High-speed Rail Debate

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Thursday 19th December 2013

(10 years, 4 months ago)

Commons Chamber
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Louise Ellman Portrait Mrs Ellman
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It is vital that the costs are actively managed.

Consideration should be given to speeding up delivery, including looking at options from building north to south, as well as northwards from London. Sir David Higgins, the incoming chairman of HS2 Ltd, should address this. Indeed, Sir David has already told the Committee that he will be looking at these issues, and we will be pursuing this further with him.

Concerns have been expressed that funding for the new line will squeeze other transport budgets. This is a serious issue. There is, however, no evidence that this is happening, looking at projected funding allocations, and we would not accept this situation if it arose. Vigilance is required.

Any major investment of this nature taking place over many years inevitably involves risks, but the risks of not going ahead with HS2 outweigh the risks of doing so. Without this investment, the west coast main line will become increasingly overloaded. Commuters will suffer overcrowding and delayed journeys. It would not be possible to provide new services, and the growth of rail freight will be stifled. Governments will be tempted to raise fares to control demand. The opportunity to reshape the economy and boost growth in the north and the midlands will have been lost. As our continuing debates about airport capacity show, once the opportunity to make a bold investment decision for the future has been missed, it may have gone for decades.

Cheryl Gillan Portrait Mrs Cheryl Gillan (Chesham and Amersham) (Con)
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I congratulate the hon. Lady on taking part in this procedure, which is new and must be a little daunting. Perhaps she will forgive me for thinking that I was listening to another Government Minister presenting a report. I find it surprising, after two years, that the Transport Committee, whose role it is to scrutinise the Department for Transport, has produced a 27-page report—eight pages of which list contents, so it is probably a 19-page report—on what is, in effect, the largest infrastructure project in the western world. I hope her Committee will be returning to the subject again and again and asking the right questions.

Why did the Committee take oral evidence only from the supporters of HS2 or paid Government consultants, when there were 29 others who responded, including many of those who expressed criticisms of HS2? If the hon. Lady is so concerned about the control of costs, why is she advising the Government on how to spin their lines on cost by suggesting that they refer to a £28 billion sum, rather than the £50 billion that has been budgeted? If she is aware of the risks, as she said in her statement, can she tell me whether she has read all the Major Projects Authority reports on this project, and if so, can she tell us more about what she plans to do to identify those risks that are still being concealed by the Government?

Lastly, if Sir David Higgins has been asked to find ways of reducing the cost of HS2, and if the hon. Lady’s Committee has asked him to consider building phase 1 and phase 2 concurrently, and incorporating the Heathrow link in phase 1, what examination has she made of the effect of that on the bottom line of this project which—forgive me if I say so—may be pushing the price tag up even further?

John Bercow Portrait Mr Speaker
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I gently remind the House that the latitude that I thought it appropriate to extend to the right hon. Member for Blackburn (Mr Straw) in the previous set of exchanges was exceptional and should not now be mimicked by other right hon. or hon. Members.

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Louise Ellman Portrait Mrs Ellman
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I thank my hon. Friend for his question and thank the Speaker for permitting these important issues to be raised. The Committee questioned KPMG because it had conducted the most recent research on this very specific area. However, the Committee’s reports are based on contributors additional to KPMG.

When we conducted our original major inquiry two years ago, we visited France and Germany to see for ourselves the impact of high-speed rail. It became clear that there are major potential benefits to high-speed rail provided that the local and, in the case of France and Germany, regional authorities take advantage of them and provide the necessary economic development support to make them a reality. That is what I would like to happen here in the UK, and that is what the Select Committee report advocates.

Cheryl Gillan Portrait Mrs Gillan
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rose—

John Bercow Portrait Mr Speaker
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Order. In respect of this new procedure, I said to the House that an hon. Member may expect to be called only once. However, as the House will know, just occasionally hope can trump expectation. I call Mrs Cheryl Gillan.

Cheryl Gillan Portrait Mrs Gillan
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A very happy Christmas to you, Mr Speaker, and to the hon. Member for Liverpool, Riverside (Mrs Ellman), who has dealt with the questions with charm and a great deal of skill. This is merely a point of clarification. In response to my earlier series of questions, the hon. Lady said that she had read the MPA reports on HS2. Can she confirm that that is the case?

Louise Ellman Portrait Mrs Ellman
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I have read the reports put forward on HS2. I have not read reports that have not been disclosed in public.