East Midlands Rail Franchise

Debate between Andrew Jones and Mark Francois

Thursday 11th April 2019 Commons Chamber

[Andrew Jones]

The hon. Gentleman asked a number of questions. Is the franchising system in disarray? Of course it is not. If we look at what has happened to our railways over the past 25 years, we see unprecedented passenger growth. We now have more people travelling on our railways and more services run on our railways, and at a greater level of safety than ever before. The franchising system has been a key ingredient in that delivery. Do I think the franchising system is over? Absolutely not. I think we need to look at how it will evolve in future, and that is what the Williams review is doing. Franchising has helped get the system from A to B, reversing years of decline. We now need to see what system we will have as we take it through to the next stage.

Stagecoach knew that its bid was non-compliant—it acknowledged that to the Department. The hon. Gentleman asked about litigation. The Government are completely confident that the bid was evaluated and decided fairly. It is business as usual in the awarding of a franchise on our rail network. He asked whether the decision on the east coast main line was payback. That question is absolute nonsense. This is an entirely separate matter. The bid was won on merit by the strongest bidder. It offered the best bid, with new trains and more services, including more Sunday services and more early and late services. It was won on merit. If a company chooses to bid non-compliantly, that is its fault.

With regard to passing the costs on to the private sector, that is also nonsense, because these are private sector pension schemes. The rail operating companies have a section of the rail pension scheme. Their trustees will meet the Pensions Regulator to discuss that. Is this a question of the Government seeking to remove responsibility? No, this is a private matter and the trustees will be dealing with that in their own way.

The hon. Gentleman asked whether I have met the trade unions. I have met the National Union of Rail, Maritime and Transport Workers and ASLEF, and on this occasion I have written to them to highlight the award today.

[Mr Mark Francois (Rayleigh and Wickford) (Con)]

Williams said in his recent speech that the franchise system in effect is already broken, and today’s announcement proves it. Abellio is hopeless. The Minister will recall an Adjournment debate he had with a number of MPs a couple of months ago—the business of the House had collapsed early so lots of us piled in. I think six or seven Members from Essex, whose constituents suffer that company every day, got up and told him, one after the other, how utterly useless that company is. We have been waiting for years for new trains from Abellio, yet still they do not turn up. It is Dutch-Japanese owned and it does not give a monkey’s about the passengers. I am sorry, but this is a massive mistake and yet another Grayling cock-up.

[Andrew Jones]

I do not agree with anything my right hon. Friend has just said. That Adjournment debate was very enjoyable; we had many discussions because there were so many interventions. The core of the debate, which was secured by my hon. Friend the Member for Colchester (Will Quince), was about the introduction of the Delay Repay 15 offer for customers, which went live on 1 April and has been widely welcomed by passengers on the line. Indeed, on 1 April, I went to stations in Norfolk, Suffolk and Essex, and I met passengers, the Transport Salaried Staffs Association and the rail operating company, and the arrival of DR15 was widely welcomed. The key thing that people were looking for was the consistent delivery of a timetable, so the requirement to pay any form of compensation would not be necessary. That is, of course, at the heart of the Government’s CP6—control period 6—investment. We are investing £48 billion over the next five years to modernise and upgrade our railway to make sure that we can deliver the network and services that passengers rightly expect. Is Abellio a failing provider? No.

[Mr Francois]

Ask my constituents.

[Andrew Jones]

I have looked at the measures in terms of performance data and customer satisfaction. I recognise that we have had frustrations across our rail network over a number of years and that we had very poor performance last May, but I do not accept that Abellio is a failing performer. It operates 6,000 trains in the UK each day. The service is improving in all areas—[Interruption.] My right hon. Friend the Member for Rayleigh and Wickford (Mr Francois) is doing an awful lot of chuntering using fairly robust language, as he normally does—or as he has taken to doing recently. The point remains that we are delivering a network that is operating at the best that it has operated for a significant number of years. It has turned around decades of under-investment and underperformance. We are now seeing a network carrying more people with a higher level of safety than at any point in British history and this franchise award takes that further.

Delay Repay: Great Eastern Main Line

Debate between Andrew Jones and Mark Francois

Wednesday 30th January 2019 Commons Chamber

[Andrew Jones]

I do not quite accept that. We can see passenger numbers. We can see when performances fall. Since taking this role 10 weeks ago, I have found my inner train spotter, and I now look at the train performance of franchise operators several times a day. So my hon. Friend’s claim that Greater Anglia is among the worst performers in the country is, I am afraid, not correct.

[Mr Mark Francois (Rayleigh and Wickford) (Con)]

I apologise for joining the debate late; my train was late. More seriously, however, I am pleased to see the Essex posse here in strength this evening, including my hon. Friend the Member for Castle Point (Rebecca Harris) sitting on the Treasury Bench as the Whip, who unfortunately therefore takes the vow of omertà but who I am sure is with us in spirit.

The problem on the Southend Victoria line operated by Greater Anglia is long-running engineering works, which have been running for two years. We have had some good news from Network Rail that they will now end in the spring of 2020 rather than May 2021. My constituents welcome that, but all the time they are still paying over £5,000 for a season ticket from Rayleigh when they can barely use the service at weekends because there are so many bus services. I have asked Greater Anglia repeatedly to give at least a small discount to my constituents, basically to say, “We share your pain,” and I wonder whether the Minister would have any sympathy with long-suffering commuters who pay a great deal of money to Greater Anglia for what is basically essentially a glorified bus service.

[Andrew Jones]

I am always keen to see value delivered, and I recognise that passengers have to endure a degree of inconvenience or worse when the industry is working on maintaining the network. I am not sure whether we could go as far as to say that that should be a part of compensation, because we can see looking ahead increased investment. We are investing more in our railways than any Government in British history. We have to try to do this in a way that inconveniences as few people as possible, but at the same time recognise that the benefits will be profound and we are catching up on historical underinvestment. It is fair to say that Governments of all colours have underinvested in our transport infrastructure, but that is not an accusation that can be made against this one.

[Mr Francois]

I thank the Minister for giving way again; I realise that he is tight for time. We have been hearing from Greater Anglia for several years about these new trains, which are going to be the Concorde of the 21st century on rails, with wi-fi and better seats and all the rest of it. However, we can have the best train in the world, but if it is stuck in the depot because the line is closed because engineering works are going on, it is no good to us. I am just trying to convey to the Minister, who is new in the post but I know personally is an excellent Minister—I say that dead straight—the sense of genuine frustration from my constituents that they pay a lot of money for a line that they cannot use for many days of the year, even if the trains will be the best in the world.

[Andrew Jones]

There is no doubt whatsoever that we do sometimes test the patience of constituents who are enduring delays and constant bus replacement services beyond a pleasant and comfortable level, and the constituents of Rayleigh are well represented by my right hon. Friend.

--- Later in debate ---

[Andrew Jones]

I would be delighted. We will get that in the diary rapidly.

Let me give the House a degree of context, because the Government are continuing record levels of spending. The budget for control period 6, which is the next period of rail investment funding starting in April 2019 and running through to 2024, is around £48 billion, the largest in British history. We are delivering the biggest rail modernisation programme in over a century, which means faster journeys, longer trains, longer platforms and more seats for passengers. We use giant numbers in the rail sector, but it comes down to what we are delivering for the rail journeys that our constituents make every day.

I am aware of the renewal work as part of the upgrade, and I recognise that it is not possible to work on the railways without causing some degree of inconvenience, but it is all about improving the reliability of our network. In the past we saw a bias towards enhancements, new services and new infrastructure, rather than maintenance. That will change in control period 6, with a bias back towards maintaining the network to reduce things such as speed restrictions and to make services more reliable by unscrambling some of our rather ancient Victorian infrastructure.

The national rail passenger survey results have been mentioned, and they were published yesterday. Overall satisfaction with Greater Anglia has dropped by eight percentage points, compared with the same period last year, to 73%, and no company would want to go backwards. The most significant falls in satisfaction, compared with last year, are on: punctuality, down 10 percentage points; the helpfulness and attitude of staff, down nine percentage points; and connections with other services, down nine percentage points. That decline in satisfaction is disappointing, and it is for Greater Anglia to work closely with Network Rail to improve its performance and to deliver the service and punctuality its customers expect. I include communication improvements within that, as that has been mentioned by colleagues. I will be holding Greater Anglia to account for delivering it.

The Government set the maximum amount by which regulated fares can rise, and train operators can choose to raise their fares by a lower amount. There is no requirement for rail operators always to raise by the maximum. This year we have capped regulated fare rises in line with inflation for the sixth year running.

[Mr Francois]

I am grateful to the Minister for squeezing me in. He may be aware that Greater Anglia went right to the top of the cap by imposing an increase, from memory, of 3.1%, whereas c2c, which runs the line along the Thames coast, went for only 2.5%, or thereabouts. A lot of commuters on Greater Anglia, who have all the issues that I will not repeat, are particularly put out by the fact that Greater Anglia basically charged the full whack, whereas c2c, which runs one of the most efficient and effective services in the country, felt that it did not need to do so. Does it seem equitable that the people running the better, more punctual service had a lower increase and the people running the worse service went the whole way?

[Andrew Jones]

It is difficult to comment on that, because each individual company sets its own fares. Frankly, I want to see, as we all want to see, people retain more of their own money, which is why, from a broader Government perspective, we have had the increase in the personal allowance and the fuel duty freeze and why, from a rail industry perspective, we are in the sixth year of regulated fares. I want us to have lower fares all round, although I recognise that 98% of the money that comes in via the farebox is automatically reinvested in the network, so the farebox is a critical part of delivering the upgrades that we seek for passengers.

[Mr Francois]

There is a strong rumour among commuters in my constituency that Greater Anglia borrowed the money for the new trains in the City at something like 8% interest. If that is true, given current interest rates, it would be completely financially incompetent, and I can only imagine that Greater Anglia’s finance director was educated at the shadow Home Secretary’s school of mathematics. Is that true?

[Andrew Jones]

I do not know the commercial terms of that particular arrangement. These are private matters. The particular school to which my hon. Friend refers is, I think, mercifully not that full of students.