Aviation: Cost of Travel Debate

Full Debate: Read Full Debate
Department: Department for Transport

Aviation: Cost of Travel

Baroness McIntosh of Hudnall Excerpts
Wednesday 7th December 2022

(2 years ago)

Lords Chamber
Read Full debate Read Hansard Text Watch Debate Read Debate Ministerial Extracts
Baroness Vere of Norbiton Portrait Baroness Vere of Norbiton (Con)
- View Speech - Hansard - - - Excerpts

It is the case that there are 17 PSOs in Scotland, and an agreement was reached between the Scottish Government and the UK Government that they would be administrated and paid for by the Scottish Government. Again, the Government are open to any local authority able to set out a business case for a PSO. We will look at that on a strategic and economic basis, and, if it makes sense and stacks up, we would be able to support it.

Baroness McIntosh of Hudnall Portrait Baroness McIntosh of Hudnall (Lab)
- View Speech - Hansard - -

My Lords, I think that some of us may be struggling to understand the Minister’s definition of “competitive”. My understanding of the term in these circumstances is that it is to do with pushing prices down, not pushing them up. It is very hard to understand how she can describe the evidence that the noble Lord, Lord Forsyth, has just put before her as evidence of a competitive market. Could she explain?

Baroness Vere of Norbiton Portrait Baroness Vere of Norbiton (Con)
- View Speech - Hansard - - - Excerpts

Absolutely. In a competitive market, if one chooses to book 24 hours ahead of a particular journey, I should imagine one is going to pay more. However, we also know that costs for the aviation sector are quite high at the moment; fuel costs are particularly high, and they have had to restaff after the pandemic. It is a competitive market because there are many providers operating from many London airports that are able to offer a service.