Midland Main Line Electrification

Baroness Morgan of Cotes Excerpts

Monday 7th November 2016 Commons Chamber

[Nicky Morgan (Loughborough) (Con)]

Thank you very much indeed, Mr Speaker, for granting this Adjournment debate. I thank colleagues from the midlands who are here this evening to support the debate; we have representation here from Leicester, Leicestershire, Northamptonshire, Derbyshire and even as far north as Sheffield.

In politics there is often a sense of déjà vu. Back in April 2012 I led a similar Adjournment debate on proposals to upgrade and electrify the midland main line between Bedford and Sheffield. The line serves the cities of Derby, Leicester, Nottingham and Sheffield, my own constituency of Loughborough, and a number of other growing towns across the east midlands, including Chesterfield, Market Harborough, Corby, Kettering and Wellingborough. Together, those places are home to more than 5 million people and 2.1 million jobs; we believe that they comprise the economic backbone of England.

The east midlands in particular has helped to lead the United Kingdom out of recession, with strong private sector job growth over the past five years. We have huge potential for export-led growth, already accounting for 20% of gross value added. Latest projections from the Office for National Statistics suggest the population of the east midlands will rise by half a million people by 2030 to 5.1 million, which will be the fastest growth outside London and the wider south-east.

The midland main line itself has been a huge success story. As those of us who are frequent travellers on the line know all too well, passenger numbers have increased by 130% in the past 15 years—I can probably say on behalf of colleagues that there are times when it feels like all 130% are on the particular train I have caught from London St Pancras—and a further 30% rise is expected in the next 10 years. Rail freight is also booming, showing a 70% increase since the mid-1990s, but the line has suffered from years of under-investment. It is the only north-south rail route yet to be electrified. It has some of the slowest mainline speeds in the country, meaning that trains are rarely able to go at their top speed.

[Chris Leslie (Nottingham East) (Lab/Co-op)]

I am grateful to the right hon. Lady for securing this vital debate. She points out, correctly, that inter-city connectivity between these crucial areas of growth is so poor that without electrification we cannot legitimately look for a midlands engine, which is, after all, the Government’s supposed priority for the next Budget.

[Nicky Morgan]

The hon. Gentleman is absolutely right. We know from our constituency experiences just how much the east midlands is driving economic recovery in this country. He is right to highlight the importance of transport connectivity to the success of the midlands engine, which we believe can rival the northern powerhouse.

Some of the rolling stock is more than 40 years old, so I was delighted when in July 2012, the then Secretary of State for Transport announced that the upgrade and electrification scheme, which had been promoted by councils, local enterprise partnerships and business groups in the east midlands and south Yorkshire, was to be delivered in full by 2020. Since then, there has been progress on implementation, but not everything has gone according to plan. The pausing of the electrification elements in 2015 resulted in the demobilisation of a high-skilled technical team within Network Rail, which has taken time to reassemble. The pause also had a considerable financial impact on local companies in the supply chain.

[Lilian Greenwood (Nottingham South) (Lab)]

The right hon. Lady makes a compelling case. Does she share my concern that any further delay to electrification would not only break the promises that Ministers made to our region, but further damage our vital east midlands rail industry, which is important to her constituents? Businesses have told me that that will mean less investment, fewer jobs and fewer apprenticeships, and that it could harm their prospects of export growth.

[Nicky Morgan]

The hon. Lady makes an excellent point. As I understand it, the east midlands has the largest cluster of companies that rely on the railways and rolling stock, and other businesses that form part of the supply chain, anywhere in the world. The point is that the debate is not just about one railway line. As she says, it is about economic growth, and the impact on local companies and local jobs.

[Alberto Costa (South Leicestershire) (Con)]

I congratulate my right hon. Friend on bringing the debate to the House. Does she agree with the east midlands chamber of commerce that electrification is vital to the long-term economic needs of constituencies such as Loughborough and South Leicestershire, and those throughout the east midlands? Does she also agree that any further delay will only increase the costs of electrification and reduce the confidence that businesses in Loughborough, South Leicestershire and elsewhere have in Government projects?

[Nicky Morgan]

My hon. Friend makes an excellent point. Hon. Members on both sides of the House will agree that this is about driving economic growth and reflecting the fact that the midlands is an engine for that growth. He is right that the costs of the project go up the longer it takes, which is why Members are so keen for the Government to give the project the full green light so that we can get on with it.

[Several hon. Members rose—]

[Nicky Morgan]

I am very popular. I give way to the hon. Member for Sheffield Central (Paul Blomfield) first.

[Paul Blomfield (Sheffield Central) (Lab)]

I thank the right hon. Lady for giving way to a voice from as far north as Sheffield. She makes a powerful case about the midlands economy, but does she recognise the importance of the electrification of the midland main line to the northern economy? Does she also recognise that, should there be a further delay in that investment, it will be taken as a very bad signal of the Government’s commitment to investment in northern infrastructure and to regenerating the northern economy?

--- Later in debate ---

[Nicky Morgan]

The hon. Gentleman makes an excellent point. He is right that we are talking not only about the midlands, as they might be known, but the impact on the train line to Sheffield and further north. I will talk about HS2 in a moment, but he is right, as we all know from those who journey north from our constituencies, that the electrification project is important for connectivity further north.

[Vernon Coaker (Gedling) (Lab)]

I thank the right hon. Lady for bringing this vital debate to the House. Does she share my concern—my constituents and lots of people along the midland main line share it—that the line is the poor relation of the rail network? If the Government have to find savings for investment in other lines, the midland main line will once again be delayed and have its investment cut. The people in our constituencies will be the losers. The Government need to listen to her and other hon. Members, and get on with doing something about the midland main line.

[Nicky Morgan]

As I said, the midland main line is the only north-south rail route yet to be electrified. In fact, I think it is the only inter-city line that remains to be electrified. It is fair to say that the midlands should not be paying the price for cost overruns on other infrastructure projects around the country.

[Mr Dennis Skinner (Bolsover) (Lab)]

I do not want to tempt the right hon. Lady too much, but does she agree that the electrification of the midland main line is more important than HS2? Go on, have a punt!

[Nicky Morgan]

I have resisted the hon. Gentleman’s blandishments for many years. The point I will come on to in a moment is that the schemes go together. There are strong feelings about HS2, in the midlands and elsewhere, but both projects need to be delivered.

[Mr Skinner]

It costs a lot less.

[Nicky Morgan]

The hon. Gentleman is right to say electrification of the midland main line offers better value, but both are needed for capacity.

[Keith Vaz (Leicester East) (Lab)]

I feel I have to say something on behalf of myself and my hon. Friend the Member for Leicester South (Jonathan Ashworth), because Leicester has not been mentioned so far—[Interruption.] The right hon. Lady did refer to Leicester, but it has not been mentioned during the debate. On behalf of Leicester, may I say that the electrification will provide not just growth but additional jobs? We should also pay tribute to the staff on the railway who work very long hours, sometimes for very low pay. Does the right hon. Lady agree that electrification would increase the number of jobs?

[Nicky Morgan]

I absolutely agree with the right hon. Gentleman. He is right to pay tribute to the staff of East Midlands Trains. We are fortunate to have such a good train operator. I enjoy reading its tweets and how it responds to customers, both the good and the bad. He is right that jobs would be created along the line. It would also enable people who live in the midlands to commute elsewhere to work on a safe and reliable service.

[Mr Clive Betts (Sheffield South East) (Lab)]

May I draw attention to the point that the right hon. Lady made about some trains being 40 years old? The HST trains will have to be replaced in 2020 because they are no longer compliant with disability legislation. If electrification does not get the go-ahead as per the current programme, there will not be a case in 2020 for replacing the old rolling stock with electric-compatible rolling stock. The whole programme could be delayed, effectively for ever.

[Nicky Morgan]

The hon. Gentleman makes a good point. It is important that the Government make a commitment now because of the need to procure new rolling stock.

[Nigel Mills (Amber Valley) (Con)]

I am grateful to my right hon. Friend for giving way—I would have hated to miss out. Perhaps I can take her back to HS2, which I support. Given its strong benefit-cost ratio, does she agree that if the Department or Network Rail are short of money, the electrification scheme has the best return? It should be prioritised, not put to the back of the queue.

[Nicky Morgan]

My hon. Friend makes a good point. He is right to say that the scheme represents very good value. The Minister might want to address the benefit-cost ratio. It is why we midlands MPs, as well as those from further north, feel so strongly that it should not be our area that pays yet again for cost overruns elsewhere in the country.

I mentioned the pausing and how it led to the technical team that Network Rail put together being demobilised. The extended completion date of 2023 is not ideal, but the decision of the previous Secretary of State to press ahead gave certainty to passengers, local communities, businesses and investors. I am reassured that the main upgrade measures remain on track to be delivered by 2019, and by recent public statements from Network Rail that work on electrification is also progressing. The reason for holding this debate is that colleagues in the industry tell me that there is no such thing as a committed transport scheme until it is actually built. A number of local interests have contacted me and other Members to say that another pause, or worse, could be in the offing.

The debate gives the Government the opportunity to set the record straight and confirm support for the whole scheme. The economic, environmental and practical arguments for electrification remain as strong as ever. In addition, I draw the Minister’s attention to the impact that any further delay or uncertainty over the electrification of the midland main line would have.

Rolling stock has already been mentioned. As we have heard, the current fleet of high-speed trains is approaching 40 years old and will have to be replaced by 2020. Currently, there is no clear plan for that. While I understand that the Government’s stated preference is to procure new rolling stock through the forthcoming franchise competition, as the new franchise is not planned to commence until July 2018, it is unclear whether that can be achieved. Without certainty over the electrification process, it will be difficult for the private sector to make that investment, unless the Government specify electric-diesel bi-mode rolling stock.

It has been mentioned that the plan for re-letting the east midlands franchise already falls mid-way through electrification and track upgrades, and that the revised completion for electrification to Sheffield already falls mid-way within the next franchise period. Both of those will present significant challenges for the next operator.

HS2 has been mentioned, too. The east midlands has developed a strong local consensus in support of HS2 and a hub station at Toton. Key to unlocking wider connectivity via HS2 is the ability to run so-called “classic compatible services” via the hub station, which will require an electrified midland main line. HS2 Ltd’s recent proposals for serving Sheffield midland station via Chesterfield will also require an electrified railway.

[Mr Philip Hollobone (Kettering) (Con)]

My right hon. Friend has made a hugely impressive speech and a devastatingly powerful case, uniting both sides of the House. Should not the Minister commit in his response to meeting all of us with the Secretary of State so that we can impress on them how important this issue is to all our constituencies and the fact that we refuse to be left behind again?

[Nicky Morgan]

My hon. Friend has it absolutely right. Yes, the midlands refuses to be left behind on this important infrastructure project. I hope that the Minister will agree to facilitate a meeting with the Secretary of State as well as him, so that we can continue these discussions. I look forward to hearing the Minister confirm that.

We have also talked about the impact on the local supply chain. Any further delay or uncertainty will fundamentally undermine business confidence in the Government’s ability to deliver major investment. We have also heard about the potential impact on apprenticeships. For our residents and constituents, electric trains offer a quieter, smoother and more reliable passenger experience. They have a positive impact on air quality and thus on people’s health, which is becoming a major issue in many areas along the midland main line.

In conclusion, the midland main line is a major driver of local economic growth and a key asset, as we have heard, for the Government’s midlands engine initiative. The upgrade and electrification scheme was conceived as an integrated package. Only by implementing the whole scheme can the benefits to passengers, freight operators and local businesses be delivered in full. It remains vital that the Government deliver the upgrade and electrification scheme in full by 2023 at the latest. I hope that the Minister will acknowledge the concerns of Members and give his commitment to the whole scheme. We heard the invitation of my hon. Friend the Member for Kettering (Mr Hollobone) for the Minister to agree to facilitate a meeting between himself, the Secretary of State and Members present today.