(12 years ago)
Commons ChamberThe reason for introducing the Bill now is to try to level the playing field and to take action that the previous Government talked about but, I am afraid, never found the time to do anything about. I make no apologies for wanting to do this now. I wish it had been done sooner, but at least we are doing it at our first opportunity.
A key part of the movement of goods is provided by foreign hauliers and the Government recognise the important contributions they make to the economy. They make 1.5 million trips to the UK every each year, and we do not wish to discourage free trade with our partners in other countries. However, it is only right that we ensure that our own haulage industry has a fair chance to compete, and I hope that the Bill goes some way to achieving that. I met some hauliers when I announced the Bill and they said that it would lead to more jobs in this country.
As colleagues will be aware, any road user charge is subject to the strict conditions set out in the Eurovignette directive, which provides a framework for charging on roads and specifies the maximum daily charge as €11. That is likely to rise to €12 by 2014, which will mean that it should equate to the £10 a day that we intend to charge the largest vehicles that use our roads.
I also recognise that many trips made by foreign hauliers take longer than one day, so they will also be able to pay the levy for different periods, up to one year. In the case of the largest vehicles, this annual charge will be £1,000. Our estimate of the revenues that will be gained as a result of foreign hauliers paying a charge is between £19 million and £23 million a year. Although that is not enormous, it shows we are doing something that is clearly wanted. That is why the Bill is right. The Government are also committed to introducing other measures—principally vehicle excise duty reductions—that are not part of this Bill to ensure a fairer deal for HGV drivers.
I will now go through the Bill’s points of interest.
I have a question about something that I genuinely do not understand. The new levies will be welcome, but why will there be a delay, as I understand it—I may be wrong—between their imposition on UK hauliers, who will have to pay first, and on non-UK hauliers?
I very much hope that there will not be a delay. As I have said, I intend the levy to be introduced in April 2014, subject to certain procurement measures. Once it is introduced in this country, there will be a reduction of a similar amount in VED charges, so our lorry drivers should not pay anything extra. Foreign drivers will be charged from, I hope, April 2014. I hope that that addresses the hon. Gentleman’s question.
Overseas hauliers will pay in advance of coming to this country. However, asking somebody who is bringing a lorry over for a day to pay for a full year would be quite unfair. We are therefore allowing them to pay daily, weekly or yearly. Most HGV drivers who come to this country regularly will find it much more convenient and a lot cheaper to pay for the year than to pay for each individual day. I hope that that clears up the hon. Gentleman’s point.
The Bill states that HGVs weighing more than 12 tonnes will have to pay a duty of excise levied by the Secretary of State if they are used or kept on a public road within the United Kingdom. It will be known as the HGV road user levy. It will be charged to allow both UK-registered and foreign-registered vehicles to use our roads. The levy applies to all roads in the UK. However, clause 3 provides the power for the Secretary of State to exempt specific roads from the charge by way of statutory instrument, should the need arise.
Clause 4 sets out the liability for the levy. For HGVs registered in the UK, liability for paying the levy will lie with those in whose name the vehicle is registered and with the person keeping the vehicle. That applies the principle used for vehicle excise duty in section 1 of the Vehicle Excise and Registration Act 1994. That allows for the levy on UK-registered vehicles to be paid at the same time as vehicle excise duty. For non-UK-registered HGVs, the person who holds the Community licence for the vehicle and the person who keeps the vehicle are liable to pay the levy. For both UK-registered and non-UK-registered vehicles, when two or more people are liable to pay the levy, they are jointly and severally liable.
Clauses 5 and 6 set out the methods of payment for UK-registered and non-UK-registered vehicles. For UK-registered vehicles, the levy will be paid either yearly or half-yearly at the same time as vehicle excise duty. Where appropriate, rebates may be made for vehicles that are stolen or destroyed. The circumstances under which a rebate will be available and the method of calculating the value of a rebate, together with other conditions that must be met to make a claim, are covered in clause 7.
Some types of rigid vehicle weighing less than 12 tonnes will be exempt from the charge. The Bill also provides powers to allow the Secretary of State to make regulations that exempt some categories of HGV from the charge.
Collection and enforcement of the charge, and related elements, are covered in clauses 9 to 16.
Before the Secretary of State continues, will he clarify one point? Again, I am happy to be corrected. I believe that the Bill sets out that different and potentially higher levels may be charged for weekly or monthly payments for non-UK HGVs. I am not against that. However, will he give a cast-iron guarantee that it does not infringe any anti-discrimination trade provisions within the EU?
Yes, we have covered that. The hon. Gentleman is obviously going to take part in this debate and may well find himself on the Public Bill Committee in due course, so he will be able to cover that point in much more detail. I am glad that the Committee is tempting and am sure that the Opposition Whip has made a note of his details. [Interruption.] Was the hon. Gentleman making a request to be on the Committee? Perhaps he would like to share it with the House.
Regrettably, I have to inform the House that I am on another Committee.
I apologise to the Opposition. I was going back to my old territory, which I must not trespass on any longer. I am glad that we have managed to smoke out the hon. Member for Ogmore (Huw Irranca-Davies) as to his willingness and availability. I am sure that he gives distinguished service to the other Committee. I must check which it is after this debate.
The level of vehicle excise duty evasion among UK hauliers is extremely low at less than 1% of vehicles. I have no reason to anticipate that that will change once the levy is introduced. To reduce the administrative burden, the levy will be paid at the same time as VED. We have looked at ways to make the introduction of the levy cost-neutral for UK hauliers. To do that, we will reduce the level of VED to take account of the new charge. That reduction will mean that an estimated 94% of UK hauliers will pay no more than they do at the moment and that 98% will pay no more than an additional £50 a year. Clause 15 allows the Secretary of State to refuse to issue a tax disc when the appropriate levy has not been paid. That will lead to vehicles being unlicensed, which brings the associated penalties of immobilisation, removal and disposal.
For foreign-registered hauliers, a system will be procured to allow the levy to be paid online before the vehicle enters the country. The levy is based on the length of time, so visiting hauliers will have to select the period for which they will be using UK roads. The options will go from a single day to a year. Once a haulier has paid the right fee, the payment record will be entered automatically into a database, allowing enforcement agencies to check the status of any HGV using UK roads. Information relating to whether a vehicle has paid the levy will be made available publicly.
There is a risk of foreign hauliers evading the new charge. We will ensure that the Vehicle and Operator Services Agency, which will enforce the charge in England, Wales and Scotland, and the Driver and Vehicle Agency, which will enforce the charge in Northern Ireland, are properly equipped to do the job from the start.
May I take this opportunity to invite the Secretary of State to join me on the Groceries Code Adjudicator Public Bill Committee at his earliest convenience? Does he foresee any problems in enforcing this wonderful measure owing to the Government’s decision to opt out of the EU directive on cross-border enforcement?
I am grateful to the hon. Gentleman for sharing with us which Committee he is sitting on. The Committee on this Bill will really miss his attention to detail. I have no reason to believe that there will be any of the problems that he mentions. I have assured myself that what we are doing is wholly within the law and within EU competition rules.
For non-UK hauliers, there will be no physical sign of the levy having been paid. I believe that paper discs or similar signs would impose a needless burden and open the door to fraud. One of the main methods that we will use to detect vehicles that have not paid the charge is by linking our automatic number plate recognition cameras to the payment database. The use of that technology will enable quicker checks to be made on all HGVs. The power to install such equipment where it does not exist is being introduced in the Bill by amending the Highways Act 1980, the Roads (Scotland) Act 1984 and the Roads (Northern Ireland) Order 1993 in clause 16.
I will not take another intervention—people want to get on to other business today. These matters must be discussed in some detail in Committee. If we have a situation where there is no European framework through which we can arrest people—the European arrest warrant—then the Bill will come to naught.
I thank my hon. Friend for being gracious in giving way. I want, through him, to give the Minister the opportunity to answer the question I asked in the Ways and Means debate, the same question the Secretary of State perhaps misunderstood and answered, when I raised it earlier, by referring to European trade rules. I hope that the Minister, in his response to my hon. Friend’s very good point, will be able to clarify what will happen now that we do not have cross-border enforcement, because the Government have opted out of it.
There will be a lot of things that, if the Government opt out of them, will collapse around our ears. I hope, in making these points, that I am providing positive criticism, because I would like to see the Bill emerge in a perfect form, or as perfect as it can possibly be. I welcome the Bill in principle, and hauliers in my constituency welcome the idea behind it, but we must make sure that it comes out of Committee in a form so that it will do what is intended to do, and is not just a precursor to road pricing for everyone in the UK.
(12 years ago)
Commons ChamberLike the Minister, we welcome the Bill and the Lords amendments. We supported much of the Bill in Committee and continue to do so today. This is my first opportunity to welcome the new Minister of State to his position and to face him across the Dispatch Box, so I wish him well in his new role. It is probably good to be meeting on relatively friendly terms on our first outing.
We are very pleased that the Government have accepted a number of amendments. In the other place, the noble Earl Attlee said:
“The noble Lord, Lord Davies of Oldham, is very insistent and persuasive. He is clearly convinced that his amendments will improve the Bill. My Bill team manager will probably kill me, but I can accept”.—[Official Report, House of Lords, 7 November 2012; Vol. 740, c. 1003.]
Clearly, I need to take advice and lessons from my noble Friend on how to be insistent and persuasive, because we tabled those amendments, a number of which were accepted in the other place, in Committee and raised the subject again on Third Reading. We were spectacularly unsuccessful in persuading the Government to accept a single amendment, so we obviously need to speak closely to our colleagues in the other place to see how they were able to secure agreement.
It might be some consolation to my hon. Friend if I say to him that it might not be his powers of persuasion. It sometimes takes time for things to sink in.
An interesting intervention from the hon. Gentleman. I discussed the Bill with my hon. Friend the Member for Cambridge before today, and I understand that he felt there were some technical deficiencies in the amendments tabled by the hon. Gentleman in Committee. It is important to stress that Liberal Democrats are in government, and we are able to influence the Government because we are part of the Government. It was the Government who tabled the amendments in the Lords. Having spent nine years on the Opposition Benches, I can understand the hon. Gentleman’s frustration. Without civil service advice, it is difficult to get an amendment right. Being on the Government Benches, Liberal Democrats are achieving successes and this is one of them. As a result of our influence, care for the environment is now on the face of the Bill.
We are always willing to learn, so will the hon. Gentleman enlighten us about what those technical deficiencies were, so that in future we can table better amendments?
The amendments in question are not on the amendment paper today. What we have before us today are the amendments made in the Lords, and I would probably be out of order if I spoke to amendments that have not been tabled. The hon. Gentleman could have tabled amendments to the Lords amendments, but chose not to do so, so we cannot discuss them.
(12 years, 1 month ago)
Commons ChamberI am delighted to support this excellent initiative. Of course, the policy was a commitment of ours at the last election and it is always a joy to stand in the Chamber and deliver on a manifesto promise. I know that it is supported on both sides of the House and was in other parties’ manifestos, too.
We must do more to support the sector across the UK. In the area I represent, logistics and transport are important and employ many people. We have many hauliers locally and I know that they will welcome the Bill. The initiative is good news not only for hauliers and people who work in the industry, but, I hope, for residents in my area. I hope that the Minister will announce how the money will be spent. I represent the port of Goole and most of the arterial routes into the ports of Hull, Immingham and Grimsby and our roads are often well-used by HGVs, which cause considerable damage. We get a lot of complaints from residents about HGVs, so let us hope that once the money has been raised it will be invested back into our road networks, particularly in Brigg and Goole. I do not yet see the Minister nodding but I am sure he will confirm that later.
There is a question of fairness as British hauliers who go to Europe have to pay tolls, which are not levied on any great scale in this country. It is only right that foreign vehicles operating here should pay to use our roads.
I thank the hon. Gentleman for giving way so soon. He is making a very good speech and he is right to say that the initiative has broad support on both sides of the House, including in my constituency, where hauliers serve Tata Steel, Rockwool Ltd and others. The Minister is introducing a complex little device, so will the hon. Gentleman urge him to think again? Some UK hauliers of certain types and sizes might lose out, or might at least not gain all the benefits that the Minister has intended, so he might want to take some time to reconsider and tie up all the little loopholes.
I feel that I have been a conduit for the hon. Gentleman’s contribution to the debate, which is, I think, addressed specifically to the Minister. It is a joy to have been that conduit. The hon. Gentleman has made an important point and I have no doubt that my hon. Friend the Minister will respond to it.
I was talking about the importance of the sector to the Humber, and it is good to see my constituency neighbour, the hon. Member for Scunthorpe (Nic Dakin), in his place. As we jointly represent the steel works, he will be able to confirm the importance of the sector to our area and the fact that it will see a great deal of growth over the next few months. I am never one to miss an opportunity to promote a good local news story, and in my constituency a studio school is about to be established with a specific focus on the logistics sector. Those involved will be delighted to know that our UK haulage industry will receive a shot in the arm from the proposal.
Of course, we had other good news locally on the Humber bridge tolls not so long ago. I will not miss the opportunity to promote another good news story, and I am sure that the Minister, whose Department was so involved in that decision, will be delighted to know that since the Government provided £150 million to halve those tolls, the most recent figures on road use across the Humber bridge have shown an 8% increase. That greatly exceeds expectations. Hauliers report that they can now use that bridge to get their goods to the other side of the Humber divide.
I will, and I look forward to being a conduit for the hon. Gentleman yet again.
I hope that the hon. Gentleman will be not only a joyful conduit but a joyful supporter of my argument. He makes a valid point about tolls and I welcome his comments about the absence of tolls in his area. The Severn bridge toll, which is paid on the way into Wales but not on the way out, is a significant drain on the south Wales economy. Does he support those of us who have been campaigning for years to get rid of it?
I am afraid I am not an expert on south Wales, having only visited once, but the hon. Gentleman has made his point. In the Humber region, people pay to travel in both directions, so we do not have any argument about whether people pay to get in and out of Yorkshire, whereas a debate does take place between Wales and England. I shall avoid stepping into any debate about local issues in south Wales. I am sure that the hon. Gentleman will understand.
The Minister will know that although this provision is welcome, the sector faces considerable challenges. I meet representatives of the sector regularly, and only this summer I was chatting to a local haulage firm at the Ousefleet show. The continuing challenges faced by the sector, particularly in the light of rising fuel costs, were explained to me. I know that the sector will support this measure, however.
It is something of a sadness that we must take this approach, however, and it demonstrates the all-encompassing grasp of the European Union—I cannot miss the opportunity to have a bit of a bash at the EU—that we must follow such a convoluted route, creating a scheme that applies to our hauliers and then providing them with a rebate through VED. That shows how we have lost control of our destiny in this country. We should be able to support our hauliers directly if we want to, and we should be proud to say that.
I do not want to say a great deal more on this, although I think that I have spoken longer than the Minister did—not longer than the shadow Minister, I have to say—but I look forward to contributing again on this subject in the future. I have just two questions for the Minister, one of which I have already asked, but I will pose it again. What will happen to the money that is raised from this? Where will it be spent? Both geographically and within Government Departments, where can we expect that funding to be spent? Will the Minister also confirm that we seem to have an increasing number of vehicles that are dual-registered? Has any assessment been made of whether the measure will result in more or less dual registration? With those few comments, I will end by saying that I welcome this decision and look forward to the Government’s making progress with the matter.
I am delighted to speak on behalf of hauliers not only from my constituency and nearby Bridgend, but throughout south Wales. People often forget that the M4 corridor in south Wales is still one of the greatest manufacturing hubs in the nation of Wales, and probably the United Kingdom. There is a wide variety, ranging from the very modern heavy manufacturing—I was tempted to say the very old—of Tata Steel, whose investment sustains many jobs for local hauliers, to Rockwool, the green insulation company in Heol-y-Cyw in my constituency. There are many other manufacturers—for example, in life sciences—and they all use various types of road haulage, sustaining jobs in the south Wales economy.
I echo the sentiments of the hon. Member for Spelthorne (Kwasi Kwarteng). The measure is broadly welcomed by all on the green Benches. Resolving the matter has not been unduly complex, given that we are dealing with the interpretation of European legislation in the UK, and the Minister is to be commended for bringing forward proposals. I hope to ask a number of constructive questions, both as someone speaking up for hauliers in my area and as a keen cyclist on the roads of London and in south Wales—the Minister will know where I am heading when I say that.
I commend the work of members of the Transport Committee, in particular my hon. Friend the Member for Liverpool, Riverside (Mrs Ellman). She mentioned the number of reports that the Committee has turned out on issues pertinent to the measure, including most recently a report on foreign hauliers in the UK and how we get the level playing field that everyone wants. The Committee has also examined road charging and freight transport.
In a genuinely constructive way, may I ask the Minister to turn in his response to those who may fall outside the mechanism? I appreciate the complexity and difficulty of trying to devise the right mechanism, but my understanding—the Minister can correct me if I am wrong—is that as many as 15,000 smaller, greener, lighter haulage vehicles may not benefit from the provisions; for example, in Pencoed in my patch, there is a light haulier who may fall entirely outside the measure. If those 15,000 represent 5% or 6% of the whole UK fleet, they are a significant minority, and I suspect they may look with envy at the large hauliers who deal with Tata Steel in the constituency of my hon. Friend the Member for Aberavon (Dr Francis) or with Rockwool in Heol-y-Cyw in my patch. Is there something more the Minister can do to help the small hauliers? They face the same problems and challenges. He may reply that the Government have looked at every possible avenue and it cannot be done, in which case perhaps he could explain why.
Hauliers in my area are specifically asking for clarity about the new levels of vehicle excise duty. I think the Minister is likely to respond by saying, “That’s beyond my payroll. You’re going to have to wait for the Budget.”
indicated assent.
The Minister is already nodding. I am slightly disappointed, because hauliers want an assurance that under the provisions VED will be cut proportionately to the levy and that they will actually benefit. I have been in the same situation as the Minister, and it would be great if he could assure them that come what may, there will be proportionality and that people will gain, or at least not lose out.
The measure is all about creating a level playing field with our European counterparts, because we have been disadvantaged. Can the Minister give us an assurance that UK hauliers will not lose out? If many will gain, but some will unfortunately lose out compared with others, can he tell us why that is and who they may be? I suspect I may have difficult messages for some of the hauliers in my patch who assume they will all be winners under the mechanism.
The hon. Gentleman makes a fair point about the message we need to deliver to our constituents. Does he recognise though that it should not be about the UK being a winner, but making sure that we get money from foreign users? That is the key point.
The hon. Lady makes a good point. It is not a case of us being winners. I think the hon. Member for Spelthorne slightly misspoke earlier when he talked about putting protection in place. As the hon. Lady says, it is not to do with protection for us, but with creating a level playing field. I am sure the hon. Gentleman did not intend to suggest that we want fortress mechanisms; it is about getting a level playing field.
As an attentive observer of and participant in our debates, the hon. Gentleman will appreciate that in my speech I suggested that foreign operators should contribute to their use of the roads. That is the best argument in favour of the legislation.
I could not agree more; the hon. Gentleman and the hon. Member for Suffolk Coastal (Dr Coffey) make very good points.
On the issue of a level playing field, can the Minister give us clarity on when the start date will be? What is his best guess at the moment as to when the scheme will be introduced for hauliers not based in the UK? I suspect that this is a complex issue, but while I welcome the provision, it would be great if we could have the same date right across the board. If we cannot, why not, and can he give clarity on why not? There are worries that the date may be six months or a year afterwards, or—heaven help us—after the end of this Parliament; at least in this Parliament we know when that will be. Can the Minister give us an assurance that the measure will at least be in place before then? In fact, more accurately, could he tell us when it will be in place? All of us speak to haulage associations in our area; it would be great to get that accuracy for them.
I have a question for the Minister, for whom I am fearful. When I was a Minister, I was frequently told by officials, “Don’t do that, Minister; you could well be open to European challenge.” Sometimes, I would get a risk assessment put in front of me saying, “Actually, it is worth the risk—go ahead.” Has the Minister had those discussions with the Commission, and even if his officials are not happy, is he confident that the decision to have different charging levels for UK and non-UK-based heavy goods vehicles, because of the issues to do with daily, weekly and monthly rates being applied differently and being available differently, will not in any way be challenged on the grounds that it is discriminatory? I hope it will not, but I seek clarity and confidence from him on that point.
My hon. Friend the Member for Poplar and Limehouse (Jim Fitzpatrick), in his splendid opening speech, touched on issues relating to how the measure will be enforced. If I may drive home that point, there are some concerns from hauliers in my area that it may be more difficult to enforce the mechanism that the Minister is bringing forward now that his Government have opted out of the EU directive on cross-border enforcement. I would have thought that that would have been a highly useful mechanism through which to ensure that the measure is in place across the UK and elsewhere. In bringing forward this mechanism, has he had a risk assessment done that says that that does not increase the risk of non-enforcement?
I am genuinely not making a political point, but we know that some of the enforcement will be done by our police. I know that the Minister will say that the issue is not police numbers, but how and where we deploy them, but we face a cut of thousands of officers—I think the current running total is a cut of about 15,000 police officers by 2015. Put that on top of the fact that we are opting out of the EU directive on cross-border agreement and I worry a little, even if the Minister does not, about how we will enforce the measure properly, so that we see a level playing field in practice, as well as on parliamentary paper.
Finally, I turn to an issue that I mentioned at the beginning of my speech. I am a very keen cyclist, and a member of Sustrans—I do not know whether I have to declare that as an interest. My family and I cycle extensively, including in London, where hauliers hoot their horns and yell at me, “What the hell are you doing cycling on the roads in London?”. It amazes me; I have every bit as much of a right to use the roads as they do. There are extremely responsible hauliers and drivers out there, but we know how many injuries and fatalities there are. The Labour party has believed for some time that some of the benefit from the mechanism that the Minister is introducing—some of the levy—should be put towards working with the industry, rather than mandating them, to try to roll out technologically advanced measures that allow hauliers to see pedestrians and cyclists at the side of their vehicle. That would be a major step forward. Too often, around the streets of London and elsewhere, we see sites where there have been inadvertent collisions between soft cyclists and hard vehicles, marked by so-called ghost cycles—bicycles painted white and attached to railings in memory of someone who has lost their life. It would be very welcome if we looked at that.
I want to support the very important points that my hon. Friend makes. I witnessed a cyclist being crushed by a lorry, and am sitting in on the coroner’s investigation; the sort of practical suggestions that he makes would be welcomed by cyclists and their families.
My hon. Friend is absolutely right. I think that I can understand the Government’s opposition; they do not want to put undue burdens on the haulage industry, which, now as always, is suffering stress. I suggest that the Government should not have a closed mind on the subject, but should be open to the idea that, working with the industry, we could roll the technology out over time—and not a long period of time, either. Hauliers frequently renew their fleets; as fleets are renewed, we can roll the technology out. What we are talking about is eliminating blind spots. In London, one sees cyclists in the established blue cycle lanes; someone driving a lorry cannot see the fact that as they turn left, they veer right across that blue lane. Unfortunately, as my hon. Friend says, occasionally they injure a cyclist badly, or even cause a fatality. The technology is there, and there are not massive costs. I think that we could roll it out as fleets renew.
My hon. Friend is making a powerful speech. To reinforce his point, some companies have done sterling work in advancing the technology that he mentions. I know that the Minister is familiar with Cemex; after one of its drivers was involved in a fatality, it pioneered technology that it uses in the warning and alarm systems in its cement vehicles. It is doing everything that it can to prevent a recurrence of such an incident. Some in the industry are working hard to achieve aims that the whole House would support.
I should just correct my hon. Friend: I am not right hon. The Transport Committee Chair kindly promoted me. The Minister may want to put a word in for me, but I am not right hon.
As a full-time politician, I am more than happy to over-inflate anybody’s ego at any moment, but I will certainly put a word in for my hon. Friend, right as he was in his point. Rolling out improvements through fleet modernisation would create jobs in the UK relating to the manufacture and installation of those technologies. It is a win-win.
That is not my main point. My main point is that I welcome the Bill, but the Minister could do more, by tweaking and refining it, to make sure that there are not people who lose out while others gain from a level playing field; in so doing, he could take the opportunity to think bike.
I would like to be able to confirm that statistic, which may or may not be true, but I cannot do so at the moment. I will seek divine inspiration at some stage and write to my hon. Friend.
I will, although I was going to address the hon. Gentleman’s remarks in a moment.
As the Minister seeks inspiration, could he also try to find some inspiration on what impact the introduction of longer HGVs has had on road maintenance?
I would prefer to write to the hon. Gentleman about that, as I might invite Madam Deputy Speaker’s strictures were I to deviate too far from what we are supposed to be talking about. Having listened to his experiences as a Minister, I know that he will be aware of how easy it can be to do so from this Dispatch Box. Tempting though it is, I shall resist it this afternoon.
The largest and heaviest vehicles will pay a time-based levy of up to £10 per day or £1,000 per year. We consider that fair, proportionate and compliant with the relevant EU regulations. Foreign vehicles will be able to pay daily, weekly or monthly to enable them to maximise flexibility. Linking the levy and the vehicle excise duty payment, and working with the Treasury and the Chancellor to include reductions in VED payments in the 2014 Finance Bill, will ensure that the vast majority of UK hauliers will pay no more than they do today. There will be a zero administrative cost for most UK vehicles. Vehicles that currently pay VED usually do so annually. In future, UK hauliers’ VED will cover both the reduced level of VED and the new charge in one payment.
I will give way, although I was going to try to clarify many of the points raised by the hon. Gentleman and others in a moment.
The Minister is being very generous. May I seek his explanation as to whether the technology that is being introduced by this ways and means measure is the same as that which could be used for further vehicle charging should the Government decide to embark on a wider road charging exercise?
Yet again, the hon. Gentleman tempts me down a line that is grounded in speculation rather than anything else.
(12 years, 4 months ago)
Commons ChamberMy hon. Friend has raised the issue tirelessly and recently had a Westminster Hall debate on the topic, and it is campaigners such as my hon. Friend who have really powerfully put the case to Ministers for looking at the issue and seeing what we can do to tackle it. The Ely junction will be done, and it matters massively, because it creates the potential for enhanced passenger services between Cambridge, King’s Lynn and Norwich, so it will have broader benefits, including freight, which, with Felixstowe nearby in her constituency, I know is close to her heart.
While indeed welcoming the news that an electrified train will be heading down the tracks to Swansea, and to Maesteg, at some point in the future, we note that there is a two-year delay, so when will the train be arriving in Swansea, and when in Maesteg?
I assure the hon. Gentleman that we are cracking on with the programme now, and that is precisely why it has been announced today as part of our priority for the next control period. We will work on it with the Welsh Assembly Government, and I am sure that we will be able to release more details to him shortly.
(13 years, 2 months ago)
Commons Chamber7. What impact assessment his Department undertook in relation to the decision to end concessionary coach travel for elderly and disabled people.
10. What consultation he has had with coach operators on the effects of the withdrawal of the coach concessionary travel scheme.
The decision to end Government funding for the half-price coach concession was announced as part of the 2010 spending review. The Government have corresponded with affected operators on the proposed change and my officials have held discussions with National Express—one of the operators affected by the phasing out of the concession. An impact assessment relating to the ending of the coach concession has been submitted to the Reducing Regulation Committee. The final assessment will be published on the Department’s website and a copy will be placed in the Library of the House.
I thank the Minister for that answer, but I suspect that he will have received, as I have, countless letters from constituents who see much more expensive coach travel coming down the line as a result of the scrapping of the scheme by October 2012. Am I right in my understanding that no public inquiry with disabled or older people’s groups has been carried out? If so, what justification can he have for scrapping the scheme without first consulting the most affected users?
Of course we assessed the proposal as part of the spending review, and I mentioned the Reducing Regulation Committee assessment a moment ago. May I suggest that the position is not quite as apocalyptic as the hon. Gentleman makes out? A year ago, after the 2010 spending review announcement, National Express said:
“We are already planning for the removal of the coach concessionary fares scheme in October 2011 and will announce new products aimed at the over 60s and disabled travellers in due course. We believe the financial impact of the scheme’s removal is manageable and will be mitigated by our own plans”.
(14 years ago)
Commons ChamberI can assure my right hon. Friend that in re-designing the franchise arrangements, as we have committed to do, we will want to consider the opportunities for train operators to contribute to infrastructure improvements and to work more closely with Network Rail. We will also ensure that train operators’ financial interests are clearly aligned with passengers’ interests so that, under new franchises, when we have an overcrowding problem it will be in the train operator’s interest to deal with that problem with its own money rather than, as under the current system, having to come to the Government cap in hand to ask us to solve the problem.
I have a direct question for the right hon. Gentleman. Will the outcome of the further long-grass review that he is considering for south Wales, Bristol and the whole line to London deliver rail electrification all the way to Swansea—not to Bristol, but to Swansea? In the run-up to the election in May, all parties stood on a platform of delivering rail electrification all the way to Swansea. The Secretary of State for Wales, the right hon. Member for Chesham and Amersham (Mrs Gillan), has made a principled point on behalf of her constituents, saying that it is a resigning matter if a different link goes through her constituency. Will she apply the same principle if she fails to deliver rail electrification into Wales?
I can answer the hon. Gentleman’s question to me, but I cannot answer for my right hon. Friend the Secretary of State for Wales; he will have to address his question to her in person. There has to be a business case for electrification. We will work with the Welsh Assembly Government to strengthen and build that business case over the next few weeks and I shall make an announcement to the House as soon as we have made a decision on the IEP procurement that will cover both IEP and further electrification on the great western main line.