Car Insurance: Young People

Calum Kerr Excerpts

Monday 20th March 2017 Westminster Hall

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

It is a pleasure to serve under your chairmanship, Sir Roger, and to speak in this debate. Members have already made excellent contributions, and I feel like I am stepping into an expert field, given that there are so many people present who work on established Committees that have looked at this issue in detail. I shall focus first on the importance of this issue in rural areas, which has been well covered, and then give a specific example from my own constituency of a fantastic initiative that Governments could learn from.

The rural aspect of this issue is particularly important. As we have heard from most Members, we live in beautiful constituencies. It is good that we have not all tried to claim that ours is the most beautiful, as often happens when we talk about—[Interruption.] There we go—“It’s mine!”; “Mine!”; “I’m Spartacus!” Apologies, Sir Roger, for starting that and for any claims that may follow, but the most beautiful is clearly mine.

The very beauty of the geography presents several challenges. If someone in a rural area gets a job, a training opportunity or whatever positive outcome young people now seek after school, it is more likely to involve travel over a longer distance, and those areas generally struggle when it comes to public transport, so having a car is more of a necessity than ever. With that comes an increased danger. People can come and drive in my beautiful constituency, but good luck in getting up to certain speeds. Young people in particular are getting themselves killed or injured because suddenly there are open roads in front of them. There is a particular threat associated with the beautiful geography we all so enjoy. When it comes to accessing a car at a reasonable price, because of the cost of insurance, more and more people are having to buy very poor quality cars, as all the money goes on insurance. Therefore, when they have an accident, they are more vulnerable than they might have been, had the cost of insurance allowed more of their investment in driving to go into the vehicle rather than to the insurers.

That is the backdrop. The road death and casualty figures are depressing and stark, as is the detail behind them and how many of those impacted are young people who have suddenly learned to pass the test. I remember a scare I had as a young driver, let out for one of the first times in my mum’s Citroën AX, going across the hill road between Innerleithen and Heriot, thinking I could now drive, when of course I was still learning—we are all still learning. I nearly came off at a corner because of my inexperience. I got lucky: it was luck that saved me from being part of a statistic. Young, inexperienced drivers and open roads are a dangerous combination. This is an area where Government must be proactive in seeking solutions. It is great to hear some of the suggestions that have come forward today.

Let me turn to a specific area in my constituency. On Saturday 21 May last year, I was invited to attend a young drivers event at Charterhall near Duns. I went along, as we do—“That looks interesting; yes, I’ll happily go and do that”—and found a phenomenal set-up, where the police, working with local car dealerships and the Institute of Advanced Motorists, were taking out young drivers from the age of 14. I will say a bit more about that, but what drove them to do that was the loss of life: how do we stop young people getting in a car, thinking—as I did—that they can drive and then putting themselves and others at risk? One way is to try to demystify driving to some extent, by starting people younger.

These were young drivers, aged 14 and up, being put in a car with a highly qualified instructor to learn in an off-road environment—it was on private land—on a day’s course. I was so enthused by this, and the next day they said, “How old are your kids, Calum?” and I said, “My eldest, Eleanor, is 14.” “Why don’t you bring her tomorrow?” I thought, “Oh, I don’t know if Eleanor will do that. Is that cool? Her dad’s an MP; it’s quite a daunting thing if you’re 14. She might think, ‘Do I really want to go and try that? I can’t learn until I’m 17 anyway’.” But, fair play, Eleanor said, “I’d love to do that.” We came back and spent the whole Sunday there, and at the end of the day, she drove me—still with the instructor—around this disused road.

We usually get lots of declarations of interest from people who are farmers, and many farmers will know—we are talking about a moveable object on private land—how young or old they were when they first started helping around the farm, but what a fantastic idea: start people experiencing driving early, so that once they are 17 and get their provisional and then sit and pass their test, it is not as big a deal. They do not feel the need to go on a road and hammer it or show off in front of their friends; they have de-risked it.

I saw that project in action, and my daughter Eleanor, who is now 15, experienced it. What a fantastic initiative. Since then I have been working with the key people involved. I want to mention them, first because the Government may want to reach out and have a look at what they are doing, but they also deserve phenomenal credit. Andy McLean, the local area commander for the police in the Scottish borders, is a driving force for it. The police see added benefits, because suddenly they are working with and sitting alongside a young person in a car, not trying to catch them out. Local bobbies on the beat are not quite as prevalent as they once were, so the scheme enables them to build relationships and trust in a different way. However, the programme could not happen without the support of a certain John Cleland. I do know if any hon. Members know John Cleland, but they should google him and look at what a phenomenal driver he was, and still is. He was a British touring car championship winner twice—and he was robbed a third time, as he says; there are fantastic videos on that.

John has put a lot of personal effort and even money into getting the programme up and running, working with the Institute of Advanced Motorists. The next step was to apply for funding through Transport Scotland—there is a devolved powers element involved—and we are now taking that initial piece of work and building it into a broader programme. The Scottish Qualifications Authority is looking at putting together a package for schools, and headteachers in the borders have been approached to ensure that there is time in the curriculum for young people to come and do that. In the months ahead—the next session is in April—young people from across the borders will come again to Charterhall. Volvo is stepping up, with fantastic sponsorship in terms of cars, but the money from Transport Scotland was critical. We are trying to take what is clearly a fantastic idea and put it into something more credible and bigger.

I commend the programme to the Government and hon. Friends and Members, who should look at such a programme, because it is exactly the type of thing that all Members have referenced. How do we make driving safer? If we make it safer, premiums will come down—and, above all, we will save lives, which is what it is all about. I would be happy to provide the Minister with more details and to invite Ministers to visit—the Scottish Transport Minister will be coming to one of the upcoming sessions. If we can make some headway, the scheme can be replicated, and it absolutely will make a difference.

--- Later in debate ---

[Andrew Jones]

Not right now, but who knows where the future will take us? We have some idea, but the detail will still need to be filled in. Opportunities will certainly arise and that may well be one of them.

I want us to get to the point where individuals are assessed according to their risk and where the Government do all we can to de-risk driving and incentivise safe driving. Motor insurers use a wide range of criteria to assess the potential risk associated with a quotation, including the age and driving experience of the applicant, the type of vehicle and where it is kept. The level of premiums is a commercial matter for individual insurers, because they use their own funds to underwrite the policies they issue. It is critical that the insurance industry takes such decisions for itself; the Government should not seek to control that market. However, I confirm to all who signed the petition, and to Mr Parker, its originator, that I am extremely sympathetic to their point. I hope that the explanations of our actions that I have given demonstrate our commitment to making progress.

[Calum Kerr]

I realise that the Minister is probably reaching the end of his speech, but there is one thing that I would like to ask him. I do not doubt the sincerity of his desire to improve the situation. Does he see a role for the Government—I appreciate that it would not be his Department—in introducing more formal qualifications to the school curriculum that could help to improve skills and create the outcome that we all desire?

[Andrew Jones]

It is important to capture people young and to instil road savviness among younger people. The hon. Member for West Aberdeenshire and Kincardine (Stuart Blair Donaldson) mentioned doing his cycling proficiency test at primary school. That scheme is now called Bikeability—we have Bikeability Plus, too—and it is thriving. We have protected its budget throughout this Parliament because it plays a critical role. The education of younger people in this area is important in making progress.

We have had a very positive debate. I am grateful to my hon. Friend the Member for St Austell and Newquay for introducing it, and to all hon. Members for their contributions to our stimulating discussion. I recognise that the cost of car insurance is important to young people. We are tackling fraudulent whiplash claims and making our roads safer for all drivers, including younger drivers. The motor market, including the motor insurance market, is among the most competitive markets in the UK. I trust that the insurers themselves have strong incentives to innovate and to deliver products targeted at younger drivers at a price that they can afford.

We are not at all complacent about this. We will continue to look at what we can do to address the cost of car insurance for younger drivers head on. It is right to tackle the issue by reducing risk. The Government are doing what we can to help our younger people to get about and get on.

Exiting the EU and Transport

Calum Kerr Excerpts

Wednesday 23rd November 2016 Commons Chamber

[Robert Flello]

Thank you, Madam Deputy Speaker. The hon. Member for Kilmarnock and Loudoun (Alan Brown)—[Laughter.] Thank you.

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

It’s not Welsh!

[Robert Flello]

I’m an eighth Welsh actually. But I am conscious of time and do not wish to go down this cul-de-sac any further.

The point about the 88 documents in one is a good one, but there is no reason post-Brexit why we cannot do our utmost to make sure that it is still only one document. That is an important point.

On HS2, I am afraid that I am not such a great fan. [Interruption.] I know it’s hard to be believe. One of my concerns is that, as I understand it, rail freight will not be allowed on the tracks currently being used for HS2. I also have great doubts about whether we can free up enough capacity on other lines, such as the west coast main line. How, for example, will people get from Stoke-on-Trent to Bournemouth? It will be a tortuous journey if they have to take HS2 into London, only to get another train out, rather than using the current service, which will be cut to free up capacity.

There are big issues on road worthiness and tachos, as they relate to the DVSA. It is also important to note that many firms are hiding behind Brexit over things such as fuel costs and blaming Brexit and the dropping pound for keeping the price of fuel artificially high. I urge the Government to take on board the concerns from organisations such as FairFuelUK about the price of fuel.

I will not dwell on the port services directive. It has been dealt with more than is necessary already. On the security of our border, there have been issues around Sangatte at Calais and, more recently, the Jungle at Calais. This problem might well recur in the future so we need to make sure that we have a good relationship with the French, particularly in northern France.

Members have raised a host of other things, but, you will be delighted to know, Madam Deputy Speaker, that I do not wish to repeat them. I do, however, wish to draw attention to the issue of state aid. In the past, we have seen many airlines funded by other European nations flouting state aid rules, paying the penalty but saving their airlines in the meantime. All too often there has been a willingness among some of our European counterparts to flout state aid rules when it suits them, get the desired outcome and then face the consequences, when, frankly, it is irrelevant, because the issue has been resolved.

I will not detain the House any longer. I am keen to hear the Front-Bench responses, and I think there is one more speaker before that. I go back to my opening comments: the logistics industry is not just important or fairly fundamental to the UK; it is the UK. Without the logistics sector, the UK would cease to exist, nothing would happen; the clothes we wear, the food we eat—it would all end. So we have to accept the fact that transport is absolutely at the heart of the UK. We need to make sure that, post-Brexit, we get the best possible deal for the transport sector.

I look forward to hearing what the Minister says in his winding-up speech. I hope that, like me, he takes to his heart the fact that the transport sector—and, for me, logistics in particular—is the UK’s first and foremost industry. We have to make sure that it is protected. Let us get to work on it, taking help from wherever it is offered.

Transport: North-east

Calum Kerr Excerpts

Wednesday 23rd November 2016 Westminster Hall

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

On that bombshell—be careful not to encourage them to do so. It is a pleasure to serve under your chairmanship again, Sir Edward. You have obviously been a naughty boy; you have been sent here many times recently, by the looks of it. [Interruption.] We can see the connotations the Tories take from the phrase “naughty boy”—I don’t know.

I congratulate the hon. Member for Houghton and Sunderland South (Bridget Phillipson) on securing this debate and her colleagues from the north-east on turning up in numbers to support her. They are clearly all concerned and passionate about the issue, and she gave an excellent introduction, which is so important in Westminster Hall debates. Her plea for the north-east to be given the powers that it requires to meet the challenges that she articulated so well cannot have failed to be heard.

The hon. Member for Berwick-upon-Tweed (Mrs Trevelyan) also did well. I see that she now has a friend from the other side of the country, the hon. Member for Carlisle (John Stevenson), so she does not feel quite so isolated. She tried hard and succeeded in making a contribution that was positive about what has been done and at the same time pleaded for much more. I can tell hon. Members that she clearly backs the dualling of the A1, because she gave me a sticker and encouraged me to put it on my car.

The hon. Member for Newcastle upon Tyne Central (Chi Onwurah) makes an excellent contribution to any debate, although I will now be concerned every time I see a No. 1 bus—is it the correct one? Going by his detailed contribution, the hon. Member for North Durham (Mr Jones) is quite clearly an expert on buses. He sparked some interesting thought processes about HS2, and I will deal briefly with the challenge of what exactly to spend our money on.

I am struck that the imbalances between Scotland and England that my party is somewhat guilty of always complaining about also apply very much to the regions of England. Those imbalances, and in particular the London effect, make me question why new infrastructure such as HS2 needed to start in London and could not have started in—

[Tom Blenkinsop]

Will the hon. Gentleman give way?

[Calum Kerr]

Happily, yes.

[Tom Blenkinsop]

As a result of the Chancellor’s announcement today, Scotland will apparently receive an extra £800 million. Does the hon. Gentleman agree that authorities in the north-east should be included in the Barnett formula and get an equivalent sum, which we could use for transport funding?

[Calum Kerr]

I thank the hon. Gentleman for his contribution. I have not given any thought to how money should be allocated. I do not like the phraseology that he uses, but he certainly puts forward an interesting idea. How do we rebalance the economy across England and across the UK? Devolution of power, including spending power, is an important aspect that needs to be considered. As I was saying, if HS2 is indeed so important, why could it not have started in the north of the country? Why could it not be part of redressing the balance between north and south instead of being done in a kind of hub-and-spoke way that reinforces the idea that it is all about London?

I was told that this room would be full of northerners. I do not know whether this makes any difference, but they are all southerners to me. That probably feels like an insult; I assure them that I do not intend it as one. Let me make a couple of points. First, why I am here to sum up, apart from the fact that the third party is asked to sum up in all debates? The reason is, despite being the spokesperson on the Department for Environment, Food and Rural Affairs and on digital, I am from across the border. Interesting interventions were made about how we in the south of Scotland work with the north of England. The more we can collaborate and work together, have a collective voice and look at ways in which we can become more connected, the more we can collectively redress the pull of the south to which I referred.

I will touch on an example that may appeal to the hon. Member for North Durham, which is to reference the longest piece of domestic railway to be constructed in Britain for more than 100 years: the Borders railway from Edinburgh down to Galashiels. It cost £353 million, it was delivered on time and on budget and it is smashing all predictions on passenger numbers. It was predicted to carry 650,000 passengers a year and the figure is now well beyond a million—it hit those passenger targets within six months. I give that as an example not necessarily of an alternative to high-speed rail but of the kind of projects we should consider.

[Mr Kevan Jones]

That is a good example of the sort of project that could deliver for the north-east, not to compete with high-speed rail but to bring rail back to communities in rural Northumberland and parts of County Durham, which would be beneficial to local people.

[Calum Kerr]

I 100% agree. With the fixation on high-speed rail, as the hon. Gentleman rightly said, the danger is that that sucks up too much money and prevents other projects that could deliver greater economic benefit while attacking some of the geographic challenges that hon. Members have mentioned. The Chancellor in his autumn statement today was keen not to mention too many individual projects. Bizarrely, he decided to talk about one country house refurbishment, although it seemed to me that that was more about scoring a narrow political point against the Labour party than anything else, but such is life.

I appreciate that I am going somewhat off-piste, so if the Minister wishes to bat this back to me I will understand, but is there any mention in the autumn statement or elsewhere on what the Government’s position is on extending the Borders railway through to the constituency of the hon. Member for Carlisle? The Scottish Government have a multi-modal study looking at transport across the Scottish borders and a key ingredient in that is extending the Borders railway service from Galashiels to Hawick and through to Newcastleton and Carlisle, which would create an extra link. That is the kind of project that we should be looking at. That is not necessarily to the exclusion of high-speed rail, but I know which project I would pick if I had to pick between the two. If the Minister could give me any kind of response on that, I would be grateful.

My final point is on pathways. The east coast main line remains an important line for us. The Scottish Government are committed to new stations at East Linton and Reston and a new service with new trains. My concern is that sometimes again we fixate on services to London—Edinburgh to London—which exclude local services, and that means that main lines become less viable. At the moment we are looking at a two-hour service, and once things are made irregular their viability and usefulness diminishes. The Government have a key role to play too in looking at all pathways and the balance between national services serving major cities and local services. I close by congratulating the hon. Member for Houghton and Sunderland South again on securing the debate.

Oral Answers to Questions

Calum Kerr Excerpts

Thursday 30th June 2016 Commons Chamber

[The Parliamentary Under-Secretary of State for Transport (Andrew Jones)]

Transport is vital for creating the northern powerhouse, connecting northern regions and supporting jobs, which helps to rebalance the UK economy. Work towards delivering an improved, integrated transport system is well under way. In 2014, we created Transport for the North and we have committed to spending a record £13 billion on transport in the north.

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

T6. Since it was reopened by the Scottish Government last year, the Borders railway has been a remarkable success. In the first six months of its operation, passenger forecasts were exceeded by 22% and the Scottish Government have committed to a feasibility study on restoring the line to its historic route to extend it to Hawick and Carlisle. What dialogue has the Secretary of State had with the new Scottish Transport Minister on the matter and does he support the principle of a new cross-border rail connection?

[Mr McLoughlin]

I have not yet had the chance to meet the new Scottish Transport Minister to discuss this particular issue but there will be opportunities. I look forward to our first meeting on these subjects and I am more than happy to consider any of the points that he makes. The hon. Gentleman rightly makes the point about what happens when new services are provided. Particularly on the railways we often see a greater take-up than planned.