McNulty Report and West Coast Rail

Bob Ainsworth Excerpts

Thursday 19th May 2011 Commons Chamber

[Mr Hammond]

Yes, of course. The fact that the Great Western franchise will be re-let in 2013 will enable us to bring forward to that date the incorporation of the benefits of McNulty’s work. However, I would re-emphasise that one of Sir Roy’s key conclusions—one that I strongly share—is that our railway is not the same in every area. What is right for the west coast main line might not be right for the East Anglia franchise. What is right for the northern franchise might not be right for the south-eastern franchise. We will consider each franchise individually, and look at different models appropriate to the type of railway involved. We will proceed on that basis, and we will learn as we go.

[Mr Bob Ainsworth (Coventry North East) (Lab)]

The west coast main line has improved dramatically over the years in both capacity and reliability, because of the investment made. However, it is the victim of its own success. Use has risen exponentially and the trains are packed at peak times. Despite what the Secretary of State said about regulated fares, there is a widespread fear that the proposals he has announced will allow substantial increases in off-peak rail travel fares. If that is so, it will not only damage people travelling in off-peak periods, but remove the incentive to plan one’s travel and thus make the crush at peak times even worse. What can he say in response to those fears?

[Mr Hammond]

I can say that they are unfounded. By the way, the right hon. Gentleman made the case for High Speed 2 more eloquently than I could. It will deliver a massive increase in capacity on the west coast corridor and allow much more innovative and flexible services on the west coast main line, which is now operating at—or very close to—capacity. However, there is a serious point about pricing and cliff edges in the pricing system. Anyone who stands at Euston station on a Friday evening will see that nobody wants to board a train at 6.50 pm or 6.55 pm, because that means paying the peak fare. They are all trying to get on the train at 7.2 pm, to the extent that the British Transport police regularly have to deploy to physically keep people off the trains for safety’s sake. That is a barmy pricing system. We have to consider the anomalies of massive cliff edges and try to smooth them out, so that there is less of an incentive not to travel on a particular train. However, overall I would expect such a move to be revenue-neutral across regulated fares; this is about managing the system better, not raising more money.