshire will benefit from the second phase of High Speed 2, with journey times slashed and rail capacity dramatically increased.

We recognise that there is a good case, on economic and financial grounds, for further investment in the midland main line over and above what we are already committed to. The scale of what can be delivered depends on what is affordable, and on a careful and fair assessment of competing priorities elsewhere on the rail network. The report commissioned by East Midlands Councils and South Yorkshire passenger transport executive entitled “The Case for Upgrading and Electrifying the Midland Main Line” is very impressive. It highlights significant potential economic, environmental and financial benefits from electrification and the other upgrades to which my hon. Friend the Member for Loughborough referred.

The Government recognise that the electrification of the midland main line could help spread the benefits of HS2, because it would enable through-running of services between the new high-speed network and the midland main line. This is something that we will consider as we prepare our response to the advice of HS2 Ltd on phase 2 of the project to complete the Y network to Manchester and Leeds. This potential benefit and the others mentioned today, including the important points made by my hon. Friend about freight and the potential benefits to freight from an electrified midland main line, will all be taken into account in our decisions on the forthcoming HLOS statement.

As my hon. Friend the Member for Loughborough set out, electrification of the midland main line and various other upgrades to the line are included in Network Rail’s initial industry plan for possible delivery in the period between 2014 and 2019. This document and the priorities that it sets out will play an important role in forthcoming decisions on which projects can be funded in the CP5 rail period to 2019. I welcome the decision by the rail industry to prioritise electrification of the midland main line in the IIP. The Government are currently considering how much funding will be available in total for rail investment in the five-year period up to 2019 and how it should be allocated. We will announce our decisions by July.

Although the business case for midland main line electrification does indeed look impressive, as I have acknowledged at the Dispatch Box before now, there can be no doubt that the project would be complex and challenging, and it would be expensive to deliver. Network Rail has estimated the capital cost of electrification alone to be just over £530 million, not including the other improvements mentioned in the debate. Major engineering work would be required. Just to make room for the overhead wires, more than 50 bridges would have to be rebuilt.

So, alongside midland main line electrification and upgrades, we will need to assess the case for improvements on other routes to determine which projects are given priority. The initial industry plan contains proposals for rail improvements likely to cost about £4.5 billion in total during the CP5 control period. This is on top of £5 billion for projects already committed for the period, so we will need to strike a balance and make choices. Of course we want to fund projects which promote economic growth and improve efficiency, as we believe electrification of the midland main line would do. We also need to ensure that the Government’s finances are not overstretched during difficult times.

[Sir Alan Meale]

I refer again to the point that I raised earlier—£12.2 billion was spent on the networks, but only £200 million of it went in the east midlands. That is not fair. We demand and we need the extra investment.

[Mrs Villiers]

I can reassure the hon. Gentleman that we are committed to continuing investment in our rail network. We are committed to a major programme of electrification. The previous Government managed only about 15 or 20 miles of electrification in 20 years, so we are making progress on that. Although I cannot prejudge the outcome of the deliberations, I can assure my hon. Friend, the hon. Member for Mansfield (Sir Alan Meale) and everyone else attending the debate this evening that we recognise the benefits that electrifying and upgrading the midland main line would bring. We are aware of the strength of the business case. We are very much aware of the strength of the support for this important upgrade to the rail network. That is why we are working closely with Network Rail to ensure that we have the most up-to-date information to inform our decisions on the midland main line project and whether we can include it in the HLOS programme for CP5.