McNulty Report and West Coast Rail

Edward Timpson Excerpts

Thursday 19th May 2011 Commons Chamber

[Mr Hammond]

A good old Labour contribution from below the gangway! Sir Roy McNulty did look at the options of greater integration, but the hon. Gentleman might not be aware that things have moved on a little in Europe since the last time he read the manual. European law on railways has evolved, and the separation of train operations from track operations is now mandated across the European Union. While much of the railway is still in public ownership, it is not integrated in the way that he may imagine.

Sir Roy’s clear conclusion was that a monolithic UK-wide system is not the direction of travel and that more devolution of responsibility and autonomy to route networks is the way forward.

[Mr Edward Timpson (Crewe and Nantwich) (Con)]

Although I understand the reasons behind the delay in the decision on the west coast main line franchise, can my right hon. Friend reassure my constituents that the decision will include provision for the train operators to play a more active role in the future of stations, especially in their infrastructure and presentation to passengers?

[Mr Hammond]

Yes, I can give my hon. Friend that assurance. The proposal that we have put forward—as he will see when he has a chance to look at the invitation to tender—is that the train operators should be granted a peppercorn rent lease of the station for the duration of the franchise. We also propose a revised residual value mechanism, so that train operators have an incentive to invest capital in station infrastructure throughout their franchises with the confidence that they will be reimbursed a fair value for that investment at the end of the franchise.