Oral Answers to Questions

Debate between Dan Carden and Paul Maynard

Thursday 30th November 2017 Commons Chamber

[Dan Carden (Liverpool, Walton) (Lab)]

11. What recent assessment he has made of trends in rail passenger usage.

[The Parliamentary Under-Secretary of State for Transport (Paul Maynard)]

The latest statistics published by the Office of Rail and Road for the first quarter of 2017-18 show a slight decline in the number of rail journeys, although passenger kilometres and revenue have increased since the previous year.

[Dan Carden]

Since 2010, rail fares have risen by 27%, at twice the rate of wages, and the steepest fare hikes for five years are due in January. Meanwhile, passenger numbers are declining, and more and more of my constituents are being priced out of rail travel altogether. When will the Government accept that the whole system of rail franchising and private profiteering from our railways is utterly broken?

[Paul Maynard]

Opposition Members really should not try to draw conclusions from one quarter’s statistics to underpin their own ideological agenda. The simple fact is that far more passengers have been using our rail networks than ever before. I believe that privatised railways have been a success. The alternative that the hon. Gentleman has proposed would ensure that passengers were always at the back of the queue whenever any decision was made by any ghastly future Labour Government.

Guards on Merseyrail Trains

Debate between Dan Carden and Paul Maynard

Wednesday 22nd November 2017 Commons Chamber

[Paul Maynard]

Given the lack of available time, it is only fair that if there are interventions, I should devote my responses to the hon. Member for Liverpool, Walton. He can choose the moment at which to launch his salvo in my direction, but I suspect that divergence will increase as my speech proceeds.

Merseyside in particular has experienced the value of the public-private partnership that has driven the renaissance in passenger rail services since 1996, but before I say more about Merseyrail in particular, I want to take a minute to look at the bigger picture.

Just a few weeks ago, we published our rail spending commitments for the period up to 2024: £34.7 billion of public investment in our railway plus £13.2 billion from private sources including network charges and fares. This carries into another decade the greatest investment in our railways since the time of Queen Victoria. It will deliver improvements in punctuality and reliability for passengers, as well as supporting thousands of jobs in the supply chain and the wider economy. Why are we making this money available? It is for quite a simple reason—because the privatisation of our railways has succeeded. I will never apologise for repeating the statistics. Passenger journeys have more than doubled since 1995. We now have the most improved railway in Europe, and the safest major railway.

As Merseyrail is a devolved concession, key strategic decisions are made at a local level by the Liverpool City Region Combined Authority. Merseyrail holds a 25-year concession, which commenced in July 2003, with the efficient operator reviews undertaken every five years. Merseytravel lets the concession for the Merseyrail network, setting the specification for service provision and the terms and conditions of contract under powers devolved from the Department for Transport back in 2003. The Merseyrail concession is different from most train franchise contracts, which are awarded by the Department for Transport. The only other franchise that is even remotely similar is that of the London Overground network. This local concession agreement has allowed both Merseytravel and Merseyrail to work closely together to respond to local demands and needs. Ultimately, the greatest beneficiaries are the passengers.

The length of the concession—25 years—distinguishes Merseyrail from many other train operating companies, whose contracts average between seven and 10 years. For this reason, Merseyrail and Merseytravel are in the enviable position of being able to take a long-term perspective on the investment and development of their rail services. This arrangement means that control of the concession rests wholly within the city region, ensuring strategic direction and leadership with a strong local focus and ensuring that developments fit with the city region’s prioritised requirements embedded within the wider long-term rail strategy that it has developed itself. The nature of the concession sees Merseytravel working in close collaboration with Merseyrail, directly addressing local demands for the ultimate benefit of passengers.

When the previous franchise ended back in 2003, local politicians quite clearly wanted to respond to the needs of the rail users much better, and to implement changes that would improve the network for the benefit of customers and support the growth of the city region economy. They wanted a longer-term partnership approach with the operator to enable ongoing investment programmes to continue with risk being shared. This led to a highly demanding specification based on customer requirements and the needs of the local economy. Following a robust procurement process, 2003 saw the transfer of responsibility for the Merseyrail Electrics heavy rail franchise from the then Strategic Rail Authority to Merseytravel.

[Dan Carden]

In my speech, I congratulated Merseytravel on the ability to secure provision of these trains in the public sector, which means that they will be 30% cheaper than if they were bought through private means and private loans. But the one thing we cannot do is have a publicly run rail network across Merseyside because of the legislation of the UK Government. It is okay for Dutch public railways and public railways from other countries to come and run our railways; does the Minister not think that his Government might like to run a railway system sometime?