17 Alex Chalk debates involving the Department for Transport

Transport

Alex Chalk Excerpts
Wednesday 5th February 2020

(4 years, 2 months ago)

Commons Chamber
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Grant Shapps Portrait Grant Shapps
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As the hon. Gentleman will know, that project is led by the Mayor of London and Transport for London, but I meet and speak to them regularly and would be happy to chase up the project on his behalf, because it is in all our interests to see Crossrail and the Victoria line completed. The hon. Gentleman is absolutely right to point that out.

Alex Chalk Portrait Alex Chalk (Cheltenham) (Con)
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I am grateful to the Secretary of State for coming down to Gloucestershire during the election campaign to see the Air Balloon roundabout which, as he knows, is a pinch point that causes pollution and danger for motorists. He mentioned road investment strategy 2 earlier in his speech and said that it would be announced shortly; can he provide any further detail as to when we can expect to see it?

Grant Shapps Portrait Grant Shapps
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It will arrive before very long. I have seen the problems at the Air Balloon roundabout with very own eyes, along with my hon. Friend and other colleagues, and I am keen to see that pinch point addressed. Although I cannot announce the RIS2 outcome, my hon. Friend will not have to wait long to find it out. I look forward to visiting the area again in the near future.

To sum up, we are well aware of the effort that is required—it is a great national effort. This is not something that will happen in one Department or in one corner of the economy; it has to happen throughout the whole of Government and the whole of society. I fully recognise that transport needs to lead the way when it comes to departmental reductions in the amount of greenhouse gases and toxins in the atmosphere. That is why we are working on our transport decarbonisation plan, which in itself will be world leading, both in its scale of ambition and in what it will produce for this country.

Net Zero Targets and Decarbonising Transport

Alex Chalk Excerpts
Tuesday 4th February 2020

(4 years, 2 months ago)

Westminster Hall
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Alex Chalk Portrait Alex Chalk (Cheltenham) (Con)
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My right hon. Friend is making a powerful speech about the importance of electric cars and how we meet our net-zero targets. Does he agree that we cannot escape the fact that electric vehicles are themselves pregnant with carbon? A huge amount of carbon goes into manufacturing them. One of the best and most effective ways to meet our net-zero target its not to use vehicles at all, and to ride bikes as much as possible, particularly in urban areas such as Cheltenham. Just 2% of our journeys are on bikes; in the Netherlands, it is closer to 35%.

Damian Hinds Portrait Damian Hinds
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My hon. Friend is not only an advocate for walking and cycling but, in his high-vis jacket, a very visible advertisement for it. He is absolutely right, and that is another type of modal shift. Holland is in a slightly different position, in that it is a lot flatter than this country, which makes a huge difference. That should not take away from the fact that there are plenty of places in this country—London is one of them—that are pretty flat, and where there could be more cycling. Throughout our country, there is an opportunity for more walking and cycling. Those things have great benefits beyond decarbonisation, in terms of health, fitness and being outdoors.

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Wera Hobhouse Portrait Wera Hobhouse (Bath) (LD)
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It is a pleasure to serve under your chairship, Ms Nokes. It is important to acknowledge where we have made progress. We do not want to discourage our citizens and make them so afraid that they cannot get behind the big changes that we need to make. It is also important to point out where we have made no progress at all, namely on surface transport. It stubbornly remains one of the biggest contributors to carbon emissions in our country, which is why it is so important that we concentrate on it. A lot of the problem has to do with our focus over decades on transport by car. I do not blame anybody; I suspect all hon. Members here are motorists, at least part time. The real issue is, how do we achieve a big shift in this country when there has been a lot of focus on car transport and when there are no proper alternatives?

It worries me that the Government make a haphazard announcement such as that made today about the ban on petrol and diesel cars by 2035 without having a proper plan behind that for infrastructure to support a big shift towards electric vehicles. The Government need to put their mind to that. To give an example, in a consultation meeting with Highways England about new road building in the south-west, which was all well and dandy, I said, “All right, you are building new roads, but what about the infrastructure that we need for fast charging points along our new highways and motorways?” I was told that it was not their problem, so who is talking to who about building new roads and the infrastructure to integrate them with the capacity in our electricity grid? The Government need to put a plan together to ensure that people work on these things in partnership, rather thinking in silos.

Another important issue is how to structure buses and public transport. I went to Berlin over Christmas, but not by plane. Travelling by train on the continent was perfectly competitive, but the bit from London to the channel was incredibly expensive. Unless we change the cost of travel, consumers will go for what is cheapest, and they will continue to fly unless we make train journeys a lot more affordable, particularly in this country.

I am a cyclist, in addition to being a motorist, and have been for many years and have campaigned for cycling. The main problem in this country is not the weather or the hills. There are now electric bicycles and, because Bath is quite steep, I bought myself one, as did my husband, and we got rid of our second car. Those things are important considerations for households. The main hindrance is not the weather or the topography, but safety. As a parent, I was scared to let my children cycle, as are lots of parents. One of the biggest contributors to air pollution and surface transport in my constituency is the school run.

We have been consulting young people about how they would like to travel. Their preferred mode of transport would be cycling independently, but the parents do not want that, so they take them to school by car. That creates a vicious circle. The roads in Bath are full of cars during school time—during school holidays they are not—because parents do not allow their children to go on the road because it is dangerous. We need to break that vicious circle. I urge the Government to look at Cycling England’s proposals for how to create safe cycle routes.

Alex Chalk Portrait Alex Chalk
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The coalition Government granted large sums of money—I think £20 million went to Manchester and a similar sum to Leeds and Birmingham—under the cycling city ambition grant scheme, and lots of safety measures were rolled out. The problem is that, in towns such as Cheltenham, a lot of that learning is not being rolled out. Does the hon. Lady agree that there is a role for councils to liaise with one another to ensure that safety schemes can be applied?

Wera Hobhouse Portrait Wera Hobhouse
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Absolutely; the Lib Dem Bath and North East Somerset Council is looking at how to provide local leadership, but we also need leadership from central Government to ensure that councils can fulfil their net zero ambitions. I urge the Government to look at proposals from Cycling England about safe cycle routes, because safety is one of the main reasons that young people do not cycle. If they have not grown up cycling, as adults, they do not cycle. We need a big shift to create safe cycling routes.

Regional Transport Infrastructure

Alex Chalk Excerpts
Tuesday 5th March 2019

(5 years, 1 month ago)

Westminster Hall
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Kevin Hollinrake Portrait Kevin Hollinrake (Thirsk and Malton) (Con)
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It is a pleasure to serve under your chairmanship, Ms Ryan, and to follow the hon. Member for Barnsley Central (Dan Jarvis). I thank him for securing the debate. I will touch briefly on devolution, which has proven to be the most intractable political situation in Yorkshire—much more so than Brexit—over the past five or 10 years. However, I am sure that there is a way forward, and I agree with the hon. Gentleman that it is crucial that we find it, so that we can properly exert our influence over central Government on hugely important matters, such as transport investment in our counties.

As the Chancellor admitted in his Budget speech in November 2016, no other major developed country has as large a productivity gap between its capital and its second and third cities as the UK. We are the most regionally imbalanced nation, which is a huge issue that we must deal with. London is 50% more productive than the regions of England—not only the north—and has 50% higher wages, on average, than the north. There is a direct correlation there. This is not about spending for spending’s sake; it is about the prosperity of the people we represent. There is no doubt that infrastructure spending has been disproportionately higher in the capital than in the regions, and redressing that imbalance will transform the economy right across the UK.

Alex Chalk Portrait Alex Chalk (Cheltenham) (Con)
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Does my hon. Friend agree that, in seeking to redress that imbalance, it is critical to present an ask, as it were, to the Department for Transport? When the Cheltenham cyber-park needed transport infrastructure, the Department provided £22 million, showing that, where there is a clear goal to improve infrastructure, it is keen to help where it can.

Kevin Hollinrake Portrait Kevin Hollinrake
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I totally agree. I will come shortly to the clear ask, which has been set out for us by Transport for the North.

The Government are doing much. By 2021, infrastructure investment spending as a percentage of GDP will be at its highest for the last 30 years, while the national productivity investment fund will increase to £37 billion by 2023-24. The Government recognise that this is an issue. We must always make sure that we spend wisely and, in many cases, the minimum amount, because this is taxpayers’ money.

However, in my view there is a difference between recurrent spending—much of which is important but which we clearly have to keep under control, making sure that we run a surplus, rather than a deficit—and investment spending. A business would treat the two things differently in its accounts. Businesses have balance sheets and they also look at profit and loss. Investment spending goes on the balance sheet. We should look at investment spending in our regions in a completely different light from other types of spending, particularly in the north.

I support Transport for the North’s recent strategic plan. The hon. Member for Barnsley Central rightly referred to £3 being spent per capita in London for every £1 spent per capita in the north. However, it is not all to do with central Government spending or central allocations. Much of it is about local authority spending and private sector investment. It is important that we recognise that difference. Nevertheless, Transport for the North’s strategic transport plan sets out very clearly the £70 billion of spending needed between now and 2050, which would contribute an extra £100 billion gross value added to our economy and 850,000 jobs. That is a compelling case, as my hon. Friend the Member for Cheltenham (Alex Chalk) referred to earlier.

Yes, part of it is about Northern Powerhouse Rail, which is so important to connect Liverpool to Manchester, to Bradford, to Leeds, to Hull and to Scarborough, and to go up into the north-east as well, but when that is delivered is also key. I would like my hon. Friend the Minister to consider, if possible, in his closing remarks when Northern Powerhouse Rail will be delivered, because the key ask in the Transport for the North strategic plan is that it be delivered to coincide with High Speed 2 delivery in 2033, and that would involve bringing forward the very important Northern Powerhouse Rail plan.

I again congratulate the hon. Member for Barnsley Central on initiating the debate. I look forward to listening to further contributions.

GWR and Network Performance

Alex Chalk Excerpts
Tuesday 5th February 2019

(5 years, 2 months ago)

Westminster Hall
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Stephen Doughty Portrait Stephen Doughty
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Indeed—nor does it make sense for the environment and reducing carbon emission, which we all know is crucial. I feel quite sorry for the GWR staff at times, because they do an incredible job and work very hard. When speaking off the record, they are often just as frustrated about the lack of training and support that they are given. They often have to deal with complex problems, such as failures of the new rolling stock, when they have not been given adequate support to do so.

I will mention some of those particular problems. On the new trains, there have been door failures. We get frequent complaints about the seats, which are supposedly ergonomically designed but are some of the most uncomfortable seats someone could ever sit on. As for catering, we were told that they were going to get rid of the buffet cars on the London to Cardiff services, but that was not what passengers wanted. Often, a trolley with no hot water comes through, and it will only go through half of the train—that is if it can get through the train because, of course, if the train is overcrowded, it cannot. There have been issues with train safety systems failing, with the reservations system simply not working, as well as generator problems caused by the fact that bi-modal diesel and electric trains are running more on diesel because of delays to electrification. As a result, the engines sooted up and failure rates rose.

Alex Chalk Portrait Alex Chalk (Cheltenham) (Con)
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Does the hon. Gentleman share my frustration about the announcement —one sometimes hears it over the tannoy—that there is not a train crew available to drive the train? Does he share my concern that there seems to be a lack of planning, as well as potential skimping on preparing sufficient resources to crew the trains?

Stephen Doughty Portrait Stephen Doughty
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Indeed; I have experienced that, particularly with services departing from Paddington, which should be one of the easiest places to have train crews available, as well as relief train crews if there is a problem.

As a result of all that, GWR has had the third largest increase in complaints rates in the country—behind Northern and Grand Central—with complaints rising in the last quarter. Like Grand Central, a reason for the increased volume of complaints is the quality of the train, as well as delays and cancellations.

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Alex Chalk Portrait Alex Chalk (Cheltenham) (Con)
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The train line between Cheltenham and London is critical—I have likened it in the past to an artery, because it is responsible for nourishing so much of Cheltenham’s prosperity. That has never been truer than it is today, because Cheltenham has exciting prospects with things such as the cyber-park, which will allow start-up businesses in that crucial sector to grow and develop, and will bring prosperity and opportunity to people from all walks of life. However, there is no doubt that the service provided by Great Western Railway is not at the level we need it to be.

Last summer we had a really concerning situation because, as I said to the hon. Member for Cardiff South and Penarth (Stephen Doughty), there were insufficient train crews. When I raised the issue with GWR, it said, “Well, some people are training and so on”, and although that was terribly interesting, it was not a satisfactory explanation. To be fair, GWR recognises that it needs to improve, but even if it does I have a lingering concern about one crucial factor: the cost. Even for somewhere such as Cheltenham, which has a higher per capita income than the national average, the cost of a walk-up ticket is completely prohibitive. Again, it is not a complete answer to say that people must book in advance. If we want an agile economy in which people need to get on a train and go to London, it is not appropriate to say simply that that option is effectively not available to people because of the cost.

What is so invidious is that the cost per mile from Cheltenham to London is so much higher than in other parts of the country. The reasons for that seem opaque and are lost in the mists of time; they are linked to the structure that prevailed at the time of British Rail. That has got to change, particularly because although the cost per mile from Cheltenham is so much higher than it is elsewhere, the speed is slower. For example, a train journey from Exeter to London—200 miles—is quicker than one from Cheltenham to London, which is less than half the distance.

It is important to place this issue in a wider context, because it has not been all bad. GWR has been responsible for significant investment in Cheltenham Spa station, and we look forward to the opening of the car park in due course, with more than 80 additional spaces and an improved forecourt. The Swindon to Kemble line has been redoubled, and we look forward to sub-two-hour trains to London later this year. Those important service improvements cannot come soon enough, however, because the risk is of a modal shift away from trains as my constituents decide that instead of getting on a train at Cheltenham they will drive to Swindon, Kingham, Kemble or elsewhere—the point about pollution and so on has already been made.

Where does that lead us in terms of public policy? The drumbeat for renationalisation is growing louder—one can hear that from those on the Opposition Benches—but I respectfully counsel against it, because it is not the solution that a lot of people hope it might be. First, it would be extremely expensive to renationalise the railways, and that would mean taking precious resources away from other sectors. Secondly, my real concern is that were the railways to be nationalised, if it came to a bidding war between the NHS and railways, the NHS would win. If it came to a bidding war between schools and railways, schools would win. If it came to a bidding war with any other precious public service, railways would be likely to come off second best.

I am just about old enough to remember the state of British Rail. It was atrocious: old, dirty, clunky rolling stock, and unspeakably awful food. Although I have some sympathy with the idea of renationalisation—there can be limits to privatisation, particularly when dealing with public goods that have a natural monopoly—we should be careful what we wish for.

Matt Rodda Portrait Matt Rodda (Reading East) (Lab)
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The hon. Gentleman makes interesting points about public spending. Does he agree that the current Government are already making a significant investment in High Speed 2? Surely, any Government would balance their investments and spending on a number of different projects. In addition, the current franchise system is hugely costly and is using large amounts of public money very badly.

Alex Chalk Portrait Alex Chalk
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It is true that the system uses public money, but it comes down to how much public money, and what is the proper balance. I simply make the point that although it is easy in the abstract to suggest that if the railways come into public ownership, fares will come down and quality will go up, I suspect that is unlikely in reality. If I am looking for additional funding for my local oncology centre, compared with more rolling stock, I think I know which one I and many colleagues would prioritise.

If train operating companies want to enjoy public support—they do not enjoy enough public support because they are the author of their own misfortune in many circumstances—they must raise their game in two particulars. First, they must be more reliable, and secondly they must be more competitive in their pricing structure. Otherwise, the people of Cheltenham, who I represent, will feel that they are getting a raw deal. Public services must be for the people, and GWR needs to raise its game.

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Rachael Maskell Portrait Rachael Maskell
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What the Welsh Government have been able to demonstrate is that rail is not an entity in itself, but is fully integrated into the economy and connected with other transport routes. I thank my hon. Friend for bringing that point into the debate.

The most powerful arguments I have heard in this debate have come from the voices of passengers, which hon. Members have reflected. We have heard their pain and their stories of woe. The fact that passengers across this line are paying 20% more but getting a worse service is frankly unacceptable.

We have heard about innovations that are needed to upgrade stations and making them safe. My hon. Friends the Members for Ogmore (Chris Elmore) and for Bristol East (Kerry McCarthy) both highlighted how disabled people need a proper service, not only at stations, but on the trains themselves, which has not been delivered even with the new rolling stock. There is a catalogue of problems that must be resolved. My hon. Friend the Member for Plymouth, Sutton and Devonport (Luke Pollard) gave the most powerful of speeches in making the case that, five years on from seeing the railway at Dawlish washed into the sea, the Government have yet to drive forward a programme to protect the whole of that vital south-west economy. We must see peninsula rail moving forward at pace now to protect the economy there.

Of course, we have the route itself, which is crying out for focus and proper governance. We have heard how the delay repay 15 system has not been introduced in an expedient way, yet this is a line that has had three direct awards, which will shortly total nine years, when it only had a franchise for seven years. Surely the Government can set the terms to protect the interests of passengers, but they have failed to do so. I would like more accountability from the Minister when he responds on why they keep issuing direct awards, which clearly shows that the franchise system is completely broken and does not enable the state to demonstrate that it can run the railways far more efficiently.

Alex Chalk Portrait Alex Chalk
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Will the hon. Lady give way?

Rachael Maskell Portrait Rachael Maskell
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I will not, because of time. As frustrations have grown, we have seen satisfaction plummet; we have heard how vexed and unsatisfied passengers are with the poor service on that line.

It was last year’s timetable fiasco that really brought all those issues into focus. Staff themselves, as some hon. Members have highlighted today, have been professional and incredibly patient in their dealings with the public, and have received a quantum of abuse in trying to keep people safe through this time. It is not their fault, after all, that the Secretary of State meddled in the planned timetabling process by changing his mind over the projects he was cutting. It is not their fault that the private companies could not get their act together to have the trains delivered and up and running on time, with proper testing of the system. It was the Secretary of State who failed to hold the companies to account. It is not the staff’s fault that Network Rail, which is accountable to—guess who?—the Secretary of State, failed to deliver the infrastructure on time.

A40 in West Oxfordshire: Congestion

Alex Chalk Excerpts
Tuesday 8th January 2019

(5 years, 3 months ago)

Commons Chamber
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Robert Courts Portrait Robert Courts
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I thank the hon. Gentleman for that excellent intervention. He refers to two points to which I would like to draw attention. The life of rural communities is absolutely essential. I referred to the village in which I live, Bladon. It is a small village. It is one example of many villages which find that they are clogged up in turn because the A40 is so difficult.

Alex Chalk Portrait Alex Chalk (Cheltenham) (Con)
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Not just villages, but towns such as Cheltenham beyond Witney are affected. The situation at the moment is that the A40 is like a furred up artery. If we could just unclog that artery, it would be good for jobs, businesses, social mobility and all the things we want to see in Gloucestershire as well as Oxfordshire. Does my hon. Friend agree?

Robert Courts Portrait Robert Courts
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I could not agree more and I am very grateful to my hon. Friend for making that point. I tend to talk about the A40 in terms of Witney and West Oxfordshire, but we must not forget that the effects of the congestion on the road spill over into Gloucestershire and his constituency. [Interruption.] And of course I am reminded, from a sedentary position by my hon. Friend the Member for Banbury (Victoria Prentis), that it affects the whole of Oxfordshire, not just West Oxfordshire.

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Robert Courts Portrait Robert Courts
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That is absolutely true. The focus tends to be on the Witney area, because that is where the A40 approaches the A44 and then joins the strategic network, but let us not forget the serious impact on communities further afield, such as the rural areas mentioned by the hon. Member for Strangford. I am thinking of the rest of Oxfordshire, of Cheltenham, and of rural communities elsewhere in Gloucestershire. This is a narrowing road that happens to reach a pinch point in my constituency, but affects the far wider areas represented by Members who have come to contribute to tonight’s debate.

Alex Chalk Portrait Alex Chalk
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I have spoken to representatives of businesses in Eagle Tower, in the centre of Cheltenham, which are struggling to recruit people because they cannot persuade them to travel from London. Whether the company is GE Aviation, Spirax-Sarco or GCHQ, better communications mean better recruitment and are better for the local economy.

Robert Courts Portrait Robert Courts
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My hon. Friend is absolutely right, and that problem affects not just Cheltenham but my constituency. It affects Witney, Eynsham, Carterton and the Royal Air Force, which is also struggling to recruit people. Business is suffering, but so are our essential public services. I mentioned that only briefly at the beginning of my speech, but it is a major issue. Recruitment difficulties in the NHS and teaching are also affected by people’s inability to travel quickly in and out of the area where they need to be.

Rail Fares: Cheltenham and London

Alex Chalk Excerpts
Wednesday 19th December 2018

(5 years, 4 months ago)

Commons Chamber
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Alex Chalk Portrait Alex Chalk (Cheltenham) (Con)
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It is a pleasure to see you in the Chair, Madam Deputy Speaker.

I have called this debate on rail fares between Cheltenham and London because when it comes to rail travel, my constituents are not being treated fairly. Local people, simply because they live where I and my constituents do, are being charged more per mile for their train travel to London than others who live a similar distance from the capital. It is an injustice that stretches back decades and it needs to be put right.

Cheltenham is around 90 miles or so from London. Because Dr Beeching, in his wisdom, pulled up the more direct line through Andoversford, the train line itself is a little lengthier because it travels a more circuitous route, but the central point remains: it is not terribly far from London at all. It is a substantial town, with more than 110,000 people. It is larger than Basingstoke, Chelmsford, Maidstone and Worcester. It is the home of GCHQ and GE Aviation—certainly if we include Bishops Cleeve. It is the home of Spirax-Sarco and Superdry. It hosts the world famous Cheltenham jump racing festival, the renowned literature, jazz, and science festivals, and much more besides. When it comes to train use, Cheltenham is by far the busiest station in Gloucestershire. Data from the Office of Rail Regulation shows that 2.35 million passengers used the station in 2016-17—almost as many as all the other stations on the route combined, and twice as many as 10 years ago.

Despite all that, there is a glaring discrepancy when it comes to the price of tickets, and season tickets in particular. Take, for example, Kingham to London, which is admittedly a shorter distance, but not much shorter. The season ticket price is £7,124. What about Bath Spa to London, which is further than Cheltenham to London? The season ticket price is £8,064. A season ticket for Bristol Temple Meads to London is £8,244, and a season ticket for Worcester to London is £8,400, yet a season ticket for Cheltenham to London Paddington is £10,344. To make the point absolutely clear: were someone to go way further than Cheltenham, down to Exeter, which is a similarly sized town, the distance from London is 202 miles, which is approximately double the distance to Cheltenham. The season ticket for Exeter to London is £9,788. In other words, it is around £500 cheaper than the Cheltenham season ticket. How can that possibly be fair?

What rubs salt into the wounds is that the service is not as good as it should be. First, there is a systemic problem: it is too slow overall. I see the hon. Member for Stroud (Dr Drew) nodding his head in agreement. Let me put that into some kind of perspective: the journey from Bristol to London takes around an hour and 43 minutes, and from Exeter, which as I said is around double the distance, it takes two hours and two minutes to get to London, yet the shortest journey from Cheltenham takes longer still than that. On average, it takes two hours and 16 minutes.

The first problem, then, is that it is too slow, which is galling because there was a time when Cheltenham had the fastest train service anywhere in the country—the Cheltenham Flyer was the fastest train in the land. The second problem is that there are too many delays and cancellations. On Saturday 4 August, five services were cancelled because a train manager was not available.

What is the impact of all this? Put bluntly, the impact in my constituency is modal shift, which is a technical way of saying that people get in their cars. So many of my constituents drive to Kemble, Kingham, Swindon, Oxford, or even all the way to London. My constituents express frustration at the fact that they are forced to do so and at the fact that that has an unhelpful impact on the environment and air quality. Other concerns are expressed about businesses being restricted from developing and expanding in the way that they otherwise might have done. I posted on social media about this issue, and businesses in Eagle Tower in the centre of Cheltenham said that they are unable to recruit in the way that they might otherwise do or to expand their businesses.

This issue is also important because Cheltenham has plans for a cyber-park, which I have been passionate about since 2014 and which has made really crucial steps forward in recent months. The Department for Transport has committed £22 million in transport infrastructure improvements. The Department for International Trade is promoting the park at international conferences and so on. The park will succeed, but its ability to do so will be immeasurably enhanced if we can have an affordable and good rail connection with London.

David Drew Portrait Dr David Drew (Stroud) (Lab/Co-op)
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I thank the hon. Gentleman for giving way. Considering that we are talking about the Stroud Valleys line, which goes to Cheltenham, I have a vested interest in this matter. On fares, when I had to travel to Gloucester last week, I found to my shock that it cost an extra £10 either way. That may well be what happens from where I live in Stonehouse, and yet that is exactly the same cost of just getting a train from Stonehouse to London. In other words, the company is charging a person the same when they are on the train as they would do if they were getting on the train for the shorter journey. That cannot be right or fair. Effectively, it is charging the punter more than it should. Does he agree?

Alex Chalk Portrait Alex Chalk
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I do agree, yes. There are two aspects to the pricing perversity that that helpful intervention discloses. First, the line itself is more expensive than similar lines. Secondly, there can be perversities within the line itself, which is an inequity for local people. In the interests of balance, it is important to note that there are some really important and good things taking place. Nationally, I commend the fact that the Government are continuing with an ambitious programme of investment. That is £48 billion over the next five years. The DFT is in the process of moving from Delay Repay 30 to Delay Repay 15, which is more justice for consumers. In Gloucestershire, the redoubling of the Kemble to Swindon line is a hugely positive infrastructure improvement. There are impending timetable changes and new faster trains, so we will be getting a direct hourly sub-two hour service to London in 2019. That is all great. It is also great that Cheltenham is getting an additional 70 surface car parking spaces, taking capacity to at least 320 spaces. That is investment worth £700,000 going into Cheltenham, so that is also good news, and there is further investment to come. I am not standing here and saying that, somehow, we should turn the clock back. I do not believe in renationalisation. I am just about old enough to remember British Rail, and it was absolutely terrible. The fact is that, since privatisation, a huge amount of money has been invested in our railways and passenger numbers have soared.

It is not enough to say that renationalisation would be a terrible backward step. It is not enough to say that it would cost the taxpayer, not save them money. It is true that it would reduce investment, not increase it, and innovation would be stifled, not encouraged and so on. However, simply rejecting renationalisation is not enough. The market needs to be forced to act fairly. Private companies have a responsibility to the public, and a particular responsibility where the public is a captive market, and cannot take their custom elsewhere, as is the case on the railways. The provider must operate within a framework that ensures that that monopoly position is not abused and customers are treated fairly. It is fair to say that, in these circumstances, it is not acting as it should. In a debate on 15 October—so, not very long ago—the then rail Minister referred to “historical anomalies”. He also stated:

“No one could defend the current fares system”.—[Official Report, 15 October 2018; Vol. 647, c. 476.]

He was absolutely right, and I really welcomed that frank admission. One issue is that monopoly power on certain lines distorts pricing. For example, if we look at Grantham, which is also around 100 miles from London, we see that there are three franchises competing to provide a service. A season ticket from Grantham is around £3,000 a year less. Equally, if we look at Crewe, where there are two operators, it is only £500 a year more, despite being 170 miles from London, so a considerable distance further. The issue of whether there is a single operator or more providers can make a big difference as well.

This issue must be fixed. I am aware that the Government have commissioned the Rail Delivery Group’s “Easier Fares” consultation, and are considering that. I am also aware that, on 11 October, the Secretary of State launched a “root and branch review of the rail industry”. In his words, he said:

“It is vital that this review leaves no stone unturned and makes bold recommendations for the future.”

I warmly welcome that, but one of those stones needs to be marked “Cheltenham”. We are not asking for special treatment, but we are asking for fair treatment. For the sake of my constituents and the future of the town I represent, that cannot come soon enough.

Andrew Jones Portrait The Parliamentary Under-Secretary of State for Transport (Andrew Jones)
- Hansard - - - Excerpts

I congratulate my hon. Friend on securing this debate. He is a great champion for Cheltenham, and all things in and around it, as we have just heard. He is most certainly a great campaigner on rail issues for Cheltenham, as I have found very early in my time in this role, and as my predecessors are all too aware.

My hon. Friend made reference to the fact that passenger numbers in Cheltenham have grown recently. Indeed, in the last 20 years and a bit more, passenger numbers have doubled on our rail network; it is a fantastic thing. The Government and franchise train operators have made significant investment in services and the network to cope with the challenge of this significant increase in use. It is also fair to say that there are many issues to resolve, one of which is fares and value for money. I recognise the concerns expressed by my hon. Friend regarding the fares between Cheltenham and London, as well as those raised by passengers around the whole wider issue of rail fares.

I should just explain where we are on this matter and put the issue into context. Fare revenue is vital in the day-to-day running of our railway operations and the massive upgrade programme to which my hon. Friend referred and which is taking place all around the country. Of course, that is all focused on benefiting passengers. We know that any increase in rail fares may affect the budgets of working people and their families, and we want passengers to know that they are getting value for money. As a Government, we want to help people to keep more of their own money, which is why we have increased the personal allowance and frozen fuel duty and so on. In the world of rail, that means that, since 2014, the Government have ensured that increases to regulated rail fares have been restricted to inflation only. Indeed, 2019 will be the sixth year running in which fare increases have been capped in this way.

I am aware that it might sometimes seem that the fares offered for sale on our railways are always expensive, but there are many very cheap fares offered for travel, especially if people are able to book in advance. For example, it is possible to purchase an advance standard single fare from Cheltenham Spa to London from as little as £14.50. We want to continue to ensure that passengers feel the benefits of fare availability that suits them, and we want them to have access to affordable fares. That is why we are exploring how to link fare increases to the more commonly used consumer prices index measure of inflation in the future. At the moment, it is linked with the retail prices index. To be sustainable, income and costs to the rail industry have to change in parallel. Linking fare increases to the CPI without parallel changes in the cost base would simply mean higher costs to taxpayers year on year. The Secretary of State would like to work together with the rail industry, the Office of Rail and Road, the regulator, the unions and the Rail Delivery Group to ensure that the CPI, not the RPI, is used as the basis for industry staff cost deals in the future.

Alex Chalk Portrait Alex Chalk
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I am very grateful to the Minister for his helpful response. Does he agree that the review also needs to consider structural discrepancies? Although I take the point about restricting the rate of increase, if in fact that does not address the underlying structural discrepancy, the perversity and unfairness remain. Does he therefore agree that this needs to be looked at in the round?

Andrew Jones Portrait Andrew Jones
- Hansard - - - Excerpts

Basically, yes I do; indeed, I am coming to that point.

What I am trying to get across is that, as an industry as a whole—with industry colleagues—we can keep the sector as efficient as possible, continue the income through the farebox and plough that back in to make our rail network even better, with investment in infrastructure and rolling stock.

As my hon. Friend highlighted, my predecessor did indeed acknowledge that the fare system is in need of thorough reform, and my priorities are no different at all. I am a regular rail user, of course, and I understand that there can be anomalies in the fare system that can feel unfair to passengers, and we must explore changes to remedy this situation. There can be perverse pricing on our network and we are going to tackle that.

The Williams rail review that was announced by the Government earlier this year will take a root-and-branch look at the system, including considering how the railway can offer good value fares for passengers while keeping costs down for taxpayers. The RDG and Transport Focus recently ran the Easier Fares consultation, which closed in September, where they asked passengers to give their thoughts on how fares could be improved. My Department is looking forward to seeing the results. I met the RDG yesterday and it told me that it would publish the results of its consultation early next year. Both the Williams review and the results of the Easier Fares consultation will support discussions on reforming the fares system to better deliver improvements for passengers. I want to see simpler, more easily understood fares. As my hon. Friend knows, we committed in our manifesto to review rail ticketing and to remove the complexity and perversity that we see in pricing. This is indeed the root-and-branch review that he mentioned.

Together we can help to improve the service that passengers receive on our trains. We are working closely with the industry to deliver a better offer to passengers who travel on fewer than five days per week. Work patterns are changing—we can recognise that and see it all around us—and rail ticketing has to become more flexible to allow part-time workers access to more cost-efficient fares. We will seek proposals from Great Western Railway, as part of its direct award, on how it might be possible to introduce more flexible products while of course ensuring that they are affordable and represent value for money for taxpayers too. This has not yet had quite as much publicity as it might. As well as working with industry to improve the quality of the rolling stock and the infrastructure, we want the industry to introduce initiatives that both benefit passengers and bring about growth in rail travel.

The RDG has announced the introduction of a 26 to 30-year-olds’ railcard that will reduce the cost of rail travel for young people by up to a third on certain tickets. This will be rolled out nationally from 2 January. We welcome this initiative—I am sure that everyone would—as we believe that it will improve opportunities for young people through making travel more affordable and increase social mobility. My hon. Friend mentioned his worry that the cost of rail travel can be discouraging for economic activity in terms of people visiting his constituency. I hope that the introduction of this railcard, as announced by the industry and the Chancellor, will help them and be welcomed by my hon. Friend and others.

Cheltenham Spa is a fantastic place; I know it very well, actually. It has regular services to and from Birmingham, Bristol and London, with services operated by Great Western Railway and CrossCountry. To support improvements to the amenities of the station itself, a masterplan for the station has been promoted, with the local authority playing a leading role. My hon. Friend mentioned increased car parking. Additional car parking is a key element within the planned package of improvements, with a new multi-storey car park planned.[Official Report, 8 January 2019, Vol. 652, c. 4MC.] These improvements are strongly supported by Great Western Railway. They also include easier pedestrian access, extra bicycle storage, and a more user-friendly bus interchange. The improvements will accommodate growing demand, particularly once the improved London services are introduced using brand new Intercity Express trains. There is a significant amount of investment to make changes to benefit his constituents.

One point that is raised repeatedly by colleagues is work that is taking place across the network to make it more accessible. We have a Victorian infrastructure, of course, and successive Governments have, over many years, run a programme called Access for All that is about making stations more accessible for people who may struggle with mobility. Everybody benefits from that, because it could just be about managing luggage, having an easier route, or travelling with little ones in pushchairs. Lots of people will benefit. We are continuing that work. There is a £300 million budget for the expansion of Access for All in control period 6, which starts next year.

Design work is currently taking place to create a new, accessible route to Cheltenham Spa station under that programme. Work to begin installing the new accessible route is planned to start next autumn and will include the installation of lifts to all platforms, to help passengers gain access to their platforms more easily. That is very positive news, and I hope it will be recognised and welcomed in Cheltenham.

My hon. Friend referenced the new rolling stock. GWR has supported the station improvements and introduced new Intercity Express trains on its network, supporting better services for passengers. It is replacing old British Rail-era trains. That seems a long time ago; my hon. Friend said he could just about remember it, but I remember it clearly. Those new bi-mode trains are a vast improvement. They are cleaner running, faster, more spacious, offer a significantly more pleasant experience and are more efficient to run. The new trains are already entering service, and each one delivers more capacity, with 76 more seats available for passengers. However, the work does not cease there. Once those trains are introduced, passengers will continue to see improved journey times and greater reliability. Maintaining operators’ ability to invest in our railways is a crucial part of the ongoing development of both the Cheltenham to London route and Cheltenham Spa station.

I thank my hon. Friend and the hon. Member for Stroud (Dr Drew) for their contributions to the debate. We will continue to look at ways of both improving services and keeping the cost to passengers as low as possible, while maintaining value for money for taxpayers. The case for reform is strong—we have recognised that and agree with it. The question is how we take it forward.

While specific details of the Williams review are expected next year, many of the concerns shared by my hon. Friend and his constituents will be addressed by that review. The review has launched its call for evidence, which is an important step in its initial phase, and the review team hopes to hear from a wide range of stakeholders across the country. I encourage constituents to get in touch with the team and make any contributions that they feel are relevant. I will ensure that my hon. Friend’s speech is sent to Mr Williams for consideration.

Next year, we will see more improvements to the service that passengers from Cheltenham receive—new, faster trains with a greater capacity continuing to be introduced, improvements to Cheltenham Spa station and further development of the station’s accessibility under the Access for All programme.

We will also have a longer-term review of our rail industry, which has been such a success over the last 20 years. It has gone from nationalisation and decline to privatisation, with 1 billion more passenger journeys a year—a huge growth—but is it structured as well as it should be for the next phase of its life? That is the question that Mr Williams has to answer. It is a great opportunity to ask broader questions, including about the Department’s role in the industry. I will ensure that my hon. Friend’s points are considered and that the rail review includes fares, to make them simpler and nimbler and eliminate any perversity, so that we encourage more people on to our railways, including those from Cheltenham.

Question put and agreed to.

Road Restructuring: Oxfordshire

Alex Chalk Excerpts
Wednesday 18th July 2018

(5 years, 9 months ago)

Commons Chamber
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Robert Courts Portrait Robert Courts
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I am grateful to the hon. Gentleman for making that excellent point and for joining me on that trip to RAF Brize Norton, which I like to speak about in the House as often as I can. This matter is important for tourism, absolutely, because it forms part of the offer and image that we project of our local area, but it is equally important for businesses, which are moving goods around and will wear the costs of vehicle repairs, and for private individuals.

The scale of the issue and of people’s concerns should not be underestimated. The issue is not specific to Oxfordshire, but it is more keenly felt because of the many miles of rural roads, which make maintenance a real challenge. The road network in Oxfordshire is 2,994 miles long—15% is A roads, 10% is B roads and 75% are C or unclassified roads, which are the small rural lanes to which the hon. Member for Strangford (Jim Shannon) referred. A high proportion of C or U roads are often not built to the modern standards that we would expect were the roads to be built now. They are essentially old cart tracks through the rural county which have had tarmac added to them over the decades, and rural locations are hard for maintenance teams to reach to make repairs. That is a particular problem when temperatures drop so low during the winter months.

Alex Chalk Portrait Alex Chalk (Cheltenham) (Con)
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Does my hon. Friend agree that what frustrates people across the country, and certainly in Cheltenham, is that contractors are often getting away with poor-quality repairs? If they just did the job properly in the first place, the repair would have a chance of holding and would not leak at the first sign of frost.

Robert Courts Portrait Robert Courts
- Hansard - - - Excerpts

My hon. Friend makes a superb point. I have mentioned the concerns raised when I knock on people’s doors, and people express that frustration that potholes come back a few months after being repaired. They just wish it was done properly so that did not happen. The problem is particularly acute around street works, metalwork and so on. The Government are consulting on moves to try to remove metalwork from the roads and to put it on verges and footpaths, where it is safe to do so, as a way of making sure that the phenomenon my hon. Friend rightly mentions is ameliorated. We have to find a way to ensure that repairs remain sound not for a few weeks or months but for years to come.

Robert Courts Portrait Robert Courts
- Hansard - - - Excerpts

My hon. Friend makes an excellent point, and the Government have certainly been giving more money to local authorities, which are responsible for repairing the roads—I am sure the Minister will refer to that. I have provided some details of the scale of the problem, which perhaps has a great deal to do with it. We have a very rural area, and it is very adversely affected by weather.

One point that I have not yet covered, which relates to that raised by my hon. Friend the Member for Cheltenham (Alex Chalk), is the impact of development and of very heavy lorries. When a housing estate is built, heavy materials such as breeze blocks, girders, bricks and wood have to be brought in on small, narrow roads. There is a lot of development going on in Oxfordshire, which is a growing and economically busy area. That really adds to the scale of the challenge. The bigger the roads, the bigger the trucks and the greater the damage.

I briefly mentioned the challenge caused by the winter. The snow in December 2017 and further freezes in January and March 2018 have damaged an already fragile network, and it is worth noting that Oxfordshire has a lower proportion of roads assessed as good than the national average, but it also has a lower than average proportion of roads assessed as poor. Although Oxfordshire has a higher than average proportion of roads assessed as fair, fair means five to 15 years of life remaining. That is not a catastrophic state of affairs, but clearly it is an issue that requires a long-term solution.

I am grateful to my hon. Friend the Member for Henley (John Howell) for mentioning the work of Oxfordshire County Council. Of course we would like the council to do more, but I would also like us to recognise the work it has been doing, particularly in recent weeks and months, while drawing the House’s attention to the requirement for further works.

Oxfordshire County Council has 18 crews working on roads in the county, and I understand that is the largest number of crews it has ever used. In the summer it usually has only six crews, so the council is very much aware of the scale of the problem and is working hard to make changes

As my hon. Friend rightly said, Oxfordshire owns two dragon patching machines and shares a third with the highway authority. The machines, which are somewhat dramatically named, use hot tarmac to melt and mend potholes. Rather than just filling the potholes, which means the filler often comes out again, the dragon patchers melt and rework the surface, which is more efficient and lasts longer. Of course, it is much cheaper, too—costing about £22 per defect, compared with £80 per defect using the normal cut-and-fill method. That will help, but it only really helps in rural areas because the surrounding tarmac is melted in the process. That rural area is assisted by dragon patchers. Small crews are able to travel across the county to fix holes more quickly and cheaply and to handle traffic management at the same time. All these steps mean that the council has fixed more than 28,000 defects, of which about 23,000 were potholes, since January 2018. We are talking about potholes, drains and damaged signs.

Alex Chalk Portrait Alex Chalk
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Does my hon. Friend agree that what is so infuriating for residents is seeing one defect repaired but surrounding defects left or areas that we all know are going to crumble in the next frost left unattended? Do we not have to find a more efficient way of fixing holes and the defects around them?

Robert Courts Portrait Robert Courts
- Hansard - - - Excerpts

I am grateful to my hon. Friend for that. I was wondering whether he was going to make that point in his earlier intervention, because this is linked to that. He rightly says that people find it frustrating is when one pothole is done but another a foot away is left because it does not meet the intervention level. We all understand that there has to be an intervention level at which county councils start to undertake work; otherwise, we will be trying to have a bowling green surface and, clearly, it is unreasonable to expect any county council to provide that.

There is a solution, which I will come to shortly. It is why I have entitled this debate “Road Restructuring: Oxfordshire”, as that is what we need to be looking at. Let me give the last of my statistics. In March alone, 5,146 potholes in Oxfordshire were fixed. A lot of work is being done; this is a major task, but a lot is happening as we speak.

I also thank the Minister and the Government for what they have done, as we must not forget that. They have acknowledged the extent of this issue—I have raised it before, and Oxfordshire received an extra £2.9 million in funding from the Department for Transport to repair roads damaged last winter. That included a £1.5 million pothole grant and £1.3 million from the flood resilience fund. I am delighted that, with extraordinary timing—I am grateful to those at the Table Office for having pulled this debate out of the hat when they did—the county council’s cabinet approved just yesterday an extra £10 million for road repairs across Oxfordshire. That will pay for a further 46 miles of surface improvements and 52,000 square metres of patching; this is on top of the £8.5 million already spent on carriageways and footway repairs.

Much as I thank the county council for that, and much as I thank the Government for the money they have given, more needs to be done, and residents of all our constituencies, and certainly those in West Oxfordshire, will be expecting me to push for more. The council has agreed in principle to invest a further £120 million over the next 10 years. That is funded by borrowing, so it will have to manage its finances correctly, although I know and trust that it will be able to do that. I would, however, like to register my concern that that is something the county council is having to look at doing, because, as my hon. Friend the Member for Cheltenham has rightly alluded to, what is happening not just in West Oxfordshire, but across the whole UK, is that the roads fundamentally need restructuring.

We are dealing with the fact that tarmac has been added to roads, which over the years have been patched and repaired. What really needs to happen is the removal of that whole surface layer, and kerbs need to be put in, along with sound, watertight, weight-proof surfaces. I accept that that is easier said than done. I understand that to bring the whole of Oxfordshire’s road network up to an acceptable standard would cost about £250 million, with a further £21 million required to keep that going through resurfacing and £5 million a year needed for regular maintenance work, such as gully cleaning.

We can use modern technology, such as the FixMyStreet app, whereby people can take a photograph of the defect and send it to the county council, which will come to carry out the repair, and people can see the log of the complaint. That is brilliant and I encourage all hon. Members to speak to their constituents to encourage them to use it. However, it does mean that councils’ workloads are dramatically increasing, because each time a defect is reported, someone has to go to look at it. Although this is very efficient, it means a lot more work is required.

I know that others want to get in on this debate, but I just wish to say something about solutions. I would like to reassure the Minister that I am not demanding that he give me a £250 million cheque for Oxfordshire this evening, although if he has got one, I will gladly receive it—I can see that he is checking his pockets as I speak. The road network in Oxfordshire is going to undergo a dramatic transformation in the near future. We have the Oxford to Milton Keynes and Cambridge expressway. We are looking at A40 improvements, which are necessary; the housing infrastructure fund bid has gone in; and the major road network fund is involved in respect of work on the A40 and A420 in the Wantage constituency. All of this, if successful, will bring much needed improvements to the road network and ease congestion. The Minister will know how often I raise the issue of the A40, and it would not be right if I did not mention it again today.

Community Transport

Alex Chalk Excerpts
Thursday 10th May 2018

(5 years, 11 months ago)

Westminster Hall
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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.

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Alex Chalk Portrait Alex Chalk (Cheltenham) (Con)
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It is a pleasure to serve under your chairmanship, Mr Davies. In the short time available, I will make some brief points. Firstly, the implications of these changes for my community in Cheltenham are very significant. The hon. Member for Ealing North (Stephen Pound) just referred to volunteers, and Community Connexions in my constituency has 50. It makes 100,000 passenger journeys a year, with 13,000 passenger trips to day centres and 5,000 trips to health appointments. As one example, we have a fantastic facility near Cheltenham called the Butterfly Garden, which provides education, therapy and recreation for people with disabilities, and the commercial providers simply do not want a contract to serve that fantastic facility.

If I may say so, from this side of the fence, is this not paradigmatic of David Cameron’s big society? It is about using corporate receipts to maximise community benefit. [Interruption.] I knew that would rile up Opposition Members, but it is true. We should be doing everything possible and straining every sinew to support these fantastic organisations.

In my constituency, Community Connexions is now having to consider winding up the organisation because of the cost of getting an operator’s licence—some £26,000. It does not know whether its application to get a licence will then be challenged by the Bus and Coach Association or whether commercial operators will pursue loss leaders to try to drive them out of business.

In its briefing for this debate, the Community Transport Association said, quite fairly:

“We understand that this action does not result from policy decision within government, and our sense is that they would rather not be doing this.”

That is fair and right. We have to recognise, as has already been indicated, that the issue derives from an EU regulation from 2009 that came into force in 2011. Therefore, the implication of the Government’s position must be that we have collectively misinterpreted the law during that time, which leads me to think that the law is moot—it is arguable.

The question about what non-commercial purposes means must be a matter for legitimate legal debate. Should it cover the organisation, as has already been intimated, or simply the specific contract? We are a nation of laws and we comply with the law—that is one of the most solemn undertakings of any British Government— but where the law is arguable, there is a duty on those community providers who do so much good in our society and in our constituencies to take up those arguments, to deploy them to the fullest extent and, if necessary, to litigate and test them. It is only where the case is unanswerable that we should be taking the necessary action.

Lord Clarke of Nottingham Portrait Mr Kenneth Clarke
- Hansard - - - Excerpts

Would my hon. Friend agree that it is not unknown for Governments to gold-plate European regulations and that, quite often, that is at the instigation of commercial organisations, which do not have terribly strong objections to costs and burdens being placed on rivals? Does he not think that the Department’s interpretation of this regulation being applied, for example, to non-profit-making organisations with unpaid voluntary drivers, providing services that no commercial operator is actually trying to get, should be seriously questioned by the Minister? Perhaps he should challenge the rather pedantic nature of the legal advice that he has received.

Alex Chalk Portrait Alex Chalk
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As always, my right hon. and learned Friend presents the point extremely powerfully. My concern is that it is not so much about gold-plating the EU regulation as it is about being excessively cautious in its interpretation. There is a role here for the Government to take a robust line. With any litigation there is the risk of failure and I recognise that, but there is an overwhelming public interest and, just as importantly, a powerful and legitimate legal argument for taking this on, and I would urge the Government to do so.

Oral Answers to Questions

Alex Chalk Excerpts
Thursday 1st March 2018

(6 years, 1 month ago)

Commons Chamber
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Jesse Norman Portrait Jesse Norman
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As the hon. Lady says, that is a tragic incident for the family concerned, and one’s heart goes out to them. As I said to the hon. Member for Huddersfield, we continue to look closely at the possibility of setting up such a national body.

Alex Chalk Portrait Alex Chalk (Cheltenham) (Con)
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In the last 15 years, there have been 340 casualties on the notorious A417 near the Air Balloon pub. There have been 148 accidents in the last five years alone. Will my hon. Friend join me in warmly welcoming the landmark of reaching the consultation stage on the shortlisted new roads scheme? Does he agree that, by backing that project, this Government are committed to saving lives on Gloucestershire’s roads?

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

Of course I welcome that. As my hon. Friend will be aware, it has been the product of a great deal of hard work by local campaigners and the Department over a considerable period.

Rail Update

Alex Chalk Excerpts
Monday 5th February 2018

(6 years, 2 months ago)

Commons Chamber
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Chris Grayling Portrait Chris Grayling
- Hansard - - - Excerpts

The right hon. Gentleman is an astute Member of the House, and I have no doubt that he would have bought an advance ticket for a fraction of the sum he mentioned. Really good value is available on the west coast main line, although for those who turn up at the last minute—as, indeed, is the case with airlines and many other forms of transport—there is a higher price to pay. I believe that since the passenger numbers on the west coast main line continue to rise and services continue to be rated good, the current operators must be doing something right.

Alex Chalk Portrait Alex Chalk (Cheltenham) (Con)
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It seems clear that Stagecoach miscalculated, overbid and is now paying a £200 million price. Can anything more be done to avoid private sector companies overbidding and setting themselves up to fail, and can those lessons be learned in time for the GWR extension, which will affect my constituents in Cheltenham?

Chris Grayling Portrait Chris Grayling
- Hansard - - - Excerpts

It is really important that we do so. We have in fact already changed the way the franchising structure works for the most recent franchise. The south-eastern franchise, which is out to tender at the moment, has a different approach to the issue of risk sharing. We have to be careful: on the one hand, we must seek to get best value from the franchises, but on the other hand, we need to make sure that they are resilient. It is a balance, and we have to try to get this right, but we are seeking to improve the balance between the risk to quality and the revenue we receive.