Tolls on the Mersey Crossings

Derek Twigg Excerpts

Tuesday 5th December 2017 Westminster Hall

[Derek Twigg (Halton) (Lab)]

I will concentrate on the three or four key issues in this area that most constituents contact me about; I cannot concentrate on every issue that every constituent has raised with me.

I would like to put on record my congratulations to Halton Borough Council. It is a fantastic achievement to have delivered this huge infrastructure on time and to budget when the council is probably one of the smallest in the country. If central Government had that record, they would probably be a bit more pleased about some of their recent projects. It is excellent delivery by the council. Of course, there are some teething and snagging problems and other issues that hon. Friends have raised, but I want to concentrate on three or four main issues.

First, I absolutely agree that we should have a bridge with no tolls. That has always been my position. Certainly longer-standing hon. Friends here have supported having a new bridge, but not one that is tolled. Why should we have all the tolled crossings when London and the south-east have crossings on the Thames where people do not have to pay? I keep being told it is an estuary crossing, but why does an estuary crossing differ from the one a little further upriver, as is the case on the Thames? It is bizarre. I totally agree with my hon. Friends that the bridge should be toll-free.

However, the bridge is not toll-free. It was clear from the beginning of the discussions I have had with the Government since the early 2000s and thereafter—the previous Labour Government, the coalition Government and the Conservative Governments—that there would not be a crossing if it was not tolled. The decision letter from the Secretary of State stated:

“The Inspector said that the £604 million cost of the Project would be funded by toll revenues and PFI credits...The Secretary of State wishes to clarify first that the Project is intended to be funded from a mixture of toll revenues, PFI credits and RFA funding.”

That funding range has now changed, but that is what was said. On charging tolls on the Mersey Gateway bridge and the Silver Jubilee bridge, the decision letter stated:

“While noting that there was opposition to both the principle and perceived effects of tolling, particularly as regards the imposition of charges on the Silver Jubilee Bridge, the Inspector said it was clear that the Mersey Gateway Bridge could proceed only if tolled and that an un-tolled crossing would generate significant additional traffic contrary to transport policy. He accepted also that, without tolling the Silver Jubilee Bridge, traffic would not use the Mersey Gateway Bridge and the Project would not meet its objectives.”

I do not agree with the decision letter, but that is what was said at the time.

[Helen Jones]

My hon. Friend is right about the decisions taken and the concern about traffic flows. Does he agree that evidence is now appearing that the tolling on the bridge is increasing traffic flows through Warrington, which is already very congested? And that is after the former Member for Warrington South appeared in the 2015 election in front of a big banner saying, “No tolls”, so people rightly feel aggrieved.

[Derek Twigg]

My hon. Friend makes an important point. There is increased traffic going through Warrington, which was always expected, and that is causing further congestion. Again, it comes back to this: if a bridge is tolled, some traffic will try to find an alternative route. How long that will go on for, I do not know, but it is having an impact.

The reality is that we needed a new bridge. The Silver Jubilee bridge was congested, its capacity was far exceeded, and it was having an effect on investment in the borough because people were regularly queueing to get over the bridge. Sometimes, if a vehicle broke down or there was an accident, people could be there for hours. There was a regular queue of traffic going over the bridge. It is in need of major repairs as well, which is why it has been shut for about a year to carry out the repairs. Imagine closing that bridge with no other bridge in place: there would be chaos not only in Warrington, but all round the north-west. The fact that the bridge was needed is indisputable, and we need to understand that.

There is also an issue of pollution. Communities around the Silver Jubilee bridge had to cope with all the pollution of standing traffic and huge traffic increases. There was no doubt in my mind about the need for a bridge, but as I say, I want an untolled bridge, as do colleagues. However, we have this situation at the moment, and I look forward to hearing what the Minister will say.

As part of the discussions that I had, I met George Osborne, the former Member for Tatton, along with colleagues Graham Evans, the MP for Weaver Vale at the time, David Mowat and Andrew Miller. My primary aim in having that meeting was to argue that, for Halton people, it is their local road. They use it to go to the hospital, to work and to the train station, to go shopping and simply for normal business. I do not know anywhere else in the country where a borough has a tolled road that people have to cross to get to another part of the borough. It simply does not exist. It would be totally unfair.

George Osborne eventually accepted my argument and agreed that residents in Halton should be able to travel toll-free. He put out a press statement in July 2014 to announce that. I will make this clear for the Minister. The Treasury press release stated that the bridge

“will be free to use for all Halton residents”,

with

“a small charge”

for registration. It stated:

“The extension of the discount scheme will...apply to...categories of vehicles included in the existing discount scheme.”

I have written to the Department on numerous occasions because around 425 residents in Halton are in bands G and H and, because of the discount scheme, are excluded. The fact is that George Osborne—the Treasury—said that all residents would be able to travel free. I keep getting letters back from the Minister quoting the issue about the local discount scheme, but it is not quoted here. It is clear.

I also wrote to George Osborne, and on 5 December 2015, he wrote:

“I am happy to confirm that as the Government has previously announced, tolls for Halton residents will be free once the Bridge opens.”

That is very clear. There are no ifs or buts, and no mention of excluding people in bands G and H. It is totally unfair for people in bands G and H to be denied the chance to travel free, albeit with a small charge, across the borough. Why should they have to pay? It is completely unfair and not reasonable. I hope the Minister will go away and look at this matter again, because the policy should be changed. Not all of the people in bands G and H are cash-rich. In some cases, people are not on great incomes, but that is not the point. In principle, they should not have to pay. I hope the Minister will look at that issue.

On small businesses, the then Chancellor made a statement—my hon. Friend the Member for City of Chester (Christian Matheson) referred to that. I have the press coverage here and witnesses heard him say this. As well as extending the scheme to Cheshire West and Chester, and Warrington, the then Chancellor said there would be “a special scheme” to help small businesses. He added that if firms paid nothing, taxpayers could pick up a higher bill, but he said that there will be a scheme to help small businesses. Of course, once he went, the promise to Cheshire West and Chester, and Warrington, was ditched, so I wrote to Ministers again. Halton businesses have the same issue as residents because they use the bridge a lot more. It is their local base. Again, the Minister wrote back and said there was no way that could be done, and this time used the argument about state aid rules.

I got in touch with the Library to do some research, and the Library believes there is a way of helping at least some small businesses by having a scheme in Halton. Again, the Government have ignored that, after a promise made by the former Chancellor of the Exchequer. I hope the Minister will look at that as well.

Another issue raised regularly with me is about businesses in Halton that might suffer as a result of paying the extra tolls, particularly if they are transport-heavy, such as haulage and delivery companies. Also, the constituents of my hon. Friends here today travel in and have to pay the toll. Some businesses tell me they are fearful of losing experienced and skilled staff who might go elsewhere because they do not want to pay the £1,000-a-year toll. The Minister needs to look at that issue, which has been raised with me by several companies.

The Minister needs to look seriously at some of the promises that were made and should revisit them. Although I want free tolls for everybody, the key issues for me are my constituents in bands G and H, small businesses, staff travelling into Halton and the impact on businesses. Most businesses think faster speed and lack of congestion are great. They are happy with that, but some have expressed concern about paying the toll.

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

One thing that frustrates many people who have an interest in this debate is the fact that national leaders seek to blame local leaders. It is very clear that responsibility lies with the Minister. We had promises from the former Chancellor. It was the Government that announced the scrapping of tolls on the Severn crossing. Is it not right to expect a real answer from the Minister today and not simply, as we saw yesterday, pushing this issue back down on to local leaders?

[Derek Twigg]

My hon. Friend is absolutely right. The fact remains that it was not Halton Borough Council’s decision to make it a toll bridge. I know that because I have been involved with the project from the very start. It was clearly central Government who made that decision.

The solution that has been raised by my hon. Friends today rests with the Government, not Halton Borough Council, which has had its budget cut by over 50%. It is one of the smallest councils in the country and it is struggling on a daily basis to provide the services that its residents need. The solution rests with the Government alone, and they need to look at that very carefully.

In conclusion, the bridge is a great, iconic structure and it is fabulous to have it, but the toll system is causing untold problems. I raised the issues faced specifically by Halton constituents, but I also understand very well the concerns of my colleagues, some of whom will make further points of their own later on.

--- Later in debate ---

[Jesse Norman]

I have no time. The right hon. Gentleman can ask his question if he wants to, but I really want to respond to the points that have been made.

The Government have provided £288 million so far to fund this piece of infrastructure, on top of the £86 million already provided to Halton to develop the scheme and to pay for land and for decontamination. It has been the policy of successive UK Governments—this Government and previous ones—that major estuarial crossings should be tolled. That has been the case with similar English crossings and with the Mersey tunnels, and it was decided that the Gateway bridge would not depart from that policy.

The tolling proposals have been integral to the scheme and to the financing package for the new bridge. As was recognised, it is a practical impossibility to have a situation in which the new bridge is tolled while the adjacent Silver Jubilee bridge is not. That would mean that most users would opt to use the existing bridge, which would defeat the objective of bringing that bridge back to more local use and upset the agreed financial package. There is nothing new here. These issues were all considered and debated at the public inquiry into the legal orders that Halton Borough Council sought to construct the new crossing.

It is important to recognise that, at the final approval stage in 2014, the then Chancellor announced that the Government would fund the difference, to allow eligible residents unlimited use of the bridges for registered private cars only. As a result, there is a discount scheme for local residents. The residents of Halton are in the unusual position that the existing bridge connects the two parts of the borough either side of the River Mersey. We continue to feel that it is right that those who live in that situation receive free crossings, as is the case with the Dartford crossing in Kent. Many hon. Members said that there is therefore a case to be made for the extension of free tolling to residents of councils beyond Halton. As I have said, we have looked at that, but it is a practical impossibility, for two reasons. First, the cost to the Government and to local authorities would be substantial. Extending the benefit to residents of just the five neighbouring authorities would cost more than £600 million. We would expect the cost to be split according to the ratio that has been used so far. That would leave nearly £370 million to be found by the five councils.

[Derek Twigg]

Will the Minister give way on the point about bands G and H?

[Jesse Norman]

The hon. Gentleman raises the issue of people in bands G and H. There has to have been a socioeconomic basis for that, otherwise the problem could not have been addressed without a leakage, but I am very happy to revisit the letter that he received with Treasury colleagues to see whether further consideration can be given to that issue.

I want to give the hon. Member for City of Chester a chance to wind up, so let me say very quickly that it is not fair to point to the crossing on the M4 in Wales as a precedent, because that bridge had been paid for through its tolls. Yes, there have been teething problems and snags. Those are issues for Merseyflow and Halton Borough Council.

Let me conclude by reminding those present of the significant transport investment that the Government have made and wish to continue to make in the Liverpool sub-region. These crossings are the subject of local governance by the relevant bodies and I am delighted that the bridge opened successfully on schedule.