High Speed Rail (West Midlands - Crewe) Bill: Revival

Andy McDonald Excerpts

Carry-over motion & Bill reintroduced & Bill reintroduced: House of Commons & motion to revive Bill: House of Commons
Monday 2nd March 2020 Commons Chamber

[Andy McDonald (Middlesbrough) (Lab)]

I welcome the Minister to his place. The Labour party is supportive of the motion—as can be seen from the massed ranks of the Opposition behind me right now!—because we see HS2 as key to boosting regional economies and reducing climate emissions. It is essential for increasing rail capacity and freeing up other lines for freight use. I rather think that some of the troubles we have had with High Speed 2 might have been avoided had we come up with another name for it, but that is by the by.

Successive Conservative Transport Ministers have shown themselves lacking in competence and unable to oversee the finances and governance of HS2, among other infrastructure projects. In recent years, the Government have presented inaccurate information to both Parliament and the public about the cost of HS2. The public need to have confidence in the project, but sadly the Government have undermined that with their failure to exercise any control over not only costs but redundancy payments. There is real concern that the true costs of the project were known to be much higher than the figures that the Government continually promoted. As the project progresses, it is essential that there is much greater transparency.

In addition, when the contracts for phase 1 were being granted, despite hedge fund managers making a packet out of the inevitable demise of Carillion, this Tory Government crashed on regardless, awarding the doomed organisation a valuable HS2 contract.

[Michael Fabricant (Lichfield) (Con)]

I am curious. The hon. Gentleman says that he does not believe the figures for the cost of HS2 reflect reality. He may well be right. What does he think HS2 will cost?

[Andy McDonald]

We are told that the cost has risen from £57 billion to £80 billion, and rumour has it that it is now more than £100 billion. I am not in a position to make an informed judgment because I am not in possession of the information that Ministers have, but people are understandably concerned about costs increasing at such a rate.

[Sir Bernard Jenkin (Harwich and North Essex) (Con)]

In fact, the Carillion collapse meant that all the Carillion liabilities for the contract were transferred to the two other contractors. Where was the harm in that? Was that not a rather skilfully let triple contract?

[Andy McDonald]

On the contrary, it was one of the most cataclysmic episodes of the HS2 story. When everybody and his dog knew that Carillion was in difficulties, and hedge fund managers were making millions on the demise of Carillion, this Government ploughed on with it, regardless of the information that was in the public domain. It was clear evidence of utter incompetence.

The Oakervee review was correct to say that HS2 must be a fully integrated part of the modern railway system and must extend to the great cities of the north, linking up with Crossrail for the north and on to Scotland, to curtail the demand for domestic flying in this country at the earliest opportunity.

[Bob Seely (Isle of Wight) (Con)]

One issue that many people like me on the south coast have, which I hope Ministers will look at, is that the average speed from London to Portsmouth and Southampton has not changed since the 1920s. At the moment, we are seeing vast amounts of money going into a project of mixed popularity, to put it mildly, while people in Southampton, Portsmouth and my constituency of the Isle of Wight will be struggling with speeds—

[Madam Deputy Speaker (Dame Eleanor Laing)]

Order. We are not talking about the Isle of Wight. We are talking about a procedural motion.

[Andy McDonald]

I take that admonishment, Madam Deputy Speaker, and simply satisfy the hon. Gentleman by saying that the Labour party entered the last general election with a fully costed regional plan that would have served his area adequately.

The dividends in reduced emissions are immense, and I encourage the Government to articulate that argument better at every opportunity. We are concerned that the links to Manchester and Leeds are now under review and could even be downgraded. The Government have repeatedly broken their promises of investment in the north, with the region set to receive just a fraction of the investment to be made in London, and a northern powerhouse simply has to be much more than a slogan.

HS2 must be developed with more sensitivity to local communities and much more sensitivity to the environmental impact, particularly on modern and ancient woodlands across the country.

[David Simmonds (Ruislip, Northwood and Pinner) (Con)]

Will the hon. Gentleman give way on that point?

[Andy McDonald]

I will give way, save that I may incur your wrath, Madam Deputy Speaker.

[David Simmonds]

I have a very specific point on this issue. One of the lessons from my constituency about the first phase of HS2 is that commitments given to this House on earlier phases have simply not been honoured by HS2 Ltd. I would encourage us, and ask the Minister, to consider how we can hold it robustly to account on this second phase to ensure that, when commitments and promises are made to this House about how local communities and individual families will be treated and supported sensitively and they are not honoured, there must be consequences.

[Andy McDonald]

I think the hon. Gentleman makes a very valid point. The issues of governance and communication have to be improved, and I think everybody in the House would agree with that.

On modern and ancient woodlands, I just make the point that the commitment to the speed of this project may have to be reviewed. I think the commitment to going in straight lines at 250 mph has to be taken into consideration. If we look at the TGV in France, the average speed of that high-speed link is 187 mph, and that does not impact on its efficiency.

If the project is to have full public support, the fares on HS2 must be affordable and comparable with the rest of the fare system on the rail network. It has previously been intimated that for HS2 to gain the confidence of the public, it cannot be a premium service. If HS2 is successfully to replace so many long-distance journeys, it has to be an integral part of an affordable and accessible railway.

The Transport Secretary should ensure that the procurement of HS2’s rolling stock is conducted in a way that makes sure the trains will be manufactured in the UK and will benefit the UK supply chain. Could the Minister inform the House of what steps the Secretary of State is going to take to ensure that the delivery of HS2 is closely co-ordinated with Network Rail’s ongoing work programme and the development of Northern Powerhouse Rail?

Given the amount of public money that is to be spent on delivering HS2, it is essential that the Government ensure that HS2 services are run under public ownership, so that British taxpayers can see a return on their investment in supporting the UK economy, rather than in enriching private companies or foreign state-owned companies. Her Majesty’s Opposition are indeed supportive, and we look forward to the progress of the project.