Transport in the North

Diana Johnson Excerpts

Monday 6th November 2017 Commons Chamber

[Diana Johnson (Kingston upon Hull North) (Lab)]

I beg to move,

That this House has considered transport in the North.

It is very nice to see a fellow Yorkshire MP in the Chair for this debate, Madam Deputy Speaker. I thank the Backbench Business Committee for granting time to debate this important issue. I thank the many hon. Members who sponsored the application, in particular my co-sponsors, the hon. Members for Shipley (Philip Davies) and for Brigg and Goole (Andrew Percy).

Over the past four months, the Transport Secretary has made a number of significant announcements on transport in northern England. On 20 July, he released a written ministerial statement cancelling a range of rail electrification projects, including Oxenholme to Windermere, and the whole line north of Kettering to Sheffield and Nottingham. The privately financed plans to electrify the Hull to Selby line had already been scrapped in November 2016, despite Transport for the North describing the scheme as:

“intrinsic to the story of transformation and provide necessary conditions to support the radical step-change required to deliver the Northern Powerhouse and strategic transport improvements to underpin this.”

The Department for Transport claims that bimodal diesel electric trains will realise

“the same significant improvements to journeys”

as electrification. On 21 July, the Transport Secretary, speaking to the press, cast doubt on the electrification of the trans-Pennine route and again talked about bimodal trains. Finally, on 22 August, he wrote in The Yorkshire Post boasting that there was to be a record £13 billion of investment in northern transport over the next Parliament, but that to secure further gains it was up to northern leaders, backed by Transport for the North, to realise the gains themselves.

[Hilary Benn (Leeds Central) (Lab)]

I congratulate my hon. Friend on securing the debate, along with other hon. Members. She describes recent Government announcements. Do they not make our constituents ever more conscious of the significant disparity between investment in transport in the North, and in London and the south-east? Does she agree that if we really are to have the kind of transport infrastructure we require for our future economic development, we need both the money and the powers to take decisions for ourselves?

[Diana Johnson]

As ever, my right hon. Friend puts his finger right on it: we need the money and the powers.

Alongside many hon. Members on both sides of the House, I sought this debate to have the opportunity to hold the Secretary of State to account for the announcements he made over the summer. It is good to see a Transport Minister on the Treasury Bench, but I am disappointed that, on this very important issue for the country, the Secretary of State is not here to listen to and respond to the debate when it is his actions over the summer and in previous months that have prompted the debate.

I want to make the case for a much bolder and more ambitious transport strategy for northern England. Despite what has been claimed, Britain is becoming more, not less, regionally divided. The inequality between our regions’ economies is the largest of any country in Europe. The productivity gap between north and south is also widening.

[Kevin Hollinrake (Thirsk and Malton) (Con)]

Does the hon. Lady accept that the regional disparity in funding, in particular on transport, has been the same for decades and that this is not a party political issue? We should be working together, cross-party, to make sure that future investment is more fairly distributed throughout the UK.

[Diana Johnson]

I do not want this issue to be party political; I want it to be cross-party. This is in the interests of Britain, so we in Parliament should work together.

[Catherine McKinnell (Newcastle upon Tyne North) (Lab)]

Will my hon. Friend give way?

[Diana Johnson]

I will, but one last time. I am conscious that there is not much time.

[Catherine McKinnell]

I thank my hon. Friend for giving way and I pay tribute to her for securing the debate. Does she agree that for far too long, improving equality between the north and the south in terms of transport infrastructure has meant improving links between the north and the south, rather than the links within regions, which is what will really boost our regional economy?

[Diana Johnson]

My hon. Friend makes that point very well and I absolutely agree with it.

I want to pursue the issue of regional inequalities. One core goal of public spending should be to tackle the deep-rooted inequalities between our regions, but all too often our transport and infrastructure spending has reflected those inequalities, or, even worse, compounded them. The gap in transport investment between the north and the capital is stark and widening. Nowhere is this divide more apparent than in Yorkshire and the Humber. We are to get just £190 a head in future transport investment over the next few years, the lowest of any UK region. London will get £1,943 a head—10 times as much. Transport for the North, with new statutory powers, is to get £60 million to develop transport plans for the whole of the north of England. That sounds impressive until we note that as long ago as 2008 Transport for London was spending £50 million just on advertising.

I welcome the £13 billion available for northern transport over the next five years, which I am sure the Minister will talk about, but I want to put that in the context of the London Crossrail projects. Crossrail 1, a single project in London, cost more, at £14.8 billion, than the north will get in this entire Parliament. The new Crossrail station at Tottenham Court Road cost £1 billion. Crossrail 2, with an initial budget of £31.2 billion, could yet dwarf it even further. Crossrail 2 was given backing from the Secretary of State this summer, at the same time as he was cancelling investment in the north. In backing Crossrail 2, I do not recall the Transport Secretary saying that London had to have bimodal trains—it is getting electric trains.

The practical consequences of this divide are clear for all to see. It takes longer to travel from Liverpool to Hull than it does from London to Paris, and that is without the frequent delays. As IPPR North has highlighted, if the north had received the same transport investment as London over the past decade, we would have received an additional £59 billion. We cannot afford to ignore three regions with a population almost twice that of London and an economy larger than the three devolved nations put together.

There are immense economic gains to be realised if we plug the gap in transport investment. As the Northern Powerhouse Independent Economic Review highlighted, a proper investment plan for the north, including major transport investment, would create an additional 850,000 jobs and add £97 billion to the economy by 2050. I admit that priorities need to be reordered, but it does not have to be an either/or choice between London and the south-east, and the rest. The underlying problem is that Britain spends well below the international OECD average on infrastructure. All political parties must acknowledge that this is a national concern that requires urgent attention.

The previous Chancellor recognised the potential of the northern powerhouse—indeed he coined the phrase—and set out some ambitious promises for the region. In the short to medium term, we were promised dramatic improvements in our existing railways and stations. In the longer term, he expressed support for the £25 billion to £30 billion Crossrail for the north project, promising to halve journey times between Leeds, Manchester and Sheffield to 30 minutes. We were told that our strategic road network would get unprecedented levels of new investment, spearheaded through a new organisation, Highways England, including promised investment in 43 road improvements across northern England, among them the A63 at Castle Street, in Hull, on which work was scheduled to begin by 2018. Finally, he promised new powers, devolved to northern England, to help realise all these gains. Transport for the North, created in 2015, was eventually to become a statutory subnational transport body and assume similar powers to those of Transport for London. It was to work alongside stronger local councils, a network of local enterprise partnerships and powerful elected Mayors.

Sadly, the reality has not lived up to these promises, so I ask the Transport Minister to make the following five commitments. First, the Government should spell out exactly how they expect bimodal, diesel-electric trains to realise the same benefits as electrified ones. A short written ministerial statement will not cut it. All the evidence suggests that they are the inferior option. They will be the first bimodal trains built in Britain since the 1960s. In Britain, diesel cars are being phased out at a time when diesel trains seem to be being phased back in. All those European countries that still have non-electric lines are all pursuing electrification. There is strong evidence that in diesel mode bimodal intercity express trains will be slower than the ones they replace. Great Western Railway has admitted as much in the case of the intercity trains on its line. No rail system that is not electrified can be described as “high speed”, which is ironic given that previous Whitehall statements have referred to the north as getting “High Speed 3”.

Network Rail promised electrification, saying that it would deliver shorter journey times, 20% to 30% lower CO₂ emissions and 33% lower maintenance costs, but all these gains might now never be realised. Journey times from Manchester to Liverpool look set to be 30 minutes longer than promised and journeys from Leeds to Newcastle 20 minutes longer. Where does this leave plans for future rail investment, especially Crossrail for the north? Northern leaders and Transport for the North had always been clear that short to medium-term rail improvements ran hand in hand with longer-term plans. In developing Crossrail for the north, Transport for the North is still working from the baseline assumption that these rail upgrades will deliver the journey time improvements promised.

If the Transport Secretary is so confident in his approach, he should publish an independent expert assessment of exactly what kinds of travel times, CO₂ emissions, upfront costs and maintenance costs we can expect from the bimodal trains that he is so keen on. This assessment should state whether they will meet Transport for the North’s baseline assumptions and assess their impact on realising longer-term investments, such as Crossrail for the north. All those years he was boasting about electrification, he must have known that bimodal technology existed. Instead, bimodal technology is one of the excuses, alongside the discovery of Victorian rail tunnels in the north, for dropping investment plans.

Secondly, the Minister must urgently address the uncertainty caused by the Transport Secretary’s recent announcements and recommit to the investment that the previous Chancellor promised. He must commit to electrification of the trans-Pennine line, the midlands main line, the Hull to Selby line and those parts of the north-west triangle still due for completion, and in order to realise key economic benefits for our region, he must give Crossrail for the north priority over Crossrail 2 for London.

Thirdly, the Government should provide Transport for the North with the powers it was promised, along the same lines as those in London. We now know that, in the statutory instrument to be laid shortly in Parliament, Transport for the North will not have nearly the same powers as Transport for London. In the north, we need to be able to finance infrastructure projects and drive forward private investment, but rather than embracing these opportunities, the Government have given us the worst of all worlds: neither the money to fund our transport projects and lever in private investment, nor the power to raise funds and promote the north ourselves.

Fourthly, we need the road investment promised. In March 2017, the National Audit Office strongly criticised Highways England and cast doubt on whether existing commitments would be met. It has already pushed back the start dates of 16 road investment schemes and paused six others. The A63 improvement in Hull has since been delayed to at least 2020. My hon. Friend the Member for Kingston upon Hull West and Hessle (Emma Hardy) has had to fight hard just to get a pedestrian footbridge built over the A63—for safety reasons—before the main work starts in 2020.

I must mention bus services. Northern bus services have been hit hard: between 2010-11 and 2016-17, bus budgets were cut by 22% in the north-east, by 23% in the north-west and by 37% in Yorkshire and the Humber; and seven in 10 councils have cut bus services since 2010. The Government must reaffirm the commitments they had made, commit to funding the road network properly and to delivering those and future improvements to a proper timescale.

Finally, and most fundamentally, we need a long-term, cross-party commitment to addressing Britain’s regional inequalities and plugging the gap in investment between London and the rest. This needs to be a long-term commitment from both sides of the House. Future Budgets could, and should, be judged by how they reduce these inequalities.

In conclusion, the north’s problems are Britain’s problems. If we are to stand any chance of solving the deep-rooted challenges our country faces—solving our productivity crisis, addressing inequality, increasing our exports post-Brexit, creating stronger UK GDP growth overall—the north must fire on all cylinders. This means rebalancing the economy. Indeed, many of the challenges in our capital—skyrocketing rents and house prices, the chronic congestion that is economically inefficient and bad for people’s health and quality of life—would be much easier to solve if we rebalanced our economy.

I do not wish to deny London the transport investment it requires as the capital city, but the logic of rebalancing the economy was as much about taking pressure off London and the south-east by investing in regenerating the north as it was about keeping up with the incessant demand for massive schemes in and around London. In the digital age, many industries no longer need to cluster in the south-east. The Government have accepted the arguments for rebalancing the economy; now their actions need to follow their words. It is in the national interest that the north—our taxpayers, our fare payers, our businesses—gets its fair share of investment.

[Several hon. Members rose—]

--- Later in debate ---

[Diana Johnson]

We had an excellent debate until the last 10 minutes. We had a tour around the north of England. We went to Cumbria, Hull, Cleethorpes and Durham, and we heard a lot about the A1, the A15, the A63 and even A roads that go through farmyards. We heard about ports and regional airports. As northern MPs, across parties, we are all ambitious for our region, and we want regional inequalities to be addressed by fair funding. We will not be going away. We will be holding this Government to account.

I am disappointed with the Minister’s response, because I think he read out a pre-prepared speech. He did not listen to what people were saying. With the greatest of respect, and as the hon. Member for Westmorland and Lonsdale (Tim Farron) said, it is typical of a southern Transport Minister to think that the problems of the north can be dealt with by HS2.

The Chair of the Backbench Business Committee, my hon. Friend the Member for Gateshead (Ian Mearns), talked about the 120 days he has been waiting for a response from the Department to a letter signed by 10 MPs. The Department managed to get itself working very quickly this evening, because it has already been on the phone to The Yorkshire Post to complain that the newspaper has apparently put about the idea that the Secretary of State has snubbed this debate. It is important to note that this was a national issue; it was not about local transport. It is about a national issue and the Secretary of State’s comments over the summer.

Question put and agreed to.

Resolved,

That this House has considered transport in the North.