Automated and Electric Vehicles Bill

Craig Tracey Excerpts

3rd reading: House of Commons & Programme motion: House of Commons & Report stage: House of Commons
Monday 29th January 2018 Commons Chamber

[Craig Tracey (North Warwickshire) (Con)]

I would like to make a brief contribution to the Third Reading debate of a Bill that I was pleased to be involved with in Committee. Given that quite a lot has already been said, my contribution has been getting briefer by the minute.

It is fair to say that the Bill has widespread support from manufacturers, enthusiasts and insurers alike. Interestingly from my perspective, it has also captured the imagination of my constituents, particularly the young people, as it has recently become the most talked about topic at my regular school visits, which is great news as we look to inspire the engineers of the future. On top of that, official research indicates that the market for automated vehicles will be worth around £28 billion by 2035—so it is set to become a key part of our future economy.

I want to focus on part 1 of the Bill, which covers insurance and liability. As such, I need to declare an interest as chair of the all-party group on insurance and financial services and having previously run my own insurance brokerage for 20 years before being elected. The Bill extends compulsory motor vehicle insurance to cover the use of automated vehicles in automated mode. In view of this, I would like to raise two points with the Secretary of State that I think still need clarification and which do not seem to have been addressed in the amendments. First, given that the users of automated vehicles have to be able to demonstrate that their vehicle was in fully automated mode to exercise their rights under the Bill, what commitments can he give that data confirming the status of the vehicle at the time of the crash will be made available to the insurer? It will be needed not only to establish liability but to prevent delays in paying claims.

Secondly, as I pointed out in Committee, there are concerns in the industry about the software updates. I believe that there is a strong case for making these the manufacturers’ responsibility, particularly where they are of a safety critical nature. Under the Bill, the onus still falls significantly on the insured to carry out software updates, which could be unfair in a number of scenarios. The simple solution—and one that I understand the technology is available for—would be to not allow a vehicle to enter automated mode unless the required software is up to date. I ask the Secretary of State for reassurance on this particular point.

The Bill provides a stepping stone for the future of travel in this country. Automated vehicles will help to reduce the number of accidents and will possibly reduce congestion, while electric vehicles will provide a cleaner environment for the next generation. We know that the environment is a major topical issue for many Members, and for the wider public. We must provide the infrastructure to support electric vehicle owners and to encourage more and more people to join them by removing the barriers that currently exist—particularly in respect of charging, an issue that is raised regularly by my constituents. The challenges that the Bill seeks to address are not just for the future; they are right here and right now.

As I have said, I am very supportive of the Bill, but I look forward to hearing the Minister’s response to the points that I have raised.

Oral Answers to Questions

Craig Tracey Excerpts

Thursday 30th November 2017 Commons Chamber

[Mr Hayes]

Proust said that a

“powerful idea communicates some of its strength to him who challenges it”,

and I hope that the power of my idea will have some resonance with the hon. Gentleman. The truth is that these changes are supported by the driver training and road safety representatives who helped us to develop and trial them. More than 4,500 learner drivers and 860 driving instructors took part in research at 32 locations across Britain. At no stage has anyone said that the changes will not be beneficial, not least among those who took part in that process. We need to press on with the changes, because they will clearly be beneficial, and I hope that the power of that argument has been communicated to the hon. Gentleman.

[Craig Tracey (North Warwickshire) (Con)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Transport (Chris Grayling)]

In the case of the Minister for Transport Legislation and Maritime, my right hon. Friend the Member for South Holland and The Deepings (Mr Hayes), I am sure that we have not had too much of a good thing, Mr Speaker. You will be delighted to know that it is not only the House that has heard extensively from him this week but 175 Ministers from around the world. We have been hosting the biennial meeting of the International Maritime Organisation general assembly in London. The IMO is the specialist United Nations organisation responsible for measures to improve the safety and security of international shipping and to prevent pollution from ships. We host the IMO here in London. I want to thank everyone who has been involved in organising that event and to extend a warm welcome on behalf of the United Kingdom Government to all the Ministers and other delegates who have attended the convention this week.

[Mr Speaker]

I am sure that all those Ministers from around the world feel both informed and improved as a result of their interaction with the Minister for Transport Legislation and Maritime, the right hon. Member for South Holland and The Deepings.

[Craig Tracey]

I warmly welcome last week’s announcement of an £8 million road safety fund for the areas of Warwickshire affected by HS2. Does the Secretary of State agree that the Trinity Road-Overwoods Road junction in my constituency, which has seen numerous fatalities and serious accidents, would be an excellent candidate for some of that funding, given that the proposed solution is now unlikely to go ahead owing to the development of HS2?

[Chris Grayling]

I am glad that the Under-Secretary of State for Transport, my hon. Friend the Member for Blackpool North and Cleveleys (Paul Maynard), who is responsible for HS2, was able to visit that junction last week with my hon. Friend the Member for North Warwickshire (Craig Tracey). I am also pleased that Warwickshire County Council has been such a beneficiary of the available funding. While it will be for the council to decide what schemes to support, I hope that it will focus on where it can make the biggest difference to safety.

Automated and Electric Vehicles Bill (Fifth sitting)

Craig Tracey Excerpts

Committee Debate: 5th sitting: House of Commons
Tuesday 14th November 2017 Public Bill Committees

[Alan Brown]

It is a pleasure to serve under your chairmanship again, Mr Bailey. I note that you wisely ducked out just before I spoke yesterday in Westminster Hall, right enough—no such luck this morning.

Clause 4 is all about liabilities associated with operational software for automated vehicles. Amendments 11 and 12 aim to strengthen the clause and amendment 11 aims to clarify the responsibilities of the vehicle manufacturer. In turn, that may even assist the vehicle manufacturer with regards to clause 4(1)(b), which refers to whether a person ought to reasonably know about safety-critical software updates being required. We are using the right terminology, and it is hoped that the law meets its intended purpose both of ensuring that people are insured and of clarifying where liabilities are limited for insurance companies.

If the Bill sets out how important it is that safety-critical software is updated, it follows that duties are placed on the manufacturers to take all reasonable steps to ensure that that happens. Therefore, as with smartphones, the manufacturer must notify the owner of the need for upgrades but, unlike smartphones, it needs to be much more than a simple notification. Steps need to be undertaken to ensure that the vehicle owner is aware of the need for upgrades and to make arrangements for them to happen. There could be a series of warnings through the software, or written letters and correspondence. Given the sophistication of the software, and its interactive nature, in that it tries to talk to software on other servers, perhaps even some form of remote immobilisation could be considered. If those steps are followed, any evidence of the deliberate overriding of adaptations undertaken by the owner will fall within the insurance liability limitations outlined in clause 4.

Amendment 12 follows on from that, requiring the Government to introduce regulations to establish a system that requires automated vehicle software to be up to date in order to utilise automated functions on public roads. It might be argued that the amendment is not required, that it simply dots the i’s and crosses the t’s, but given that that function of the software is the brain of the vehicle, it is absolutely incumbent on the Government to ensure that there is a system for explicitly determining that the software is safe, and able to be used.

I suggest that new clause 9 serves the same function as amendment 12. I am therefore supportive of it in principle, but there is a logic in amendments 11 and 12 being put in with clause 4, to tighten it up.

[Craig Tracey (North Warwickshire) (Con)]

I want to make a brief contribution. I mentioned in a previous sitting that I chair the all-party parliamentary group on insurance and financial services. We have looked into this area in some detail and I think it is fair to say that across the industry there is a lot of support for the Bill, which is good news. The industry is appreciative of the fact that the Bill is moving forward at pace, and of the Minister’s approach to that. However, we think there is a definite opportunity to tighten the wording in clause 4(1)(b), as there seems to be scope for conflict between different parties in two areas.

First, regarding the phrase

“insured person knows, or ought reasonably to know, are safety-critical”,

one of the consequences is that there might be a legitimate reason for software not being installed: a vehicle might be on a journey, there might be no signal or someone might have to use a vehicle in an emergency. The wording is open to interpretation and one of the consequences of that could be delays in paying out claims.

My second point is whether a safety-critical update was contributory either in whole or in part to an accident. Without tightening up the wording, there could be delays in the settling of claims, potential higher claims costs, and more data—data was raised quite a bit in the evidence sessions—being required to settle claims and to establish cause. Again, a knock-on effect is that the full potential of cost savings on insurance might not be fully recognised because of the cost involved in deciding on liability.

With those two points in mind it seems sensible to shift the onus from the insured person for the safety-critical update directly on to the manufacturer in all cases. We know the technology is there. It is available either to not enable the vehicle to start if a safety-critical update is not put in place or—this is probably more reasonable—to not enable a vehicle to access the automated mode unless all safety-critical software issues are up to date. Those are just a couple of points that I wanted to raise with the Minister which perhaps he will consider when he responds to the amendments.

[Iain Stewart (Milton Keynes South) (Con)]

Following on from the points that my hon. Friend just raised, will the Minister clarify a couple of points regarding the phrase in clause 4(1)(b), which states:

“the insured person knows, or ought reasonably to know”?

I am concerned that the phrase “ought reasonably to know” is a little woolly. I am not a lawyer or an expert in parliamentary drafting. It may be that the phrase is a well-used one that the courts can easily interpret, but in the context of the new software I am a little uncertain as to what “ought reasonably to know” actually means. I can envisage a number of scenarios in which the driver may have had an alert from the manufacturer that says, “We need to install version 1.whatever of the software.” He gets the update at a quarter to nine in the morning. He is rushing out of the house, late for a meeting, and says, “I’ll do that later on,” and then the car he is driving is unsafe at that point. I am simply not clear where the onus lies and when that person should install the software. Perhaps the Minister will clarify that point when he responds to this group of amendments, or he may wish to reflect on it and consider the matter further on Report. It is an area I have concerns about and we ought to get the drafting absolutely right.

--- Later in debate ---

[Mr Hayes]

I will in a second.

In the end, the clause aims to protect insurers from a negligent person who intentionally fails to update their vehicle. For the sake of clarity, I offer the parallel of someone who fails to ensure that a vehicle they drive now is safe—who fails to take the proper precautions or make the proper arrangements to ensure that their vehicle can be safely driven when they go out in it. So it will be with autonomous vehicles and the software that relates to them. That is the purpose of the clause, but I am not entirely convinced by the advice that I have had on it yet. The civil servants in the room—I know I am not supposed to acknowledge them—will have a shiver going down their spine. I want to reflect more on it. I think we are right and I am sure what I have said is right, but I may have more to say on it. I am happy to reflect on it and come back to my hon. Friend the Member for North Warwickshire if there is more to be said.

[Craig Tracey]

I appreciate that the Minister will look into it. He mentioned that the clause will protect the insurers, but the insurers of the insured person will still be footing the bill. By passing the onus for safety critical updates to the manufacturer, that could be taken away from the insurance industry.

[Mr Hayes]

With laser-like precision, my hon. Friend has focused on exactly the reason why I want to reflect on it. I thought that that was what he might say and that was what he meant when he first spoke. Although the response I offered him goes a fair way towards what he was seeking, I need to clarify that additional consideration for him. In the end, that will bring us back to the point close to the heart of all insurance considerations: how we discern liability and negligence. I want to be more precise about the second point that he raised, but I do not yet feel confident to do that. I will now give way to my old friend—the veteran of many Committees with me.

--- Later in debate ---

[Craig Tracey]

rose—

[Mr Hayes]

My hon. Friend is going to offer the expertise that I have admitted I lack.

[Craig Tracey]

The set of circumstances described by the hon. Member for Eltham actually exists in current insurance. If someone had a car that was parked up and somebody else stole it, drove off in it and hit a row of parked cars, then for insurance purposes the onus is currently on the owner of the vehicle. The whole point of insurance is to protect the insured person against unforeseen circumstances, and hacking would come under that process, because we do not presently know how it could affect the systems.

[Mr Hayes]

One of the delightful things about the House of Commons, and indeed about Committees such as this, is that there is always expertise that one did not know about previously and that emerges as a result of the discourse. I am grateful to my hon. Friend for his expert advice on that particular subject. The point raised by the hon. Member for Eltham is that he wants to be certain that an innocent party is not adversely affected by the development of products that do not afford the same kind of protection that people now routinely rely upon.

I share the hon. Gentleman’s view. My view is straightforward: it would be intolerable for a situation to develop in which people, through no fault of their own, and with no negligence or irresponsibility in what they have planned or done, were to find themselves uninsured because of the development of some perverse policy. In the end, that is a matter for the insurance industry, but I have made my views clear and put them on the record, and they reflect the views of the hon. Gentleman and my right hon. Friend the Member for West Dorset, who, among his many distinguished and eminent achievements, has today added another: becoming a spokesman—or perhaps I ought to say the interpreter—for the hon. Member for Eltham. And so it is that such unions are formed in Committees such as this.

Automated and Electric Vehicles Bill (Sixth sitting)

Craig Tracey Excerpts

Committee Debate: 6th sitting: House of Commons
Tuesday 14th November 2017 Public Bill Committees

[Mr Hayes]

It is straightforward: greater interoperability, greater shared and common access, consistency about payment method, and much greater availability—in homes, on streets and in workplaces. We simply have to have a step change in volume, but a fundamental change too in the ease of use of charge points.

It is true that most people who currently have an electric vehicle, for most the time, charge at home, and typically they charge overnight. That point was made earlier in the debate. But unless people have the confidence that they can charge straightforwardly elsewhere—with a system they understand and a payment method that is easy to use—they will not have the confidence to purchase or drive an electric vehicle. We see this as absolutely critical to our bigger ambitions for low emission vehicles, which is why we introduced the Bill. The whole purpose of the Bill is to address one of the principal reasons people might cite for not switching to an electric vehicle.

[Craig Tracey (North Warwickshire) (Con)]

What scoping have the Government done of alternative charging methods? I ask because there was a scheme run in Israel, which admittedly did not work, but it failed because of lack of critical mass of electric vehicles. The technology was in place for service station-type set-ups where the entire battery could be replaced within five minutes. A car would go in, and come out with a fully charged battery. That would seem to get round quite a few of the problems we talk about in terms of roll-out and range, but also cover the areas that do not currently have any electrical charging points.

[Mr Hayes]

I do not know about the Israeli experience but I am more than happy to ask my officials to explore it and to see what we can learn from it. Other countries are engaged in the same process: electric vehicles are becoming increasingly popular across the world, so most Governments are looking at the barriers to entry to the market and what they can do to remove them. Certainly we should learn from the best international examples and see if it is right to emulate them.

The scale argument is well made by my right hon. Friend the Member for West Dorset, the accessibility argument well made by the shadow Minister. Neither one is the more important. As I have said, accessibility, interoperability, ease of payment and scale all matter, but they must also sit alongside an appropriate consideration of design. The Committee would be disappointed were I not to say more about that, because part of the problem with charge points at the moment is that they are not easily recognisable. One could drive past the Department for Transport’s electric charging point and not know it was there, because it does not stand out like a beacon. Perhaps it should. Anywhere in the country, it would be better to know what an electric charging point looked like, particularly a roadside one in an unfamiliar place. People know their own locality, but this will be a national network of charging points and we have to consider people who are driving outside their locality.

Automated and Electric Vehicles Bill (First sitting)

Craig Tracey Excerpts

Tuesday 14th November 2017 Public Bill Committees

[Alan Brown]

It is a pleasure to serve under your chairmanship again, Mr Bailey. I note that you wisely ducked out just before I spoke yesterday in Westminster Hall, right enough—no such luck this morning.

Clause 4 is all about liabilities associated with operational software for automated vehicles. Amendments 11 and 12 aim to strengthen the clause and amendment 11 aims to clarify the responsibilities of the vehicle manufacturer. In turn, that may even assist the vehicle manufacturer with regards to clause 4(1)(b), which refers to whether a person ought to reasonably know about safety-critical software updates being required. We are using the right terminology, and it is hoped that the law meets its intended purpose both of ensuring that people are insured and of clarifying where liabilities are limited for insurance companies.

If the Bill sets out how important it is that safety-critical software is updated, it follows that duties are placed on the manufacturers to take all reasonable steps to ensure that that happens. Therefore, as with smartphones, the manufacturer must notify the owner of the need for upgrades but, unlike smartphones, it needs to be much more than a simple notification. Steps need to be undertaken to ensure that the vehicle owner is aware of the need for upgrades and to make arrangements for them to happen. There could be a series of warnings through the software, or written letters and correspondence. Given the sophistication of the software, and its interactive nature, in that it tries to talk to software on other servers, perhaps even some form of remote immobilisation could be considered. If those steps are followed, any evidence of the deliberate overriding of adaptations undertaken by the owner will fall within the insurance liability limitations outlined in clause 4.

Amendment 12 follows on from that, requiring the Government to introduce regulations to establish a system that requires automated vehicle software to be up to date in order to utilise automated functions on public roads. It might be argued that the amendment is not required, that it simply dots the i’s and crosses the t’s, but given that that function of the software is the brain of the vehicle, it is absolutely incumbent on the Government to ensure that there is a system for explicitly determining that the software is safe, and able to be used.

I suggest that new clause 9 serves the same function as amendment 12. I am therefore supportive of it in principle, but there is a logic in amendments 11 and 12 being put in with clause 4, to tighten it up.

[Craig Tracey (North Warwickshire) (Con)]

I want to make a brief contribution. I mentioned in a previous sitting that I chair the all-party parliamentary group on insurance and financial services. We have looked into this area in some detail and I think it is fair to say that across the industry there is a lot of support for the Bill, which is good news. The industry is appreciative of the fact that the Bill is moving forward at pace, and of the Minister’s approach to that. However, we think there is a definite opportunity to tighten the wording in clause 4(1)(b), as there seems to be scope for conflict between different parties in two areas.

First, regarding the phrase

“insured person knows, or ought reasonably to know, are safety-critical”,

one of the consequences is that there might be a legitimate reason for software not being installed: a vehicle might be on a journey, there might be no signal or someone might have to use a vehicle in an emergency. The wording is open to interpretation and one of the consequences of that could be delays in paying out claims.

My second point is whether a safety-critical update was contributory either in whole or in part to an accident. Without tightening up the wording, there could be delays in the settling of claims, potential higher claims costs, and more data—data was raised quite a bit in the evidence sessions—being required to settle claims and to establish cause. Again, a knock-on effect is that the full potential of cost savings on insurance might not be fully recognised because of the cost involved in deciding on liability.

With those two points in mind it seems sensible to shift the onus from the insured person for the safety-critical update directly on to the manufacturer in all cases. We know the technology is there. It is available either to not enable the vehicle to start if a safety-critical update is not put in place or—this is probably more reasonable—to not enable a vehicle to access the automated mode unless all safety-critical software issues are up to date. Those are just a couple of points that I wanted to raise with the Minister which perhaps he will consider when he responds to the amendments.

[Iain Stewart (Milton Keynes South) (Con)]

Following on from the points that my hon. Friend just raised, will the Minister clarify a couple of points regarding the phrase in clause 4(1)(b), which states:

“the insured person knows, or ought reasonably to know”?

I am concerned that the phrase “ought reasonably to know” is a little woolly. I am not a lawyer or an expert in parliamentary drafting. It may be that the phrase is a well-used one that the courts can easily interpret, but in the context of the new software I am a little uncertain as to what “ought reasonably to know” actually means. I can envisage a number of scenarios in which the driver may have had an alert from the manufacturer that says, “We need to install version 1.whatever of the software.” He gets the update at a quarter to nine in the morning. He is rushing out of the house, late for a meeting, and says, “I’ll do that later on,” and then the car he is driving is unsafe at that point. I am simply not clear where the onus lies and when that person should install the software. Perhaps the Minister will clarify that point when he responds to this group of amendments, or he may wish to reflect on it and consider the matter further on Report. It is an area I have concerns about and we ought to get the drafting absolutely right.

--- Later in debate ---

[Mr Hayes]

I will in a second.

In the end, the clause aims to protect insurers from a negligent person who intentionally fails to update their vehicle. For the sake of clarity, I offer the parallel of someone who fails to ensure that a vehicle they drive now is safe—who fails to take the proper precautions or make the proper arrangements to ensure that their vehicle can be safely driven when they go out in it. So it will be with autonomous vehicles and the software that relates to them. That is the purpose of the clause, but I am not entirely convinced by the advice that I have had on it yet. The civil servants in the room—I know I am not supposed to acknowledge them—will have a shiver going down their spine. I want to reflect more on it. I think we are right and I am sure what I have said is right, but I may have more to say on it. I am happy to reflect on it and come back to my hon. Friend the Member for North Warwickshire if there is more to be said.

[Craig Tracey]

I appreciate that the Minister will look into it. He mentioned that the clause will protect the insurers, but the insurers of the insured person will still be footing the bill. By passing the onus for safety critical updates to the manufacturer, that could be taken away from the insurance industry.

[Mr Hayes]

With laser-like precision, my hon. Friend has focused on exactly the reason why I want to reflect on it. I thought that that was what he might say and that was what he meant when he first spoke. Although the response I offered him goes a fair way towards what he was seeking, I need to clarify that additional consideration for him. In the end, that will bring us back to the point close to the heart of all insurance considerations: how we discern liability and negligence. I want to be more precise about the second point that he raised, but I do not yet feel confident to do that. I will now give way to my old friend—the veteran of many Committees with me.

--- Later in debate ---

[Craig Tracey]

rose—

[Mr Hayes]

My hon. Friend is going to offer the expertise that I have admitted I lack.

[Craig Tracey]

The set of circumstances described by the hon. Member for Eltham actually exists in current insurance. If someone had a car that was parked up and somebody else stole it, drove off in it and hit a row of parked cars, then for insurance purposes the onus is currently on the owner of the vehicle. The whole point of insurance is to protect the insured person against unforeseen circumstances, and hacking would come under that process, because we do not presently know how it could affect the systems.

[Mr Hayes]

One of the delightful things about the House of Commons, and indeed about Committees such as this, is that there is always expertise that one did not know about previously and that emerges as a result of the discourse. I am grateful to my hon. Friend for his expert advice on that particular subject. The point raised by the hon. Member for Eltham is that he wants to be certain that an innocent party is not adversely affected by the development of products that do not afford the same kind of protection that people now routinely rely upon.

I share the hon. Gentleman’s view. My view is straightforward: it would be intolerable for a situation to develop in which people, through no fault of their own, and with no negligence or irresponsibility in what they have planned or done, were to find themselves uninsured because of the development of some perverse policy. In the end, that is a matter for the insurance industry, but I have made my views clear and put them on the record, and they reflect the views of the hon. Gentleman and my right hon. Friend the Member for West Dorset, who, among his many distinguished and eminent achievements, has today added another: becoming a spokesman—or perhaps I ought to say the interpreter—for the hon. Member for Eltham. And so it is that such unions are formed in Committees such as this.

Automated and Electric Vehicles Bill (First sitting)

Craig Tracey Excerpts

Committee Debate: 1st sitting: House of Commons
Tuesday 31st October 2017 Public Bill Committees

[Alan Brown]

Q The hon. Member for Hyndburn has talked about safety in relation to these projects looking at data protocols. Should that also encompass looking at safety and how the car was being driven or controlled, whether manually or in automatic mode? It has been said that insurance companies would only want data in the event of a collision, but it would be very tempting for insurance companies to want a lot more data. Even now, you can get an insurance policy for young drivers that involves fitting a black box into the car. The insurance company is obviously monitoring the operation of that car to keep the premiums down. Surely there is temptation to want more data and to do more. It may seem hypothetical, but if you use the internet then your history is used as an advertising and promotion tool. Therefore should there not be strict controls in terms of data control in the future, so that the data are not used?

Ben Howarth: I think there is a distinction to be made in relation to the data that the insurers would need as a condition of this Bill. The industry would love more data, as that helps with pricing. However, it is appropriate to ask what the insurance company needs and then to regulate that in order to make this Bill work. I refer to insurance companies, but actually it concerns what information the claimant would need for the purposes of verifying whether or not they have the right to make a claim. That is a key distinction. The more data that the insurers can potentially get on a commercial basis the better, but we recognise that there have to be controls on that.

Iwan Parry: I would add to that: as mentioned earlier, there is a difference between the limited amount of information that an insurer might require to understand whether the vehicle was being controlled by the vehicle or controlled by a driver, and information that could be beneficial from a road safety point of view that could also act as evidence from a capture and perspective point of view. This information will inform future policy at governmental level and potentially at legislative level. That is a more detailed source of data, and it would also be of the type that would assist more detailed investigations of what went wrong if an automated vehicle had an accident.

[Craig Tracey (North Warwickshire) (Con)]

Q I declare an interest as chair of the all-party group on insurance and financial services. I would like to pick up on two points. Coming back to data: obviously, claims prices hinge on the quick sharing of data. In order to pay a claim, it will be necessary to know whether or not the car was in automated mode. Are there any current technical barriers between insurers and manufacturers that are going to delay that? Are there issues that you foresee causing problems?

Ben Howarth: We probably do not yet know enough about getting the data from the car to the insurance industry. Some work has started to be done via the Motor Insurance Bureau: as well as being the guarantee fund, they do a lot of data-sharing for the industry. We are confident that once we have data from a car, then the process of getting it to the insurer and settling the claim will be efficient. We would want confirmation that we can get it from the vehicle, but we have already started discussing that with the Society of Motor Manufacturers and Traders. That is something that can definitely be achieved within the timescales required.

[Craig Tracey]

Q May I make just one quick point? I echo some of the concerns colleagues have raised about clause 4(4)(b). The Bill talks about the damage suffered by an insured person arising from an accident occurring as a direct result of failure to install safety-critical updates. How would it be assessed whether the accident was a result of an installation not being made? Who would resolve those disputes? Can you see any problems around the insured potentially not seeing it as being a contributory factor to the accident? How would those disputes be resolved?

Iwan Parry: That relates directly to the point I have just made about the detail of the data. In that scenario, in order to resolve the question you would require a more detailed amount of data than purely who was in charge of the vehicle. It would be a question of what the variety of contributory factors to that collision were, what the vehicle systems saw and what they did in response to what they saw, and whether that can be related back to the functionality of the piece of software that was due for install. You would require a much more detailed set of data to resolve that question.

[Craig Tracey]

Q Would you envisage disputes going through the same channels as they currently do for disputes on liability?

Ben Howarth: In that kind of event, yes, I would.

[Edward Argar (Charnwood) (Con)]

Q I have a very quick question, following on, I think, from the answers that were given to the Minister’s question, in which you all said you anticipated that, if this goes to plan, it will see safer vehicles and therefore a reduction in accidents, leading to a reduction in premiums, which is clearly a positive for all those paying them. What assessment has been made, or what is your view of, any likely impact of that on the insurance market and industry? As I understand it, car and vehicle insurance premiums to a degree underwrite other insurance policies across the industry—that is the way it is structured. What impact do you think significant reductions in premiums would have in terms of disruption of the insurance market?

David Williams: Lots of work has been done on this by insurance companies and by market consultants, and they predict substantial reductions in the total premium pot. A couple of statistics—we think that 93% or 94% of accidents are caused by human error. I have driven in these machines; they are already much better drivers than most human beings. When we look at things like automated emergency braking systems—that is just one component of what will be the autonomous vehicle of the future—we know that they reduce accidents by 15% and injuries by 18%. So even if they cannot prevent the accident completely and absolutely, because they are braking better and faster there are fewer injuries.

We see a substantial impact. There will probably be a slight increase initially because you will have more expensive gadgets strapped around the periphery of vehicles, but once we see a higher proportion of these vehicles on the road, consultants predict a 50%-plus reduction in the total motor premium market. From our perspective, we are planning in that regard. The good thing is that it will not happen overnight, and therefore as we see motor premiums reduce we can move our staff and our capital on to other lines of business.

Automated and Electric Vehicles Bill (Second sitting)

Craig Tracey Excerpts

Committee Debate: 2nd sitting: House of Commons
Tuesday 31st October 2017 Public Bill Committees

[Rosie Duffield (Canterbury) (Lab)]

Q If there was one aspect of the Bill that members of the panel could change, what would it be?

Brian Madderson: The mandating of motorway service areas and large fuel retailers should be taken out at this stage because the market is just developing far too rapidly. We have even asked the Department for Transport what the definition of a large fuel retailer is, and it has said that it does not know yet and it will consult on that. Is it the size of the plot of a single one? Is it a multi-site organisation that might have filling stations all over the UK? Is it the amount of existing fossil fuel that a retailer is supplying? There is no definition, so I do not think it is reasonable or fair to mandate a large fuel retailer when you do not know what that is.

For similar reasons, I do not think that is fair and reasonable for motorway service areas either. There is just no money in it at the moment to justify huge investments, but there will be at some stage in the future and that is when the market will be able to say, “Let’s move on this now, and quickly too”. Hence my plea that the planning authorities are fully engaged to be able to allow effective planning applications as and when they are required for charge points.

Steve Gooding: Rather than changing something in the Bill, I think we would say that the powers—particularly in relation to electric vehicles—are drawn quite broadly. We would like to see how they are going to be used in succeeding regulations. We published some suggestions on how they might be crafted. There will obviously be some concerns—Brian’s perhaps first among them—about the implications for the operators of service areas, for local authorities and for householders. We would like to see the detail and to be confident—as I am sure we are—that the Department will get it right.

Brian Madderson: I would come back to that and say that the RAC’s report suggests that forecourts—filling stations, as they are at the moment—are probably one of the least best places to put a bank of charging points because of constrained space and alternative use, and because the few that we have today are all pretty busy selling diesel and petrol.

Steve Gooding: Apart from motorway service areas.

[Craig Tracey (North Warwickshire) (Con)]

Q Could I just follow up an answer you gave earlier, Mr Wong? You talked about the Audi model of traffic jams, where a car will offer to take over when a series of conditions are met. Is that how you see this working in the short term? Is it phase four?

David Wong: Level 3.

[Craig Tracey]

Q My question is: if one of those conditions is not met, then you said that it will invite the driver to take back control. What happens if the driver either does not or cannot take back control? How quickly would that process need to happen? Given that, why does that not give the potential for there to be more accidents in the short term?

David Wong: In the first place, the limiting conditions are such that the vehicle can only operate under the traffic jam pilot functionality at 38 mph, so that is a relatively low speed. If the driver is required to take back control at that low speed, Audi has said that there will be a minimum period of 10 seconds for the hand back to take place at 38 mph. This is completely different from some of the things that may have been heard in the press, where people were saying, “Oh, at 70 mph there is a three to five second hand back, it’s impossible to do that.” It is perhaps impossible. Audi will have a minimum hand back period of 10 seconds at 38 mph.

If the driver still fails to react within those 10 seconds, then a minimum risk manoeuvre will be performed whereby the car will slow down and grind to a halt in the lane safely, flashing the emergency indicators and strapping the seatbelt tight across the driver. The driver might have passed out, or may have become incapacitated. That is the assumption. In the intervening period, there would be a series of warnings within those 10 seconds including visual, acoustic and eventually haptic warnings. So there will be lots of measures that Audi has in fact built in. In any case it is travelling at 38 mph, so it is perfectly possible for the car to gradually grind to a halt in the lane with those measures in place.

Steve Gooding: Some of us are entirely unpersuaded that level 3 makes any sense at all. I accept all of the reassurances set out by David, but you should consider for a moment the Department for Transport’s own research showing that you are much more likely to kill someone when travelling at 30 mph than at 20 mph. I wonder if, at 38 mph, the window being created by Audi in which its system can operate is going to be too narrow. I am not sure that I have ever seen a dual carriageway in an urban area that is free-flowing with clear signs in this country. I think, personally, that we ought to say that level 3 is something that we do not want.

[Stephen Kerr (Stirling) (Con)]

Q In connection with what has been discussed today in relation to these five levels from manual to automated: in the context of the Bill, is the definition of “automated” in the Bill adequate for the purposes of the Bill at this point?

David Wong: We are informed that the policy intent behind the Bill is to do with the new insurance framework —the single insurer model framework—to cover level 4 and above. Insofar as that is reflected in the spirit and letter of the Bill, then that is adequate because it is at level four that the human being is—technically speaking—out of the loop, to use engineering parlance. The human being has surrendered control to the vehicle. At anything below level 4, the human being is still technically responsible and in the loop. So for these purposes the Bill is adequate.

HS2: Phase 2b Route (Manchester and Leeds)

Craig Tracey Excerpts

Wednesday 6th September 2017 Westminster Hall

[Antoinette Sandbach]

I am very grateful for that point, which my hon. Friend makes well. Having long been involved in the process, he knows exactly how frustrating it is to deal with HS2 and the lack of engagement that is apparent in many of the meetings that are held.

At a proposed length of 4 km, the depot in Wimboldsley will be a significant visual and environmental blight on that tranquil rural area. It will be in close proximity to Wimboldsley wood and cause significant disruption to prime dairy farming land. It will impact on six grade II listed buildings, as opposed to one at the Golborne site; requires five demolitions, compared with one at the Golborne site; and an obtrusive and unsightly tunnel-type structure is proposed to cross the Shropshire Union canal. That is at a spot popular for its tranquillity that is well used by locals and tourists alike.

[Craig Tracey (North Warwickshire) (Con)]

I congratulate my hon. Friend on securing the debate. I am all too familiar with this issue, having the constituency that is arguably the most affected by HS2. Does she agree that HS2 should give more consideration to bored tunnels? They have been requested by constituents in the Kingsbury and Polesworth action groups in my constituency and would help to minimise the impact on residents and the environment, but also on the road infrastructure, which will be severely affected.

[Antoinette Sandbach]

I completely agree. HS2 ought to look at tunnelling much more. We know that one impact may be 375,000 lorry vehicle movements. That will cause chaos on the rural roads around Eddisbury and will significantly disrupt some of the arterial routes through Cheshire, impacting on local businesses and local towns, so I agree that much greater consideration of tunnelling is needed.

There are impacts on my constituents, particularly at Wimboldsley Primary School, which is directly next to the proposed 4-km rolling stock depot site. The HS2 sift document, which informed the decision to move the depot from Golborne to Wimboldsley, made no mention of the primary school at all, raising serious questions about the scale of the analysis underpinning the decision. I am speaking for the parents, teachers and children who will have to suffer the consequences of the construction of that large piece of infrastructure and all the associated environmental and noise impacts if my hon. Friend the Minister does not intervene.

Road Infrastructure

Craig Tracey Excerpts

Wednesday 5th July 2017 Westminster Hall

[Huw Merriman]

I thank the hon. Gentleman for that point. The project put forward by Highways England was to have average speed cameras all the way down through the village—there is a primary school in the heart of the village. The A21 was modelled on a road in Scotland—it may be the one he referred to—which apparently reduced the traffic accident rate by 80%. We were very excited to copy that fine example from Scotland, so were dismayed when the scheme was cancelled. I very much take the point and I hope Highways England will do so as well.

My second example is the A259. Again, that road is managed by Highways England, unfortunately for us. It runs along the Sussex coast and takes over from the A27, which itself is in bad need of dualling, as championed by my hon. Friend the Member for Lewes (Maria Caulfield), my right hon. Friend the Member for Arundel and South Downs (Nick Herbert) and others. As the A259 approaches Bexhill at a village called Little Common, it acts as a dangerous bottleneck. Again, the village was due to be bypassed, as part of the Highways England south coast trunk road, which was due to come from Devon all the way to Dover and give us a much better transport system. That was scrapped in 2001.

Fortunately, a new link road was built by East Sussex County Council and our local enterprise partnership, with Government funding, and has opened between Bexhill and Hastings. It opened last year and has delivered not just improved journey times, but 50,000 square feet of land for a business park and 2,000 new homes—it is as much a business road as a transport system.

East Sussex County Council and our local enterprise partnership are now building a second road off that new link road, so we are effectively now two-thirds through bypassing a town of 40,000 residents. The last remaining section is for a bypass around the remainder of Little Common, which would deliver a bypass for the entirety of Bexhill and make it easier for the Sussex coastal towns to join up.

I have asked my local authorities and the local enterprise partnership to consider whether the housing infrastructure fund—the £20 billion fund announced by the Chancellor last year—could be tapped for Hurst Green and Little Common. The issue is that, having delivered the link road with its room for 2,000 houses, the local authorities rightly feel that they have already delivered housing and do not need any further. I will certainly be asking them to apply for the new bypass fund, but we first need clarity from the Roads Minister that they will be allowed to apply, given that the road is managed by Highways England.

[Craig Tracey (North Warwickshire) (Con)]

I congratulate my hon. Friend on securing this debate. On housing, would he agree that particular consideration needs to be given to key arterial routes that link major motorways, such as the A5 in my constituency, which connects the M69, M1 and M42? It is already under huge pressure, and will be even more so due to proposed housing and the development of High Speed 2.

[Huw Merriman]

I agree. Perhaps my hon. Friend will agree with me on some of the points that I will come on to talk about with respect to Highways England and some of the problems that many hon. Members may have had in facing that agency.

At the A21 reference group, which I sit on with my right hon. Friends the Members for Tunbridge Wells (Greg Clark) and for Hastings and Rye (Amber Rudd), we asked Highways England representatives what we could do to dual the rest of the A21 all the way down to Hastings: how we could commission an economic study and what boxes that study would need to tick in order to meet Highways England’s programme. I am afraid to say that the Highways England reps before us displayed a lack of dynamism and a “no can do” attitude, which is caused, in my view, by the fact that it has no competition on its strategic road network programme for building.

The link road that I described was delivered by a small outfit called Sea Change, in conjunction with the county and our local enterprise partnership. They were able to deliver that road to time and cost. I ask the Roads Minister whether it is possible to let counties, LEPs and their agencies put tenders together to bid for Highways England- managed roads. I put that proposal to the chief executive of Highways England during a sitting of the Transport Committee, on which I sit, and he claimed he is confident that Highways England cannot be beaten on value for money. Let us put that to the test and allow others to tender for the work.

Time does not allow me to speak for much longer, because I want to let others in, but I want to open up the debate by talking about a few more points. This is about not just building more roads, but ensuring that the roads we currently have are moving for traffic. To that end, I would like traffic enforcement provisions to be moved from the police to the local authority for moving traffic offences. I would also like there to be some form of compulsion to ensure that local authorities that still rely on the police to enforce parking on the highways take responsibility for that. There are only 15 remaining, and two of those districts are in my authority. As a result, it is a free-for-all when it comes to parking and blocking up space.

For the visually impaired—I have some sympathy, having undertaken a guide dogs test in a blindfold—we have to ensure that it is an offence to park on the kerb outside London, as it is inside London. We have to change the situation. I would also like new roads and existing roads to encourage cycling. London does a great deal for cyclists, and I would like that practice to be adopted throughout the country. I will finish my speech now to allow others to make their own cases.

Bus Services Bill [Lords]

Craig Tracey Excerpts

2nd reading: House of Commons
Wednesday 1st March 2017 Commons Chamber

[Craig Tracey (North Warwickshire) (Con)]

I welcome the main aims of the Bill, which are to increase passenger numbers and give local authorities and operators new tools to improve services. With that in mind, I wish to make a brief contribution on rural bus services, which are of huge interest to my constituents, particularly those in the more rural and isolated parts, because I am keen to hear from the Minister how the Bill can help them. Without a shadow of a doubt, the biggest turnouts at the public meetings I have held have been at those at which bus services are being discussed. At a recent event in Kingsbury, where a route was being cut—I will return to that later—such was the strength of feeling that we had to shut people out of the room because capacity was quickly reached.

Obviously, many people rely on public transport. At a time when we are encouraging more people to use it, it is important that we do not forget the areas that need services, so that people have the opportunity to get good jobs and to shop and socialise, and so that they can choose where they are educated. Sadly, that is not currently happening in North Warwickshire and Bedworth. I hear regularly from constituents that there are not enough buses, that they do not go at the right times, and that they do not go where people need them to go. I have to admit that there is a stark contrast between my time spent in London, when I think of using nothing other than public transport because of how excellently it works, and my time spent back in the constituency, where it is just not viable to use it.

[Robert Courts (Witney) (Con)]

My hon. Friend makes an important point about the difference between cities, which are so well provided for, and rural areas such as North Warwickshire and, indeed, west Oxfordshire. I suspect his constituents are in the same position as many of mine. Does he agree that for our constituents—such as the elderly in rural villages who need to get to clinics, the children who need to get to school, or the young people who need get to employment opportunities—the provision of regular, effective and far-reaching rural bus services is a real concern?

[Craig Tracey]

My hon. Friend is absolutely right. I shall discuss the elderly a little more later, because we need not only to ensure they can get to clinics, but to address issues such as isolation and loneliness, which have a big impact on health services.

The contrast between public transport in London and in my constituency is demonstrated by the fact that if I wanted to get a bus from my home in Shuttington to my constituency office in Atherstone, which is around 7 miles and takes around 15 minutes by car, it would take me an hour and a half to get there by bus. Similarly, if I wanted to get into the nearest town, Tamworth, which is 3 miles away, the bus journey would take around one hour and 40 minutes. That is not a good service for anyone wanting to get to a 9-to-5 job or to their doctor, or to use other local amenities.

I am sure the Minister is aware that HS2, which also falls under his remit, is a huge concern for the residents of North Warwickshire—arguably the most affected area outside London. At a time when much is being made of the speed with which people can access other areas of the country, my constituents currently feel let down by the speed of access to their local towns and cities. The promise of the supposed employment and benefits that HS2 could bring to the area are negated by the fact that many of my constituents simply will not be able to access them. For a resident living in Kingsbury, a community with a population of more than 7,000 that is heavily affected by HS2, it currently takes two hours and 10 minutes on public transport to get the 15 miles into Birmingham city centre, with only one bus getting there before 9 am.

We recently saw the loss of a vital lifeline link, when the 116 bus route was withdrawn with very little notice, leaving people from areas such as Kingsbury and Curdworth unable to get to work, again. The operator complied with the guidelines, but they were not robust enough to enable sufficient notice or consultation to allow people the opportunity to engage or make alternative arrangements, even though for many that would not have been possible in any event because it was their only method of transport. I appreciate that there is a Catch-22 situation, whereby although there needs to be a degree of commercial viability for companies, if they do not run the services when people want them or get people there in a reasonable time, they are simply not going to be used.

I recently ran an event on the impacts of loneliness and isolation, which have far-reaching consequences for our blue-light services and the NHS. It is clear that access to great public transport could have a huge effect on rural communities and afford people, particularly the elderly, who often need our support most, the ability to enjoy the opportunities that less remote areas enjoy as a matter of course. The benefits to the overall public purse could be very significant, not to mention the health benefits that a more active lifestyle would offer.

[Lilian Greenwood]

The hon. Gentleman is making a really important point about how buses can help with social exclusion. Has he considered the potential to create in rural areas what are called total transport networks, whereby social services buses, non-emergency patient transport, and school and college transport are pulled together to provide the sort of services he would like to see for this constituents?

[Craig Tracey]

The hon. Lady makes a good point. That is something I have been looking at as part of my work on isolation. We need to take the opportunity offered by the Bill to look not only at solutions from the past but at the innovative opportunities out there.

We need to consider how rural bus services are run, and the passage of the Bill seems like an opportune time to do so. As I have said, I welcome the measures set out in the Bill, but would like the Minster to look at how we can ensure that our rural communities are not cut off and left behind. With an ageing population and the likelihood that people will become more isolated if more is not done soon, as well as the pressures that increased building will put on our already struggling infrastructure in North Warwickshire and Bedworth, better service provision is an absolute must. I look forward to hearing the Minister’s comments on how the Bill can make that happen.