Transport

Chris Loder Excerpts

Thursday 19th May 2022 Commons Chamber

[Sam Tarry]

We stood at the past two elections on a very clear manifesto, which the current leader of the Labour party backed. Our current strategy, which the leader of the Labour party backs, states very clearly that we back it. It is not us who have proposed that HS2 should be cut; it is the Government who have implemented that cut to the eastern leg.

The hon. Gentleman does not have to take my word for it. Tory councils have joined the backlash against what the Prime Minister has done over his pathetic bus funding plan. Conservative Don Mackenzie of North Yorkshire County Council said:

“We knew the Bus Back Better budget had been severely curtailed, but I expected to get some money, not nothing at all, so I’m very disappointed.”

In Shropshire, the Conservative cabinet member for transport said she was “devastated”, adding:

“We are at a complete loss as to why we have been completely overlooked.”

It is a sad and sorry tale that so many Conservative councils across the country are being let down by their own Government.

The sad truth is that, for too long the Tory party has overlooked buses. Some 5,000 services have been lost since they came to power—a staggering quarter of all bus routes in the entire United Kingdom. Far from a bus transformation, many will continue to see a managed decline. The underfunding by the Government has become so severe that a recent report by the former UN special rapporteur Professor Philip Alston highlighted a broken and fragmented system, with skyrocketing fares, plummeting service standards and disappearing routes depriving bus users of an essential public service. The report even went as far as to say that we are failing in our fundamental human rights obligations by allowing this essential service to deteriorate so severely.

[Chris Loder (West Dorset) (Con)]

I thank the hon. Gentleman very much for giving way—I do appreciate it. Does he agree that some of the issues he highlights, which are affecting councils across the country, are the result of continual multibillion-pound settlements having to be directed to Transport for London to bail it out because of the Labour Mayor’s previous poor decision making?

[Sam Tarry]

My former colleague on the Transport Committee knows that that is a very scurrilous question. The money spent in London supports tens of thousands—and as many as 50,000—jobs outside the capital. For every pound spent in London, over 50p is then spent outside London, so every time money is spent in London, it benefits the wider economy.

[Chris Loder]

Even during the pandemic, over 18 months —this was even on the TfL website—there was an “extraordinary” funding settlement of £4 billion to bail out TfL because of some of the poor decisions made by the Mayor of London, so I hope the hon. Gentleman will recognise that things are not necessarily as clear as he suggests.

[Sam Tarry]

The reality is that the problematic, poor decisions were made by the chap who is now in Downing Street: the former Mayor of London. He is the chap who cut £1 billion off the budget that was given to TfL every year. TfL was the only major, and probably the biggest, transit system in the western world without any direct Government subsidy until the pandemic. If we ask a transport system to wash its own face—to pay for things only through fares—and 90% of that fare revenue disappears, how on earth can we expect that system to survive? Let us have some serious economics here, not the economics of jokesters.

As I said, the underfunding by this Government has become so severe that the UN special rapporteur has highlighted that it is hitting our poorest communities—communities such as those in Dorset. The report even went as far as to say that the Government were failing the fundamental human rights of people in rural communities. I know that the hon. Member for West Dorset (Chris Loder) is passionate about badgers, but he needs to be more passionate about buses and speak to the Prime Minister. The worst part of all this is that the same working people who have such shockingly bad services are bearing the brunt of the Conservatives’ cost of living crisis.

Many people are paying 50% more on rail and bus fares to get to work than a decade ago. In March, the Government announced that they would go further still, with a brutal 3.8% rail fare hike for millions of passengers, and with bus fares rising nationwide. As the Minister said, it is great that there is a sale, but as he well knows, £7 million of tickets is a drop in the ocean of fare revenues.

[Sam Tarry]

Actually, the last Labour manifesto probably had the most comprehensive plan ever put forward at an election for running our rail and other transport networks. It is interesting that a lot of the ideas now being implemented by the Government are watered-down versions of what we put forward then. Instead of having weak lemonade, is it not about time that we had the full pint and something serious?

Incredibly, the Rail Minister had the cheek to say that the eye-watering rail fare hike would make rail more attractive. Many will wonder what planet Ministers are living on if they think people can afford that. Up and down the country, families are really paying the price for decisions made in Downing Street.

While the Conservative party punishes local communities with sky-high fares and substandard services, Labour is fighting across the country for better, cheaper and more affordable transport. In towns and cities nationwide, our leaders in power have a plan to turn the page on a decade of decline, putting communities back at the heart of public transport and transforming it for good. The vision of these Labour leaders is simple: to build buses quicker, cheaper, greener and more reliably. Last year, Andy Burnham decided to move to franchising, with a clear vision that talked of

“a world-class, integrated transport network which can unlock opportunity for all; providing access to jobs and education, reducing pollution, attracting investment and reducing isolation.”

Similarly, Tracy Brabin in West Yorkshire has promised to put “people before profit” by introducing

“simpler fares, contactless ticketing, and greener buses.”

In addition to investing millions of pounds in new routes and services, both Mayors are set to cap bus fares at £2, saving passengers up to £1.50 in West Yorkshire and, in some cases, more than £2 in Greater Manchester. That is the difference that Labour in power is making.

[Chris Loder]

It is important that the House notes that the Labour Mayor of London required continual multibillion-pound bail-outs from this Conservative Government—funds that would otherwise be invested in other parts of the nation. The Labour party is advocating making the same mistake again in Manchester, the west midlands and other places. The hon. Gentleman is advocating a fixed fare, with costs being completely unmanaged and the Government therefore being required to bail out the cost deficit again.

[Sam Tarry]

I had the misfortune of catching a bus in Manchester about a decade ago, when we had a variety of competing transport companies charging more than £5 a fare. That is clearly not right. All around the world, progressive administrations are making transport affordable. If we are serious about climate change, we need to get people on public transport, whether that is buses, trains or trams. As the hon. Gentleman well knows, finances in London are all to do with the crash in ridership on the tube and the wider TfL system. I am happy to see passenger levels start to rise again, and to do so very quickly, because of the work of our Labour Mayor.

What communities up and down this country need is a Government who match their ambition, not a Government who tell them to be ambitious and then give them hardly any money. We need a transport system that is fit to tackle the climate catastrophe unfolding before our eyes, and that works for the passengers and communities who rely on it. Labour would wrest our rail networks back in full from inefficient private operators. We would put into public hands the parts of the railways that the Government have not. We would give communities across the country London-style powers to reform bus networks, keep fares down and improve services. We would invest in our vital transport infrastructure to boost economic growth and rebalance the economy, which will create thousands of good, green, long-term, unionised jobs. Unfortunately, unless the Government match their communities’ ambition on local transport, they will have failed millions across the country, and their hotchpotch agenda on levelling up will not be delivered. Instead, it will lie in tatters.

--- Later in debate ---

[Gavin Newlands]

That may well be the case, but the bus operators to whom I speak would not welcome any decline in the subsidy—far from it. I am lucky in that Renfrewshire has more electric buses or zero-emission buses than anywhere in the UK outside London, but it still has diesel buses as well. I am not convinced that bus operators would welcome the removal of that subsidy at a time when fuel prices are high. When fuel prices come down, the hon. Gentleman’s idea will not be without merit.

As has become the norm in the Department for Transport, we have a glossy booklet for the Secretary of State to plonk on the shelf behind him while he is on camera—at least when he is not flying to New York for location filming in yet another cinematic masterpiece. I hope the folk at BAFTA are taking note of his current videos on Twitter. Behind the gloss, however, the electric vehicle strategy is thin gruel. While the Scottish Government plan to maintain our record as the UK nation with the highest per capita number of public charging points by doubling their numbers by the end of this Parliament, the UK Government are letting England fall even further behind. Already England, outside London, has been left in the slow lane as charging infrastructure is rolled out. That gap will only grow over the coming years, and as always it will be the poorer and more rural areas that will lose out as private investment focuses on high-density, high-capacity locations while intervention from the state is minimal. That ideological direction has to change, and change soon.

The fact that home charging attracts the standard VAT rate for domestic electricity supplies of 5% while public charging points are still subject to the full 20% is not just a disincentive to people thinking of making the switch; it also penalises electric vehicle users who do not have the benefit of a driveway or a space to park a car. I own an electric car, which I can charge at home, making use of the cheaper rates, but people not in that position are having to pay the 20% rate. Anyone living in a flat or shared space is paying a great deal more to charge their car than those with front-door properties. That is essentially a tax on the less well-off. There is no word in the programme for government of any action to tackle this inconsistency. I hope that the Minister will be lobbying her colleagues in the Treasury to address the anomaly and ensure that all those making the switch to electric vehicles are on a level playing field.

The DFT is also miles behind on zero-emission buses. Scotland has ordered nearly three times as many per capita, and since the start of the year those aged 21 and under, as well as those over 60, travel on them free of charge.

Active travel seems not to merit a single mention in the outline of the transport Bill. After two years of low traffic neighbourhoods, Spaces for People, a continued increase in cycling, the move towards 20-minute neighbourhoods and the exponential growth of e-bikes and e-scooters, I find that staggering. Within three years Scotland will be spending 10% of our entire transport budget on active travel, an unprecedented amount across these isles and a genuinely transformational level of spending. The potential waiting to be unlocked in our towns and cities through this spending is huge. Down south, however, the DFT is still stuck in same mindset: a funding scheme here and a bidding process there, dripping out relative crumbs of funding to local government.

By 2024-25, Scotland’s active travel spend will amount to £60 per person per year, adding up to £320 million every year. That is transformational spending, not just because it will reduce emissions and offer alternatives to cars, but because it will give a huge boost to our town and city centres and local neighbourhoods. In England, the DFT plans to spend barely that annual amount over the next five years, which works out at just over £7 per person. That is not simply a lack of ambition; it shows the lack of any kind of lessons learned from the pandemic. I give the UK Government credit for at least having the good sense to put Chris Boardman in charge of Active Travel England. He is backed by a cross-section of stakeholders. However, in the absence of real resources behind his plans and real political commitment from the Government, this is like expecting him to win the Tour de France on a bike with no pedals.

I hope that Ministers are noting the Scottish Government’s spending plans, because our interests in Scotland are England’s interests too. There is little point in putting out the fire in your house if your neighbours are dousing petrol on theirs. We need the policy makers here, and the Treasury, to understand the importance of active travel in the context of transitioning to zero carbon and boosting local economies to the benefit of both people and small businesses.

On rail, we are promised the establishment of Great British Railways. It has been clear for decades that the fragmented and illogical mess left behind by the Secretary of State’s predecessors back in the Major Government and continued by their successors, both Labour and Tory, must be radically transformed. Reintegration is to be welcomed, and having heard in the Select Committee from the transition team’s lead, Andrew Haines, I know that the will and the experience are there at the operational level, but the hard fact is that building a better railway system across these isles needs political will and ambition. Notwithstanding what the Minister of State said in his opening remarks, one look at the Government’s track record since 2010 would lead anyone to conclude that ambition barely exists. Umpteen electrification schemes have been dumped or hugely scaled down, key parts of HS2 serving the north of England have been scrapped, and Crossrail is £4 billion over budget.

Everyone concerned with transport in the UK isles wants to see Great British Railways succeed, and begin to put an end to the wasted years that have seen the UK left in the sidings while other European countries have quietly got on with bringing their networks into the 21st century. However, if the DFT and the Treasury cannot match that good will with cold hard cash and a change in attitudes, I fear that we will be having these same debates in five, 10 or 20 years’ time. If GBR is established without changes to the way in which rail infrastructure is governed, that will constitute yet another missed opportunity to put full control of our railways where it belongs, with the Scottish Parliament.

[Chris Loder (West Dorset) (Con)]

Will the hon. Gentleman give way?

[Gavin Newlands]

I had a feeling that my colleague on the Select Committee might pipe up at this point, and I am happy to give way to him.

[Chris Loder]

I thank the hon. Gentleman.

Rail operations in Scotland are, of course, delegated to the Scottish Government. The hon. Gentleman will know full well that there are great difficulties with the Scottish operations at present, not least because of copious strikes. It is clear that the Scottish Government have allowed the unions to run the railways in Scotland, hence the difficulties, particularly at weekends. Given this Government’s commitment to the Union connectivity review and to ensuring that we have excellent connectivity throughout the UK that benefits the economy of the whole UK, does the hon. Gentleman not think that before calling for too much more of what he would like—independence and delegating things away from Westminster—the Scottish Government ought to get their own house in order?

[Gavin Newlands]

I do not recognise the picture that my colleague paints. The fact is that with its integrated approach to track and train in Scotland, ScotRail provides the rest of the UK with an exemplar of how to run a rail system. As for the union connectivity review, we had backed HS2 to come all the way to the Scottish border and provide high-speed rail in the central belt of Scotland and beyond. I hope that when the Under-Secretary of State winds up the debate, she will be able to tell us when HS2 will actually reach the Scottish border and we can marry up that high-speech connection with Scotland. I should be very interested to hear about that, because the Scottish and UK Governments agreed to it a number of years ago.

As my colleague has pointed out, ScotRail is now in full public ownership, so now is the time to transfer full responsibility, permanently, for the infrastructure currently in the hands of Network Rail to the Scottish Government so that we have a truly integrated rail network. That will also allow for reform of the current track access charge regime, which is sucking resources from Scotland’s railways to be mixed into the Network Rail pot, rather than their being invested directly in Scotland’s track and infrastructure. ScotRail is forking out twice the access charges of Northern, despite a broadly comparable passenger network. West Midlands Trains, with almost exactly the same number of passenger kilometres as ScotRail, pays only one third of the charges paid by our publicly owned train operator. If the transport Bill is going to be mainly about implementing the Williams rail review, it must fundamentally alter the structure and framework of track access charges and provide a level playing field for publicly owned companies such as ScotRail, as opposed to the private concessions that will continue to operate in England under the auspices of GBR.

I welcome any action by any Government who try to put a stop to the shameful behaviour of P&O Ferries. It is still shocking to recollect that the chief executive not only admitted that his company flagrantly broke the law in treating 800 loyal and hard-working staff with the contempt that was shown by him and his colleagues, but said that he would do the same again. However, it is the Government who should be acting, rather than subcontracting their role to others. Palming off responsibility for employment law to port authorities—most of which are now privately owned—is not what workers in our maritime sector need. They need real protections from the likes of P&O, enforced by Government rather than subject to the decision making of port owners.

Privatising employment law must be the ultimate in Tory ideology. Who needs Governments to enforce the laws that they make when private enterprise is there to do their job for them? It also beggars belief that they are happy to transfer responsibility for employment law to the private sector, but still resist transferring it to a democratically elected Parliament in Edinburgh. The Scottish Government have made it clear that they want pernicious employment practices such as fire and rehire to be banned, but Scotland’s workers are still trapped under the current antiquated system. If it is good enough for companies such as Associated British Ports or Peel Ports, it is good enough for our democratically elected Government in Edinburgh.

We know the important role our transport sectors play in our society and our economy. Since the last Queen’s Speech, we have seen chaos at our ports caused by Brexit, huge cutbacks in funding for public transport in England and the continuing evidence from here and elsewhere in the world of the existential threat that climate change poses to us and the rest of humanity. Those threats need radical action to tackle not only the global challenges but those closer to home. Sadly, the Government’s programme on transport falls well short.

No country can provide all the answers or claim perfection, but at least the Scottish Government are putting up a fight and trying to make the necessary changes, some of which are tough and, dare I say it, unpopular. If the UK Government do not want to make those changes, that is regrettable for all of us, but that should not allow them to continue putting up barriers around Scotland’s response. We cannot be hindered by inertia and a lack of ambition any longer. On transport policy, like so much else, it is for the UK to try to show why Scotland should continue to be part of the Union. On the evidence so far, it has an impossible task.

--- Later in debate ---

[Chris Loder (West Dorset) (Con)]

Thank you, Madam Deputy Speaker, for calling me to speak in this debate; it is a pleasure to contribute and to follow the hon. Member for Richmond Park (Sarah Olney). I draw attention to my entry in the Register of Members’ Financial Interests: I worked for the railways for a long time before being elected to this House.

I am proud of the Government’s ambition and determination to level up across the UK. I am also proud of the Bills in the Queen’s Speech, particularly the transport Bill, but if I may, I will focus today on railways, buses and roads.

The Great British Railways proposal is good for the United Kingdom—the whole of the United Kingdom. I am particularly pleased about it because the current model has probably reached the end of its life. The results from that model have been good—we have seen passenger numbers increase 100% since privatisation began—but the Government fully understand that things need to change.

I draw the Government’s attention to some initiatives that could provide further opportunities within the GBR proposal. In Japan, for example, the relationship between real estate and funding for railway operations is very close, to the extent that Government investment is often not required. That is because of the model that is adopted. I urge the Minister and her officials to look into that.

Enormous amounts of money are invested in transport, but it is important that we do not get carried away with the number of billions that will be spent. We need to be more concerned about the specific outputs than the amount of money that will be spent. We see billions going to Highways England—I think the Chair of the Transport Committee, my hon. Friend the Member for Bexhill and Battle (Huw Merriman), said that it was £27.4 billion—yet there is consultation after consultation for years and years before any spades actually go into the ground.

It is the same in the railways, particularly in relation to the rail network enhancement plan, which has been a long time coming. We have seen some really good announcements for the midlands and the north—the integrated rail plan is bringing in £96 billion there—but regrettably we have seen nothing yet in the south-west. Even worse, when Network Rail announced that it was going to invest in re-signalling to enable more capacity and flexibility, the schemes were deferred at the end of the last control period with no hope in sight of the most basic re-signalling programmes.

We talk a lot in this House about tens of billions of pounds. The Opposition want more than £96 billion, forgetting that we pay £82 billion a year in interest. However, we must remember other parts of the country, particularly the rural parts and specifically the south-west—the local challenges in Dorset and Somerset have been immense. I am grateful for the Minister’s support for returning the frequency of trains and the direct services on the Waterloo-Exeter line and the Waterloo-Dorchester-Weymouth line, which came into effect with the last timetable.

GB Railfreight, of which Parliament should be incredibly proud, is taking important steps to decarbonise the railway’s freight sector. It recently introduced a first Class 99 hybrid locomotive that will eventually succeed the diesel-power Class 66. It will go a long way to decarbonising the freight network and we have much to learn from it.

The help that we give transport and railways in Ukraine is not often spoken about in the House. We take great pride in what our nation has done in past decades to help those escaping tyranny by train. Although we are not a neighbouring country to Ukraine, I urge the Government to participate in and actively support initiatives such as ALLRAIL, a group of European train operators that run up to the Polish-Ukrainian border and have brought people out of Ukraine and taken them across Europe. It would be a wonderful statement by the Government, on top of all the wonderful work that they have done so far, to participate in such an initiative. I encourage the Minister to consider that.

The bus service improvement plan has been quite painful for Dorset. I fully recognise that it has been good for the country in many ways, but Dorset and many other rural areas have not been successful. It is important that the Government consider what can be done to support rural areas, not necessarily with financial bungs but with tangible initiatives. That would be very much appreciated.