(8 years, 1 month ago)
Commons ChamberThe modernisation of UK airspace will hopefully make all airports better neighbours. This is a system that has barely changed for decades, and it is certainly not designed for the current patterns of usage. We very much believe that we need to modernise the use of airspace in a way that reduces stacking, for example. I know, because my constituency adjoins that of my hon. Friend, that stacking certainly affects our area. This modernisation is better for passengers and better for people on the ground; and it will also save fuel and thus reduce carbon emissions.
A majority of Labour MPs and a majority of Conservative MPs support the expansion at Heathrow. Given that this project is likely to span multiple Parliaments, will the right hon. Gentleman take the opportunity to set a good example for both parties and ensure that collective responsibility will apply to any votes in this House?
The Prime Minister has been very clear that she does not want to force—indeed, I do not think the public would expect us to force—MPs who have long-standing principles of disagreement over this issue to go against their own views. There are different views on both sides. There are senior figures on the Opposition Front Bench and on the Government Front Bench who disagree with this decision. The hon. Gentleman is right that the majority of Members believe that Heathrow is the right place for expansion. Of course, the whole House will, as part of this statutorily defined process, have to vote and approve the decision. I think we should respect people’s long-standing views and not ask them to go against what they have argued in the past.
(8 years, 8 months ago)
Commons ChamberIt was my hon. Friend the Member for Luton North (Kelvin Hopkins) who last secured a debate on the rebuilding of Luton railway station, some 2,179 days ago. I regret to inform the House that, despite his powers of persuasion, and mine since I was elected to this place, progress on the rebuild, which the Government, the council and the operator all agree needs to go ahead, has not advanced in that period at all, and in some areas it has gone backward.
That is despite the fact that Luton is easily in the top decile of stations, in terms of passenger numbers, and is growing rapidly, serving an urban conurbation in excess of a quarter of a million people. My constituents and I daily experience the frustration of this old, tired and inaccessible station. As a result of how it is situated, even non-passengers are disadvantaged by its presence and current state. It effectively cuts off the town centre to pedestrians with mobility issues coming from the vast majority of the town to the north.
My constituents pay some of the highest ticket prices in the south-east, but virtually none of that is reinvested in our station. Residents have to put up with a total lack of disabled facilities for getting down to the platforms, and those passing between High Town and South wards cannot travel either way with their pushchairs or heavy baggage on the regular stretches where the station’s single lift is inoperable, even if they are not seeking to access the station in the first place. Frustratingly, we have been close to securing the requisite funding on multiple occasions, only for our hopes to be dashed. I seek the Minister’s assurance today that the rebuild project is a priority for her Department and, if so, that it can proceed in this control period.
Built in 1868 on the midland main line, Luton station expanded in a piecemeal manner in the 1930s and the 1960s to serve a growing town. It was key to the expansion of my home town, serving the town’s gas works, power station and industries such as hat making and, later, car making. However, over the last century, Luton’s proximity to London has led to a massive growth in commuter traffic. We are just 22 minutes from St Pancras by direct train, and we link directly to towns such as Nottingham, Derby, Sheffield and Brighton, to name but a few. In short, Luton is a major railway station that is key to the south-east network and to our town’s prosperity.
However, the station also serves as the gateway to our borough and, as such, first appearances matter. If the Minister were to make the short journey up to Luton today, she would be greeted by runs of heavy glass windows that have been boarded up because they have a tendency to fall out on to the tracks and, potentially, on to passengers below. If it were raining, she might see the ingeniously named platform 3 “water feature”, which cascades down from the bridge above. As she exited our inadequate ticket gates and took the overcrowded stairs heaving her ministerial boxes, she would have to hope that the station’s lift was working—this week, by the way, it is not. My constituents report that the station is inconvenient, grubby, unwelcoming and embarrassing. We are proud of our town, but not of our railway station.
Since the 1990s, a number of abortive schemes have sought to rectify the situation. Luton Borough Council has invested heavily in the station quarter, with improved links to Dunstable and the airport through the landmark guided busway, giving access to education and employment opportunities to the east and west. Local businesses and charities have bought and restored the old hat factories that sprung up in the 1800s around the station, and the area is a hub of activity and young, creative businesses, with many people wanting to start their entrepreneurial careers there. The business improvement district and The Mall have improved access to the town centre and its appearance, and the town’s single further education college intends to relocate to a new build just metres from the station. The new Network Rail-built car park is an iconic building and a statement of investment in the town. In short, the area has been transformed and befits a town of the size and status of ours.
However, just as the surrounding context has improved, the station itself has gone backwards. The net effect of the £6 billion Thameslink programme investment in Luton station and the surrounding area, which I welcome, has actually been to further diminish the facility’s accessibility—that surely cannot have been the aim of the programme—because 12-car running has cut off access for those with mobility problems.
The 2009 better stations programme identified Luton as one of the 10 worst stations in the country and gave the project sponsors access to a £50 million fund intended to improve category B railway stations. To unlock the potential of the scheme, that funding was to be provided alongside contributions from the local authority and the then operator—First Capital Connect—as well as Access for All funding. However, on the election of the coalition Government in 2010, the money was pulled, without a plan to proceed. Despite my best efforts and those of the local authority, the project stalled, and it has not advanced since.
Let me turn to the present situation. In April 2014, the Government announced that Luton was one of 42 stations that would be authorised to access about £100 million of Access for All funding. That was for the control period 5 delivery plan, which runs from 2014 to 2019. Access for All funding is key to advancing the project. In stark terms, there are two options available: either we use the funding to deliver a stand-alone footbridge, disconnected from the station, but seemingly offering better accessibility; or we use it to leverage in funding for a larger redevelopment.
The first option is a non-starter. If the footbridge were disconnected from the railway station, it would offer greater accessibility to only a small number of my constituents. It would not link to the station’s car park, in which there has already been significant investment, or to the ticket office or the retail sites. Once used, the funding could not be used to leverage in further funding from other available sources.
Assurances from Network Rail, the station redevelopment sponsor, that that could be the first phase of a multi-phase development spanning the control period—that is what Network Rail has advocated to me recently—are politically naïve. Once the legal requirements were fulfilled, the moral imperative for greater, more positive improvements to the station would be quietly sidelined and dropped.
Therefore, the second option—that of a comprehensive scheme made up of funding from the station commercial project facility, the national stations improvement programme, Access for All, the Thameslink operator, local government and commercial funds—is vastly superior and appropriate for our needs. That is the route by which we would seek to deliver the approximately £20 million required for a perfectly adequate scheme.
The dilemma is that either we spend the Access for All funding, which would meet a legal requirement and would be delivered in this control period, or we delay the project in the hope of securing additional Department for Transport funding for an adequate scheme, which would cost time and delay delivery. The Access for All scheme, together with funding from other sources, is a once-in-a-generation opportunity to get this job done.
There is, of course, a third option, namely that the Department demonstrates that this is a priority scheme and signals that a masterplan should be agreed for the delivery of improvements starting before the end of this control period in 2019. The Minister has the power to make that happen, and I ask her to do it.
Having worked actively on the issue in recent months, alongside my local authority colleagues, I am pleased to say that Network Rail has accepted that we will not accept a stand-alone footbridge project and is now working with Luton Borough Council to create a masterplan. It will incorporate some of the elements of the previous options, but it will seek more straightforward ways to deliver the benefits. The local authority has been generous in authorising the early release of funds to enable that, and Network Rail has provided match funding. The council recognises that the improvement of the station is complex. There are constraints on public finances and it will involve the pulling together of a number of different pots of funding, but this really is the only way forward.
Last month, the Secretary of State for Transport wrote in a letter to Luton Borough Council:
“I agree with you that the condition of the station needs to be addressed and that investment is needed to bring it up to the standard Luton residents have every right to expect.”
With that in mind, I ask the Minister to consider a few points. First, will she ensure that, in the forthcoming Budget, the Chancellor understands the depth of feeling among my constituents and takes the first step towards the delivery of a new masterplan by approving Govia’s £2.5 million bid for station commercial project facility funding? That is a vital part of the various pots of funding that will need to be assembled, and it will ensure the political viability of such an approach.
Secondly, will the Minister instruct her officials to create a publicly transparent timescale and work programme for the project, and ensure that it is given prioritisation by both Network Rail and the Department for Transport, with a named lead officer at the Department?
Thirdly, will she take this opportunity to make it clear that a footbridge-only or footbridge-first scheme is unacceptable? It would reduce mobility for some and permanently exclude it for others. Will she instruct Network Rail to drop that idea forever and instead work to expedite progress on the masterplan with Luton Borough Council?
Fourthly, and finally, will the Minister give an assurance that she will do all in her power to ensure that a comprehensive project starts in control period 5, with shovels in the ground before the end of that control period in 2019? It would be understandable if a project of such a size and scale sought to span control periods, but it would be unacceptable for my residents and businesses, who have shown great forbearance in recent years, to continue to suffer from the state of the station through to the mid-2020s at least.
Last year, 100,000 more passengers entered and exited Luton station than in the preceding year. We are a growing town, and we need adequate facilities. We need this Government to do the right thing, as I hope the Minister wants to do, by the people of Luton.
(8 years, 10 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
I agree with my hon. Friend. Stansted would, of course, see itself as already being that engine of growth. Its presence is undoubtedly a major factor in the investment decisions being made by some very important businesses.
To the right hon. Gentleman’s relief, I do not intend to speak about Luton airport, which is based in my constituency. I hope that my hon. Friend the Member for Luton North (Kelvin Hopkins)—my good friend—will talk about it later. To underline the point, in the analysis on east-west rail, one of the most interesting growth pairs between two different places over the next 15 years will be between Luton and Essex. East-west applies both on the eastern and western sides of the region.
I am grateful to the hon. Gentleman. I think there is something called “the golden triangle,” and I certainly do not reject the idea of the east-west connections in any way, but we do not have the money to do everything. I concentrate on this line as a priority, simply because, at the moment, it is the main link between the city and the airport and it has had so much neglect over these past years.
I thank the right hon. Gentleman for that point. As a historian, I always find it interesting to note which point in history people like to go back to in order to attribute blame but, as the Opposition representative in the Chamber, I fear it is my role to make these important points about the potential damage being done to our country by the Government’s lack of decision. We shall see. Probably after the London mayoral election, all will become clear.
Once the Government set out their expansion recommendation, we will be able to examine its relative merits properly based on four tests that the Labour party has set out, including commitments to meet our legal climate change obligations and mitigate local environmental impacts. Only then can we truly assess the impact that expansion will have on the south-east, the wider Anglian region and the rest of the UK.
We know now that, regardless of the decision made, its effects will not be felt quickly. A new runway will take about a decade to come into being, even without further delay in Government decision making. Thus any short-term changes should positively impact the connectivity of our country, including our region. Indeed, the fourth test that Labour set out to inform our response before the publication of the Airports Commission report was that the benefits of any expansion should not be confined to London and the south-east. The Government might be standing still, but the aviation industry will not. We must act to help connect UK businesses and people with new markets and places in the meantime.
The Airports Commission has also called for the improvement of surface access links to other airports, which has formed the basis for much of our discussion in this debate. In its response to Network Rail’s consultation on the Anglia route strategy, the Airports Commission called for a more joined-up approach to meeting the needs of Stansted airport users. Improving rail infrastructure to Stansted is a key request of both Stansted and the London-Stansted-Cambridge Consortium. It is worth noting in passing that the current Stansted Express service uses a relatively new fleet of trains introduced under a Labour Government.
My hon. Friend is making the point that surface access is key to all airports, including Luton airport in my constituency. It sets the airport’s reputational standard. People do not judge an airport based only on the airlines, the airport itself or the journey there but on the whole experience. Certainly in Luton, surface access is letting us down at the moment.
My hon. Friend is absolutely right. I suspect that we can all agree on that. I assure the right hon. Member for Saffron Walden that we heartily agree with his argument about improving surface access. I am absolutely sure that local commuters would benefit, including those in my constituency. We can agree that the Government should invest in a West Anglia line, making life that little bit easier for many in our region.
To conclude, the Government need to stop dawdling and decide. Until they get their policy off the ground, we will be unconvinced that they are taking environmental concerns and capacity needs seriously. While in this state of flux, the Government could still take decisive steps to improve access to our country’s airports, helping provide short-term solutions to capacity and connectivity problems. Anything less would do a disservice to people and businesses in our region and across the UK.
(10 years, 4 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
But we have to start thinking as a region. The best site might have been in Blackpool, but Manchester won the bid because of not only its corporate social responsibility but the direct flights to a nearby international airport. By increasing rail links across our regions and agglomerations, and across the north as a whole, we can in future act more effectively as a single economy.
London Luton airport has recently received final planning consent for a £100 million development to increase annual passenger capacity from 12 million to 18 million by 2031.
I congratulate my hon. Friend on securing this debate, as well as on working out in his short time in the House how to get such a high attendance at a Westminster Hall debate. Does he agree that one effect of this period in which there has been a relative vacuum in aviation policy has been that regional airports have been able to step in to fill the gap? For example, without significant ground works—there will be no additional runway or lengthening—London Luton airport is expanding from 12 million to 18 million passengers. That is a great way to respond to the capacity gap in the south-east.
I could not agree more with my hon. Friend. That expansion alone is forecast to add £283 million and more than 5,000 jobs to the regional economy around Luton. We need to grow Luton airport.
Connectivity in the UK is good, but to keep up with our European competitors we need to do more.
It is a pleasure to serve under your chairmanship, Ms Dorries. I shall of course be mindful of the fact that others want to speak.
My hon. Friend the Member for Wythenshawe and Sale East (Mike Kane) did a fantastic job of setting out the situation, and I want to develop one or two pertinent points in more detail. We are grateful, as you will know, Ms Dorries, in Luton South and the wider region, that the green light has been given for the expansion of passenger numbers at Luton airport. When regional airports are mentioned, it is easy to envisage Birmingham and Manchester. However, although Luton is one of six airports that serve London directly, it has carved out its own place in our aviation economy, with a lot of point-to-point and many low-cost airlines that have driven growth in recent years; but it has a bright future, as well, because without significant ground works or additional heavy moving, such as the extension and repositioning of runways and the installation of additional runway capacity, it has the ability to increase passenger numbers significantly from the existing location. I thank the aviation Minister and Ministers at the Department for Communities and Local Government for their responsible approach to expansion at Luton. My constituents are overwhelmingly positive about having an airport on their patch.
We hope that in the coming years passenger numbers will go from 6 million to 18 million, without additional significant ground works—just by changing the management of passengers, take-offs and departures. Of course, the result is further prosperity when other operators come in and cast their vote of confidence in the airport. In the past year Atlasjet, easyJet, Monarch, Thompson and Wizz Air have expanded routes and put on new routes out of Luton. London Luton airport now serves 107 destinations, which, considering its location, is phenomenal and a boost to the local economy.
As to jobs, aviation has a unique role in the UK economy. It is easier to create jobs in a service industry at the low end, but aviation can widen the skills mix towards middle and higher incomes; and it can create jobs for both genders and for people of various ethnic backgrounds. It is a diverse field, and that is important for young people growing up in my constituency, who know that there will be expansion and a positive future for the airport. Actually, it is not just about entry-level jobs at that airport. Although many people do not realise it, we are No. 1 for business jet travel. The chances are that people travelling on a Learjet land at Luton, which is hugely important because of the servicing and other skills that are created.
I should like briefly to mention surface connectivity, which many hon. Members picked up on. Luton Airport Parkway station, which serves London Luton airport, is just 22 minutes, at present, from St Pancras. Out of the six airports that I mentioned, people would struggle to make a case for an airport that is closer in terms of connectivity by rail from central London, but although we think of the Heathrow Express and the Gatwick Express we never talk about a London Luton express. In that sense, I was glad that in the recent franchising round, Govia Thameslink Railway Ltd, which will take over from the FirstGroup, committed, in conjunction with the Department for Transport, to introducing a minimum of two services an hour, 24 hours a day, serving Luton Airport Parkway. I hope that in time we can build on that, as passenger numbers increase, because that is a vital north-south route. Perhaps the Minister will reflect on that in his comments.
Additionally, we know that we need upgrades in the wayfinding systems at the terminal building, Luton Airport Parkway, and at St Pancras International. Most of all, my constituents are united—and I am with them—in saying that we need to remove a separate, confusing charge for the shuttle bus up to the terminal building. These may seem small issues, but if people think they are buying a ticket to London Luton airport and find themselves being marched to a cashpoint to get the small change they need to get to the airport, their frustration will affect the rest of the experience and it will be hard to turn around perceptions at that point.
Luton has the ability to contribute to capacity in the south-east, at a time of relative calm before what we fully expect to happen in 2015 happens, when the Davies commission reports. Let us turn on that capacity in the next 12 to 18 months, while expanding UK business.
On jobs, it is important to get the skills mix right. It would be easy to expand an airport such as Luton by getting rid of many of the diverse businesses that provide high-skilled jobs and just focusing on driving low-cost carriers. However, we have chosen not to do that in Luton and that is a welcome move. On surface connectivity, we are starting to see point-to-point not just as taking off at one airport and landing at another, but as being about the entire journey, from home to the destination. Those are key components in determining whether people are getting a good travel experience. Regional airports have something to contribute on all those points, and I hope the Minister will reflect on that in his comments.
(10 years, 9 months ago)
Commons ChamberAs I drive through my hon. Friend’s constituency on a regular basis, I am more than delighted to come and talk to him and his constituents about some of the problems that noise creates for them as a result of the traffic on the A38.
T7. Will the Secretary of State join me in welcoming the granting of planning permission for the expansion of Luton airport? It will help the Government with their capacity problem in the south-east and do so without the extension of any existing runway or the building of a new one.
Regional airports, or local international airports as I like to call them, have an important part to play in delivering the air connectivity that we need, so I am pleased to hear that news.
(11 years, 7 months ago)
Commons ChamberIf my hon. Friend will forgive me, I want to make some progress.
The Commission’s explanation is that removing authorisation powers to the agency will help to address the delays that some operators have reported when seeking authorisations from national safety authorities. That is especially the case for cross-border operations where a train may run through more than one member state. We are not currently aware of significant costs or delays for railway undertakings in obtaining those authorisations in the UK, so we are not convinced that there is a problem in the UK. That is why we need to safeguard practices that already work here.
Overall, the Commission needs to be clearer about how the changes to the directive will contribute to market opening. Another Commission proposal is to change the authorisation process for trackside signalling, which would have a significant impact in the UK. There is not yet much experience in the UK of the authorisation of trackside signalling by the national safety authorities. However, UK projects are more likely to prefer to seek authorisation from the national safety authority rather than the agency, because they have not encountered difficulties so far.
The Commission has explained that to deal effectively with authorisation delays and cross-border problems it requires action at the EU level. It argues that individual member states acting independently cannot address such problems. However, at the Transport Council on 11 March, my right hon. Friend the Secretary of State proposed that there might be an alternative to moving powers away from national safety authorities to the agency. We have suggested giving the market a choice about where the authorisation is obtained from, so we propose exploring with member states and the Commission an approach that would enable rail undertakings to choose whether to obtain an authorisation from the relevant national safety authority or the agency. The same principle could be extended to give the industry a choice about where it needs to apply for trackside signalling authorisations. The UK is continuing to push for our choice of approach so that the national safety authorities and the agency could have the power to authorise vehicles.
The details of the recast of the interoperability directive are being negotiated in Council working groups. However, there are indications that our views about choice are being listened to and that other member states support our idea, which gives us grounds for encouragement. We will keep a close eye on how the proposals develop to try to ensure that we get the best outcome for Britain and the rail system in Europe. We will try to preserve as much flexibility as possible for member states to determine what work needs to be authorised and the applicable standards.
Let me turn to the impact of the proposals to require a railway infrastructure manager to be separate from a railway undertaking. The Government will need to understand the possible effects on several areas, including alliances between Network Rail and railway undertakings, and joint working arrangements. Within the package are requirements to ensure the effective independence of the infrastructure manager within a vertically integrated undertaking. The Government are looking further at how they will influence the holding company model, as used by Eurotunnel in respect of the channel tunnel and the cross-border rail services that run through it. There will also be points to consider for the railway structure in Northern Ireland, which remains vertically integrated.
Sir Roy McNulty concluded in his report—we accept this—that the key to delivering long-term efficiencies in the rail industry is the alignment of incentives between track and train. Alliances or partnerships between Network Rail and the passenger train operators are central to our approach. Alliances are expected to maximise efficiencies and to ensure that minority freight and open-access operators are protected, not discriminated against. They do so by ensuring that capacity allocation and charging decisions are undertaken outside the alliance to avoid discrimination against smaller train operators, including freight operators. Safety is protected by ensuring that ultimate accountability rests with the statutory duty holder. We believe that that is compatible with the open competition in rail markets that the Commission wants, but we are worried that the way in which the Commission’s proposals are formulated might prohibit certain types of alliances, such as between Network Rail and rail undertakings, and joint working arrangements, such as integrated control centres and performance improvement projects. The proposals therefore might prevent us from achieving the benefits that we anticipate. I know that the Transport Committee’s report stated that joint working between Network Rail and train operators should not be prohibited or unduly restricted. We will continue to engage closely with the European Commission and Parliament, and other member states, to ensure that our concerns are addressed in the final proposals.
On the impact of the proposals on franchising, we welcome the commitment to market opening.
I actually have not said anything yet, so I am not quite sure what the hon. Gentleman is going to ask. Perhaps he will allow me to say a little more.
We believe that the liberalised domestic market has delivered significant benefits for passengers. We have shown our commitment to franchising through the recent announcement to restart the franchising programme and return the east coast main line to the private sector.
I am extremely grateful to the Minister for giving way on that point. Will he confirm that it would not be possible for him to continue to operate the east coast line through Directly Operated Railways if this package of measures goes through? I understand his commitment to returning the line to the private sector, but given that it is thriving in the public sector, why does he want to go along with these proposals?
I am not sure what it is about the hon. Gentleman that he cannot comprehend the position, but I suspect that he just has not read the facts. Lord Adonis and the right hon. Member for Tooting (Sadiq Khan), when he was in my post, also believed that it was best to operate trains through franchises in the private sector. Even when Lord Adonis had to introduce the emergency measure of taking the east coast main line into public ownership, as a result of the problems that blew up at that time, he was clear that that would be a short-term measure and that the service would be returned to a franchise when it was possible to do so.
The hon. Gentleman is displaying a degree of incredulity and suggesting that that was not the case. I know that he was not a Member at that time, but if goes to the Library to find the relevant copies of Hansard, he will read that Lord Adonis and the right hon. Member for Tooting were emphatic in their announcements to Parliament that the decision on the east coast main line was a short-term measure. I am rather grateful that Lord Adonis went a step further by saying that it was better for the railways to be run by franchises in the private sector.
(12 years, 6 months ago)
Commons ChamberI am extremely grateful for this opportunity to speak. It is particularly expedient that I should do so after the hon. Member for Cambridge (Dr Huppert), for reasons that I shall come to. First, let me address one of the issues at the heart of the Bill: passenger experience. We welcome the Bill, which we sought to amend and improve in Committee. I was proud to serve on the Committee with colleagues from the Opposition Benches, some of whom are present. When things go wrong for someone at an airport their first instinct is to blame the airline, but it is rarely the airline that is at fault. We have seen such experiences at several airports and some bubbling discontentment, particularly more recently as a result of immigration and other issues such as poor weather. That is why we sought to put welfare plans for passengers into the Bill and why we sought to help disabled passengers more explicitly by putting such measures in the licence conditions. The two Front-Bench teams have explained their differences on where the emphasis should be.
For me, the key issue is about holding airport operators to account. I served on the Select Committee on Transport, and I remember seeing the chief executive of BAA come before the Committee shortly after the December 2010 snow disruption and confess that, of the 80 different measures of Heathrow’s success that were taken in December 2010, only three or four had been breached and marked as red, whereas every other box had been ticked green. In a sense, that underlines why we need to be really explicit about what we want to measure. I am sure that the CAA will be good at that, although the Opposition would have preferred the Government to have a more active role at the legislation stage.
The second issue I want to address is environmental responsibilities. In Committee, we felt it would be extremely helpful and effective if the CAA had a clear duty on the environment, and at one stage it appeared that the Department for Transport believed that too. Certainly, as the Bill came through, we saw from its drafting that that would not be included. I am talking about giving environmental information to passengers so that they can make smarter choices and about making sure that the CAA, as an economic regulator, can do its job, balancing the needs of the economy alongside the needs of the environment.
I wanted to speak to this Bill not just because I represent an airport constituency—Luton airport, which many people will know and love—but because I am deeply concerned about growth. We know that there is limited growth in the economy, to put it mildly, and that we need a long-term strategy for growth. As the Minister has pointed out, if aviation is one of the routes for that growth, it is important to have continuity and consistency in the Government’s approach. That is why I am so concerned about the remarks that we heard in Committee, which the hon. Member for Cambridge spoke about.
A Liberal Democrat member of the Committee whom I shall not name—okay, I will, it was the hon. Member for Cambridge—said in Committee:
“I would very much like to see an environmental duty in the Bill. That is an important issue, and I raised it on Second Reading.”
He went on:
“I am confident that she”—
the Minister of State—
“will…find a way to deliver an environmental duty in this Bill…It is not a trivial issue.”––[Official Report, Civil Aviation Public Bill Committee, 28 February 2012; c. 116-17.]
We wait to see whether the Minister is willing to give to her coalition colleague that assurance. We certainly felt that the point might have been more easily pressed home had the hon. Gentleman voted for it in the first place. I say that not to embarrass any particular Member on the Government side—honestly—but because I think the issue goes to the heart of aviation strategy more broadly under this Government. As with many issues under the coalition Government, we have one party on the accelerator and one party on the brake. Sometimes those flip around, but on aviation strategy the nature of the coalition becomes even more disparate. We have two people on the accelerator and one on the brake, or one on the accelerator and two on the brake at different times. There is no clarity for the industry about where this Government want to take aviation. That should be a big concern for us.
We know the issues in aviation; the big one that needs to be tackled is the requirement for greater capacity in the south-east. With reference to Luton airport, we know that the Minister is deeply interested in point to point and she is right. We should make more effective use of the capacity that we have. I hope the ministerial team will bring forward commitments on that in the coming months. We can go from 8 million passengers to a greater number without doing significant ground works or extending the runway.
We need resolution on whether there will be a genuine hub airport—one that does not fall over when it snows, when it rains, when there are small amounts of disruption. While that issue remains unresolved, perhaps because of the nature of coalition government, perhaps because of geographic requirements on Ministers or individual MPs, simply saying no is not a policy.
I wish Luton airport well; I have used it on a number of occasions. However, the recent report from BAA shows that if we do not have a third runway at Heathrow, which is the only solution to providing a hub airport, we will lose £100 billion in the economy. That is a non-trivial amount. Not having a third runway, as the hon. Member for Wellingborough (Mr Bone) said, is actually bad for the environment.
I thank my hon. Friend. I want to make it clear that I think the right approach is to reach a cross-party consensus on the future for a hub airport. In that context, the moves by the shadow Secretary of State and the shadow Minister of State to write to Ministers at the Department for Transport saying, “We will take the option of a third runway off the table,” acknowledging that it has been taken off the table by Ministers, is the right way to go. However, the issue does not go away. In the course of developing policy in both major parties, we cannot continue to dodge the bullet. We need a hub airport that is fit for purpose. That is why I believe it is so important, given the passage of the Bill through the House tonight, that we find a way to tackle the big issues in aviation.
Does the hon. Gentleman agree that more people who wish to travel to and from London could and should use Luton airport?
Sometimes one is bowled a googly in the House. I am not sure whether I have been with that question. I agree absolutely with the right hon. Gentleman. More people could use the four or five other airports around London instead of Heathrow and use existing capacity well.
I believe that the Minister’s heart is in the right place on the issue. We should speak positively and give a clear direction for industry, because without that the Department will not make its vital contribution, which we need for growth.
(12 years, 6 months ago)
Commons ChamberNo, I will not.
Our first priority is to encourage consumers to switch suppliers, which could save households up to £200 per year. I am surprised that the right hon. Member for Don Valley was so negative about switching. The problem is that, despite rising prices, only one in six consumers switched their supplier in 2010. She was right that the number of people switching has been falling. There are several reasons for that, one of which, as she will know, is the plethora of energy tariffs. There are currently about 120 tariffs. We want fewer tariffs and much clearer pricing, so that customers can find a better deal more easily. That is the right approach. We support much of Ofgem’s work as part of its retail market review and will work with it to bring more transparency to the energy market.
Last month, my right hon. Friend the Deputy Prime Minister announced the deal that we secured working with the six big energy companies to give customers a guaranteed offer of the best tariff. From the autumn, suppliers will contact consumers annually to tell them which is the best tariff for their household, and if consumers call energy companies, they will have to offer them the best tariff. That is real progress—progress that Labour failed to make but which I have made in my first few months as Secretary of State.
May I say what a privilege it is to have the opportunity to speak on the cost of living? All hon. Members would accept that the cost of living is the issue raised most often with us in our advice surgeries. In an era of static if not falling incomes, ensuring that our constituents can live their lives, support their families, continue to get work, put fuel in their car and keep their houses warm, is one of the most important issues we can debate in the House.
Recent media coverage seems to revolve around whether MPs know the cost of a pint of milk, and that decides whether they are in or out of touch with their constituents. I know the cost of a pint of milk, because I am particularly fond of a milky coffee with two sugars on a Saturday morning before I go to my advice surgery.
It was 46p when I bought it last weekend, but since the general election, the cost of the pint of milk that I buy for my milky coffee has gone up by 10%. Although that is not the world’s greatest economic indicator, all hon. Members can accept that it is a symptom of the huge increase in the cost of fuel, which puts pressure on families in all our constituencies.
I am a great supporter of the great British pint—I am sure some of my colleagues think that litres are a European abomination—but one thing that we buy in litres is fuel. The cost of fuel in my constituency is 6p or 7p a litre more expensive than in the neighbouring towns of Bury and Bolton. I became absolutely fed up with that, so I wrote to the major supermarkets to ask why there is such a difference. Apparently, for people who live in rural isolated areas such as Rossendale and Darwen, the local supermarket sets the cost of the fuel at the pump. Therefore, in a small geographical area that encompasses my constituency alone, the biggest retailer in my patch—the supermarket—sets the price and is the major supplier.
People in my area say, “Welcome to rip-off Rossendale or dearest Darwen if you want fuel in your car.” That situation cannot be right. It is wrong that supermarkets behave in that way on fuel pricing. I can find out the price of a Tesco pint of milk or a can of beans by going on its website, but it is not prepared to set a tariff for fuel nationally and instead discriminates against rural and isolated areas.
I support the Government’s idea of getting energy suppliers, particularly the utility companies, to write to their customers to offer them the lowest tariff, but supermarkets should offer petrol at the cheapest price to the young, hard-working families in my constituency—they might have to put diesel in a van to go to work or petrol in a small car to take children to school—and not at a price that they know they can get away with just because of location. The major supermarkets have had a monopoly—the hon. Member for Westmorland and Lonsdale (Tim Farron), who is no longer in his place, spoke extremely well on farming and the price of milk in that respect. Anti-competitive practices on fuel are pushing small, independent fuel retailers out of business, which is bad for businesses and for my area.
That extra £5 a week where I live to put fuel in a vehicle to go to work is the difference between people being able to turn the heating on or not, being able to feed their children healthy food or not, or being able to go out and spend money in the economy or not. I hope fuel price setting is part of the Government’s programme to look at the relationship between supermarkets and their suppliers.
The cost of gas and electricity is another major issue raised by all our constituents. Those costs have ballooned beyond anyone’s increase in income over the past few years. They have risen by as much as 20%. We tell people to switch supplier. When people visit me in my patch, they say they will not switch supplier because they are nervous of bill shock. Uniquely, virtually, in a service industry supplying utilities to our houses, it is expected to be self-service. People are asked to read their own electricity meter. People in my advice surgeries have told me that they purposely underestimate how much electricity or gas they have used to help manage their cash flow. That builds up a huge legacy bill. Others simply have underestimations having had their meter readings underestimated over a long period.
Those people are worried about switching, because they know that when they switch they will have to give an up-to-date meter reading and will have a huge legacy bill that they cannot pay. These people, sometimes those on the most expensive tariff, are unable to switch because they cannot pay their historical bill. That is why it is absolutely right that the Queen’s Speech sets out a programme to introduce smart metering. Bglobal, a successful business in my constituency, which I am delighted to see has retained its profitability, does business-to-business smart metering. There is an opportunity for us all to have smart meters in our homes.
It is a pleasure to follow my hon. Friend the Member for North West Durham (Pat Glass). I cannot help but agree with her final remarks, contrasting the conflicting priorities of the Government and the people we represent. I have not yet had any correspondence, phone calls or visits to my surgeries to discuss House of Lords reform, and I look forward to having those conversations, should they arise.
At the moment, we talk much more about local bus services in Darlington, a problem that has been brewing for quite some time. It all started for us in the north-east, particularly in my town, in the 1990s, when bus services were deregulated with a view to creating choice and competition, improving service and getting fares down—I think that was the plan. Let me share with colleagues what happened in Darlington—the experience is not unique to Darlington, but I think the problems were perhaps more pronounced there than anywhere else.
We had gridlock on our streets due to bus wars. Two big bus companies decided to compete for the same routes and both ran free buses around the town in an attempt to get the other company off the road. That did not help consumers and passengers in the town. It did not improve public transport. Instead, it landed us with, in effect, a council tax payer-subsided monopoly on bus services in Darlington, and we have pretty much been stuck in that position ever since. Now, the council is having to make difficult decisions on the subsidy it offers to run some of the routes, but I cannot even find out how much council tax payers are paying to subsidise a route across Darlington. Extraordinarily, I have been told that the information is commercially sensitive. Council tax payers in Darlington are subsidising to the tune of roughly £500,000 a year a company owned by a business in Germany that turns a profit of about £500 million a year, yet we do not know exactly how much we are paying for our bus routes. That is an intolerable situation for my constituents.
That is a big problem for us because, according to Passenger Focus, 34% of residents in my constituency have no access to private transport and are forced to use the bus services. Recently, I was quite stunned to see a London Routemaster bus travelling down one of the main arterial roads into Darlington. It was there because the engines of the new Routemasters are made in Darlington, and they were being tested. However, that sight brought home to me the contrast between the services available to people in major cities such as London, which are excellent, and those available elsewhere, where fares are not regulated, ticketing does not allow use across different services, and routes and timetables are not integrated. Most worrying for me, there are few means short of spending hundreds of thousands of pounds each year on subsidies by which residents and communities, and even councillors and MPs, can influence the routes on offer.
Fares in Darlington have increased by 6.1% in the past year, which is considerably more than inflation. We need to take a look at fares, given that bus users tend to be the young, the elderly and those on low incomes. I would strongly support the creation of a strategic transport infrastructure, or a body similar to Transport for London for the rest of the country, so that the system can be monitored and organised much more effectively.
Does my hon. Friend agree that one of the reasons why the major increases in fares are so bad is that for many people, they are essentially a tax on work? People need to be able to get to work to obtain employment and to keep their living standards high.
My hon. Friend makes a very good point. It has been made before in the debate, and we need to consider it.
I have constituents who previously needed to use two buses to get to work, at considerable expense and with no cross-ticketing. They were just about able to manage that, but now those bus services have been removed. Somebody who works after 6 o’clock at night, or who lives in one of the surrounding villages, cannot keep their job. I know people in my constituency who are no longer in employment because the bus services have been removed.
It is not just people in work that are affected but people who rely on health services. I am sure we all have stalwart, hard-working councillors in our constituencies, and I have one in particular, Bev Hutchinson, who is relatively newly elected and a fairly formidable woman. She has taken it upon herself to take surveys on buses around the town. She found a constituent, Betty Sowersby, who is 74 and lives on Barmpton lane in Darlington. Betty told The Northern Echo that she was in hospital for a major operation in March and now could not use the bus to get back from her doctor’s surgery, where the doctor checked how her wounds were healing. She said that there were a lot of elderly people like her along her street who could no longer even go and do their shopping independently.
When civil servants and policy people consider bus issues, they too often focus on the problems of getting around London and major cities and do not think enough about the day-to-day problems facing people living in regions such as my own. Those problems exist in rural areas and even in quite large towns such as Darlington, where no integrated structure exists. Local government is not in a position to subsidise bus companies in the way it has in recent years. One could argue that perhaps it should not have been doing that, but that is how the system has been maintained for the past decade. It cannot be maintained like that in the future, so the Government need to give serious thought to how to provide bus services in our regions from now on.
I am extremely grateful to you, Mr Speaker, for calling me towards the end of the debate. I promised a little variety if I were called. I know that many issues to do with the cost of living have been raised in the course of the debate. In a sense it is hard to narrow them down to one or two, but I wish to refer to a few problems with regard to utility bills, particularly water bills.
We know that we in this country are facing not just some of the toughest global economic times but, as we have highlighted, a very tight fiscal contraction—I nearly said “contradiction”, which might actually be the right term—in the UK economy. Against that backdrop, there is a cost of living crisis. We have heard from many Members of all parties about the rising cost of energy and fuel and the inflation-busting rises in transport fares.
Back in February, I had the opportunity to go to the university of Leeds, where there is a brilliant research centre on water policy. While I was there, I gave a speech in which I talked about the consensus that there has been about the privatised water industry for the past 20 or 25 years. That consensus has stretched across both major parties, customers and companies. It involves a relatively low-risk settlement for investors, with reasonable levels of investment in water infrastructure and rising standards of water quality. Crucially, customer buy-in has also taken hold over the past 20 years or so.
In that speech, I laid out my concern that we risked walking into a perfect storm this year. We have drought conditions, and sadly, there was very little in the Gracious Speech about concrete action on the rising cost of water. While that concern exists there is every chance that, just as the Government and Opposition have rightly targeted energy bills in recent months and years, we will have to take similar action on water as people’s dissatisfaction with the service that they are receiving continues to grow.
One problem I raised earlier in the debate is that the regulator sets soft targets on plugging leaks. One of the most frustrating things for my constituents is finding themselves paying water bills in a drought while the rain is plummeting down. Does the hon. Gentleman agree that it is because the leaks are not being plugged that we are still in a drought, and that we need tougher targets?
The hon. Lady makes an excellent point. Ofwat, the industry regulator, lays out tough targets on water companies reducing leakage in some places, but not so tough targets in others. The fundamental problem is that if the cost of water being lost is less than the cost of making the repair, it is not economically viable for water companies to make the repair. That is why we need comprehensive action and a comprehensive water Bill, rather than a draft Bill, in this Session.
Does my hon. Friend see any merit in the idea of alleviating drought conditions in the south of the country with some form of network distribution of water? That should be implemented in order to allow water from Scotland—believe me, we have too much of it—to be transported south in an efficient manner through a national pipeline network.
We are jumping around in water here. My hon. Friend is my new colleague in the shadow Environment, Food and Rural Affairs team and I am sure hon. Members on both sides of the House would want to welcome him back to the Front Bench. He makes an extremely good point. What is required in the industry to move water from places where it is in good supply to areas where there is less? For me, that is not primarily about building a big pipeline from north to south; it is also means getting interconnectors between different water companies working appropriately. Of course, the carbon cost of that is great.
Does my hon. Friend believe it is easier to move water around than it is to move people? We have plenty of water in the north-east, but we could do with more people and more jobs. If there were a more even distribution of people and jobs, we could save ourselves the job of moving water.
My hon. Friend once again makes a great point, but the key point missed by the lack of action on water in the Queen’s Speech is that we can reduce demand as well as increase supply. There is increasing need in growing areas such as London, the south-east and, for example, Yorkshire, where there could be 1 million new household customers in the market in the next 10 years, but there would be benefits for all if we could increase the number of people in an area without increasing the amount of water used.
Last month—April—water bills increased on average by about 5.7%, which is about £20 per year on the average bill. Ofwat estimates that 2.2 million households spend more than 5% of their disposable income on water. Sadly, the Queen’s Speech promises only the publication of a draft Bill, which shows a Government who refuse to take action.
The Gracious Speech contained a commitment to bring forward only a draft water Bill, which is disappointing because the Government have broken their promise to introduce a comprehensive water Bill in this parliamentary Session to reform the water industry. That means that the much needed reforms—the Opposition agree on what needs to be done—and action to keep bills affordable will be even more delayed, which is a slap in the face for the many families who are struggling to pay their water bills.
There was a flurry of activity in the previous Session to rush through the Water Industry (Financial Assistance) Act 2012. That legislation does nothing to tackle water affordability in the long term. In the short term, it will help households in the south-west to pay their water bills by giving them a direct £50 subsidy, but it is worth noting that without action to tackle affordability in the long term, that £50 will be gobbled up within two years because of the existing increases in that area. The Opposition believe that assistance should be extended to all households who are struggling to pay their bills, which is why I proposed amendments to ensure that water bills remained affordable for all.
As the Opposition know, with the wettest drought on record and hosepipe bans imposed on almost half the country, now, more than ever, we need urgent action to reform the water industry, to ensure that water supply meets demand and to stop the harmful practice of taking water out of the natural environment in places where we cannot afford to do so. It seems, however, that the Government have no sense of urgency. As we know, in politics momentum is everything. Right now, water issues, whether flooding, drought, rising costs for customers or other things, are at the forefront of people’s minds. This is a once-in-a-Parliament opportunity to take action on water.
The impact of climate change means that water resources will become more and more scarce. The recent droughts and floods could be an indication of what is to come. What needs to be done to ensure that water remains affordable for hard-pressed bill payers in the long term? Since the botched privatisation in the early ’90s, water bills have increased year on year. We could take urgent action on abstraction—taking water out of the natural environment—but the Government have promised no legislation until 2015, and they do not propose to complete that process until 2030.
We could also take urgent action on leakage. The problem is that water companies generally repair leaks only if it costs more in lost water not to do so. Ofwat sets targets, but many companies can go years at a time without making a significant reduction in their leakage rates. We need to ensure that the comprehensive water Bill, when it comes, tackles the issue of leakage head on. By 2015—the end of this Parliament—more households will be metered than unmetered, yet there is little evidence of the deep thought required on the matter from the Government.
The further delay confirmed in the Gracious Speech to the comprehensive water Bill is serious not only for those who care about the environment but for people right across Britain struggling to pay their utility bills against the backdrop of the highest unemployment rate for 16 years and the first double-dip recession in 37 years. While the Government continue to delay desperately needed reforms, hard-working families are feeling the pinch and footing the bill.
(12 years, 7 months ago)
Commons ChamberIt is a pleasure to see you in the Chair this afternoon, Mr Deputy Speaker. I would like to echo the comments of the shadow Minister for aviation to the effect that our experience in the Chamber today shows something of a contrast. It shows the great strengths of this Parliament—that we can embrace both the aggressive exchanges that we heard earlier and the detailed and considered scrutiny of legislation that we are undertaking now.
I also very much welcome the words of support that the shadow Minister has expressed—both today and throughout the scrutiny of the Bill—for the broad thrust of the framework put before the House. This is a Bill that started its life under the previous Administration, so although it is being put forward by a coalition consisting of Conservatives and Lib Dems, it owes much to our Labour predecessors. That degree of cross-party involvement has strengthened the Bill, as have the extensive consultation done by the previous Government and the further work with stakeholders done by the current Government.
Before I deal with the amendments in detail, I want to make a general point about the passenger experience. I completely agree that a key aim of the Bill is to ensure that we improve the passenger experience at our regulated airports, because it is important both for passengers and for our economic competitiveness, the quality of our airports and making passengers the central priority of our regulated airports. That is essential. Although Opposition Members have expressed concern and called for changes in the Bill to reflect that, I hope they will agree that what is already in the Bill will be a significant overall improvement on the current system, which essentially leaves the CAA with few levers at its disposal in the five-yearly price control process. That process is important, but the Bill enables the regulator to opt for real-time regulation, so that it can intervene when passengers need it, in a flexible and targeted way, to address just the sort of issues that so many hon. Members have raised today. Although we may differ on the precise drafting of the Bill on some issues, I hope that we can uniformly agree that it will be a significant step towards achieving a better experience for passengers at our airports.
Let me deal first with the amendments; I will come to the new clause in a moment. There can be no doubt about the importance of these issues, whether it is baggage handling or the protection and safeguarding of passengers in the event of disruption. I have huge sympathy with all the passengers who were subjected to hassle and inconvenience during the various incidents outlined by hon. Members today. It is clear that the aviation sector as a whole needs effective means to deal with passenger welfare during such incidents. The hon. Member for Blackley and Broughton (Graham Stringer) gave us a timely reminder that this is not just a matter for airports, but that airlines have a number of important and legally binding duties in respect of passenger welfare. However, it is clear that airports have an important role to play as well.
Although I can understand and agree with the sentiment behind much of what has been said today and the general aims of the amendments, I cannot recommend accepting them. The Bill provides a far more effective means of protecting passengers in relation to the matters raised. Clause 18 and the licensing regime will give the CAA the flexibility to tailor licence conditions to the specific circumstances facing individual airports. That flexibility is important as a means of minimising distortions associated with regulatory intervention and ensuring that the action taken by the CAA is proportionate and tailored to individual circumstances. As I said in response to the hon. Member for Bolton West (Julie Hilling), giving the independent expert regulator flexibility and discretion in deciding the content of the licence is a more effective way to protect the interests of both present and future passengers. If Parliament chooses to use the legislation to hard-code certain points into licences, that would constrain the regulator’s freedom to decide what priority should be afforded to different passenger concerns and what costs should be allowed for the delivery of competing consumer priorities.
The amendments would make the licence system unbalanced because there is a wide range of different issues that passengers care about. Moreover, a prescriptive approach in the Bill is likely to make it more difficult for the regulator to adapt its approach to the changing concerns of passengers. If we adopted the amendments we would risk obliging the Civil Aviation Authority to give greater weight to the factors listed in the amendments than to matters that might become equally or, indeed, more important to passengers in future.
I hope that I can provide some reassurance to hon. Members on the matters that they have raised. They can be confident that the CAA would use the new licensing powers proposed under the Bill to address the issues that they have raised in the amendments. As we discussed in Committee, in response to a request for advice from the Secretary of State, the CAA has published an indicative licence to assist Parliament in its scrutiny of the Bill. A copy was sent to the Library and, at the request of the Department for Transport, the draft licence includes provisions on operational resilience which, I agree, are crucial for an airport to be effective.
The proposals in condition 7 would require the licence holder to operate the airport efficiently and to use its best endeavours to minimise any detriment to passengers arising from disruption. It would also require the airport to draw up, consult on and gain the CAA’s approval for an annual resilience plan setting out how it would secure compliance with its obligations under the condition. The licence holder would then be obliged to comply with commitments it made in its resilience plan. I hope that reassures hon. Members, including the hon. Member for Bolton West (Julie Hilling).
Will the Minister confirm that if the amendments are not accepted, the current insufficient resilience safeguards might be something dealt with in a licence issued by the CAA?
If I understand the hon. Gentleman correctly, yes, it is clear that the Bill provides the CAA with flexibility to include provisions in the licence on baggage handling and passenger welfare. Our rejection of the amendments should not be taken as an indication that matters are not sufficient; it is simply that the Bill already provides the tools for the CAA to deal with those them.
I am extremely grateful to the Minister for giving way again. She it talking about the provisions positively. Is it her view that the CAA should issue licences with provisions on those particular points?
As I believe I said, the previous Secretary of State had already indicated to the CAA that resilience and passenger welfare were issues that should be addressed in the licence.
I am pleased to have the opportunity to raise a number of issues relating to aviation security. This is an immensely important subject, and one on which the Bill before us has something to say, but we believe that additional safeguards are strongly in the public interest. There are questions that my hon. Friend the shadow Secretary of State raised on Second Reading, and that I and other Labour Members raised in Committee, to which we have not yet had satisfactory answers. We believe that this proposal provides an opportunity for increased safeguards and scrutiny, and that is why we seek to amend the Bill today.
The UK has a relatively strong record on aviation security. The current arrangements have evolved to meet the threats that have faced the UK from Lockerbie onwards, through the various plots that have emerged since the 9/11 terrorist attacks. As terrorists have increased the sophistication of their efforts to cause death, destruction and disruption, so the UK aviation security system has, generally, shown an ability to adapt and stay one step ahead.
The Bill proposes a major change in the security regime, shifting responsibility for overseeing security arrangements from the Department for Transport to the Civil Aviation Authority. A number of issues flow from that. The first involves staffing. Although the move has broadly been welcomed by the industry, we raised concerns in Committee regarding the transfer of specialist security staff from the Department for Transport to the CAA. The Minister has not yet fully addressed those concerns, but I hope that she will do so shortly. Under the terms of the Bill, 85 members of staff will be transferred from the Department for Transport to the CAA. There is concern that some will choose not to transfer, and will instead leave public service. That could represent a serious loss of expertise in an area where finding suitable replacements could be difficult. To ensure the security of our airports and planes, we need to retain that experience.
On Second Reading, the shadow Secretary of State asked the Government to consider seconding at least some staff, rather than transferring them. The Transport Committee has also made that recommendation. In Committee, the Minister told us that it was possible that some staff would be seconded. Our amendment 13 would require the Secretary of State to assess the impact of staff transfers before she gave the go-ahead to move responsibilities to the CAA. I hope that the Minister will take this opportunity to inform the House of the Government’s current position on secondments, and to tell us whether they have got beyond the stage of simply hoping that staff will not walk away.
We have also tabled new clause 3, because we again want to give the Government the opportunity, which they passed up in Committee, to subject to parliamentary scrutiny their proposed shift to an outcome-focused, risk-based approach to aviation security. Without our new clause, the move to risk-based security would not be mentioned in the Bill at all. We should be clear about what the reform will entail. Under the Government’s proposed new security regime, rather than directing specific measures that airports must undertake in order to maintain security, Ministers will instead specify a number of key risks that need to be mitigated. It will then be for the airports themselves to undertake their own risk assessment. They will be tasked with analysing their local vulnerabilities, and with designing and implementing appropriate mitigating measures. I know that the Minister will agree that this represents a major change to the UK’s aviation security regime.
My hon. Friend presents a picture of changing security regimes under this Government, but does he accept that there are also changes coming through from Europe, particularly on issues such as liquids? Is not the best way of looking at security and exercising correct parliamentary oversight of it to look at the issues in more detail as the picture becomes clearer after the Bill has been introduced— exactly as the new clause outlines?
My hon. Friend makes an excellent point, and I intend to touch on Europe shortly.
Carrying out such an approach presents a challenge to the industry. Directions from Europe, with which any UK regime will have to comply, usually mandate a blanket approach. As my hon. Friend says, that may well be changing. Through the new clause, we seek to require parliamentary scrutiny and approval before Ministers are permitted to undertake what would be one of the most significant reforms to aviation security in the past two decades.
In Committee, the Minister suggested that Labour Members have set our face against moving towards a risk-based approach. That is not the case. We simply believe that any such move is serious enough to require parliamentary scrutiny—at the point and in the circumstances where the Government seek to make it.
The Government’s impact assessment predicts significant reductions in regulation and costs. If they were to emerge in practice, they would, of course, be welcome—provided they did not result in security being compromised. There is support for such a reform from airlines and airport operators, and we have listened carefully to their opinions.
As I have said, we have not set our face against the idea of a risk-based approach, but the Government have not yet done enough to set out how it would work in practice or how it would fit in with a potentially conflicting or contradictory approach from Europe. Ministers are not saying that they want to move to this approach now; they say they want the freedom to do so at some point in the future. At this stage, we do not know what the regime emanating from Europe will be. If the Government seek to press ahead with such a move, it is right to debate and scrutinise it at the time it comes into force when we should know what the European regime is likely to be. That is better than its going forward without scrutiny, which has been the position up to now. I hope that the Minister will seek to change what has been her preferred option.
Those who seek to disrupt, maim and kill users of air transport and innocent people on the ground are constantly testing the defences that the country has put up. That is why we need Ministers to explain to this House the basis for their confidence in individual airports’ ability to assess and counteract risks adequately. In moving away from the current one-size-fits-all approach to security, we cannot permit there to develop a soft underbelly of smaller airports, where defences are lowered because they self-assess their risk to be low. Those intent on doing us harm will always look for opportunities. We currently see that on our television screens daily in the testimony from Oslo. We know from bitter experience that Britain is a nation with a heightened risk of terrorist attack. There can be no grounds for complacency, and I know the Minister agrees.
We also need real consideration of the ability of a risk-based system to implement the necessary response to specific and sudden threats, such as the example of the liquid bomb plot in the summer of 2006. The discovery of this credible threat led Ministers to take the decision to ban liquids, and for a while most hand luggage, from flights to and from the UK. There is no suggestion that Ministers would lose the ability to take such steps in an emergency if they considered that to be necessary, but questions do arise about whether the ability of airports to carry out such emergency procedures might be hindered by their abandonment of uniform security provision. If each of more than 60 airports in the UK operates its own security regime, how straightforward will it be to ensure that emergency measures are adopted with uniformity, rigour and speed should circumstances render that appropriate?
Major changes in aviation security policy cannot be undertaken lightly. I know that the Minister will cite the broad support of airlines and airports for the proposed shift, but it would be wrong if this were Parliament’s only opportunity to debate such a major change in the context of an Opposition amendment, and to seek ministerial assurances.
The Minister will, I am sure, agree that cost and the principle of lessening regulation are not in themselves sufficient justifications for a root-and-branch reform of aviation security. The public rightly expect their elected representatives to maintain their security and safety in the skies. Ministers are proposing not a mere technical change, but a major overhaul. New clause 3 would require them to explain their proposals to both Houses, and to secure approval for a change when they wish to make it. I urge Members to support this extra safeguard.
I want to say a little about amendment 11. The subject of ensuring the dignity of passengers with specific religious clothing requirements was touched on in Committee, and I am pleased that we have an opportunity to debate improvements now. I am well aware that the subject has been of particular concern to the Sikh community, and that Members on both sides of the House have pushed for guarantees of better treatment for their constituents. I am particularly grateful for the way in which my right hon. Friend the Member for Wolverhampton South East (Mr McFadden), my hon. Friend the Member for Wolverhampton North East (Emma Reynolds) and my right hon. Friend the Member for Warley (Mr Spellar) have pursued the issue in recent months.
Aviation security is always paramount, and we make that clear in the amendment, but we believe that it is possible for a rigorous security regime to exist alongside dignity for passengers with specific religious clothing requirements. The way in which security staff treat the Sikh turban is a particularly good example. In 2010, the European Commission introduced requirements for religious headwear to be subject to manual searches. It has been suggested that, given that the UK is the only EU member state with a substantial Sikh community, Europe failed to understand the specific sensitivities of the turban: that it should not be touched by another person, and that its removal should not be required.
The UK reached an agreement with the Commission enabling airports to opt into a trial allowing the swabbing of turbans for explosive residues, a compromise that was broadly welcomed by the Sikh community. However, a number of UK airports have chosen not to opt into the trial, which has caused significant distress and anger among Sikhs. We want to see a more consistent approach which would ensure that people with specific religious requirements, whatever their faith, are treated with dignity.
My hon. Friend is making some compelling observations about the Sikh community and security, with which I entirely agree. Does he agree with me that—as is demonstrated by, for example, 1970s legislation on motor cycle helmets—political leadership is sometimes required to bring about action on issues that are vital to communities represented in constituencies throughout the House, and that bureaucrats may not always be able to make the necessary judgments?
As ever, my hon. Friend has made an excellent point, and the amendment presents an opportunity for such leadership to be shown.
Training is an excellent example. We believe that the amendment would empower and encourage the Civil Aviation Authority to take the necessary action in its regulatory role. Too often we find that airports are lacking in this regard, owing mostly to ignorance.
My hon. Friend is being extremely generous in giving way. Can he confirm that if new clause 3 and amendment 11 and were not passed today, the House would have no further opportunity to express its views about the security regime in relation to particular items of religious headwear?
Clearly, the hon. Gentleman has already seen my speech. I shall go on to talk about Manchester airport.
We have heard about the profiling of potential offenders. I am concerned that people with brown skins are more likely than others to be pulled over for more rigorous security checks, and I am not yet convinced that that will not occur. We have seen what happened with stop and search on the streets. Will that be replicated in our airports? The percentage of black and minority ethnic people who are stopped and searched by the police is much higher than that for the white population, and the police can argue, as can any security service, that certain people are more likely to be involved in street crime and gang-related violence, but the result is the capturing of everybody of a certain colour or ethnicity, which can become very worrying.
My hon. Friend the Member for Feltham and Heston (Seema Malhotra), who is no longer in her place, spoke about the Sikh gentleman who was asked to remove his turban. We must ensure that people will not be targeted because of the way they look or because they come from a certain background. We need to ensure that people are treated the same and that people who meet certain criteria are the ones who are picked out.
My hon. Friend mentioned the statistics associated with police stop and search. I am unclear about the current statistics in relation to people subjected to personal or invasive searches in airports. Does that not support the case for a full assessment of aviation security to be carried out by the House through a further instrument?
I thank my hon. Friend for that intervention and I agree with him.
We were told in the Select Committee and in the Public Bill Committee that risk-based security was based on an analysis of people’s behaviour—how they purchase tickets, what insurance policies they have, and so on—but a certain group of people are still more likely to commit an offence. I hope the Minister can reassure me and colleagues that the proposals will ensure that people are caught and are not able to commit atrocities in our skies.
Aside from the race element, there has been an increasing number of complaints from disabled people about how they have been treated at airports, especially from people with colostomy bags or other physical attributes, who have been subjected to pat-down searches. Again, we must consider how to ensure that disabled people are not discriminated against and that they are treated with no less concern for their dignity than other people, even if that means that they may have to go through another door for certain other investigations. Those investigations must not be intrusive or discriminatory or interfere with people’s dignity.
As we heard, at Manchester a scheme has been in place since 2009. Body scanners have been trialled that use backscatter X-ray technology which does not yet have EU approval. I am informed that the radiation from the body scanner is equivalent to cruising for two minutes at altitude and that the scanners have been approved by the Health Protection Agency. However, when the trial ends in October, unless there is an extension, the airport will not be able to continue using them.
The passenger approval rate is 95%. People much prefer it to the old-fashioned pat-down search, as do security staff, because it avoids the need to touch and the bending and stretching that they would otherwise have to do. Not everybody goes through the body scanner. Everybody goes through the first security phase, then a door opens and they either go through the body scanner or go straight ahead. The system has worked, but the concern is that if the EU does not approve it, the investment will have been wasted. More worryingly, what incentive will airports have to be innovative in future? As the hon. Member for Beckenham (Bob Stewart) suggested, we must continue to ensure that terrorists do not find any loopholes in our security system.
On the outcome-focused, risk-based approach, the Minister seems to be saying that the Bill gives airports the chance to innovate and look at other ways of reaching the same solution. That approach is not working for Manchester because it will not be able to continue using the scanners unless the Government can agree with the EU that the system should continue. Will airports be less likely to invest their own money? Even if the Government’s desired outcomes are achieved, a different input method would be used. My worry is that there is not a clear enough picture for how we achieve the outcome-focused, risk-based approach.
Of course, this is a worldwide issue. We need to ensure that passengers returning to and departing from the UK have stringent security checks. Whether across the European Union or globally, we need systems in place that we can all live and work with. I hope that the Minister will return to the issue. As I have said, I am not convinced that an outcome-focused, risk-based approach will allow innovation and ensure that our airports all have the same level of security.
Finally, I want to talk about the staff transfer issue. As hon. Friends have said, the trade unions, the Transport Committee and the Public Bill Committee have all expressed concerns about losing expertise through the transfer of staff from the Department to the CAA and fear that current employees will look for other opportunities in the civil service. The Under-Secretary of State for Transport, the hon. Member for Lewes (Norman Baker), wrote to me on that point and stated that the Department could look at how secondments might be used but was committed to ensuring that the costs of regulation are transferred to users and away from taxpayers.
The Minister also said that seconding Department staff to the CAA, rather than transferring them with a function, is unlikely to help ensure that experienced staff remain with the CAA when secondments end. I feel that the Minister has missed the point. Many civil servants are seconded to outside agencies and the cost is transferred to those agencies. While the function that the civil servant fulfilled is transferred, they would stay with the agency within their role. It is not the case that they would be transferred for a fixed period of time and then come back; they are transferred with that function. That means that the individual would retain their terms and conditions and, most importantly, their pension rights. We know that that is of great concern to the employees and that that is why we are most likely to lose that expertise, because they say that they do not want to lose those things and so want to stay within the civil service to look for other opportunities. I hope that the Minister will rethink the decision and not risk the flight of staff and the loss of expertise and, with it, the resilience in our security system.
I wish to speak in particular to new clause 3.
We have heard that the Bill will move the responsibility for security functions from the Department for Transport to the Civil Aviation Authority, and new clause 3 in particular is concerned with another change in aviation security: the move from the current direct-and-inspect regime to an outcomes-focused, risk-based one.
My hon. Friend the Member for Barrow and Furness (John Woodcock) has already told us that Labour does not oppose the principle of a risk-based approach—an approach to reforming regulation that the party promoted in government and continues to support—but the life and death nature of aviation security means that such a significant shift must be subject to proper scrutiny to ensure that the necessary safeguards are in place. Although reductions in cost and in regulatory burdens are of course welcome, in aviation security, as perhaps in no other area, such decisions cannot be based solely on cost and on slimming down regulatory systems.
The Minister could and should have taken the opportunities presented by the Bill, which includes a major shift in security procedures, to guarantee parliamentary scrutiny of the move to a risk-based system. Under new clause 3, a resolution to permit the move would require the approval of both Houses of Parliament and give us the opportunity to consider several important issues. It would allow us here in Parliament to consider the reliability of the Government’s estimated cost of changing the regime, which stands at £23.7 million over 10 years.
As my hon. Friend the Member for Blackley and Broughton (Graham Stringer), who is no longer in his place, pointed out, there are already concerns about whether the figure of £23.7 million over three years will allow for sufficient levels of training and staffing to fulfil security arrangements.
The new clause would give Parliament the opportunity to consider whether there is a risk that removing a one-size-fits-all approach to security creates the possibility of different levels of security at different airports, and the possibility at smaller airports of more lax security arrangements, which—ostensibly, given their lower threat level—terrorists could exploit.
The new clause would give Parliament the opportunity to consider whether there is a risk that the removal of the one-size-fits-all approach to security will create different levels of security at different airports, with more lax security arrangements at smaller airports, which ostensibly have a lower threat level, that could be exploited by terrorists. It would give Parliament the opportunity to consider how well the new aviation security regime will cope with emergency situations such as the liquid bomb plot of 2006. It would give Parliament the opportunity to consider whether the Civil Aviation Authority has demonstrated that it has the ability and resources to regulate a risk-based system effectively following the transfer of security functions under the Bill.
I repeat that Opposition Members are not against the move to an outcomes-focused regime in principle. However, this is a major shift in an area of high risk and it needs to be scrutinised properly by Parliament to give confidence not only to this House, but, more important, to the airline travelling public.
It is a pleasure to speak to this group of amendments, because it is probably the most important one that we will discuss, other than that on environmental protections, which we will come to later.
To put the proposals in context, we are discussing a big shift in aviation security. This is not a peripheral part of the Bill, but a cornerstone. In Committee, we had robust debates about how best to arrange aviation security. I want to put it on the record that I do not believe that the Government wish to weaken aviation security. However, their ideological position is that it is important for the Government to withdraw, where possible, and to pass responsibility to other groups, whether they be agencies, third sector organisations or quangos.
I apologise for intervening for a second time and thank the hon. Gentleman. The key thing is that, whatever the Government do and whoever is responsible for the security at our airports, security is at least as good as it is now. It might be better or even different. Difference is a good thing in security, as long as the people are well-trained and have decent equipment.
The hon. Gentleman goes to the heart of the issue. I agree with him completely that the regime that comes in must be as good as, if not better than, the one it replaces. That is why amendment 13 would require the Secretary of State to carry out a full assessment of the change. I hope that there will be support for that if it is pressed later.
The hon. Gentleman’s second point was that change is important. Change is essential in aviation security and in all aspects of security so that we do not get into the pattern of doing the same thing day after day and thereby miss the threats. This country has an advanced aviation security regime. There is good partnership between airports, the Department for Transport and the agency within the DFT to ensure that it is implemented. When I sat on the Transport Committee, I was pleased to accompany its Chair, who spoke earlier in this debate, to speak to the officials who are charged with our aviation security in the run-up to the passage of the legislation. It is clear that we have major expertise in this, which we can share across Europe.
The key issue is not whether the Bill will strengthen or weaken our aviation security, nor what operational procedures or equipment we should use, but the question raised by the hon. Member for Beckenham (Bob Stewart): will the regime be better? At this stage, I do not have the information that is needed to answer that question. More important, I fear that the House has not had an opportunity to explore and answer that question fully. The new clause seeks to bring about such an opportunity, which is extremely welcome.
When we consider what the role of the Government should be, we see that the public expect there to be a hierarchy of interventions. There are places where they do not want government at all, and there are places where it is very much required. Security and the protection of the people are at the top of that hierarchy. Although the change being made in the Bill is not in any way designed to push the matter off the Secretary of State’s desk, it is a change to a system that has by and large worked very well.
The change is very big, however, and as I said in an intervention, it comes in the context of changes that are happening around Europe. I visited Brussels two weeks ago to talk about a number of subjects, and the extent to which the UK has become a tarnished brand was clear. Ever since the Conservative party moved to a more right-wing grouping within Europe, and more recently because of the veto that the Prime Minister exercised—although many of us would question what it actually stopped—our Government’s ability to influence other national Governments’ policies on various matters that we should agree on as a bloc has been diminished.
I think the hon. Gentleman would be interested to know that the last time I attended the Council of Ministers, the Danish presidency proactively raised the issue of security reform, drawing on a number of the principles that we were considering in the UK. There is already interest in Europe in what we are doing, and we as a country can take a leading role in the debate on how to deliver a much more effective and passenger-friendly security regime.
I absolutely agree that we have great expertise to share across Europe, and I am pleased to hear that the Minister has been making that point in Brussels. If she were being charitable, though, I think she would accept that the atmosphere there has changed.
No, she is not going to be charitable. Okay.
The Minister rightly gave the example of the ministerial team at the Department for Transport having acted in response to concerns about European guidance on security related to the Sikh community. The current system allowed her to take that action, but we are about to change that system.
I can reassure the hon. Gentleman that the move to an outcomes-focused, risk-based system will not change the responsibilities in relation to directions such as that given by the former Secretary of State, my right hon. Friend the Member for Runnymede and Weybridge (Mr Hammond). Under the new system, the Secretary of State will still have the power to make directions such as he did in relation to the problem of religious headgear.
I am extremely grateful to the Minister for giving me that assurance, but I would like her to give it to the House in a full debate about aviation security. By 7 o’clock tonight, the House will have finished Report stage. My party’s Front Benchers made their arguments so forcefully that I am sure they will carry the day if the amendments are pressed, but if not, we will have to go on assurances from the Government, not on assessments such as those we call for in the amendments or on positive resolutions of both Houses such as could be made if new clause 3 were accepted.
I accept the Minister’s point about leadership and am pleased that she is being responsive on the matter, but we must not ignore the fact that a big change is being made to aviation security. The public will want us to be able to account for what we have done. The change should not be made lightly; it should be made with the full, cross-party support of the House.
I apologise for coming into the debate somewhat late. I was at a ministerial meeting about issues to do with Heathrow, particularly deportation and the detention centres at Harmondsworth and Colnbrook.
I wish to make two simple points. The first is about new clause 3 and relates to an issue that has come up time and again in debates about airport security. Members may recall that I chaired the meetings at Heathrow after 9/11, at which we brought together all the companies, BAA, Ministers and others. Two things came out of those discussions. One was the need for training, which has been mentioned today. There was a lack of training at the time, particularly on lower-level perimeter security. The second was the difficulty of recruiting and attracting sufficiently qualified staff, largely as a result of the low pay levels. We sought to resolve that in discussions with the Government. We wanted not only to bring all the agencies together to improve training, but to have it recognised that pay levels for security workers at Heathrow, some of whom at best lived on just above the minimum wage at that time, needed to be addressed if we were to recruit and retain appropriate staff.
I am afraid that that is how I interpret the new clause. There would be a serious risk that it would have that result, although I am pleased that the hon. Gentleman has assured the House that that is not the intended outcome. He will appreciate that that would be damaging to our efforts to keep people safe.
The new clause states:
“An order under this section must be approved by a resolution of each House of Parliament. ”
There is nothing in the measure, as far as I can see, that would prevent the existing powers of the Secretary of State “to direct” from being taken away. It is more about the transition from one regime to another.
That may be the Opposition’s intention, but I am advised that the effect could prevent the Secretary of State from taking swift action on the sort of plots that I have outlined.
Turning to amendment 13, clause 82(3) requires the Secretary of State to consult the CAA before making a transfer scheme. Such a scheme would allow, for example, the transfer of relevant staff. I can assure the House that the Department has begun to work with the CAA on understanding how the transfer of staff and property to the regulator might impact on the delivery of the CAA’s functions, whether it is safety, economic regulation or new security functions. The Government’s priority is to ensure that our aviation security remains robust before, during and after the transfer to the CAA. We have begun work to assess the impact of the transfers, for example, to ensure that the CAA has access to the right information and knowledge on aviation security, and we are looking too at how best to integrate aviation security in the CAA, including synergies between safety and security. The CAA is considering how best to manage security at board level, as well as how it can be most effectively managed at operational level. We remain committed to ensuring that the CAA continues to conduct its regulatory functions to a high standard and that it fulfils its aviation security functions to an equally high standard. I therefore urge my colleagues to oppose the amendments and new clause, because I do not think that they are necessary to deliver the outcomes that they are intended to secure.
Twice now the hon. Gentleman has referred to the blocking of a third runway as a policy, as in an aviation policy that could deliver some outcomes. Does he not accept that that is not a policy—it is just saying no?
No. I think we need a basket of options. I am delighted to hear that at Luton, in the hon. Gentleman’s constituency, there are such significant plans for expansion. At Gatwick, too, there is significant expansion, even of the one runway, and the possibility of a second runway from 2019. I wonder whether one option might be rail links between Heathrow and Gatwick and/or Luton, and whether the charges could pay for those. I am interested in hearing about the Northolt options and what the impact might be if Northolt were linked in to Heathrow. I very much believe that Birmingham airport, in terms of being half an hour from Old Oak Common or 40 minutes from Euston on High Speed 2, can become a very significant player in the south-east aviation market.
I will finish the point, if I may. I do not understand why so much aviation demand from the north and the midlands has to come all the way down to Heathrow when, perhaps, Birmingham or Luton could satisfy much of that.
All those potential options with different airports are hugely interesting. Unfortunately, we have not heard from the Government what their policy is—their strategy. The options have to fit into some kind of framework, and still as we speak, two years into the term of this Government, none exists.
The policy is for a south-east airports consultation. The previous Government sought to conduct such a consultation, and would not even consider as an option a second runway at Gatwick until I, along with Medway council, Kent county council, the Royal Society for the Protection of Birds, and Essex county council, backed a judicial review which overturned that policy.
I warmly agree with my hon. Friend that it is essential to make the best use of the existing capacity in the south-east and around the country. We will explore that in the process that we are undertaking on the future of our aviation capacity needs.
I agree with the Minister that we need to make better use of the capacity that we have. Of course, Luton airport in my constituency has more capacity and we are willing to share it. Does she not accept that we have a problem, in that there is no proper UK aviation hub at present?
As I said, London is one of the most well connected cities in the world and arguably the most well connected. It has five or, depending on one’s definition, six successful international airports that serve our economy very well. We need this debate to be based on evidence, not on the propaganda that one reads on BAA posters.
As I said, that matter is not, strictly speaking, germane to the motion, so before I try your patience, Madam Deputy Speaker, I will turn to amendments 1 and 2 tabled by the hon. Member for Blackley and Broughton. His intention is that “effectiveness” should be construed as spending wisely. Imposing such an obligation on the CAA could pull it into an inappropriate management role over regulated airports. I am sure that that is not his intention, given that he is rigorous in opposing disproportionate regulation.
My concern is that it is one thing to specify an output that is required, but quite another to specify the manner in which the operator should meet that obligation. The Bill gives the CAA the power to ensure that airports with substantial market power do not impose unreasonable charges on their customers or exploit them. The amendment might oblige the CAA to start telling an airport how to run its business in the most effective way. That outcome would be disproportionate.
The current wording in clause 1(3) is broadly understood by the stakeholders who are affected by the regime. Inserting the word “effectiveness” at this stage might undermine the clarity of the duties to which the CAA is subject, when clarity is one of the most important goals in the Bill.
My hon. Friend the Member for Daventry (Chris Heaton-Harris) is a staunch defender of the air freight industry, and it is always a pleasure to hear his contributions. I repeat the comments that I made in Committee about my admiration for the efficiency and success of that industry in the UK, and I reassure him again that in exercising its information powers in relation to the freight industry, the CAA is obliged to take a proportionate approach. The degree of intervention required in a business-to-business market may be less than is appropriate in the consumer market, and I am sure the CAA will take that on board in ensuring that it takes a proportionate approach.
(12 years, 8 months ago)
Commons ChamberThis Government are investing more money in capital spend than was planned by the previous Government. If the hon. Lady is complaining about those numbers, she would be complaining even more if we had the misfortune of having her party in office. This Government are investing in infrastructure and putting unprecedented levels of investment into the railways, as I am sure she is well aware, even though she prefers to score a political point.
The Government are rightly taking action to make it easier for people and businesses to go about their daily business. We are cutting commuting times and speeding up journeys; getting people and products moving faster and more reliably; and ensuring that Britain is plugged into the global marketplace. Of course, the easy choice, faced with Labour’s debt and deficit, would have been to cut capital spending and major infrastructure projects. We are not doing that. Instead, we have taken a deliberate decision to invest in our transport infrastructure, from relatively small interventions that make a big difference such as hard-shoulder running on motorways, to huge projects such as Thameslink and Crossrail.
I am delighted that we have a London Mayor who is committed, alongside the Government, to driving forward projects such as Crossrail, which are vital to our capital’s future prosperity. It is vital that we continue to have a Mayor who is passionate and successful in campaigning on London’s behalf at the heart of the Government; a Mayor who refuses, unlike his opponent, to make empty spending promises based on imaginary pots of money; and a Mayor who will be the best possible advocate for London’s economic success when he welcomes the Olympic tourists and athletes in the summer.
I am extremely grateful to the Secretary of State for giving way after that party political broadcast to re-endorse the London Mayor. Turning to a point of substance, may I ask her what her policy is on airport expansion in the south-east? The Government were keen to show a bit of leg in that regard, but have ruled out a third runway at Heathrow.
The hon. Gentleman will be delighted to know that I will come on to that matter shortly. After all, this is a speech on infrastructure. I hope that when the Opposition spokesman responds, he will take the time to set out some kind of alternative plan. That would be of real interest to us all.
Five months into this job, I could reel off a long list of the transport investments that we are making. We are electrifying the trans-Pennine railway and the Great Western line from London to Cardiff, far surpassing the 39 miles of electrification that happened under the previous Government. That would not even stretch from Cardiff to Swansea, let alone from London to Cardiff. We are upgrading the Tyne and Wear metro. There are 45 local authority major schemes to improve connectivity across the country. We are finally progressing with the first parts of the northern hub project, which is so important to many Members.
I could continue, Mr Speaker, but we are investing in so many projects that you would probably call me out of order for speaking for too long. Therefore, let me summarise. The spending review set out more than £30 billion of investment for road, rail and local transport projects across the country. On our roads, we are investing billions to unlock extra capacity and ease congestion. We have set up the £560 million local sustainable transport fund, which gives local communities more power to design and deliver local transport systems. We have put in place the Growing Places fund to kick-start infrastructure projects.
We have given the green light to High Speed 2, a national high-speed rail network that will radically improve the connections between our great cities and, by doing so, help to create jobs and generate growth and prosperity. That sits alongside our unprecedented investment in the existing railway network, from new stations and rolling stock to line electrification, which will help to decarbonise the industry. That amounts to the biggest modernisation programme since Victorian times.
Hand in hand with additional resources for our railways goes the reform of our railways. The rail Command Paper sets out our vision for an efficient, effective and value-for-money rail industry. Our reforms will put the customer first and allow us to end the era of inflation-busting regulated fares increases once the vital savings are made.
Building on all those investments, the Chancellor announced further measures on Wednesday to improve our country’s transport links. He announced a £323 million package that includes a range of projects. There is an extra £150 million contribution towards the Growing Places fund, which will facilitate the economic growth, jobs and house building that our country needs so badly. There is £15 million for cycle safety in London, which will enable the innovative redesign of some of the capital’s most dangerous junctions for cyclists. There is £11 million more for low-carbon buses, which is part of the £101 million bus investment package that the Under-Secretary of State for Transport, my hon. Friend the Member for Lewes (Norman Baker) is announcing today.
In addition, the Chancellor has announced that the rail industry will benefit from £130 million of funding from Network Rail to improve rail connectivity in the north of England by giving the go-ahead to further parts of the northern hub project. That will include increasing line speed and capacity on the Sheffield to Manchester Hope Valley line, and reducing journey times on the Manchester to Bradford via Rochdale and Halifax line and the Manchester to Preston via Bolton line. We are linking up the great counties of Yorkshire and Lancashire in the way that they have always wanted to be linked. That all adds up to passengers enjoying better connections, faster services and more seats.
Our national road network is also a key part of our national infrastructure. The strategic road network carries two thirds of all the freight on Britain’s roads, and it is vital for all types of business from mail order retailers to industrial parks and shopping centres. We have already announced, in last year’s growth review, £1 billion of additional investment in the nation’s strategic roads, on top of the £2.3 billion planned investment in major improvements announced in the spending review. However, as the Budget makes clear, we want to go further and examine the opportunities for more private investment in the road network in future. We want to consider where we can learn lessons from other industries, and we want to build on the proposals in Alan Cook’s report on the Highways Agency.
I begin by passing on the apologies of my hon. Friend the Member for Garston and Halewood (Maria Eagle), the shadow Secretary of State for Transport, for not being present today. It turns out that Ministers were on to something when they refused the offer to speak at the TUC’s railway event earlier this week. Conservative Members often seem to think that our brothers and sisters in the trade unions must be contagious, but on this occasion there is no getting around it—I am afraid they made my hon. Friend ill.
It therefore falls to me to point out what the Secretary of State already knows—that over the past 48 hours, the Chancellor’s Budget has unravelled at astonishing speed. We now know that it will inflict pain on the millions, so that millionaires can be spared. On the subject of transport, the Secretary of State has shown that she and the Chancellor are wedded to a platform of pain today and more pain in the future, with woefully little to return to the country the jobs and growth that we so desperately need.
We must not be unfair, for action has been taken to ease transport costs in at least one area. Fares on cable-based transportation systems carrying fewer than 10 people will now be subject to 5% VAT. That is unalloyed good news, and I am sure Government Members will think it is a clear sign of a Chancellor with his finger on the pulse of the lives of hard-working families up and down the country. If people travel to work by cable car, they are laughing, but if they are among the millions of motorists and train passengers squeezed as never before, facing the prospect of whole new charges in future, they are definitely not laughing.
My hon. Friend is extremely well informed on cable-based transportation systems. Are any cable-based transportation systems proposed in Luton South, where families are feeling the squeeze of the Budget?
I am not aware of any, but my hon. Friend might make proposals as a result of that excellent tax cut.
Yes, there are tough choices to be made, and the Opposition have set out the choices that we would have made. Of the £9 billion of cuts and efficiencies being made by the Department for Transport, we have accepted more than £6 billion.