Refurbishing Trains: Contracts

Baroness Laing of Elderslie Excerpts

Thursday 7th December 2023 Commons Chamber

[Huw Merriman]

May I again thank my friend the hon. Member for Easington for raising this important issue? This is a matter of grave concern. The site has been operating in Derby for many years. Indeed, I think he and I both went to that site when it was formerly owned by Bombardier as part of a Transport Committee delegation. That support is assured. I also make the point that I am meeting Unite the union next week. It has been in touch, and I will be pleased to work with it and everyone to see what more can be done to keep that plant open.

[Madam Deputy Speaker (Dame Eleanor Laing)]

I call the Chair of the Select Committee.

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

I know that the Minister is a great advocate of the work of the Transport Committee, and I strongly urge him to look at the transcript of the evidence we received yesterday from not just Alstom but others in the rail industry. The fact is that the medium and long-term prospects for the sector are positive. What we are facing is a short-term lull. I impress on him the urgency of working with the rolling stock companies—ROSCOs—and others to try to bring forward some refurbishment contracts that Alstom and others can bid for to help smooth out these peaks and troughs in the sector.

--- Later in debate ---

[Huw Merriman]

We are aware that performance needs to be a lot better than it is currently, not just from train manufacturers but from Network Rail. Indeed, I was due to meet with the train operators this morning to discuss that issue; obviously, I have had to move that meeting, but I am very happy to meet with my hon. Friend so that I can take his particular points into account. We need to do more.

[Madam Deputy Speaker (Dame Eleanor Laing)]

I call the shadow Minister.

[Simon Lightwood (Wakefield) (Lab/Co-op)]

The Alstom Litchurch Lane factory in Derby has been building trains for over a century, since the dawn of train travel. It has provided high-skilled jobs for the local community for generations and helps support other local companies that form part of its supply chain, and as Britain’s biggest train-building plant, it plays a pivotal role in supporting the growth of the midlands and our country’s manufacturing sector.

Following the Government’s chaos and indecision over HS2 and the lack of a long-term strategy, hundreds of highly skilled jobs at the plant are at risk, with no confirmed workload beyond the first quarter of 2024, and contracts to build trains for HS2 pushed back until 2026, creating a gap in orders. This news will be deeply worrying for those affected and their families in the run-up to Christmas. It will also be extremely concerning for local businesses that rely on the factory and the wider rail sector, and for the people of Derby.

The workers at Alstom have only days to get a decision out of the Minister before their livelihoods are put at risk—time is up. They deserve to hear from the Minister how this has been allowed to happen, and what action the Government are taking to pursue a deal to secure the Derby plant and ensure that as many jobs are protected as possible. What urgent clarity can the Government provide Alstom on the short-term rolling stock pipeline, including possible refurbishments?

I am pleased that the Minister confirmed that he will be meeting representatives from Unite the union, and I hope that he will commit to working with them to safeguard jobs. When can the factory finally get certainty on HS2 orders, so that it can plan for the future and secure jobs? How many more rail manufacturing jobs across the country are at risk following the Government’s recent decision on HS2?

Earlier this year, Derby was named the Government’s home of Great British Railways. Just seven months on, the future of its landmark factory is in danger. At the heart of this is the chaos and indecision of the Conservative party. The Minister owes the people of Derby and the country an explanation of what he plans to do to stop the Prime Minister’s HS2 fiasco leading to more job losses.