High Speed Rail (Crewe - Manchester) Bill (Instruction) (No. 3)

Huw Merriman Excerpts
Tuesday 21st May 2024

(6 months ago)

Commons Chamber
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Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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I beg to move,

That it be an instruction to the Select Committee to which the High Speed Rail (Crewe - Manchester) Bill is committed to deal with the Bill as follows:

(1) The Committee shall, before concluding its proceedings, amend the Bill by—

(a) leaving out provision relating to a railway between a junction with Phase 2a of High Speed 2 south of Crewe in Cheshire and a point in the vicinity of the parish of Millington and Rostherne in Cheshire,

(b) leaving out provision relating to a railway between Hoo Green in Cheshire and a junction with the West Coast Main Line at Bamfurlong, south of Wigan, and

(c) making such amendments to the Bill as it thinks fit in consequence of the amendments made by virtue of sub-paragraphs (a) and (b).

(2) The Committee shall not hear any petition to the extent that it—

(a) relates to whether or not there should be—

(i) a railway between a junction with Phase 2a of High Speed 2 south of Crewe in Cheshire and a point in the vicinity of the parish of Millington and Rostherne in Cheshire, or

(ii) a railway between Hoo Green in Cheshire and a junction with the West Coast Main Line at Bamfurlong, south of Wigan, or

(b) otherwise relates to a railway mentioned in sub-paragraph (a).

(3) The Committee shall treat the principle of the Bill, as determined by the House on the Bill’s Second Reading, as comprising the matters mentioned in paragraph (4); and those matters shall accordingly not be at issue during proceedings of the Committee.

(4) The matters referred to in paragraph (3) are—

(a) the provision of a high speed railway between a point in the vicinity of the parish of Millington and Rostherne in Cheshire and Manchester Piccadilly Station,

(b) in relation to the railway mentioned in sub-paragraph (a) as set out on the plans deposited in January 2022 in connection with the Bill in the office of the Clerk of the Parliaments and the Private Bill Office of the House of Commons, its broad route alignment, and

(c) the fact that there are to be no new stations (other than Manchester Piccadilly and Manchester Airport) on the railway mentioned in sub-paragraph (a).

(5) The Committee shall have power to consider any amendments proposed by the member in charge of the Bill which, if the Bill were a private bill, could not be made except upon petition for additional provision.

(6) Paragraph (5) applies only so far as the amendments proposed by the member in charge of the Bill fall within the principle of the Bill as provided for by paragraphs (3) and (4) above.

That these Orders be Standing Orders of the House.

That the Order of 20 June 2022 (High Speed Rail (Crewe - Manchester) Bill: Instruction (No. 2)) be rescinded.

Nigel Evans Portrait Mr Deputy Speaker
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With this it will be convenient to discuss:

Amendment (a), in paragraph (1)(a), line 2, leave out from “vicinity of” to end and insert—

“Chainage 281+350 in the parish of Millington and Rostherne in Cheshire, including all structures relating to a junction with the now cancelled Phase 2b railway between this point and a junction with Phase 2a of High Speed 2 south of Crewe,”.

Amendment (b), after paragraph (1)(b) insert—

“() leaving out provision for the Ashley Infrastructure Maintenance Base - Rail, and”.

Amendment (c), in paragraph (1)(c), line 2, leave out “and (b)” and insert “, (b) and ()”.

Amendment (d), in paragraph (4)(a), line 1, leave out “high speed”.

Huw Merriman Portrait Huw Merriman
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The motion instructs the High Speed Rail (Crewe – Manchester) Bill Select Committee to resume its work of scrutinising the Bill. To put it simply, the Bill was always going to cover the 15 miles that form the key backbone of Northern Powerhouse Rail, and the motion asks the Committee to continue its work of scrutinising the Bill to deliver this first section of the Liverpool to Manchester railway—the 15-mile section between Manchester Piccadilly station and the parish of Millington and Rostherne in Cheshire.

The motion also requests that the Committee remove the sections of railway south of Millington, which were only required to deliver the now cancelled elements of High Speed 2. Members and constituents who have expressed concerns about the impact of this 15-mile stretch of railway on their property and livelihoods will be able to have their petitions heard. It is therefore crucial that the Select Committee continues its work.

Turning to the detail, on 4 October 2023 the Government announced Network North, a transformative transport infrastructure plan that will see £36 billion invested in hundreds of transport projects across the country. Every region is set to receive the same or more transport investment as they would have under previous plans in transport projects—projects that matter the most to communities up and down the country. At the same time, the Government confirmed an additional £12 billion of investment to enable Northern Powerhouse Rail to proceed to better connect Liverpool and Manchester.

The change before the House is a crucial part of the Government’s Network North strategy, allowing us to invest the money put aside for HS2 in projects that will transform transport within the region. Specifically on Northern Powerhouse Rail, this allows us to deliver it in full, bringing in Bradford and Hull. Network North will radically improve travel between and within our cities and towns and around the local areas, benefiting more people, in more places and more quickly than in previous plans.

I would like to take this opportunity to thank all the members of the Select Committee for their hard work up to this point. It is no small task that has been put before them, and they have all worked with a vigour that is to be admired, even if some of the work had to be paused while the Government refocused this agenda.

William Cash Portrait Sir William Cash (Stone) (Con)
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As is well known, I have been opposed to the HS2 project since its inception, which goes back about 10 years or so. The Minister is giving us a bit of a eulogy about what is being done, and I am very glad that HS2 has been substantially changed and will not go beyond Birmingham. The question I put to the Minister is this: is an instruction the right way to go? Doing so in effect bypasses the Standing Orders, and it puts my constituents and those of my right hon. Friend the Member for South Staffordshire (Sir Gavin Williamson) and my hon. Friend the Member for Stoke-on-Trent South (Jack Brereton) in an invidious position, to say the very least. I will come on to that later, if I may, but will he answer my question, please?

Huw Merriman Portrait Huw Merriman
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I had not really started the eulogy yet, but I do believe this is the right vehicle. The Select Committee on the Bill had already been set up, and it was set up to look at not just HS2 phase 2b, but Northern Powerhouse Rail. It was always on that basis that it was formed, so it makes sense to repurpose the Committee to allow it to continue to work on the one aspect that continues, and to take out the other aspects of HS2 phase 2b, which of course is no longer continuing.

I also want to mention my hon. Friend the Member for Brigg and Goole (Andrew Percy), who has been a diligent, conscientious and highly effective Committee Chair over the past year and a half. I know he will be looking forward to getting back to the task, as will the other Committee members.

Gavin Williamson Portrait Sir Gavin Williamson (South Staffordshire) (Con)
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My hon. Friend raises an important point in saying that we should repurpose the Committee. However, the amount of spend for Northern Powerhouse Rail is potentially quite different from what was agreed before, and he is almost depriving the House of the ability to have a proper view of it and to decide how much money is spent on the project.

Huw Merriman Portrait Huw Merriman
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My right hon. Friend obviously believes the point he makes, but almost two years ago—I think it was back in June 2022—after Second Reading, this House passed the motion that has allowed the Select Committee to sit, and its remit was to look at phase 2b and also Northern Powerhouse Rail. By definition, we are looking to strip out the elements that are no longer relevant because HS2 phase 2b is not going ahead, but in my view the Committee should continue to sit to consider the parts that are still going ahead.

Gavin Williamson Portrait Sir Gavin Williamson
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I thank my hon. Friend for being so generous in giving way. There is potentially a significant difference in cost, and in terms of the impact on communities. By taking this process and railroading it through—excuse the pun—the Minister is not giving the House a proper opportunity to discuss the detail and make a decision on it, unless he accepts that there will be no difference in cost between the two proposals.

Huw Merriman Portrait Huw Merriman
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The route selected as the preferred route, which the Bill Committee was tasked with hearing petitions on, remains exactly the same route as was previously identified. With respect, I contend that the Committee has already started its journey. It has already received petitions from those who feel they are affected by this issue, and I contend that that is the right vehicle. I have said warm words about the Committee’s Chair, and as I see the hon. Member for Easington (Grahame Morris) in his place, I also put on the record my thanks for his hard and heroic work.

William Cash Portrait Sir William Cash
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The question the Minister referred to is one of additional provisions. The real question—this is a technical question and not good for an intervention—and the bottom line is that additional provisions can be petitioned against. The manner in which the motion is constructed will effectively greatly inhibit, and/or completely prevent, additional provisions from being pursued by petitioners, both in the constituency affected by the Bill, and also for my constituents, who are affected by the fact that the two sections, from Birmingham to Crewe and from Crewe to Manchester, are interconnected. There is a vast amount of concern in my constituency about this issue.

Huw Merriman Portrait Huw Merriman
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To be clear, I give a commitment that HS2 will not be going through my hon. Friend’s constituency, and therefore any petitions that were going to be relevant should lapse. This is a matter for the Bill Committee, but that would be the logical extension. Any petitions already made on this 15-mile stretch, which will continue to be within the remit because it continues to be the preferred route, will be heard by the Committee if this motion is passed. If there are amendments, such as from an environmental statement or any that I may propose, that reopens the window for petitions. On that basis, if there is anything new a petition can be made, but if there is not, the petition should already be in. I feel that is the right outcome.

I shall make some more progress. As my right hon. Friend the Member for Aldridge-Brownhills (Wendy Morton) made clear on Second Reading, and as I have mentioned, part of the Bill’s original purpose was always to deliver this section of Northern Powerhouse Rail, the first half of the line between Manchester and Liverpool. Following today’s motion, the Committee will be able to go back to considering petitions from people and organisations still affected by the scheme. The Committee will also assess any changes to the Bill that I may bring forward to adapt it to deliver Northern Powerhouse Rail.

The proposed changes to the Bill will, quite rightly, prompt a new environmental assessment that will consider how any new element in the scheme will affect local areas. Where possible, I will use this as an opportunity to further reduce the construction impacts on communities, and the changes will be provided to the House in the usual way. Although this is a rather technical motion, holding this debate demonstrates good progress in developing the Government’s long-held ambition to improve connectivity between Liverpool and Manchester.

Graham Stringer Portrait Graham Stringer (Blackley and Broughton) (Lab)
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Can the Minister tell the House when Northern Powerhouse Rail will be complete?

Huw Merriman Portrait Huw Merriman
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I cannot give the hon. Gentleman an exact and firm date, but I am seeking to put the Bill Committee back on track, rather than restart the entire process—something that has been championed and supported by the Mayors of Manchester and Liverpool, and others. By its very definition we will be looking to deliver the Bill back, so that we can crack on and give the hon. Gentleman an earlier date than he may perhaps believe will be the case.

Since the Network North announcement, we have been engaging local leaders and MPs about the form the connection between Liverpool and Manchester will take, and we have held many discussions with local leaders to establish what their communities want from such a link. Alongside that, we must ensure that the options being considered represent the best possible use of the £12 billion funding available. On 25 March I was able to deposit a written statement in this place on the outcome of those discussions. We have heard clear support for a railway with stops at Liverpool, Warrington Bank Quay, Manchester airport and Manchester Piccadilly. Local leaders also supported the plan that the new railway should follow the broad alignment set out in the 2021 integrated rail plan.

The section of railway that we are discussing today is part of the plan’s larger Northern Powerhouse Rail network. We will improve connections on both sides of the Pennines, both by building new lines and by upgrading existing ones. Trains on this line will go past Manchester and on to York via Leeds. We will also upgrade the existing railway between Leeds and Bradford to reduce journey times and increase capacity between those destinations. Stations will also be upgraded and made more accessible. The environmental impact of the network will be reduced by further electrification.

With this plan, towns and cities across the whole of the north will benefit from direct services to Manchester airport. Passengers travelling to the airport from Liverpool could see their journeys slashed by almost an hour, while passengers from Leeds could benefit from a 41-minute reduction. The new station at Manchester airport will unlock the potential to further promote the international airport, acting as a catalyst for growth across the north-west.

That is just one of the benefits that Network North—our new long-term plan for transport—will deliver. We are refocusing on the journeys that really matter to people, connecting towns, cities and rural communities in all regions of the country. Every penny of the £19.8 billion committed to the northern leg of HS2 will be reinvested in the north. Every penny of the £9.6 billion committed to the midlands leg will be reinvested in the midlands. Bradford will get a brand-new station and connection, reducing journey times from Manchester from 56 minutes to 30 minutes.

Mark Hendrick Portrait Sir Mark Hendrick (Preston) (Lab/Co-op)
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As the Minister knows, the commitment for Birmingham to Manchester was in three Conservative manifestos. What he is now announcing is controversial and breaks with the tradition of cross-party agreement that we have seen up to now. The offering in terms of east-west connectivity is laudable, but the fact that we cannot get a direct link and increased capacity—it is not just about speed—from Birmingham through to Manchester will affect the whole of the north-west and stop much of the wealth in the south from getting further north because of decreased business activity.

Huw Merriman Portrait Huw Merriman
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I take the hon. Member’s point. It comes down to choices, and the choice as led by the Prime Minister was to cancel the stages of HS2 north of Handsacre and dedicate those moneys to other parts of the north and midlands in particular to connect those cities, which would not have seen a direct benefit from HS2.

As an example, let us take Bradford, a city that felt sore that it had missed out from the integrated rail plan. That decision provides £2 billion for a new station for Bradford. The concern that Bradford would have had was that, as things had stood, it may have seen businesses relocate away to, say, Manchester, because not only was it not receiving anything, but Manchester was receiving a lot. Ultimately, it comes down to choices.

None Portrait Several hon. Members rose—
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Huw Merriman Portrait Huw Merriman
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I will give way one last time.

Mark Hendrick Portrait Sir Mark Hendrick
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I take the point that the Minister is making—it is an improvement for Bradford—but HS2 would also have gone on another spur up from Birmingham to Leeds. Improving connectivity between Leeds and Bradford, which is not far, plus the station improvements, would have been far more beneficial than what he is proposing.

Huw Merriman Portrait Huw Merriman
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We have committed to delivering a faster route between Leeds and Bradford that will bring the journey time down to 13 minutes; that commitment is there. Look, it comes down to choices, and we have been quite clear with our choice, which is to repurpose the moneys from HS2. I believe that Labour’s position is to do likewise, because the Leader of the Opposition went to Manchester and made the same point that the line would not be recommitted. The key point is this: is the Labour party committed to repurposing for those Bradford projects? I am sure that we will hear from its Front Bench spokesperson.

Huw Merriman Portrait Huw Merriman
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I will not give way again; I will finish so that others can speak.

We will be upgrading the connections between Manchester and Sheffield, between Leeds and Sheffield, between Leeds and Hull, and between Hull and Sheffield. We will reopen several of the lines closed more than 60 years ago by Dr Beeching, reconnecting areas such as County Durham, Burton, Stocksbridge and Waverley. We will halve the time that it takes to travel between Nottingham and Leeds by upgrading the track between Newark and Nottingham. We will increase our investment in the midlands rail hub to £1.75 billion, better connecting more than 50 stations, and we will improve journey times from north Wales to England, bringing parts of north Wales within an hour of Manchester by electrifying the north Wales main line. Network North is vital to our plans to level up the economy. It will connect labour markets across the north, expanding where people can work and where companies can recruit from. It will make it easier to deliver goods to markets and shorten supply chains in regions, growing the local economy. Instead of dragging investment towards London, we will contribute towards growth everywhere in the country.

As I said, although the motion is technical, this is still an exciting day for the north. We are taking a step towards providing the kind of infrastructure that people really want, connecting the great cities of Manchester and Liverpool, and making it easier to move around, work and invest in the region. I commend the motion to the House.

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Huw Merriman Portrait Huw Merriman
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With the leave of the House, I commend the motion to the House. As I said earlier, today’s debate marks an important step forward in improving travel in the north, and I thank all right hon. and hon. Friends and Members for their input. In the time I have, I will try to address as many of the contributions made as possible. Colleagues from across the House made important points, which I will do my best to address.

I will start with the amendments, beginning with amendment (a). My hon. Friend the Member for Stoke-on-Trent South (Jack Brereton) talked passionately about the need to reduce uncertainty for local communities. There should be no doubt that the result of the unamended motion will be solely to remove all elements of the scheme that need to be removed for the cancellation of the cancelled section of HS2—I hope that provides the reassurance that my right hon. Friend the Member for South Staffordshire (Sir Gavin Williamson) asked for. I am sure that the House would agree that the Network North announcement was unambiguous in its commitment to stopping that scheme, and the Government have already started reinvesting the money that was saved in alternative projects across the country.

The Government agree that it would be ideal if we could announce the precise point of truncation now, but that point of truncation cannot be specified until there has been a full assessment of the works that will be needed to deliver this section of Northern Powerhouse Rail. However, I assure the House that the Department and the organisation are working to deliver that assessment, with an eye to securing the best value for money for taxpayers and reducing disruption for residents. The results of the assessment will be published in a supplementary environmental statement as soon as possible. As an aside, accepting amendment (a) as drafted would leave a hole in the railway in the event that the truncation was not as specified by the amendment, which would obviously not be an ideal way to build a railway.

Amendment (b) would remove a proposed maintenance depot from the Bill. That depot, which could be a temporary structure, in place during the building of the railway, is in Ashley in the constituency of Tatton. For clarity, I should add that all aspects of the scheme between Millington and Manchester are being reviewed to ensure that they are necessary. Whether there should be a maintenance depot at Ashley is a matter for petitions to the Committee, and if the motion is carried unamended, the Committee will have the opportunity to discuss the maintenance depot through petitions.

In general, we believe that the works at Ashley mentioned in amendment (b) will be needed to minimise road traffic in the area as far as possible, and that is why there is no proposal to remove it at this stage. Furthermore, some of the materials needed to build the railway are very large, such as sections of rail, and these very large items can only be brought in safely by rail. We will, however, assess whether the size of the site can be reduced. Amendment (c) is consequential on amendment (a), about which I have already spoken.

Finally, turning to amendment (d), removing the words “high speed” could have unfortunate consequences for the Bill. It would allow petitioners to argue for amendments that stipulate speed restrictions, which could greatly impede the eventual operation of the railway. It would also mean that the motion was less aligned with the current title and agreed purpose of the Bill. The Government’s aspiration for the Northern Powerhouse Rail project is to deliver the best for the north, including the fastest journey times possible. We want to bring the urban centres of the north closer together, driving economic growth by making it easier to live, work and recruit across the different parts of the region. The reference to “high speed” rail in the instruction to the Committee underlines this commitment.

Robin Millar Portrait Robin Millar (Aberconwy) (Con)
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Will the Minister give way?

Huw Merriman Portrait Huw Merriman
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I will not take any interventions because of time.

Let me touch on some of the other points raised. In reply to my hon. Friend the Member for Stoke-on-Trent South, just to be absolutely clear, the original instruction for the Select Committee was to consider HS2 phase 2b and Northern Powerhouse Rail, as was debated at length in June 2022, and I believe that was the mandate given. It was never the case that we were going to talk about phase 2b alone; NPR was very much part of the purpose.

Opposition Members have said that we should crack on—or I used those words—but let me make it clear that my advice is that it would take an extra five years to start this process all over again, as opposed to two weeks to repurpose the Committee, so if we want to see Northern Powerhouse Rail delivered, it makes sense to follow this mechanism. Having worked with officials in Parliament, I believe that this mechanism is correct, and I do not agree with the points made about how it is somehow not valid. We would not put something through the House if the House officials had not agreed that it was in order.

On Chat Moss, I have made the point time and again to my right hon. and hon. Friends—we have discussed this a lot; no one can say that we have not had a good, rigorous discussion—that the proposal would miss out Manchester airport and Warrington Bank Quay. As my hon. Friend the Member for Stoke-on-Trent South knows, I do not agree with the points he makes, and he does not agree with the points I make; that is the beauty of democracy.

The shadow Minister, the hon. Member for Portsmouth South (Stephen Morgan), as well as the hon. Members for Blackley and Broughton (Graham Stringer) and for Oldham West and Royton (Jim McMahon), spoke along the lines of the north being short-changed. I absolutely dispute that, and let me give them the example of the TransPennine route upgrade, because that is the start of Northern Powerhouse Rail. It is going on right now, and the electrification for Stalybridge will be ready for next year. On the points about Crossrail, more money will be invested by this Government or the UK taxpayer on the TRU—just that section, which is the backbone or precursor of Northern Powerhouse Rail—than on the entirety of Crossrail, so I do believe that we are investing in the north, and I support investment in the north.

As far as the plans for Birmingham to Manchester are concerned, I understand that the mayors are working on proposals. Those proposals have not been put to us, so we do not have anything to address. The Government have been clear—others may not agree with us—that we are not moving forward with phases 2a or 2b of HS2. Those are our proposals.

There was talk of pork barrel politics in relation to Bradford, which I think is a new one for Conservative Members, but I went there with the hon. Member for Easington (Grahame Morris), and the Government are committed to giving Bradford what it needs to regenerate the youngest city in this country. I fully support what we are doing to repurpose moneys from HS2 for Bradford, Hull and other parts of the north and the midlands.

On the point made by the hon. Member for Oldham West and Royton about an underground station in Manchester, the options available are being assessed, so the proposal is on the table to discuss and look at. I think there is only one London station that has an underground element, which is the Thameslink part of St Pancras, so London does not have a plethora of such underground stations. However, we want to work with the Mayor of Manchester to see what is possible, and that also applies to the Mayor of Liverpool.

The great man the hon. Member for Easington talked about the hybrid Bill Committee. He talks with experience, because he has been on it. I thank him for that, and I hope his work will start again in a couple of weeks’ time. He is absolutely right, and I have talked to the Chairman of Ways and Means to ensure that we can amend the process to make it faster, so that we can build this railway faster.

In conclusion, my officials and I will continue to engage with local residents, leaders and communities, and Members of this place regarding how we design the railway and how to minimise disruption from construction. I understand the differing concerns of hon. Members across the House, but I am keen, as always, to work with them constructively to try to address those points and move this project forward. I commend the motion to the House.

Question put.

Oral Answers to Questions

Huw Merriman Excerpts
Thursday 16th May 2024

(6 months, 1 week ago)

Commons Chamber
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Samantha Dixon Portrait Samantha Dixon (City of Chester) (Lab)
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3. What steps he is taking to help improve the reliability of rail services for passengers.

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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Performance varies across the network and is dependent on both reliable infrastructure and strong operator performance. Where we have both, as on Greater Anglia, passengers enjoy great performance, and I am clear that this is a standard for all operators to achieve, working with their Network Rail route counterparts. I regularly meet Network Rail and train operators to encourage greater collaboration on day-to-day performance, including convening a rail industry summit in March.

Andrew Gwynne Portrait Andrew Gwynne
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With fares up and cancellations at a record high, rail passengers are crying out for change. In my patch, Reddish South and Denton stations are served by just one train a week. I would like a train service that meets our needs, but the Minister seems to have put rail reform on the back burner. Is that because he cannot deliver, or he thinks Labour will?

Huw Merriman Portrait Huw Merriman
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The hon. Member is completely wrong. The pre-legislative scrutiny of the draft Rail Reform Bill is being done right now by the Transport Committee. I think I am the final witness to appear before the Committee next week, so that it can, I hope, report in July. Contrast that with the passenger-in-chief approach of meddling with the railways and indeed of a resource-led timetable to fit the existing staff, and I think it is quite clear that it is the Conservatives who want to improve the rail system.

Samantha Dixon Portrait Samantha Dixon
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Summer has arrived and tens of thousands of visitors will be heading to Chester and north Wales, and cross-border connectivity is essential. I remind the Minister of his Government’s cast-iron commitment, made in October, to electrify the north Wales main line. When will the north Wales main line actually receive an allocation of real money so it can start work on the electrification of the line?

Huw Merriman Portrait Huw Merriman
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The hon. Member is absolutely correct that the Prime Minister’s Network North commitment means over £36 billion of former HS2 money is being put into other projects, chiefly in the north and the midlands. The electrification of the north Wales main line is one of those, and it is something I am determined we will deliver. We are taking steps in allocating project time and resource so that we can advance such projects, but bear in mind that the HS2 spend was for up to 2043, so it will not all come at once.

Lindsay Hoyle Portrait Mr Speaker
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I call the Chair of the Transport Committee.

Iain Stewart Portrait Iain Stewart (Milton Keynes South) (Con)
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Is it the case that train operating companies stand ready to invest significantly to improve passenger journeys, but a disincentive is the break clause in current contracts? Ahead of wider reforms that the Transport Committee is scrutinising at the moment, may I urge the Minister to review those break clause arrangements and incentivise that investment now?

Huw Merriman Portrait Huw Merriman
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This is the folly of Labour’s nationalisation plan, because the best performing operator in terms of punctuality is Greater Anglia, and that one has the option that is coming up. The Labour party, if it makes it into government, would take away the contract from the operator that has the best performance, showing that it is all about dogma and not about best common sense. I firmly believe that where operators can deliver more for passengers, and indeed for their workforce, by having more certainty, there is certainly a case to be made for looking at those contract terms and giving them longer.

Jeremy Wright Portrait Sir Jeremy Wright (Kenilworth and Southam) (Con)
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My hon. Friend knows that after decades of closure, Kenilworth station has been reopened by a Conservative Government and a Conservative county council. However, the reliability, indeed the variety of services through that station, would be significantly improved by double tracking the line between Leamington and Coventry. I am grateful to the Secretary of State for the time he has already given me on this issue, but will my hon. Friend do all he can to bring about that improvement, which will benefit not just my constituents, but also provide connectivity options that the northern leg of High Speed 2 no longer will?

Huw Merriman Portrait Huw Merriman
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My right hon. and learned Friend has been a champion of that project, and as he mentioned he met the Secretary of State to discuss it. HS2 is making provision for the project to occur should funding be available, and the new local transport fund makes funds available for those parts where HS2 would previously have been delivered. There is now a great opportunity for my right hon. and learned Friend’s transport authority to fund the project that he has championed for so long.

Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Minister.

Stephen Morgan Portrait Stephen Morgan (Portsmouth South) (Lab)
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In the five years since the Government first admitted that reform of our railways was needed, passenger services have gone from bad to worse, with a train now cancelled every 90 seconds—the worse statistics on record. With the Transport Secretary openly admitting that any reforms this side of an election are unlikely, does the Minister understand why passengers have given up on this Government doing anything to improve their rail experience?

Huw Merriman Portrait Huw Merriman
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I do not agree with that assertion. Post privatisation—nationalisation would reverse this—passenger numbers have doubled, and £100 billion has been invested in the railways by this Government since 2010. We look at performance, which of course we want to get better, but in March for example, 70% of trains were running to time, with 2.9% of cancellations. The two biggest cancellation failures during March were one trespass and one suicide, and the trespass alone caused 286 cancellations. Yes, there is more we need to do, but the Opposition Front-Bench team would have a lot more credibility if they recognised performance indicators and what parts we need to deliver, rather than just chucking dogma about nationalisation, which is a tired, failed old policy.

Owen Thompson Portrait Owen Thompson (Midlothian) (SNP)
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2. Whether his Department provides grants for the provision of training for D1 licences.

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Graham Stuart Portrait Graham Stuart (Beverley and Holderness) (Con)
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4. If he will fund exploratory rail studies on passenger numbers through the local transport fund.

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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The local transport fund is a £4.7 billion fund that has been allocated to local authorities in the north and midlands to fund a wide range of transport measures. The funding empowers local leaders to invest in the transport policies that matter most to people in their area, and that could include rail studies. Guidance will be published shortly to support local leaders in developing their plans, but it will rightly be a local decision.

Graham Stuart Portrait Graham Stuart
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May I first congratulate my hon. Friend on the award of £168 million to the East Riding to improve transport, whether that is potholes, bus shelters or whatever else in Beverley and Holderness? The Minister is aware of my championing, alongside Labour colleagues, Liberal Democrat colleagues and the councils across the whole area, of the reopening of the Hull to York line through Beverley. I am delighted to hear him confirm today that that funding can be used to explore and produce a refined demand model for that railway. Will he confirm that?

Huw Merriman Portrait Huw Merriman
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My right hon. Friend is indeed a great champion for this scheme, which we have discussed many times. I am pleased to confirm that the local transport fund could be used to develop the new rail link between York and Hull via Beverley. It is important to say that it will be for the local transport authority to decide, and I encourage him to continue to engage with it. Our upcoming guidance will set out more detail about the scope of the LTF, and I am sure he will continue with his mission to deliver.

Damien Moore Portrait Damien Moore (Southport) (Con)
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5. What steps he is taking to improve transport connectivity for towns and cities in the north-west.

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Richard Fuller Portrait Richard Fuller (North East Bedfordshire) (Con)
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6. What recent progress he has made on the East West Rail project.

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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For connection stage one of East West Rail. I was pleased to attend an event in March to mark the completion of work on the final section of track connecting Bicester and Bletchley, with services expected to commence next year. At the spring Budget, £240 million was announced to accelerate work introducing services between Oxford and Bedford by the end of the decade. Following the announcement of the preferred route alignment between Bedford and Cambridge last May, a statutory consultation is due to launch this summer.

Richard Fuller Portrait Richard Fuller
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The connection of East West Rail from Bedford to Cambridge will cost the taxpayer an enormous amount of money—the Minister knows that, because he was at the Transport Committee sitting right next to the permanent secretary when she said so—although apparently that is okay because a few landowners and developers will make shedloads of money out of planning gain. Meanwhile, the latest chief executive officer of East West Rail has scarpered because he could not stand the heat in the kitchen.

As the Minister said, East West Rail is progressing with a statutory consultation—having completely fluffed the first consultation by not contacting the right people—but holding it over the summer months while people are away. All the time, the project is being driven by the economic growth board in the Treasury, which meets secretly and tells people nothing. What can the Minister tell my constituents about this project?

Huw Merriman Portrait Huw Merriman
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I thank my hon. Friend for his question —[Laughter.] He was indeed in the same room as I was when I was with colleagues—this is an important aspect—from the Treasury and the Department for Levelling Up as well as our permanent secretary to discuss the cross-governmental co-ordination that will be required to unlock all the economic benefits. As he knows—we will not necessarily agree on this point—I believe that East West Rail is critical in delivering a workforce to Cambridge, which will allow Cambridge to compete with the likes of Boston and cities in south-east Asia so that those pioneers have a workforce and we can keep Cambridge, and indeed Oxford, motoring on that basis.

Lindsay Hoyle Portrait Mr Speaker
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On that basis, let us go to Cambridge.

Daniel Zeichner Portrait Daniel Zeichner (Cambridge) (Lab)
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Thank you, Mr Speaker. Indeed, some are more positive about the improved connectivity potential in and around Cambridge, but the Minister will be aware that his colleagues in the Department for Levelling Up, Housing and Communities recently established the Cambridge delivery group, which is looking to create 150,000 additional homes, which will in turn create a whole series of transport challenges. Will he tell the House what structures are in place to ensure proper dialogue between his Department, DLUHC and East West Rail?

Huw Merriman Portrait Huw Merriman
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The East West Rail growth board, which, as my hon. Friend the Member for North East Bedfordshire (Richard Fuller) pointed out, is being led by the Treasury, will be critical to ensuring that joined-up approach. It is essential that we look at this project as an economic opportunity for the area. I have met my hon. Friend’s constituents as we have both travelled around, and I appreciate that there is an impact where there is housing, but if we do not have a workforce, Cambridge and that region will not be able to compete on the global stage and we will not see the pioneering scientific and bio-health developments that we see from Cambridge. That is why I believe that this railway is critical.

Alan Brown Portrait Alan Brown (Kilmarnock and Loudoun) (SNP)
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7. What steps he is taking to support bus manufacturing.

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Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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A monthly meeting is held with Network Rail and East Midlands Railway to discuss the introduction of the new bi-mode trains. Those meetings include notification of the latest delivery timescales that Hitachi has provided to the operator, and an update on mobilisation plans and related infrastructure upgrades. The aim is for the new trains to be phased into passenger service throughout 2025.

Philip Hollobone Portrait Mr Hollobone
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I welcome the phased introduction of the bi-mode Class 810 Aurora trains on the midland main line through Kettering next year. Can my hon. Friend the Rail Minister confirm that the new trains will be faster, quieter and more environmentally friendly than the current inter-city fleet, and that they will have more seats and luggage space, and better mobile phone signal reception?

Huw Merriman Portrait Huw Merriman
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I can confirm to my hon. Friend that these fantastic new trains will be not only faster but quieter and more environmentally friendly, as they will be able to take advantage of the increasing extent of electrification that we are delivering on the midland main line. They will have 19% more seats per five-car train, and they are designed for greater comfort and more luggage space. Bearing in mind that my hon. Friend is one of the hardest-working MPs for his constituents, he and they will be delighted that there will be enhanced wi-fi and mobile phone reception, making his productivity even greater.

Andrew Rosindell Portrait Andrew Rosindell (Romford) (Con)
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13. What recent discussions he has had with Transport for London on the refurbishment of Gallows Corner flyover.

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Matt Hancock Portrait Matt Hancock (West Suffolk) (Ind)
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T5. Will the Rail Minister join me in campaigning to save Brandon station, which is a beautiful listed building that has been out of use for years? Greater Anglia, to its credit, is trying to find a solution to ensure that that beautiful building can be put back into use. Will he join me in that campaign and, if his diary allows, join me on 14 June, when we have a public meeting to drive that forward?

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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I will do everything I can. It is a beautiful example of railway architecture and it must be saved, so I applaud my right hon. Friend’s work. I recently had a conference for leaders in rail, at which I talked to all the train operators and Network Rail about bringing these beautiful buildings back to life for the community. I have met that team as well and will do everything I can to help him.

Graham Stringer Portrait Graham Stringer (Blackley and Broughton) (Lab)
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T2. It is now exactly four months since the Avanti management were caught laughing at the Government —they are not on their own. They were laughing because they see the performance payments that the Government hand out to them as free money and a joke. When will the Secretary of State take the smile off the faces of the appalling Avanti management by finishing their contract?

Huw Merriman Portrait Huw Merriman
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When that incident occurred, the Secretary of State and I made it clear to the teams at Avanti and FirstGroup that that was not acceptable, and their senior management agreed. It was crass and it was wrong. We often talk about Avanti’s performance. The overtime agreement had been withdrawn by ASLEF, which caused the start of the difficulties, but it has since been put back in place. When I looked at the data for the first week of May, there were pretty much 0% cancellations from Avanti induced incidents. Matters are getting better and, where they are better, we should applaud the staff.

Rob Butler Portrait Rob Butler (Aylesbury) (Con)
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T6. The condition of local roads is the No. 1 concern raised with me by Aylesbury residents, whether that is potholes, congestion caused by countless utility works, or simply not enough roads to cope with all the new houses that have been built. Will my hon. Friend reassure local residents that it is under this Conservative Government and our excellent local Conservative council that Aylesbury’s roads will improve for my long-suffering constituents?

Sarah Olney Portrait Sarah Olney (Richmond Park) (LD)
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T3. Every day that Hammersmith bridge remains closed is a reminder that this Government cannot be trusted to fix even the most basic problems. Do the Conservative Government have any intention of keeping the promise they made in 2019 and fixing Hammersmith bridge?

Huw Merriman Portrait Huw Merriman
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The bridge is owned by the London Borough of Hammersmith and Fulham, which is not a Conservative borough, so I will correct the record there. There are two phases of work: stabilisation to ensure permanent access for pedestrians, cyclists and river traffic—despite not being the owner, the Government have put money into that—and strengthening. We will do everything we can to work with the owners of the bridge to make that happen.

Philip Hollobone Portrait Mr Philip Hollobone (Kettering)  (Con)
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T8. Junction 10A on the A14 is a crucial piece of future roads infrastructure to support Kettering’s housing expansion. Should North Northamptonshire Council approve the relevant planning application this coming Monday, will my hon. Friend the roads Minister reconfirm his commitment to give the proper direction this project needs to proceed at pace, to visit the site with me and to arrange for me to meet with National Highways to ensure progress?

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Tom Hunt Portrait Tom Hunt (Ipswich) (Con)
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I was pleased to have been told late last year that Haughley and Ely north junctions would be funded, but I have since become frustrated by the slow progress. I hear all the right noises from the Department, but when I talk to Greater Anglia and Network Rail, all I hear is frustration at the slow progress. Will the Secretary of State promise me that we will get on with these projects, which are crucial to Ipswich, Suffolk and East Anglia in general?

Huw Merriman Portrait Huw Merriman
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I can give that assurance to my hon. Friend. I think his Labour opponent stated that the Conservatives had not promised to deliver this project. In October, the Prime Minister set out that we would deliver the rail junction at Ely and Haughley. It is a project that the Department is keen on, as it is good for freight, and for our freight growth target. I will meet my hon. Friend and his colleagues who support the project to show them the steps that we are taking to get this vital project under way.

Munira Wilson Portrait Munira Wilson (Twickenham) (LD)
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The Secretary of State will be aware that the courts yesterday awarded £25 million of compensation to 1.4 million passengers who were overcharged for rail fares between 2015 and 2017 by Stagecoach South Western Trains, the predecessor franchise to South Western Railway. Will he ensure that affected passengers are not left out of pocket, and get automatic redress, rather than having to make an historical claim?

Huw Merriman Portrait Huw Merriman
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I have been meeting the operators to discuss the matter. I am happy to write to her, setting out the exact conclusion of those conversations. I am always keen to ensure that passenger and consumer interests are protected and preserved, so I will write to her.

Tobias Ellwood Portrait Mr Tobias Ellwood (Bournemouth East) (Con)
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I thank the Secretary of State and the Rail Minister for their support for upgrades to Pokesdown station in my constituency, not least the improvements to the lifts, but the project has run into a few technical and financial problems; will the Secretary of State or the Minister update the House on it?

Huw Merriman Portrait Huw Merriman
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I promised my right hon. Friend from this Dispatch Box that the project would be delivered, and I continue to give him that assurance. I am sorry that there have been those delays. This week, I spoke to the team at some length about the station. My right hon. Friend knows that I will visit him at the station, and I will have some more concrete news for him then.

Grahame Morris Portrait Grahame Morris (Easington) (Lab)
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How reliable are the key performance indicators that the train operators are quoting, which the Rail Minister mentioned earlier? The Disability News Service reports that train companies are sending unreliable statistics from freelance mystery shoppers who pretend to be disabled and give overly positive feedback about the experience of disabled passengers. Does he share my concern about that, and what can he do about it?

Huw Merriman Portrait Huw Merriman
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Data from mystery shoppers, as the hon. Gentleman calls them, cannot be used unless those individuals have the disabilities that they claim to, but there are wider mystery shopping experiences that are undertaken. I will happily write to him—in fact, I will meet him, seeing as he is such a great man—and take him through the steps that are taken into account. I also thank him very much for doing what he always does, which is raising that matter with me last night, so that we could discuss it in advance.

Wendy Morton Portrait Wendy Morton (Aldridge-Brownhills) (Con)
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The reopening of Aldridge train station will finally give my constituents the railway service that they badly need and deserve. I wish to place on record my thanks to the Minister’s Department, the Government, former Mayor Andy Street and the West Midlands Combined Authority for their support in securing funding for the project through the city region sustainable transport settlement. Will my hon. Friend help me to continue to nudge Network Rail and others to progress this to completion in 2027?

Huw Merriman Portrait Huw Merriman
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Yes. It is a brilliant £30 million project, with 40 car parking spaces, which my right hon. Friend has been instrumental in making happen. I will, I hope, meet the new Mayor, whom I congratulate, to ensure that he delivers the project for 2027, as the fantastic Andy Street promised.

Ruth Cadbury Portrait Ruth Cadbury (Brentford and Isleworth) (Lab)
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More people are killed by cows and lightning than by dangerous cyclists, whereas around five people a day are killed on our roads by motor vehicles—a level that has flatlined under this Government. When will the Transport Secretary publish the long-overdue strategic framework for road safety?

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Paul Howell Portrait Paul Howell (Sedgefield) (Con)
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How is the Minister working to improve the supply of rolling stock orders, to give customers a better experience, and importantly, to give companies such as Hitachi orders to bid for?

Huw Merriman Portrait Huw Merriman
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As an example, just yesterday an invitation to negotiate was sent out by Southeastern to five train manufacturers, one of which is Hitachi, which is so well supported and championed by my hon. Friend. We have plans over the coming years for 2,000 rolling stock orders, worth a total of £3.6 billion. I hope that, with our support, the benefits for train manufacturing supply chains will continue.

Jim Shannon Portrait Jim Shannon (Strangford) (DUP)
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Road safety organisations and driving instructors are concerned to ensure that young drivers have some experience of night driving. Does the Minister intend to ensure that night driving becomes part of the test?

Heathrow Airport: Western Rail Link

Huw Merriman Excerpts
Tuesday 30th April 2024

(6 months, 3 weeks ago)

Commons Chamber
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Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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I begin by congratulating the hon. Member for Slough (Mr Dhesi) on securing this debate—or cross-party love-in, as he put it, albeit with a few digs into my heart—on a western rail link to Heathrow. He has been a strong supporter of this scheme for some time, particularly, as he referenced, in his capacity as chair of the western rail link to Heathrow all-party parliamentary group. I know that the scheme is of great importance to him, his constituents, the hon. Members who have intervened, and their constituents.

I turn first to Heathrow airport, which has a key role to play in boosting our global connectivity and the UK economy. It was ranked as the second busiest airport in the world for international passengers in 2023, handling an estimated total of 79 million passengers travelling to 214 destinations across 84 countries on 89 airlines. In 2024, this number is expected to increase to 82.4 million passengers. The Government remain supportive of airport expansion where it can be delivered within our environmental obligations. However, we have always been clear that Heathrow expansion remains a private sector project that must meet strict criteria on air quality, noise and climate change, as well as being privately financed, affordable and delivered in the best interests of consumers. The Government also recognise the economic benefit that airports can bring to their area. Increasingly, airports are becoming regional transport hubs that support multiple businesses, labour markets and population centres. Reliable and efficient surface access connections are an important part of achieving that.

The Government are committed to improving access to Heathrow airport in ways that work for passengers and address decarbonisation objectives. For example, the hon. Gentleman will be aware that the Elizabeth line services now run from Reading, through Maidenhead, on to Paddington and through central London to the City, Canary Wharf, Shenfield and Abbey Wood further in the east. Passengers from the west on the Elizabeth line can change at Hayes and Harlington for services to Heathrow airport, and in a few years’ time, they will be able to connect to the airport, once the Old Oak Common HS2 interchange station is built and becomes operational; that will become the largest new station we will have built. That will enable even faster journey times and more connections than ever. These improvements are on top of Piccadilly line and Heathrow Express services, which connect the airport with London’s public transport network, enabling journeys from across the country.

Although I have so far talked about connections for passengers, I appreciate that the issue is also important to local stakeholders, including those in the hon. Gentleman’s constituency. It is an issue not only for passengers, but for the many thousands of people who work in and around Heathrow or provide services to the airport, many of whom will be constituents of Members who spoke this afternoon. The airport provides direct employment to 76,000 people. It is important that the transport network can get those people to work, as well as millions of air passengers away to their destinations.

Let me turn to the western rail link to Heathrow scheme and the question of Government support. We have always recognised the potential benefits of the proposal, as the hon. Gentleman mentioned. The western rail link scheme proposes a four-mile link between the Great Western main line and Heathrow airport. It is promoted by local authorities and business groups in the area. It is important to note that the Government’s position has always been that any Government funding would be subject to agreement on a significant third-party financial contribution. The position pre-pandemic was that only 50% of the cost would be funded by Government. Moreover, the scheme complemented the planned construction of a new third runway and the expansion of Heathrow, forming part of the proposals to deliver better surface access and addressing the environmental impacts of a busier airport—the airport would of course have been busier if the third runway had been built.

However, Heathrow Airport Holdings Ltd is now not actively pursuing expansion, given its focus on recovery following the impact of the pandemic on the aviation sector. That has of course had an impact on the financial contribution from the private sector. As I understand it, promoters—primarily the Thames Valley chamber of commerce—are keen to revive the scheme as a majority privately funded proposal. Officials continue to work with stakeholders to support them in updating the business case for the scheme. This work is focused on updating the designs for the scheme, refreshing the cost estimates to take account of inflationary pressures over the last few years, and understanding whether there is demand, given changes in travel patterns following the pandemic and the current economic context. I expect to receive an update on that work later in the year.

The Government remain committed to investing in rail, as demonstrated by the Prime Minister’s Network North announcement, which detailed an unprecedented number of commitments. We are taking forward affordable yet transformative growth plans to increase connectivity and capacity on the railway, and have spent £2 billion a year upgrading the railway across England and Wales, including reopening previously closed sections of the network.

Given the hon. Gentleman’s points about rail investment, I remind him that since 2010, the Government—the taxpayer—have put forward over £100 billion of investment in rail. Of course, as rail Minister, I am very proud of that and support it. However, the significant changes to travel patterns after the pandemic and the challenging fiscal environment rightly require consideration of the rail infrastructure investment portfolio. Just running our railways over the last few years has cost every single household in this country £1,500, so it is absolutely right for taxpayers that we ensure that all schemes are affordable. The prioritisation of schemes and the allocation of funds in the portfolio is managed and updated on an ongoing basis.

I thank the hon. Member once more for securing this debate. Heathrow airport is an important international travel hub for the country and one of the busiest airports in the world, as I have said. That is why this Government recognise the airport’s requirement for good surface access connections.

Tanmanjeet Singh Dhesi Portrait Mr Dhesi
- Hansard - - - Excerpts

I thank the Minister for his response. He referred to “later in the year”. We do not seem to have a timeline, or urgency. Because of the lethargic approach taken by his predecessors prior to the pandemic, a significant contribution from the private sector was not realised. We then had the pandemic and went back to square one. Can the Minister outline a more precise timeline than just “later in the year”?

Huw Merriman Portrait Huw Merriman
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It is important to recognise what has occurred over the past few years. First, we have had the pandemic, which means that rail finances are 80% of what they were pre-pandemic. An awful lot of money is being put in. When we talk about delivering new railway, we have to take into account how to fund the existing railway. Other matters have changed. As a member of the Transport Committee, I was heavily involved in the scrutiny of Heathrow. The decision of the House was that the third runway could proceed, but after the pandemic, that decision moved. A lot of the benefits of the scheme are wide, as the hon. Gentleman has detailed, and I support them, but they also go towards the mitigation that a third runway would need. Obviously a third runway is now looking as though it will not go ahead, which makes the business case for the scheme that bit harder.

To reassure the hon. Gentleman, I hope that the case can be made, funding from the private sector is found, and we can give positive news to him and all the other Members who have spoken in this debate, and who champion this project. I end by giving him another commitment. If he, the members of the all-party parliamentary group and the Thames Valley chamber of commerce want to meet me, we can set out a timeline for the decision and what needs to be done. I can set out what is required from a private sector financing perspective, because I need to know that the money will be there if we are to do the work within Government. Let us all work together, and let us sit down and have that meeting. I will be open and transparent with him and other Members, as I always am, and we can work out whether we can get this project delivered. It has great merit, and I like to see projects like this, where the private sector and the taxpayer work together to succeed for the betterment of the whole country.

Question put and agreed to.

Future of Rail Manufacturing

Huw Merriman Excerpts
Tuesday 23rd April 2024

(7 months ago)

Westminster Hall
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Westminster 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

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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With pleasure, Sir Gary. It is a pleasure to serve under your chairmanship. I start by thanking my good friend, the hon. Member for Easington (Grahame Morris), for securing this important debate on the future of rail manufacturing and for his engaging and impassioned speech. He is always a real warrior for the railway and the workforce. Rail remains a top priority for the Government. It connects people to places, delivers the goods we rely on and, as we have heard during the debate, supports jobs in our communities.

Turning straightaway to rolling stock manufacturing, since 2012 the Government have commissioned 8,000 new rolling-stock vehicles—that is out of the 15,600 we have in total. That has encouraged four train manufacturers to set up shop here in the UK. It is worth stating for the record, because it could have been missed in what has been said this afternoon, that in 2010 there was only one train manufacturer. We now are proud to have four. We are very keen to ensure that the four thrive and survive. I will come on to that point later in my speech.

These businesses are now assembling and building trains, while bringing growth to local communities. The average age of rolling stock has fallen from 21 years in 2016 to just under 17 years today. The hon. Member for Easington pointed to one particular train operator that has had a longer tenure, but I tend to look at the entirety of the network, and the average age is under 17 years, which is less than half the average life span for a vehicle, which tends to be 35 to 40 years. Britain’s modernised fleet of trains offers improved comfort and services to passengers across the country, while benefiting the UK rail supply chain, which came together to design, manufacture, paint and assemble the new trains. We have a workforce to be proud of. It is right that train manufacturing is a competitive, commercial market.

Alex Cunningham Portrait Alex Cunningham
- Hansard - - - Excerpts

The Minister was talking about the comfort of travelling by train. I would like to personally invite him to take a trip with me from Darlington to Saltburn on the train one day, and we will see what comfort we have to put up with in the Tees Valley.

Huw Merriman Portrait Huw Merriman
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Look, I travel by train all the time, not just on my own line, which I believe has the oldest train stock, but across the country. I spend every single week travelling by train across the country. I am sure at some point I will experience that part of the country as well. The facts do not lie. Out of our total of 15,600 trains, 8,000 are new trains that have been built since 2012. That shows that improvements are happening, but there is more to do, and I am always keen to do more.

It is vital that rolling-stock-owning companies continue to play their role. The private sector has invested around £20 billion to transform our train fleets for passengers. Trains are major assets, and there will naturally be procurement cycles. Our travel habits have changed since the covid pandemic. While passenger numbers are now stabilising, we are still seeing a reduction in revenue. Despite this, the order of 54 high-speed trains for phase 1 of High Speed 2 remains unchanged. There has also been a sizeable contract awarded recently to LNER, and there are upcoming procurements in the market being run by Northern, Southeastern, TransPennine Express and Chiltern. This process will be open to all manufacturers, as is right. Over the next two to three years, we envisage contracts being signed for over 2,000 new vehicles, with a total value of more than £3.6 billion.

Competitions for procurements to upgrade existing rolling stock fleets are also in the works. East Midlands, Chiltern and CrossCountry are due to modernise their existing fleets. With several other operators, such as Avanti West Coast and the Angel Trains Pendolino fleet, refurbishment is already under way. None the less, we recognise that some manufacturers face gaps in their order books over the next two to three years. I disagree with the claim by the hon. Member for Easington that the Government have not acted quickly enough on potential job losses at Alstom and Hitachi. The Secretary of State and I have been involved in discussions with both companies over several months.

This is a complex issue. There are no straightforward solutions, and any intervention must comply with the law while ensuring value for passengers, taxpayers and Governments. As I referenced in the Chamber last week, Siemens gave us a good example of that by challenging in court the award for HS2 that went to Hitachi and Alstom. The Department was found to have won on every single point. That acts as a guiding point for how we must make our tendering process work. If we do not make that work and we award contracts that are ruled unlawful by the courts, we create more uncertainty for the workforce, which we are doing our best to help.

Alex Cunningham Portrait Alex Cunningham
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Will the Minister give way?

Huw Merriman Portrait Huw Merriman
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I have not got time, so I am sorry, I will not give way.

I am pleased to report my right hon. Friend the Transport Secretary had a constructive meeting last week with Alstom’s chairman and CEO and its UK and Ireland director. We have now entered a period of intense discussion with the company. It would not be appropriate to go into the details of those conversations at this stage. Work continues at pace, and I know the Transport Secretary plans to update the House at the appropriate time.

With regards to Hitachi, last week the Transport Secretary met Unite’s assistant general secretary and representatives from Hitachi’s Newton Aycliffe plant. I met a representative from Hitachi in Parliament yesterday as well. The Secretary of State was able to explain the facts of the situation and the Government’s position, facilitated by my hon. Friend the Member for Sedgefield (Paul Howell), who has assisted greatly. The Department remains keen to work closely with Hitachi to help the company find a solution. We strongly encourage Hitachi to continue to engage constructively with us.

The future for our plants is very much focused on exports, as it has to be. Now that we have four train manufacturers it is key for us to work with those manufacturers so that products that are designed and built in the UK are exported abroad and we can grow the plant. I will add that when it comes to rail infrastructure investment, we have published a £44 billion five-year funding settlement for Network Rail’s operations, maintenance and renewal activity in 2029, which provides further opportunities for UK rail manufacturers and suppliers.

The key to the future of rail manufacturing is to continue to invest in rail across the entire network. The £12 billion that we have just announced to help Northern Powerhouse Rail better connect Liverpool to Manchester and deliver new routes and stations across the north will provide more opportunities for train manufacturers and the rolling stock that they will produce. That is where the TransPennine route upgrade will help with the TransPennine Express order, which is to market. Of course, Network North also saw our commitment to deliver on the Ferryhill scheme, subject to a successful business case at each stage. I thank my hon. Friend the Member for Sedgefield for his unwavering commitment.

It has come up a number of times, so I will thank the Transport Committee for its work carrying through rail reform as the pre-legislative scrutiny Committee. I note there are six current or former members of the Committee in the Chamber for this debate. The Chair of the Committee, my hon. Friend the Member for Milton Keynes South (Iain Stewart), is spot on in saying that it gives us a longer-term, holistic approach to allow the railway to organise itself. One would hope that industry will be better supported by that holistic approach. I am very grateful for the work that the Committee is doing.

Time does not allow me to continue, but I shall conclude by saying that I cannot overstate the role of rail manufacturing in supporting a growing economy. We are really proud of the four train manufacturers we now have in this country. We want to do everything we can to work with them and the individuals working in the wider rail supply chain. Their jobs matter hugely to us. We understand the uncertainty and we are working hard to unblock it. That is why the Government are committed to working with businesses to overcome the challenges and maximise the opportunities ahead, both at home and abroad. We work towards our shared ambition to bring track and train together with rail reform, and support our fantastic rail and train manufacturers.

Midge Hall Railway Station

Huw Merriman Excerpts
Wednesday 17th April 2024

(7 months, 1 week ago)

Commons Chamber
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Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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I congratulate my hon. Friend the Member for South Ribble (Katherine Fletcher) on securing this debate on the merits of reopening Midge Hall railway station and providing direct services between Liverpool and Preston. I appreciate her tireless work in campaigning for the transport needs of South Ribble and the wider region. I also give credit to my hon. Friend the Member for Southport (Damien Moore) for the work he does in the same vein for his constituency.

My Department prioritises investments in our roads, railways and public transportation systems that meet the needs of our growing population, enhance connectivity and drive economic growth. Transportation is the lifeblood of any thriving community. It connects people to opportunities, goods to markets and services to those in need. Lancashire has seen tremendous growth and development in recent years, but with changing demands. That is why I am proud to be part of a Government behind Network North, a significant £36 billion programme of transport investment across the country. This will not only address our current challenges, but lay foundations for a sustainable, prosperous future.

Turning to the pitch for Midge Hall station, the Ormskirk-Preston branch line currently accommodates an hourly service, which is interworked with the Colne and Blackpool South services. The single-track operation is, as my hon. Friend has mentioned, token-controlled between the Midge Hall and Rufford signal boxes, meaning that trains currently stop at Midge Hall, south of Midge Hall Lane, to exchange the token with the signal box operator. Trains going southbound are required to stop at the token exchange point and receive the physical token, or hand it over if they are going northbound. The complete process from the closure of the Midge Hall Lane level crossing to the reopening of the crossing takes approximately two minutes for a northbound train and three minutes for a southbound train, with the train dwelling for between seven and 10 seconds. My hon. Friend mentioned that trains therefore stop at Midge Hall for the token exchange, but there are currently no platform facilities to allow passengers to alight.

How can we help, as we have been asked by my hon. Friend? On 26 February we announced allocations for the £4.7 billion local transport fund for local authorities in the north and midlands outside of city regions. This investment will deliver an unprecedented long-term funding uplift and is the first transport investment of its kind for these areas. This fund will empower local leaders to support the transport projects that matter most to their communities, helping create jobs, grow the economy and level up the country. Of course, we will need the support and co-operation of local communities to make this a success. Hon. Members should let their voices be heard, champion the improvements their constituents are calling for, and work with their local authorities to turn this vision into reality.

I am sure that my hon Friend welcomed the news that Lancashire County Council has been allocated £494 million from this local transport fund, to be paid over seven years, starting next year. Local transport authorities have the freedom to choose from a range of projects, such as building new roads, installing or expanding tram lines, or improving train stations. We will shortly publish advice for local authorities to help them make the most of this opportunity.

My right hon. Friend the Secretary of State for Transport recently met the leaders of Lancashire County Council to discuss a number of local transport schemes, including the reinstatement of the Burscough curves, which my hon. Friend the Member for Southport (Damien Moore) has championed. Indeed, I believe that he has met his local transport authority to the same end.

The Secretary of State stressed that these projects—the projects that we have heard about from my hon. Friends—could benefit from the local transport fund, but it will be for the council to determine whether it is prioritised for investment. We have written to each local authority, making it clear that they will be expected to consult local MPs—such as the champions we have heard from today—as they develop their plans for spending their LTF allocation. I encourage my hon. Friends to work closely with the council and advocate for the work needed at Midge Hall and the Burscough curves. I know that they are looking to me to play the lead in making the case with them. I am very happy to do so and to help sell the case that they have made so eloquently this evening.

On the second point from my hon. Friend the Member for South Ribble, about extending train services beyond electrified routes, I agree that new technologies have the potential to decarbonise the rail network while unlocking additional destinations, bringing environmental and service benefits to passengers and local communities. To help deliver the Government’s net zero commitment, we will electrify additional lines and deploy alternative traction technologies, such as battery, as she mentioned, where it makes operational and economic sense. The Government are supporting the development of battery and hydrogen technology in rail through innovation funding and research. This includes work on safety and wider issues that will have to be considered before rolling out this technology more widely.

Since the start of 2019, my Department has provided around £4.75 million in funding through its first-of-a-kind competitions, which are run by Innovate UK, to help decarbonise the railway. That includes £750,000 to facilitate trials of the UK’s first hydrogen-powered train, which was showcased at COP26. Earlier today, the Minister for technology and decarbonisation, my hon. Friend the Member for South Cambridgeshire (Anthony Browne), launched the latest round of transport research and innovation grants, offering organisations and academics the chance to win their share of a £1.3 million fund to seek solutions to some of transport’s greatest challenges.

My Department has also helped to get innovations off the ground by supporting trials, including approximately £2.15 million of rail network enhancement pipeline funding for the UK’s first fast-charging, battery-only train. Remarkably, a recent test train travelled a record-breaking 86 miles on battery power alone. We hope to see the first scheduled passenger service later this year. It is that type of technology, which we are investing in, that will allow us to reach our 2040 target to take all diesel trains off the line, and will be the type of solution that my hon. Friend the Member for South Ribble has rightly called for.

I was pleased to see that some of those new technologies are already being deployed in the area. Headbolt Lane station, which the Secretary of State opened last year, is the first station to benefit from battery technology on the new class 777 trains, removing the need to extend the third rail beyond the existing Kirkby station. Of course, the matter of further extension of the Merseyrail services, either over the Burscough curves or from Ormskirk towards Preston, is a local one. Merseyrail is a devolved concession, with key strategic decisions made at a local level by Liverpool City Region Combined Authority. It is right that local leaders, not Ministers in Whitehall, decide whether such projects are the best way to meet local needs. It is that ethos—more power and more investment in local hands—that is driving the Government’s new approach to transport, and that has seen us double the Liverpool city region’s sustainable transport settlement to £1.6 billion.

I close by thanking my hon. Friend the Member for South Ribble for securing the debate, and also my hon. Friend the Member for Southport. I assure them both that I take on board their points about local public transport needs. The fund is made available, including for business cases, for projects such as those we have heard championed this evening. I want to see those projects being invested in, so I have great hope and optimism that we can assist my hon. Friends with their campaigns. I assure them both that my door is open to them to discuss wider transport opportunities that will benefit their constituents, and I will do what I can to help sell the case for their rail projects.

Question put and agreed to.

Rail Manufacturing: Job Losses

Huw Merriman Excerpts
Tuesday 16th April 2024

(7 months, 1 week ago)

Commons Chamber
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Urgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.

Each Urgent Question requires a Government Minister to give a response on the debate topic.

This information is provided by Parallel Parliament and does not comprise part of the offical record

Louise Haigh Portrait Louise Haigh (Sheffield, Heeley) (Lab)
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(Urgent Question): To ask the Secretary of State for Transport if he will make a statement on steps being taken to prevent job losses in the UK’s rail manufacturing sector.

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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Mr Speaker, before I start, may I thank you for having me up in your constituency of Chorley over the Easter holiday? I pass on my deepest condolences to you and your family for the loss of your father.

I thank the hon. Lady for her urgent question. I am responding on behalf of the Secretary of State, who will shortly be meeting the Alstom group chairman and chief executive to discuss a potential way forward. The Secretary of State will come to the House and make a statement at the appropriate time, noting the fact that they are sensitive commercial discussions.

As set out in the comprehensive open letter from the Secretary of State to the hon. Lady on 29 March, the Government are well aware that companies such as Alstom and Hitachi face short-term gaps in their order books. The letter set out clearly that these are complex problems to which there are not simple solutions, but the Government have been doing everything they can to support the workforce over many months, and continue to do so.

While Alstom is currently consulting its unions and employees on possible job losses, this must be a commercial decision for Alstom. The Government have been working with the company to explore options to enable it to continue manufacturing at its Derby site. We have convened a cross-Whitehall group to advise on how to support continued production at Derby and how best to support those workers who are at risk of redundancy. We have held similar discussions with Hitachi, both in correspondence and face to face. We remain keen to work with Hitachi as it looks for commercial solutions to guarantee the long-term sustainable future of its Newton Aycliffe site. Hitachi is not currently consulting on any changes to its workforce.

The fact remains that the market for passenger trains is a competitive one. The Department cannot guarantee orders for individual manufacturers. Trains are major assets with a lifetime of 35 to 40 years, so there will naturally be peaks and troughs in the procurement cycle. Nevertheless, we expect substantial continued demand for new trains. In recent months, London North Eastern Railway confirmed an order of 10 new tri-mode trains for the east coast main line. A tender for new trains for TransPennine Express was launched in December 2023.

In January this year, I wrote to train manufacturers to outline the pipeline of current and expected orders for new trains. That included details of current competitions for Northern, Southeastern, Chiltern and TransPennine Express, and an expected procurement by Great Western Railway. The contracts are worth an estimated £3.6 billion, with more than 2,000 vehicles to be procured over the coming years. In the meantime, we will continue to work with UK manufacturers, including Alstom and Hitachi, to ensure that there is a strong and sustainable future for the rail industry.

Louise Haigh Portrait Louise Haigh
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May I add my personal condolences to you, Mr Speaker, for the loss of your great father? He was a fine man and a great champion for Warrington and for workers’ rights.

Britain’s rail manufacturing is in crisis. Two of our largest train manufacturers have warned that their very presence in this country is at risk. Alstom, in Derby, is staring down the barrel of 1,300 job losses, and Hitachi, in Newton Aycliffe, another 700. In their supply chains, it is more than 16,000 jobs. Alstom has been making trains in Derby for 147 years, but both Alstom and Hitachi are clear that their uncertain future is thanks to this Government’s inaction. Alstom’s managing director has said that “continued delay” in providing “certainty and clarity” from the Transport Secretary is to blame.

The fact is that the Secretary of State has known about this problem for months. I first raised Hitachi’s concerns with him in this House more than a year ago. Both manufacturers have said that the situation could be rectified by amending their order schedules for a small number of existing, privately financed trains, and we understand that the Transport Secretary has been privately promising them action on that for months. But crucial deadlines have been missed, avoidable job losses have already been made and local businesses have already been forced to close.

The Minister dismisses people’s livelihoods as “peaks and troughs”. In his letter to me of 29 March, the Transport Secretary, as usual, ducked all responsibility. He claimed that he has no influence over procurement contracts, yet his Department has varied contracts in the past. He claimed that this is nothing to do with his mismanagement of HS2, but both struggling manufacturers claim otherwise. He claimed that he is providing certainty for the industry, yet he is refusing to bring forward his long-delayed rail reforms, or set out a rolling stock strategy for the industry.

Britain was the country that created the railways, but that legacy is being trashed by a Conservative Government content to oversee its managed decline. Will the Minister and the Secretary of State finally take responsibility, put aside their ideological opposition to supporting British business, and finally step up for the people of Derby and Newton Aycliffe and for Britain’s railways?

Huw Merriman Portrait Huw Merriman
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The hon. Lady asks whether the Secretary of State will take responsibility and work on this matter. He is doing that right now. He is about to start a meeting with the chief executive and chairman. And that is not the first meeting: he has held eight meetings with Alstom and eight with Hitachi to find solutions. Our officials in the Department for Transport have worked incredibly hard, as has everybody in the whole Derby family—the train operator, the unions that I have met and the workforce. We are all rowing together to try to find a solution.

I have to say that it does not help to see this cause being used almost like a political football. As an example, I did not use the expression “peaks and troughs” when it came to dealing with individuals. I said that the procurement cycle leads to that. My words will be clear in Hansard, and I resent having them misinterpreted, because it impacts on people and their feelings. I find it quite irresponsible of the Opposition to do that.

Another example of getting the facts completely wrong is the continued mention of HS2. Let me be clear: the order for HS2 was for 54 trains. That order remains at 54 trains, because they were always for phase 1, which is going ahead. The schedule remains the same and the number of trains remains the same, so let us deal with the facts rather than the fiction and scaremongering that I hear so often.

When it comes to facts, let me say that three of the four train manufacturers we are proud to have in this country have been building their plant here since 2010, under this Conservative Government. No doubt they decided to do so because we have commissioned 8,000 new rolling stock vehicles since 2012. The average age of rolling stock was 21 years back in 2016; it is now under 17 years, because we are investing in rolling stock, and there will be more orders. None the less, it is a complex legal solution that requires sensible minds, and I am very proud that the Secretary of State is leading on that endeavour.

Lindsay Hoyle Portrait Mr Speaker
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I call the Chair of the Transport Committee.

Iain Stewart Portrait Iain Stewart (Milton Keynes South) (Con)
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I am pleased that the Secretary of State and the Minister are taking charge of negotiations with Alstom, Hitachi and others. I appreciate that as commercially sensitive discussions are ongoing, the Minister is constrained in what he can say, but they need to be resolved soon. The wider issue is the peaks and troughs not just in rolling stock procurement, but in railway industry investment more generally. How does the Minister believe Great British Railways and wider rail reform will help to smooth out the peaks and troughs in the longer term?

Huw Merriman Portrait Huw Merriman
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I thank the Chair of the Select Committee for his work. The Committee as a whole has looked at this issue and really probed for solutions. On the GBR point, it is also providing the body of pre-legislative scrutiny of rail reform, and I thank my hon. Friend and his Committee for their work in that endeavour. He is absolutely right that a more holistic approach to the railway, in which track and train are integrated, will help us to make further decisions into the future and give more certainty with regard to orders. None the less, I have set out the orders that have been taken over the preceding years. The order book is healthy and we will look to get the tenders out this year and next for the train operators that I have mentioned.

Lindsay Hoyle Portrait Mr Speaker
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I call the SNP spokesperson.

Gavin Newlands Portrait Gavin Newlands (Paisley and Renfrewshire North) (SNP)
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My condolences to you and your family, Mr Speaker, on the loss of your father.

Clearly, the news coming out of Derby about the precarious nature of Alstom is grim, not just for the workers and the wider economy of Derby, but for everyone involved in the supply chain across the country, including 24,000 rail supply jobs in Scotland. The fact is that this was predicted; we have all known about it for months. These are skilled, well-paying jobs of the type that we are continually told the UK is in the market for.

Does the Minister accept that the stop-start procurement of new rolling stock is a direct result of the fragmented and disconnected railway system that has placed financialisaton and the Treasury’s miserly attitude to investment above rail’s key role in a decarbonised 21st-century society? Why are rolling stock leasing companies ruling the roost rather than straightforward procurement? How is it possible that the island that invented the modern railway—the 200th anniversary of the Stockton and Darlington railway is next year—could have next to zero train production capacity within a matter of months? We need a proper rail strategy and integration; when will that rail reform be put before the House?

Huw Merriman Portrait Huw Merriman
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Again, let us look at the facts. Since 2012, 8,000 new rolling stock vehicles have been manufactured—that is out of a total fleet of 15,600, so it is a relatively young fleet. Taking into account the fact that the fleet tends to last 35 to 40 years, and that it now has an average of 17 years’ service, I hope that the hon. Gentleman will see that there has been a substantial investment in rolling stock from the Government—the UK taxpayer—and from private train operators.

The hon. Gentleman asks when the legislation for rail reform will be brought forward. I am very keen for that to happen, and it is on its journey right now. The Transport Committee, of which he is a leading member, is providing the pre-legislative scrutiny. I very much hope that the Committee will finish its work in time for the summer recess, giving us two months to respond, and that there will be cross-party support in both Houses for what is I believe is sensible legislation that will allow us to deliver rail reform.

Pauline Latham Portrait Mrs Pauline Latham (Mid Derbyshire) (Con)
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Although Labour is playing party politics on this issue, it is really important for Derby and Derbyshire, including for the workers at Alstom and in the supply chain that feeds into it. Will the Minister confirm that Conservative Members of Parliament have been working with the Secretary of State over the whole period, and that he has been working with Alstom for many, many months to get this right?

Huw Merriman Portrait Huw Merriman
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I thank my hon. Friends the Members for Mid Derbyshire (Mrs Latham) and for Derby North (Amanda Solloway) for the amount of work that they have put in to press us, privately but firmly, to ensure that we are working on this issue, given their concern as constituency MPs. I could not credit them enough for the amount of work that has gone in on their side, and for doing it sensibly—and that includes those in Derby council, to whom we are grateful. I believe that this is the way to approach the matter. The number of meetings that we have had, the cross-departmental taskforce that is in place and the sheer number of hours that the officials have put in have all led us to a point where we very much hope to be able to provide a solution. The matter is complex—there are legal challenges and these types of contracts often end up in litigation, so we have to be careful with the process—but we are keen to find that solution. I thank my hon. Friends for their work.

Baroness Beckett Portrait Dame Margaret Beckett (Derby South) (Lab)
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I was disappointed and sorry to hear what the hon. Member for Mid Derbyshire (Mrs Latham) just said, because, as she knows perfectly well, there has been a substantial amount of cross-party working on this issue over many months and years. Given that the factory is in my constituency, I find it a little disappointing that, although I am told that there have been many meetings between the Secretary of State and local Conservative members, at no point have he or his office chosen to involve me.

However, that does not matter at all; what really matters—and what I find most difficult about this whole issue—is that, over the years that I have been in this House, we have had so many of these conversations about failing industries. We ask what are the prospects for the future, and there is a struggle and, as always, an argument between those who want to look to the long term and those who want short-term financial savings. This is not an industry in which that is the problem. In the longer term, there will be millions of pounds’ worth of orders for rolling stock, because rolling stock renewal is needed right across the country, as everybody in the rail industry is aware. It is an industry with prospects and an ongoing, realistic vision of secure, high-value and high-reward jobs, yet one in which Government inaction is, I am afraid, putting those jobs at risk, particularly, as was said moments ago on both sides of the House, in the supply chain.

Huw Merriman Portrait Huw Merriman
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I thank the right hon. Member for the points she has raised. The discussions have been cross-party: the leader of Derby council has worked very closely with the Department to try to broker a solution. I will take away her point about meetings; I do not have that information to hand, but I will ensure she gets the meeting she has asked for.

The point I was making was that the comments from the Labour Front Bench do not help matters at all. This is a sensitive, commercially and legally challenging situation that we are trying to find a way through. We cannot find contracts just for one train manufacturer: we have four, and it has to be an open process, otherwise the matter ends up in court. Despite that, we are doing everything we can to find the right orders for those train manufacturers. As well as the letter I have written to all of the manufacturers, specifying the tender pipeline that is to come, the Secretary of State has written to all the entities that finance train operators, making the point that they should bring forward matters that they can see. That will help with refurbishment, as well as new rolling stock.

Jason McCartney Portrait Jason McCartney (Colne Valley) (Con)
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I thank the Rail Minister for the huge levels of rail investment going into my constituency. As he knows, alongside my hon. Friends the Members for Dewsbury (Mark Eastwood) and for Penistone and Stocksbridge (Miriam Cates), we secured £48 million of levelling-up cash for upgrades on the Penistone line, with stations at Honley and Brockholes in my constituency. I thank the Rail Minister for visiting Huddersfield railway station last year, and I am pleased to report that a major upgrade, which is part of the £11 billion trans-Pennine route upgrade, is under way at that station. Once that is complete, there will be major upgrades to Slaithwaite and Marsden stations, including disabled access. Rail investment is being delivered to my wonderful part of West Yorkshire.

Huw Merriman Portrait Huw Merriman
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I thank my hon. Friend; he is a champion of the railway, and it was an absolute delight to visit him at Huddersfield station and talk about some of those projects. Of course, his point is completely relevant to the matter before us. The trans-Pennine route upgrade, for which there will be more Government investment than there was for the entirety of Crossrail, allows us to put an order in for TransPennine Express trains, so there will be more trains manufactured as well as better stations, longer platforms and more resilience. [Interruption.] I thank that team, which is doing a brilliant job, which The Sunday Times has highlighted. Rather than chuntering, it would be nice if the Opposition thanked those who deliver railway projects to time and on budget.

Grahame Morris Portrait Grahame Morris (Easington) (Lab)
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My condolences on your loss, Mr Speaker. I thank you on behalf of the workforce for granting this urgent question, because the situation is becoming critical.

My union, Unite, tells me that there are over 900 people employed on temporary contracts at Hitachi in Newton Aycliffe and at Alstom in Derby whose jobs are already at risk. This is before any formal redundancies occur; Unite believes that that could happen as soon as June. I am well aware that the Minister knows that the industry needs a steady stream of orders to sustain train manufacturing here in the UK and preserve those vital jobs in areas such as County Durham, where we do not have an abundance of skilled employment, so in all honesty I earnestly ask the Minister to use his good offices to persuade the Secretary of State to intervene urgently and ensure a bright future for this vital UK train manufacturing industry.

Huw Merriman Portrait Huw Merriman
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I certainly take that point from my good friend. The hon. Member has worked tirelessly for the rail workforce, and I know that he means everything he says with passion and conviction. I have talked about the situation being a complex one from a legal perspective, and I would take him back to the contract award for HS2, which went to Alstom and Hitachi. That was challenged in court by Siemens; the Department succeeded on every single point, but that just shows how careful we have to be from a legal perspective during the tendering process, because it will end up in litigation. The worst thing would be to hand out contracts in a manner that is not legally fair and then find that they are being unpicked, which brings fresh uncertainty. Instead, we are looking at the entire order book to see where we can bring matters forward in the pipeline—matters that Alstom may be working on already. Where it is the fair and right thing to do, we are looking to see whether we can bring those contract orders forward in the pipeline.

Maggie Throup Portrait Maggie Throup (Erewash) (Con)
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The situation at Alstom is of great concern to a number of my constituents who work there. However, probably even more of my constituents work in the supply chain, so will my hon. Friend reassure me and my constituents that whatever the outcome of today’s discussions, that supply chain will not be forgotten?

Huw Merriman Portrait Huw Merriman
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My hon. Friend is absolutely right. We are talking not just about the jobs at the manufacturing plant in Derby, but about all the jobs throughout the supply chain. I work really closely with the supply chain and its trade representatives—the Railway Industry Association and Railfuture—and I am keen to continue to do so. Our work and our endeavour is to try to find a solution, not just for the workforce in Derby working directly for Alstom, but for those who are temporarily employed at Alstom and for the entire supply chain. That is why the Secretary of State is meeting Alstom right now, so that we can try to find a solution for them all.

Wera Hobhouse Portrait Wera Hobhouse (Bath) (LD)
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The Government’s inaction in signing off new orders for trains is now threatening hundreds of jobs in County Durham and wiping millions of pounds off the value of rail manufacturing companies. Inadequate supply to our rail infrastructure will have a big impact on decarbonising the UK transport system. Is the Minister aware of that, and what are the Government doing in the long term to invest in our rail infrastructure?

Huw Merriman Portrait Huw Merriman
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Thanks to the UK taxpayer, the Government have invested over £100 billion in the railways, and a lot of that investment has gone through to rolling stock. As I have mentioned, the rolling stock is now on average under 17 years old, with a life cycle that goes to 35 to 40 years. I will give the hon. Lady a good example of where the future is bright: in the area of innovation and technology. Great Western has just completed a battery trial for a train that has covered 86 miles, with stops, on just one single charge. My hope is that as well as new orders for trains, we will find new solutions for manufacturing rolling stock that is greener than it is right now.

Peter Gibson Portrait Peter Gibson (Darlington) (Con)
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My condolences to you, Mr Speaker.

Many of my constituents are involved in rail manufacturing, both at Hitachi and in the wider supply chain, and are genuinely concerned about the situation. Can my hon. Friend reassure me and my constituents that this situation is getting the full attention of the Secretary of State, and can he outline to the House why the issue is not as simple as the stroke of a pen, as alleged by the Labour party?

Huw Merriman Portrait Huw Merriman
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I can give my hon. Friend that assurance. He is absolutely right; this is a complex matter, and it is important that we get it right. We are working with Alstom, with the council, and with all other parties.

I should just correct the record: I am very happy to take up this issue with the right hon. Member for Derby South (Dame Margaret Beckett), but my understanding is that she met the Secretary of State for an hour on 25 March, which she said she had not.

Baroness Beckett Portrait Dame Margaret Beckett
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indicated assent.

Huw Merriman Portrait Huw Merriman
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That is correct—good. I am glad I have got that on the record.

My hon. Friend the Member for Darlington (Peter Gibson) is absolutely right. This matter is complex and challenging, but I can tell you, Mr Speaker, and the House that the Secretary of State is working at full pelt on this matter with Alstom. I am hopeful that a solution will be found that will demonstrate all of that hard work.

Lilian Greenwood Portrait Lilian Greenwood (Nottingham South) (Lab)
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Derby’s Litchurch Lane is unique—the only site in the UK that designs, develops, builds and tests trains. As has already been acknowledged, the Alstom factory is a very significant employer, but it also supports thousands of good supply-chain jobs, particularly in Nottinghamshire and Derbyshire. Frankly, this Government will never be forgiven if that factory is allowed to close due to an entirely avoidable gap in orders. The Minister says that this matter is complex, but my question is simple: when does the Department for Transport intend to issue the invitations to tender for the promised new train fleets for Chiltern, Northern and Southeastern?

Huw Merriman Portrait Huw Merriman
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The answer is over the course of this year and next year for all of the train manufacturers that the hon. Lady has mentioned. I well remember the visit that both she and I made to the Alstom site with the Transport Committee. As she rightly says, it is a fantastic site, which is why we are working to find a solution. I am certainly encouraged by the conversations that have taken place. We know that everyone wants to find that solution—the Government certainly do—but the hon. Lady will know from all her work on the Transport Committee that legal challenges have to be dealt with in the correct manner. This matter is very sensitive, and it is market sensitive as well, so finding a way through which provides certainty and does not get unpicked is absolutely the right thing for us to do, and that is what we are doing right now.

Nigel Mills Portrait Nigel Mills (Amber Valley) (Con)
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The threat to the Alstom factory in Derby is of great concern to the employees in Amber Valley and those employed by the supply chain. Their mood is not helped by the fact that this appears to be a problem not with the quality of the trains, or even with their price, but with compliance with procurement rules that we ourselves put in place only a year or so ago. If it comes down to a choice between having all the i’s dotted and t’s crossed, or having that factory saved for the long term, can I urge the Minister to take a risk on the contract, sort that out later and save the factory, rather than prioritising the contract and risk losing the factory?

Huw Merriman Portrait Huw Merriman
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As my hon. Friend has described, this is a careful balance. I reiterate that if we were to award contracts outside of the usual process, other workforces would also be impacted, such as those in Newport, in Newton Aycliffe and in the Hull area. We have to take into account the whole workforce, as well as fair process on the contract. However, as he mentions, trains are being manufactured right now and rolling off the production line up in Derby—South Western trains and East Midlands trains—and they are good-quality trains. As I have said, the challenge is that we have produced a lot of trains over the years, and I really want to help those train manufacturers to export more, because that will fill up the order books so that they are not reliant only on the domestic market. As it gets fresher and younger, in rolling stock years, we need to find a solution outside this country.

Andy McDonald Portrait Andy McDonald (Middlesbrough) (Lab)
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I offer my condolences to you, Mr Speaker.

The Minister says this is a complex issue, but is it not rather simple? These companies will not be around to enjoy the sort of exporting opportunities he talks about if they do not sustain. On his answer to my hon. Friend the Member for Nottingham South (Lilian Greenwood), can he just apply his mind to what he said about the invitations to tender? If it is going to take that long to issue those tenders, these companies will not be around. It is not about them not competing; it is about their being able to compete and to be here. Can he not recognise that it is the constant chopping and changing in procurement that has landed the rail industry in this terrible situation?

Huw Merriman Portrait Huw Merriman
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I do not accept that. When I met the train manufacturers earlier this year, they said they wanted longer-term certainty, and the reason for setting out what is coming up next is to give them that certainly. Of course, train manufacturing is going on right now. For example, we have just seen the award to CAF for the 10 LNER tri-mode trains, so there is manufacturing and contracts are being awarded. I know I am repeating myself, but as the train rolling stock gets younger in age—it has a life of 35 to 40 years, and its average age is now under 17 years—by definition fewer orders tend to go through. However, it is important to have a future pipeline, which is why I mentioned the orders going to tender for this year and next.

Matt Vickers Portrait Matt Vickers (Stockton South) (Con)
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Hitachi provides opportunities and high-skilled jobs, benefiting people right across the north-east, including a number in my constituency. Can my hon. Friend confirm that he will continue to look at every possible option to protect these jobs and the north-east’s incredible manufacturing capabilities?

Huw Merriman Portrait Huw Merriman
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Yes, indeed. The team at Hitachi as well as Alstom will of course be working on the HS2 tender for 54 trains that will be coming their way. I am very keen to meet them, and I met Hitachi yesterday—albeit a different arm that is more on the signalling side. I am keen to work with the private sector. We are very proud of the train manufacturers we have in this country, and we want to ensure that they sustain and continue to get contracts, and not only from this country but, as I have mentioned, for exports. I really want to see exports, which is why I tend to go abroad to help champion exports in such markets.

Chi Onwurah Portrait Chi Onwurah (Newcastle upon Tyne Central) (Lab)
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In 1823, Robert Stephenson and Company set up the world’s first locomotive factory in my constituency. Is the Conservative idea of an anniversary present to the north-east to end 200 years of railway manufacturing and innovation? The Minister has said this is complex and challenging, but for the sake of Hitachi workers and for our entire region, will he commit to the future of railway manufacturing in the north-east?

Huw Merriman Portrait Huw Merriman
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These are private sector companies. They of course rely on Government-funded contracts, but ultimately they are private sector companies, and this is a matter for them. Our job is to support them, and I have described the order book we have put through since 2012. Of course, any Government or Government in waiting actually have to follow the correct process with our officials and to do things properly, and it is rather telling that the Opposition do not seem to know how proper governance operates. I would just remind the hon. Member that, since 2010, three of our four train manufacturers have built their plants under a Conservative Government, because they know that this Government are good for business and invest in the railways, as the £100 billion invested since 2010 demonstrates.

Paul Howell Portrait Paul Howell (Sedgefield) (Con)
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My constituency incorporates the Newton Aycliffe Hitachi factory. As has been mentioned, it is the home of the railways—200 years ago, the first train went on the line just next to the site of the Hitachi factory. We are founded in railways, we want to be in railways, and we always will be in railways. However, the Opposition are treating this as a political football, as the hon. Member for Newcastle upon Tyne Central (Chi Onwurah) has just done. Everybody is saying that this is so simple and can be done at the stroke of a pen. It could not be done at the stroke of a pen when Nexus had the same situation in Newcastle. [Interruption.] No, it was not, and the Opposition had the pen then.

Right here and right now, I am very concerned about what is happening with Hitachi, as I obviously am about Alstom and the supply chains. I have met the unions—I have met Unite several times—and I will continue to do so. It is important that we are all engaged in this properly, and confidentially where appropriate. I have been completely irritated by the number of times the Opposition have said that the Government are not engaged. For most of the time I have been engaging confidentially, as Hitachi has asked. Everybody, including the Prime Minister, has been to Hitachi to understand what exactly the situation is. What we need now is for the unions to be engaged and for Hitachi to use all its innovation and skills. Can I ask the Minister to ensure that he is fully engaged, and will he explain to the Opposition why, if this was so easy, we would not just do it?

Huw Merriman Portrait Huw Merriman
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I thank my hon. Friend because—as he puts it himself, but he is being too modest—he is working with us constantly to ensure that Hitachi’s concerns are addressed. We have met Hitachi a number of times. We have great faith in its leadership, and we work closely with them. It is not consulting on any changes to the workforce at the moment. As I have mentioned, it has a share in the order for the 54 HS2 trains. He is absolutely right that the way we will fix these issues is to provide certainty through the tenders coming forward, to continue to invest, to try to get more exports for these train operations, and to work together in a collegiate way, not with scare stories. That is something I am determined to do, and I thank him for the work he does to that end.

Alex Cunningham Portrait Alex Cunningham (Stockton North) (Lab)
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This is political, because this Government have got form in failing industry in the north-east. They abandoned primary steel making on Teesside, they failed to back local investors in the Sirius mine and they allowed the world-renowned Cleveland Bridge & Engineering Co. to collapse, despite promises to save it. Now they are at it again, and this time it will affect countless people from my constituency, which is the home of the first passenger railway. In a statement made just an hour ago, Hitachi has said it wants to continue to explore solutions so that the skills and investment it has in the region are retained. There is no doubt that these are at considerable risk. Is the Minister really prepared to fail Hitachi, and provide yet another example of how the Tories have abandoned the north-east?

Huw Merriman Portrait Huw Merriman
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The hon. Member’s argument is slightly punctured by the fact that Hitachi built its plant after the Conservative Government came to power, because it understands that we support businesses, attract businesses and want them to succeed not only with domestic orders, but with export orders. To say that we are abandoning it, when I have just described how we have had 8,000 new rolling stock vehicles produced since 2012 and the average age has gone down from 21 years to 16.8 years, rather demonstrates that he does not know what he is talking about.

Greg Smith Portrait Greg Smith (Buckingham) (Con)
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My hon. Friend is absolutely right that this is a complex scenario, but there really is no need for us to be in one of the troughs in the supply chain at the moment. Chiltern Railways has massive overcrowding because its stock is the oldest fleet, and it is desperate for more trains on the network. We also have East West Rail about to launch with borrowed diesel trains, rather than the new hybrids or hydrogen trains that are fit for the modern age. As my hon. Friend looks at what can be brought forward, will he prioritise Chiltern and prioritise getting the trains that people want to see on East West Rail?

Huw Merriman Portrait Huw Merriman
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I know that my hon. Friend, who is another excellent member of the Transport Committee, has written to the Secretary of State, and we are lining up a meeting to discuss Chiltern’s rolling stock. He knows I am very keen to find a solution with some rolling stock that is available, and I am looking to take that forward. He asked about the situation with East West Rail. The consultation will go forward this summer. I have referred to the testing of a battery-powered train that went for 86 miles, and I believe the route from Oxford to Cambridge is 84 miles, which suggests that could be an answer to the point he rightly makes.

Barry Sheerman Portrait Mr Barry Sheerman (Huddersfield) (Lab/Co-op)
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I have been chair of the all-party group on manufacturing for some time, I worked in manufacturing at one stage, and I represent the fine manufacturing town of Huddersfield—despite other claims in this House, I am the Member of Parliament for Huddersfield. But this is about job losses and is the Minister aware that under this Government, since 2010, the manufacturing sector in our country has been shrinking and shrinking? Now, less than 10% of people in this country make anything. That is a dire situation, and we see it not only in rail but in defence. The town I represent makes the engines for tanks, guns, ships and all of that sort of stuff, but they do not get the orders in time. The fact of the matter is that all our wonderful manufacturing towns and cities are in peril under this Government. What is the Minister going to do about it?

Huw Merriman Portrait Huw Merriman
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That is the same Huddersfield that I visited with the team from the trans-Pennine route upgrade. We are investing between £9 billion and £11.5 billion in upgrading that route, which not only will make it better for rail passengers, but will provide thousands of jobs, the bulk of them from the local workforce, of which the trans-Pennine route upgrade team is very proud. That rather demonstrates that what the hon. Member has just stated is not backed up by the facts.

Sam Tarry Portrait Sam Tarry (Ilford South) (Lab)
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During the pandemic the Government rightly stepped in to support train operating companies through huge subsidy, which essentially meant subsidising the profits of those companies. The Minister will also know that since British Rail was privatised, the ROSCOs—rolling stock companies—have been highly profitable and lucrative businesses, in my view with very little value for the taxpayer whatsoever. Will the Minister therefore consider two things: first, in this situation with Hitachi and Alstom, seriously consider direct Government intervention to stop these companies going to the wall before they can get the next orders in; and secondly, urgently convene a meeting of local businesses in both those areas with all the rail unions, from Unite to the Transport Salaried Staffs Association, ASLEF, and the National Union of Rail, Maritime and Transport Workers, bringing them together to discuss how we jointly work together to make sure that our brilliant and long-held and highly skilled workforce is not just thrown on the scrapheap for decades to come?

Huw Merriman Portrait Huw Merriman
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A lot of the finance I talked about and the orders that have been brought forward, which is why we have a relatively young fleet, are the result of train operators being able to use their own balance sheets in order to invest. Rail finances are back to only about 80% of where they were pre-covid because of changes in working patterns; that has been more of a challenge, which is why the Government and the taxpayer take on more of the burden. On meetings with the unions, I should reference the meeting I had with union representatives from Alstom and the workforce, who were superb. They wanted to do their business in a sensible, calm way while also challenging, and rightly so. That provides us with the motivation to try to intervene and deliver a solution, and that is what the Secretary of State is doing right now.

Liz Twist Portrait Liz Twist (Blaydon) (Lab)
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The potential loss of jobs at Hitachi will hit the north-east economy as a whole, and it is vital that we maintain rail manufacturing capability there. What are the Government going to do to ensure that we do not lose that facility because of a gap in orders? What will they do to ensure that does not happen and to save those jobs?

Huw Merriman Portrait Huw Merriman
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It is important to note that Hitachi is not currently consulting on any changes in the workforce, but it is of course concerned and it speaks to hon. Members in this place to put those concerns across, and I welcome that approach. Where train operators have rolling stock that is older and needs renewing, we are putting them out to market—those operators are TransPennine, Northern, Southeastern and Chiltern. Bringing those orders through will assist, but I come back to the export part of this: if our fleet is getting younger, meaning there will not be as many orders, we really need to see our four great manufacturers being able to export more abroad to deliver for UK plc.

Mike Amesbury Portrait Mike Amesbury (Weaver Vale) (Lab)
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What further discussions are the Minister and Secretary of State going to have with the manufacturing and rail unions on this matter?

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Huw Merriman Portrait Huw Merriman
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As I have already stated, I have met the Alstom unions myself—I am always very happy to meet the unions, as indeed is necessary. At the moment, however, our work is with Derby City Council and, more importantly, with Alstom, which ultimately will make the decision. It is a private operator and it will be a decision for Alstom, but we want to show what we can do to help with orders and other assistance. We have been working across Government to provide that reassurance so that we can work towards Alstom not only keeping the plant but investing further in it and bringing more of its enterprise into the UK.

Jim Shannon Portrait Jim Shannon (Strangford) (DUP)
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I thank the Minister for his answers; I do not think anybody in the House could doubt his commitment or that of the Government to improving things, and we thank them for that. What is the Government’s strategy for supporting manufacturing companies throughout the United Kingdom to make improvements to attract business and sustain contracts? Will the Government commit to ensuring that all Government contracts are fulfilled with British-manufactured products as standard, in order to give confidence to investment in British manufacturing?

Huw Merriman Portrait Huw Merriman
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I thank the hon. Member, who always puts his points with great kindness and consideration—as a result, he makes better points than some that get chucked around here. I can assure him that I have written to the train manufacturers, met with them and listened to them, and they have said that they want certainty and to know what the pipeline is. We have been working with the Treasury to bring that pipeline forward. The Secretary of State’s letter adds another angle: what we are doing there is writing to the ROSCOs to finance train refurbishments and see if those can be brought forward. So we are doing everything we can from our side—within the difficult legal and commercial situation we find ourselves in—to do things correctly, to bring those orders through, and to give more certainty so that those companies will continue to invest in the UK.

Cross-Solent Ferries

Huw Merriman Excerpts
Tuesday 26th March 2024

(8 months ago)

Westminster Hall
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Westminster 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

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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Let me begin by saying that it is my pleasure to serve under your chairmanship, Mrs Latham. I am delighted to be standing in for the maritime Minister today; he cannot attend because he sits in the other House, as my hon. Friend the Member for Isle of Wight (Bob Seely) has pointed out. I would also like to congratulate my hon. Friend on securing this debate. I know that this is an incredibly important topic to both him and the community he represents. The ferry service is essential for the Island, the Islanders and its visitors. He has been championing this important link for many years, campaigning for a more resilient and reliable service for his constituents.

I know that my hon. Friend’s recent plan for the future of cross-Solent ferries, which I have in my hand, is the culmination of all his hard work. It offers a route map towards better services, better prices and ticketing, and greater transparency over the ownership structures of ferry operators. I can assure him that the Department for Transport will take time to digest the report thoroughly, and we will respond to all the questions he has asked me this afternoon. For now, I will simply say that we welcome this work, and we look forward to seeing the final report once both his constituents and the Isle of Wight Council have had the opportunity to comment, which he is of course giving them in the consultation. The consultation is important because, as we have always made clear, the solutions to these issues are better resolved at a local level, where all stakeholders—Islanders, the operators and the council—can get around the table and, if possible, agree the best way forward.

The Government have a history of backing reliable and accessible ferry services for the Isle of Wight. During the pandemic, cross-Solent ferry services were safeguarded, and significant funds were made available to the Isle of Wight Council to ensure that they were preserved—an excellent example of the council and operators coming together to tackle the challenges faced at that time. However, as my hon. Friend is aware, although that intervention highlighted the Government’s high regard for lifeline ferry links, it was made under those exceptional circumstances, and as the country moves from recovery to renewal, we must acknowledge that the current operators of cross-Solent services do so in a fully commercial market. The bar for central Government intervention in such a commercial market is rightly extremely high, although I am aware that my hon. Friend is asking us to meet that height. The economic growth that we are striving for relies on a healthy private sector that brings jobs, investment and opportunities to communities up and down the country. We must acknowledge that these ferry operators are part of that ecosystem.

The Government pride themselves on recognising the benefits of private investment, and we have worked hard to make sure that UK plc is an attractive place to do business. That means that when local issues arise around local services, locally led solutions are the best way to resolve them. That is, again, why I commend my hon. Friend for the report he has produced.

The Isle of Wight transport infrastructure board could well be the perfect vehicle for these discussions, and I hope my hon. Friend reaches out to the board as part of his consultation. We should not forget that the investigation into the Isle of Wight ferry market by the then Office of Fair Trading back in 2009 was instigated by the then local MP, working with his constituents, which is yet another example of the community coming together to drive action.

Of course, as my hon. Friend set out today, the services are not perfect, and we can all acknowledge that there is work to be done. That was highlighted by the disruption to Red Funnel services last week, when many passengers endured frustrating delays. I think we can all agree that the situation was not acceptable and, while we thank Red Funnel for the mitigations put in place, they do not take away from the impact of those cancellations on the Islanders. The Government welcome the independent review that Red Funnel is conducting and I know that, once it is complete, the maritime Minister will be meeting with the company to discuss the recommendations.

I thank my hon. Friend for securing this debate. He has expertly pressed home his concerns and those of his constituents, and he has taken time to put them together in a report, and to put that report out to consultation. I thank him for his engagement on these important issues. I underline that he has the Government’s full support in striving for the quality of service that his community deserves.

Question put and agreed to.

Oral Answers to Questions

Huw Merriman Excerpts
Thursday 21st March 2024

(8 months ago)

Commons Chamber
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Rupa Huq Portrait Dr Rupa Huq (Ealing Central and Acton) (Lab)
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15. What estimate he has made of the cost to the public purse of delays to planned rail reforms.

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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The recent National Audit Office report was clear that we expect to spend £400 million on rail reform up to the end of March 2024, compared with initial plans to spend £1.2 billion. The report was also clear that we are forecasting £2 billion of total savings over the current spending review period, which is 77% of our original savings target.

Lloyd Russell-Moyle Portrait Lloyd Russell-Moyle
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It has been three years since we were told that Great British Railways would happen. In my reading of the NAO report, it says that the £1.5 billion of savings will not be met in time. The National Union of Rail, Maritime and Transport Workers says that another half billion could be achieved if we removed the profit motive from the railways, where a huge amount is wasted on shareholders. When will the Government progress on GBR and when will we get a date for its implementation? Is it not time for them to bite the bullet and renationalise our railways, as we have done successfully with several lines?

Huw Merriman Portrait Huw Merriman
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At the heart of rail reform is integrating track and train. I am very pleased that the Transport Committee has taken on the role of being the pre-legislative scrutiny Committee for the draft Rail Reform Bill, and is now scrutinising that legislation. The cut-off date for evidence is next Wednesday, if the hon. Gentleman would like to put his suggestions forward. I hope that the Committee will complete its report by July; the Government will have two months to respond to the recommendations, and if we have cross-party support for an integrated rail body that brings track and train together, I hope we will be able to bring in legislation to that effect, and improve rail services for everyone.

Rupa Huq Portrait Dr Huq
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High Speed 2, with its out-of-control costs, is compounding local misery, because it is now set to close the vital artery of Old Oak Common Lane for four to five years. We only know that because it leaked out, which shows the Government’s disregard for community and transparency. What assurances can the Minister give about funding for the Euston leg, so that the world-class interchange that we were promised does not end up being the terminus, and so that my long-suffering residents do not pay the price of Government project mismanagement by being hemmed in until 2030 because they cannot get on their one access road to the outside?

Huw Merriman Portrait Huw Merriman
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An Old Oak Common terminus provides a great opportunity for regeneration in the area. I have visited a number of times, and I am committed to working with the community to minimise impacts. One of the ways that is being done is by ensuring that the spoil is removed by conveyor, rather than by lorry. We do seek to minimise the impact; we recognise that when new rail stations are built, there is an impact.

Turning to the hon. Lady’s concern about Euston, I have met our property developer partners Lendlease. Our aim is to deliver not just a station, but the largest public sector land deal in London, which will completely regenerate the area. It will deliver offices, jobs and homes, and will also provide the funding to deliver the station, not just for HS2 but for Network Rail. We are committed to ensuring that Network North delivers that station.

Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Minister.

Stephen Morgan Portrait Stephen Morgan (Portsmouth South) (Lab)
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Earlier this month, the National Audit Office issued a damning report that made it clear that this Government’s refusal to bring forward long-delayed rail reforms is costing taxpayers dearly. Avanti West Coast made the amount of waste in our rail system crystal clear when it bragged about getting “free money” from Government, despite the truly shocking service that it delivers, so it should come as no surprise that yesterday, northern Mayors and council leaders unanimously called for Avanti to lose its contract due to its appalling service. The question for the Minister today is simple: will he strip Avanti of its contract—yes or no?

Huw Merriman Portrait Huw Merriman
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No, we will not. The reason is that there are issues with the west coast main line that will remain, regardless of who the operator is. It is essential to get underneath the bonnet, look at the issues and fix them, rather than looking just at what is on the side of the car. To take just one four-week period from Christmas, 65% of the delays in that period were down not to the operator but Network Rail, and they involved weather-related issues as well as trespass and, sadly, suicides, which we need to minimise.

We also have issues with restrictive contracts, and I would like change there. For example, Avanti is unique as an operator, in the sense that its drivers will not double-trip. They will do one return journey, but will not go over the same leg of rail twice. [Interruption.] The hon. Member for Sheffield, Heeley (Louise Haigh) asks whose fault that is. That contract was agreed in 1997, so maybe we know whose fault it was. That sums up this ludicrous situation: we are talking about a contract from 1997 that was due to end in five years, in 2002, yet that contract between the union and any operator remains. Until we can make progress on restrictive contracts, we will not be able to make changes. A Government cannot break the contract—it is between the operator and the union. I welcome the steps that Mick Lynch—

Lindsay Hoyle Portrait Mr Speaker
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Order. I do not mind having an Adjournment debate or statement on this subject if we need one—I am more than happy to allow one—but we cannot have it now; I have a bit to get through. But the Minister’s answer was excellent, I am sure. I call the SNP spokesman.

Gavin Newlands Portrait Gavin Newlands (Paisley and Renfrewshire North) (SNP)
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I start by thanking Alex Hynes for having done a fantastic job running Scotland’s Railway for seven years. He is departing to become the director general of rail at the Department for Transport, where he will help steer rail reform. And what a job he has! As we have heard, the National Audit Office said that rail reform was not on track. Not only are there £1.5 billion a year in lost savings, but the Department has failed to make planned savings of £4.1 billion from workforce reforms and the establishment of Great British Railways. Cuts of £4.1 billion to the transport budget were nevertheless announced by the Chancellor two weeks ago. Does the Minister agree that his Government are unable to make savings, but all too willing to make cuts?

Huw Merriman Portrait Huw Merriman
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No, I do not. I am delighted at the appointment of Alex Hynes, who will become a director general in the Department for Transport. He will put track and train together in the Department, and that departmental section will move out to Great British Railways once the legislation is put in place, so I do not agree at all. The appointment demonstrates that we are getting on with rail reform by appointing the right staff, and we have started on the legislative path.

Mr Speaker, I know I take too long at the Dispatch Box when I talk about the need to fix such contracts, but they are complicated. This session should not be about cheap soundbites; it does not work like that. It should be about getting into the detail. There are sticky contract provisions that the courts will not allow a Government or an operator to break unilaterally. I do wish this House would be a bit more intellectual in its approach to scrutiny.

Chi Onwurah Portrait Chi Onwurah (Newcastle upon Tyne Central) (Lab)
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6. What steps he is taking to support active travel in Newcastle upon Tyne.

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Elliot Colburn Portrait Elliot Colburn (Carshalton and Wallington) (Con)
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7. What steps he is taking to improve rail services.

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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Officials and I are focusing on improving rail services in the short and long term. This week, I brought together representatives from across the rail industry for a leaders in rail session to discuss how, collectively, we can make changes to deliver a better passenger experience. Longer term, we remain committed to bringing track and train back together under Great British Railways, and to continuing to build on the £100 billion of investment since 2010.

Elliot Colburn Portrait Elliot Colburn
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Carshalton and Wallington is one of the poorer parts of London for connectivity. It was promised that the ultra low emission zone would bring additional public transport investment, but instead the 455 bus has been scrapped, the Go Sutton bus has been scrapped, the 410 bus service is being reduced, and the Superloop is just an existing bus route that has been rebranded. One thing that would improve connectivity is delivering on the Croydon area remodelling scheme that National Rail and Network Rail are working on to improve connectivity in London and the south-east. What discussions is the Department having with Network Rail about moving this project forward?

Huw Merriman Portrait Huw Merriman
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I thank my hon. Friend, who is an absolute champion of that project, and he makes his point clear. Upgrades made in the Gatwick area are already delivering significant improvements to the Brighton main line, and the industry continually reviews how best to respond to changes in demand. I understand that my hon. Friend has been in discussions with the operator on the options for increasing capacity on busy weekend services between Carshalton and London Victoria, and that Govia Thameslink Railway will shortly respond to him directly. I will continue to work with him on the enhancement project that he champions.

Lilian Greenwood Portrait Lilian Greenwood (Nottingham South) (Lab)
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The leader of Nottinghamshire County Council, who has a nice side hustle as the hon. Member for Mansfield (Ben Bradley), once said:

“The full delivery of HS2’s Eastern Leg is what the East Midlands needs to support and create highly skilled jobs, link communities to opportunities and decarbonise our transport network.”

As he failed to persuade the Prime Minister, who cancelled that vital investment in our region’s rail services, can the Minister tell me how we will now deliver the transformative change to our connectivity, sustainability, job creation, productivity and social mobility that HS2 promised? Filling a few potholes will not cut it.

Huw Merriman Portrait Huw Merriman
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I certainly look forward to the day when my hon. Friend the Member for Mansfield (Ben Bradley) is also an excellent East Midlands Mayor, and we are devolving more powers to the east midlands to help him with that task. The hon. Member for Nottingham South (Lilian Greenwood) references HS2 moneys, from which more than a £1 billion will be allocated to the Mayor of the East Midlands to spend on the transport projects that he and, indeed, the hon. Lady may want. That allows us to devolve more projects to the local area, and we have been absolutely clear that all the moneys that have been saved as a result of the HS2 cancellation will be reinvested primarily in the north and the midlands.

Lindsay Hoyle Portrait Mr Speaker
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I call the Chair of the Select Committee.

Iain Stewart Portrait Iain Stewart (Milton Keynes South) (Con)
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The recent Budget contains welcome additional funding for east-west rail. What are the Minister’s intentions for that additional funding? May I suggest that he work with the Bletchley towns fund board, of which I am a member, on using the money to provide an additional eastern entrance to Bletchley station, which will improve accessibility and enhance regeneration?

Huw Merriman Portrait Huw Merriman
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I am happy to work with the Chair of the Select Committee, and I thank him for the evidence session we had on east-west rail. It was also brilliant to go to the Winslow and Calvert area to see that final link put in place. The first phase of east-west rail is ready for opening next year. Winslow station is looking absolutely superb, and I am so excited to see rail services come back there. On the second phase from Bletchley to Bedford, as he rightly says, money has been allocated from the last Budget to deliver that. I am certainly happy to meet him and the Bletchley team to see what more they can do to enhance the station for both the first and second phases.

Marsha De Cordova Portrait Marsha De Cordova (Battersea) (Lab)
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Wandsworth Town and Battersea Park stations in my constituency will soon be made fully accessible, thanks to the Access for All funding. Queenstown Road has been nominated for the next round of funding, but a decision has still not been made. Can the Minister tell the House when the Department plans to announce which stations have been successful in control period 7? Will they include Queenstown Road in my Battersea constituency?

Huw Merriman Portrait Huw Merriman
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I am delighted by the progress that the hon. Lady mentions, and she is right about that third station. I will meet officials, so that I can write to her with the details. I am keen to work with her local authority to see how we can use regeneration moneys to achieve that end. As for building on the 240 Access for All step-free access stations that we have, we will make decisions shortly. We have been through 300 brilliant applications, and we are shortlisting them for delivery. I will happily write to her to ensure that she has the detail about her projects.

Alec Shelbrooke Portrait Sir Alec Shelbrooke (Elmet and Rothwell) (Con)
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Long before I was elected, it had been identified that in the east direction, the Leeds to Selby railway line had only a footbridge, which restricted access for so many people. Will my hon. Friend join me in welcoming the construction taking place on the Access for All bridge in Garforth? It shows that Conservative MPs working with Conservative Governments improve rail services for all constituents.

Huw Merriman Portrait Huw Merriman
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My right hon. Friend is spot on, as always. I thank him for his work, because ultimately that project would not have got off the ground without the campaigning and partnership that he provided. It just shows that a superb MP working in the community, and the Access for All stations fund, which has delivered 240 projects and will deliver more, is a winning partnership.

Christine Jardine Portrait Christine Jardine (Edinburgh West) (LD)
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Passengers in my constituency of Edinburgh West face consistently overcrowded trains from ScotRail, which was taken into public ownership by the Scottish Government in 2022; an unreliable service from Avanti; and now a staggering pilot from London North Eastern Railway, in which east coast main line prices from Waverley to King’s Cross will increase by 123% in some cases. Does the Minister agree that that is not providing a good service to the people of Edinburgh, or those anywhere else on that line? It is the wrong move when we are trying to encourage more people on to the railways.

Huw Merriman Portrait Huw Merriman
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The trial with LNER tries to give passengers greater flexibility. They can now get on a train 70 minutes either side of the one that they booked, rather than just the one fixed train. Only 11% of fares are impacted in that trial, and 55% are better value than before. Working with our partners at LNER, we are trying to flatten out demand, rather than having crowded trains followed by quieter trains. We hope to change the number of passengers on trains, which would make for a better service overall. I will happily write to the hon. Lady, because I believe that the trial has great merits. We sometimes have to be bold and try fares and ticketing reform. If we do not, we will never change the system that many criticise for being too complex.

Wendy Morton Portrait Wendy Morton (Aldridge-Brownhills) (Con)
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Thanks to the support and determination of West Midlands Mayor Andy Street, we will see a train station and the return of passenger train services to Aldridge for the first time in 65 years, which is something many people thought would never happen. The service will start at Walsall, but now that we have the west midlands rail hub, will my hon. Friend agree to continue to work with me and others to secure a service to London?

Huw Merriman Portrait Huw Merriman
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Yes indeed. Thanks to our great West Midlands Mayor Andy Street, we now have the midlands rail hub, which will better connect more than 50 stations across the midlands. My right hon. Friend has championed Aldridge station for many years, and it is now being delivered. As she said, the service to Walsall will open, and it will have a car park as well as a platform service. I am committed to working with her to extend that reach even further. I congratulate her on delivering that station.

Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Secretary of State, Louise Haigh.

Louise Haigh Portrait Louise Haigh (Sheffield, Heeley) (Lab)
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The Minister will have seen reports this week that 3,000 jobs are at risk at Alstom rail factory in Derby. The Government told us that they were doing everything in their power to prevent those job losses, but they appear to be failing. It gets worse: this morning, I received correspondence from Hitachi Rail, warning that despite years of representation to Ministers, no solution has been found that will keep its order books full and safeguard the future of 700 staff at its factory in Newton Aycliffe. The Secretary of State has it in his power to vary contracts and commission the necessary orders. When will he do that and protect those jobs?

Huw Merriman Portrait Huw Merriman
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The Secretary of State has led for the Department on the response to Hitachi and Alstom, and their understandable concerns about orders. As I have said, we have a challenge, in that while fleet can last from 35 to 40 years, the average age of our fleet is under 17 years. We have modernised 8,000 out of our 15,500 carriages, and as a result there is a lag with the order book. We are doing everything we can to work with all four train manufacturers to bring more tenders through. Those will be for the TransPennine Express, Northern, Southeastern and, as the Secretary of State mentioned, Chiltern Railways. The work to find a resolution is done in partnership between train manufacturers, the Secretary of State and the Department, and we hope to find that resolution.

Harriett Baldwin Portrait Harriett Baldwin (West Worcestershire) (Con)
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10. Whether he has made a recent assessment of the potential merits of dualling the North Cotswold Line between Oxford and Worcester.

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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I recognise my right hon. Friend’s long-standing campaign on this scheme; she has worked alongside stakeholders including the North Cotswold Line Task Force. We continue to work with local stakeholders on their aspirations for enhancements to the line.

Harriett Baldwin Portrait Harriett Baldwin
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I thank the team of Ministers for the £209 million that has been allocated to Worcestershire County Council from HS2 money, to help with local transport improvements. Will the Minister endorse a project in which we work with Oxfordshire County Council to find ways to redouble sections of the Oxford to Worcester line? That will result in faster, more frequent and more reliable services on the beautiful north Cotswold line.

Huw Merriman Portrait Huw Merriman
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As my right hon. Friend mentions, additional funding through Network North will help. Network Rail has been working with the taskforce and its consultants on timetable capacity and analysis, to see whether there is a smarter way to deliver additional services, with fewer infrastructure interventions. We expect that work to complete next month. I would be delighted if my right hon. Friend would join me and leaders of Worcestershire and Oxfordshire County Councils, and her neighbouring MP, to discuss this matter in the coming weeks.

Katherine Fletcher Portrait Katherine Fletcher (South Ribble) (Con)
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12. What steps he is taking to improve transport connectivity in cities in the north of England.

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Anna Firth Portrait Anna Firth (Southend West)  (Con)
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T2. The Rail Minister is well aware that Network Rail continues to let down disabled residents and visitors and families at Chalkwell station by repeatedly failing to install the much-needed disabled lift. This is the seventh time I have raised this issue in this place. Two years ago, I was promised that the lift would be installed this year. I have now been told it will not even be started until next year. This is a disgrace. What can the Minister do to accelerate this project and address this poor performance?

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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There was a retendering at Chalkwell, and Network Rail found that the existing structures would not be suitable to deliver the project as it stood. The design work is going on right now and building will happen next year. My hon. Friend is right that the delay is not acceptable. I will meet her at Chalkwell station and bring the Network Rail team along so that we can talk her through the project and its challenges and, if we can, show how we will speed it up.

Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Minister.

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Martin Vickers Portrait Martin Vickers (Cleethorpes) (Con)
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T5. I thank the Secretary of State and the Rail Minister for their support for my campaign to deliver a direct train service between Cleethorpes and King’s Cross. Will the Rail Minister give an update on when the service is likely to start?

Huw Merriman Portrait Huw Merriman
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I thank my hon. Friend. He has been a champion not only for Cleethorpes’ direct rail service, but for the east coast main line timetable change that was announced in the Budget. We are now going through the stages with those who use the lines to ensure we do not have any timetabling issues like those that arose in May 2018. I hope we will come to a position on this in some weeks and that I can give him more detail, but I very much hope to see those direct services to Cleethorpes. This timetable change was designed to bring in great improvements such as the one he has championed.

Patricia Gibson Portrait Patricia Gibson (North Ayrshire and Arran) (SNP)
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T9. Three years ago, levelling-up funding for the upgrade of the B714 in my constituency was announced. So far no funds have been forthcoming. If and when the funding is finally allocated, what support can the Secretary of State provide to help ensure that this funding is sufficient to fulfil the upgrade, given that the cost of labour and materials are now much higher than they were three years ago?

Andrew Jones Portrait Andrew Jones (Harrogate and Knaresborough) (Con)
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T6. Residents in Harrogate and Knaresborough often face train cancellations, sometimes at very short notice, causing much frustration and inconvenience. A shortage of drivers and train crew is often the cause of the cancellations, and I have raised that with the train companies involved. What steps is my hon. Friend taking to ensure that vacancies are filled and operational training is prioritised?

Huw Merriman Portrait Huw Merriman
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That is a challenge. The shortage of crew is largely down to sickness, the level of which is about 8.5%, which is too high. We are working with the operator to ensure that it is working on that, and with the northern rail partnership, to ensure there is more resilience on that line. The training backlog needs to be cleared, working in co-operation with the unions rather than them going on strike. We should be able to ease that backlog and get a better service for my hon. Friend and his constituents.

Sarah Dyke Portrait Sarah Dyke (Somerton and Frome) (LD)
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Last week, the Prime Minister failed to provide my constituents with any assurance about proposals for a train station in the Somerton and Langport area, but he did state that money was available to invest in local transport across the country. Will my constituents see that money? Once again, when will the Langport Transport Group hear back regarding its strategic business case, which it submitted almost two years ago?

Huw Merriman Portrait Huw Merriman
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I will happily write to the hon. Lady and the Langport Transport Group so that they have a response, if they feel that that is outstanding. The Prime Minister has committed to ensure that the Network North money made available from the cancellation of High Speed 2 is spent where HS2 would have been delivered. That mostly includes the north and the midlands, but there will be other projects in the rest of the country through the recycling of the funding from Euston.

Priti Patel Portrait Priti Patel (Witham) (Con)
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T7. The Secretary of State is well aware of the A12 widening scheme, and the concerns of my constituents about the route and design. They are trying to engage with the Department and National Highways, but a one-person legal challenge is putting the entire project at risk, despite the Government’s financial investment. Will the Secretary of State assure me that those communities will be consulted and engaged with despite the legal challenge, so that we can make progress?

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Justin Madders Portrait Justin Madders (Ellesmere Port and Neston) (Lab)
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I listened to the Minister’s response earlier, on why Avanti should continue to provide rail services. It sounded like he was reading from one of its press releases. The litany of excuses was very long, blaming everyone but itself. When will he listen to the leaders of the north? When will he listen to the people of the north and get rid of Avanti?

Huw Merriman Portrait Huw Merriman
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The point I was making is that if the operator changes, the contracts between operator and the unions will remain unless the unions are willing to release. There cannot be a unilateral change. The courts would not allow it. As I say, that was put in place in 1997. It was supposed to end in 2002, but continued. It is now, effectively, a part of a term and condition. A change of operator will not make any difference to that. I do listen to those in the north and I am delighted that I will be listening to the leader of ASLEF, because he has agreed to sit down with me so we can discuss those terms. I hope I can work with all Members of the House to make that happen.

Christopher Chope Portrait Sir Christopher Chope (Christchurch) (Con)
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My Highways Act 1980 (Amendment) Bill, which is due to have its Second Reading tomorrow, would make it easier for motorists to make claims against local authorities for damage caused to their cars by neglect of road maintenance and by potholes. Why are the Government not supporting my Bill?

Oral Answers to Questions

Huw Merriman Excerpts
Thursday 8th February 2024

(9 months, 2 weeks ago)

Commons Chamber
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Damien Moore Portrait Damien Moore (Southport) (Con)
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2. What steps he is taking to increase transport connectivity between towns and cities in the north-west.

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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Network North will see a further £19.8 billion- worth of investment in the north of England following the redirection of funding from High Speed 2. That is in addition to what has already been committed through the £3.5 billion to northern city regions from the first round of the city region sustainable transport settlements; the development of Northern Powerhouse Rail, which will transform rail connectivity between the north of England’s key economic centres; and £11 billion for the trans-Pennine route upgrade.

Damien Moore Portrait Damien Moore
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In the light of the Government’s commitment to level up through Network North, will my hon. Friend commit to a meeting with me and other key stakeholders to discuss reinstating the Burscough curves rail link, which would connect Southport to Preston and the wider north of England, fulfilling our economic potential and helping us welcome another million visitors a year to Southport?

Lindsay Hoyle Portrait Mr Speaker
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You could meet in Chorley, at Coppull station.

Huw Merriman Portrait Huw Merriman
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I am always happy to meet my hon. Friend, and I pay tribute to his doughty campaigning on the reopening of the Burscough curves. It is for local transport authorities to consider whether such projects are the best way to meet local transport needs and, if so, whether they wish to develop the schemes from the significant new transport budgets that the Government will shortly be allocating from HS2 savings.

Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Minister.

Stephen Morgan Portrait Stephen Morgan (Portsmouth South) (Lab)
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When the Prime Minister made the decision to scrap HS2, the Department for Transport said that the plan would “lead to increased capacity on the west coast mainline.” That is not correct, is it? I have a leaked document from the Minister’s own officials that proves it. In it, they admit that the decision will mean fewer seats than today, with Glasgow and Manchester badly hit, and because HS2 trains cannot tilt, they will be even slower than current trains. Does he not owe it to the north finally to admit that? Does he accept that he will be the high-speed rail Minister who left behind slower trains and fewer seats?

Huw Merriman Portrait Huw Merriman
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Obviously, we do not comment on documents that may or may not have been leaked. What I can say is that the HS2 train design has always had capacity for 500 seats; if the trains had doubled up to 400 metres in length, the capacity would, of course, be 1,000 seats. The Network North document committed half a billion pounds to look at unlocking further capacity. Let us be quite clear that the 140 miles of HS2 being built to Birmingham will reduce the journey times not only to Birmingham, but to Manchester by another 27 minutes, and to Liverpool by 26 minutes. As far as the tilting is concerned, as the Department made clear to the Public Accounts Committee, we are looking at where those speeds can still be achieved on the west coast main line without the need to tilt.

Stephanie Peacock Portrait Stephanie Peacock (Barnsley East) (Lab)
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3. What steps he is taking to ensure consistent standards of taxi licensing across local authorities.

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Andrew Western Portrait Andrew Western (Stretford and Urmston) (Lab)
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7. What assessment he has made of the impact of the rise in rail fares on passenger numbers since 2010.

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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Since 2010, regulated fares across Great Britain have decreased by around 7% compared with the retail prices index. The Government continue to intervene to keep fares affordable, and to encourage travel, by capping increases below inflation and delivering initiatives such as the second great British rail sale. We have to strike a balance between encouraging passengers to use our rail network and supporting the rail industry to get back on a good financial footing as it continues to deal with a revenue shortfall following the pandemic.

Andrew Western Portrait Andrew Western
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For a period last year, Urmston train station in my constituency was one of the country’s 10 worst performing train stations for service reliability. Given the level of service experienced by my constituents who use Urmston and other stations on the line, why are they set to face an inflation-busting fare increase in March?

Huw Merriman Portrait Huw Merriman
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If we take the current year’s fares as an example, we delivered the biggest Government intervention on rail fares since privatisation by capping fare increases at 5.9%, which was 6.4 percentage points below the July RPI. It is all about striking a balance, and I believe that balance is a fair one.

In the last three years, the UK taxpayer has contributed £45.9 billion to keep the railways going. This year’s figure of 4.9% is, again, below inflation. It cannot be that bad, because Labour-run Wales has done exactly the same. It is better than Scotland, where the SNP has put up fares by 8.7%.

Edward Leigh Portrait Sir Edward Leigh (Gainsborough) (Con)
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If a person were to get a train from Market Rasen to London later this morning, not only would they be hit by a hefty rail fare, as we all know, but, worse, it would take them over three hours and two changes. My hon. Friend has repeatedly promised me and my hon. Friend the Member for Cleethorpes (Martin Vickers) that he will give us a through train to London. I understand that he has now approved that—he can confirm it today—but it is held up on the desk of the Chief Secretary to the Treasury. We do not want some bean counter in the Treasury stopping our train.

Huw Merriman Portrait Huw Merriman
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I fear a career-limiting response. My right hon. Friend’s campaign is strong, and he is absolutely right that it has this team’s support; I am sure that it will have support across Government. It is currently being looked at, and I hope to be able to give him and his colleagues good news.

Lindsay Hoyle Portrait Mr Speaker
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I call the SNP spokesperson.

Owen Thompson Portrait Owen Thompson (Midlothian) (SNP)
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I apologise for the disruption to normal service: my hon. Friend the Member for Paisley and Renfrewshire North (Gavin Newlands) is on Committee business, so the House will have to put up with a spokesperson replacement service this morning.

Last October, peak fares were scrapped across Scotland’s railways for six months. That has been extended to nine months, until the end of June. As a result, ScotRail services are 4% busier and demand has shifted across the service day. Meanwhile, Department for Transport-owned London North Eastern Railway has pushed up prices for thousands of tickets in the name of simplification, in some cases costing passengers going to and from Scotland hundreds of pounds extra. Will the Minister look to the lessons that Scotland has learned from scrapping peak fares, and apply that policy across Anglo-Scottish services?

Huw Merriman Portrait Huw Merriman
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I am delighted to talk about things that are being scrapped, because perhaps we can shift towards rail freight. The SNP budget has just been set. Mode shift revenue support has always been given to rail freight, to move freight from road to rail, but the SNP Scottish Government have just announced that they are axing that subsidy. Not only that, but for the year to come, the cross-border subsidy between Scotland and the rest of Great Britain is being scrapped, too. We stand by the rail freight subsidy, so we will fund the Scottish element.

What are the Scottish Government doing? They talk about decarbonisation while shifting more freight on to the roads, because they refuse to support rail freight. That is an absolute shocker. That, along with the 8.7% increase in fares and the £80 million cut to ScotRail, means that the hon. Gentleman is in no place to lecture anyone when it comes to rail.

Tom Randall Portrait Tom Randall (Gedling) (Con)
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10. What funding his Department is providing for road resurfacing.

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John Penrose Portrait John Penrose (Weston-super-Mare) (Con)
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12. Whether the Office of Rail Regulation has identified unused rail network capacity for open-access services.

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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The Office of Rail and Road has been working with Network Rail and the Department for Transport to identify unused access rights. That work will support the release of under-used capacity on the rail network, which may then be used by potential operators in the development of open-access proposals.

John Penrose Portrait John Penrose
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It is great to hear that there is work under way, but I notice that my hon. Friend did not say how far it had got. I know that he understands that this is a huge opportunity to improve our over-subsidised, post-pandemic railways, so that passengers can get a better deal, but if we do not move faster it will slip through our fingers. The only people who are happy with the status quo are middle-aged men who want to carry on playing with trains at the expense of taxpayers, and the Labour party, which wants to run rail for the benefit of rail unions rather than passengers, so please can we get on with this a lot faster?

Huw Merriman Portrait Huw Merriman
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I thought he was referring to me with that “middle-aged man” point, but I can assure my hon. Friend that we are working at pace. Since we met in November with the team, which included my hon. Friend, to see what further we could do, we have written to operators to clarify that unused access rights should be released. With regard to Department for Transport operators, we have hundreds of unused access rights that we have identified for release. We also talked about speeding up the entire decision-making process, and the ORR and Network Rail now have a draft service level agreement to do that. I will write to him with more detail, but a lot has happened in the last month.

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Jerome Mayhew Portrait Jerome Mayhew (Broadland) (Con)
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18. What steps he is taking to increase rail connectivity between Cambridge and Norwich.

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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Greater Anglia currently operates an hourly direct rail service between Norwich and Cambridge using its new rolling stock, with a journey time of around 80 minutes. It is also possible to travel between Norwich and Cambridge at other times by changing trains at Ely station. When the Ely area capacity enhancement scheme is delivered, it could create improved regional journeys for passengers across East Anglia.

Jerome Mayhew Portrait Jerome Mayhew
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Costs are rising for growing a business in Cambridge, yet Norwich, a finer city, is just down the road and, more importantly, just down the railway. We need a greater frequency of trains, and faster trains, to make the Norwich-Cambridge tech corridor a greater reality. It is being held back by the delays in getting the Ely junction fixed. How soon will that be sorted out by the Department?

Huw Merriman Portrait Huw Merriman
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I welcome my hon. Friend’s campaign for the Ely junction capacity enhancement scheme, which is one of the schemes referenced in the Prime Minister’s Network North plan. Network Rail has developed the scheme to outline business case stage, and next steps will involve further investment case development and delivery planning. I am keen to see it delivered, because it will deliver for rail freight.

Tim Loughton Portrait Tim Loughton (East Worthing and Shoreham) (Con)
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T1. If he will make a statement on his departmental responsibilities.

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Trudy Harrison Portrait Trudy Harrison (Copeland)  (Con)
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T2.   The Cumbrian Coast railway is vital to the energy coast, for both passengers and freight. I welcome the extra funding and services that Network North will bring, but could the Rail Minister update me on the latest progress?

Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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I would be delighted to update my hon. Friend. She will know that the upgrade of the energy coast line was one of the commitments in the Network North document. The Department is now working closely with Network Rail and local stakeholders to revisit the scope of the interventions, which were presented in the 2022 outline business case, and we expect that work to conclude later this year.

Lindsay Hoyle Portrait Mr Speaker
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I call the SNP spokesperson.

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Jeff Smith Portrait Jeff Smith (Manchester, Withington) (Lab)
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T5. One SME owner in my constituency told me that, if he has meetings in London, he now often travels down the night before, because he cannot rely on Avanti’s train service. Even if the trains are not cancelled, as we learned recently, Avanti is Britain’s least punctual train operator. Given that terrible service, does the Secretary of State now regret his premature decision to extend the contract for the west coast main line?

Huw Merriman Portrait Huw Merriman
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The decision to extend the Avanti contract was taken because its performance had improved dramatically. At that time, its self-induced cancellation rates were at 1.5%, down from 13%. Avanti is in the process of hiring 70 drivers per year. I have spoken to Avanti about matters that have been raised in the Chamber today, and about its recent service. We know that it needs to do better, and we are holding it to account to ensure that it does so.

Lindsay Hoyle Portrait Mr Speaker
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It is an appalling service.

Bob Blackman Portrait Bob Blackman (Harrow East) (Con)
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The proposed west London orbital network could enable trains to run from Hendon to Hounslow and take millions of passengers off the underground, and will be a boon to all people in west London. Has my hon. Friend had a look at the proposal, and will he give it the green light?

Huw Merriman Portrait Huw Merriman
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We have had a presentation on the plan, and I would be very happy to meet my hon. Friend to update him. It is a matter of interest, and I like to see such proposals brought forward—although, of course, we have to balance them with ensuring that the taxpayer is not at extra risk.

Jerome Mayhew Portrait Jerome Mayhew (Broadland) (Con)
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The dualling of the A47 at Blofield was fully funded and ready to go a year ago. Since then, a former Green party parliamentary candidate has bogged it down in a series of legal challenges. Once they have been overcome, will the Department be right behind that much-needed dualling scheme?

High Speed 2 Compensation

Huw Merriman Excerpts
Thursday 18th January 2024

(10 months, 1 week ago)

Commons Chamber
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Huw Merriman Portrait The Minister of State, Department for Transport (Huw Merriman)
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I commend my hon. Friend the Member for Stafford (Theo Clarke) for securing this important debate and I acknowledge all contributions from right hon. and hon. Members. I will come to them in the course of my response.

As the House will be aware, the Government laid a written ministerial statement this morning announcing the lifting of safeguarding directions along the former HS2 route between the west midlands and Crewe. By lifting safeguarding, the Government are providing certainty to people along the former route of phase 2a and making development easier, as HS2 Ltd will no longer object to proposed development in the area to which the safeguarding direction had applied.

To be clear, however, the lifting of safeguarding does not in any way trigger the start of a sell-off of property already acquired by the Secretary of State. No land owned by the Secretary of State will be sold off until we are ready. Safeguarding applies to land owned privately. The imposition of safeguarding on phase 2a had hitherto protected HS2 from conflicting development from any private landowner.

Safeguarding has now been lifted from phase 2a, with one notable exception: the continued safeguarding of land close to the village of Handsacre, north of Lichfield in Staffordshire. That junction, which I know is dear to my hon. Friend the Member for Stafford, and indeed to the constituency MP, my hon. Friend the Member for Lichfield (Michael Fabricant), is now an even more critical part of the HS2 infrastructure. It will allow HS2 trains to join the west coast main line through a connection to the existing rail network. I can confirm that the Government remain committed to delivering the Handsacre connection, as we are committed to delivering HS2 phase 1.

From London to the midlands, 140 miles of new railway is being built by thousands of engineers and construction workers at 350 active construction sites. At Euston, we are working with our development partner, Lendlease, to model an ambitious redeveloped Euston quarter and deliver thousands of homes and offices that will provide the financing for HS2 trains into central London. Today’s important announcement is further evidence that we are listening to businesses and residents along the former phase 2a route, and we will continue to do so.

Let me give the further information that my right hon. Friend the Member for South Staffordshire (Sir Gavin Williamson) and my hon. Friend the Member for Lichfield requested. We will amend the safeguarding on the remainder of the phase 2 route of HS2—from Crewe to Manchester and from the west midlands to Leeds—by the summer, to allow for any safeguarding needed for Northern Powerhouse Rail. To respond to the point made by my right hon. Friend, we will shortly design a programme for the disposing of any property that is no longer needed by HS2, and will set out more details soon.

I can confirm that any land and property that was acquired for HS2 compulsorily or via statutory blight but is no longer required will be sold, subject to the Crichel Down rules. Those rules, as my hon. Friend the Member for Lichfield set out, require Government Departments, under certain circumstances, to offer back surplus land and property for sale to the former owner, or their successors, at the current market value. I therefore assure my hon. Friend that we are ensuring that property is offered back at a fair price to original owners with first refusal.

Andrew Bridgen Portrait Andrew Bridgen
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The Minister says that the properties acquired by HS2 that are no longer required will be sold at the current market price, but does he accept that, as I have explained to the House, HS2 did not pay a fair market price at the time of the acquisition of those assets?

Huw Merriman Portrait Huw Merriman
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I am due to meet the hon. Member. He said that I had declined to meet him after two requests; actually, I had a meeting in his diary yesterday, but according to his office he was unable to make that meeting. We have set another date for 31 January. I will talk to the hon. Member about the matters he raises; the Department and the HS2 team have looked at them before and do not agree with the conclusions he has mentioned, but we will discuss those matters when we meet on the 31st.

As has been set out by my hon. Friends and other Members who have spoken, property owners who have found themselves obliged to deal with HS2 Ltd and its contractors have had varied and, at times, inconsistent experiences. Those property owners are understandably less interested in what HS2 can or cannot deliver for transport and the wider economy: their focus has instead been on seeking the compensation they are entitled to, and navigating what must at times have seemed like an unequal relationship with HS2 Ltd.

I readily acknowledge how important it is that those owed compensation, such as money for the purchase of their property or expenses or costs associated with such transactions, are paid in as timely a manner as is possible. I have always sought to impress on the company and its agents that it is unacceptable that cases should drag on. That is of no benefit to anyone—certainly not the property owner, and certainly not the taxpayer.

When it comes to paying owners for title to properties that they have, in many cases, sold unwillingly, it is only right that those owners should receive recompense in full and as fast as is practicable. That said, each property transaction is unique, so presents its own set of circumstances. As many in this House will be aware, when negotiating and settling compensation claims, HS2 Ltd follows the principles set out in the compensation code. There are also a number of discretionary schemes that offer further help to those not eligible under the statutory framework—in effect, they go above and beyond that framework.

HS2 Ltd must achieve a careful balance between meeting the needs of the claimant and delivering value for money to the taxpayer. The compensation code requires claimants to provide robust evidence for their claims. It is often when claimants are struggling to provide sufficient suitable evidence for their claims that negotiations become frustrated, leading to delays. I will be frank: the extent to which claimants’ agents provide suitable evidence, or are willing to negotiate from a realistic standpoint, varies considerably—I have found myself in the middle of some discussions of that type in constituents’ homes. It is important to understand that background, as it helps to explain why, in some instances, property owners consider that they are having payments withheld. When late payments do occur, they are never acceptable, but our data shows that they are the exception rather than the rule.

Property cases should be concluded as soon as is practicable, within the constraints imposed by the balance of the property owner’s interests and those of the taxpayer. The evidence shows—I will happily write to every right hon. and hon. Member who has taken part in this debate—that HS2 Ltd is succeeding in closing down claims, despite the considerable complexities that those claims involve. However, I acknowledge that there are a number of impacted parties with whom HS2 Ltd has not yet been able to reach agreement and negotiations have become challenging, and we have heard about many of them this afternoon. As I mentioned, I have got myself involved in many of those cases to move them further along and challenge HS2 as to the position taken.

My hon. Friend the Member for Stafford is a tireless advocate for the cases that have arisen in her constituency, some of which she and I have previously discussed, as she mentioned. She has cited some particular cases during the debate; I will write back to her with my latest understanding of where matters sit regarding her constituents Mr and Mrs Tabernor and Mr Collier. The same applies to other constituent cases named in this debate by my right hon. Friend the Member for South Staffordshire and others.

With regard to the point about intimidation—I say this as someone who chaired the Transport Select Committee—I believe that everyone should be able to give clear, frank, open and transparent evidence without fear or favour. If there is any evidence of intimidation, I will of course look at it and make sure that it is eradicated. I give everyone in the House that assurance. As my hon. Friend the Member for Buckingham (Greg Smith) has demanded, I am determined that HS2 Ltd should continue to up its game in dealing with difficult and disputed cases, such as the ones that have been mentioned today and others that I am aware of.

Let me touch on a few matters raised by other hon. Members we have heard from but I have not mentioned. The hon. Member for Chesham and Amersham (Sarah Green) referenced a number of cases. I am very happy to meet her, as I have previously. She is a tireless advocate on her constituents’ behalf and I will meet her again to discuss some of those cases. I have touched on the points made by the hon. Member for North West Leicestershire (Andrew Bridgen) and look forward to meeting him and going through the points he made in the debate.

My hon. Friend the Member for Crewe and Nantwich (Dr Mullan) has been a tireless advocate of the benefits that HS2 could deliver to his constituency, and it is the one part of the country that I believe needs particular mention. I spent a morning with him and local Cheshire East councillors looking at the potential and at what the team had brought. It will not have escaped his attention that the local government Minister—the Under-Secretary of State for Levelling Up, Housing and Communities, my hon. Friend the Member for North Dorset (Simon Hoare)—has entered the Chamber. The two of us spoke earlier this week about the needs of Crewe, and we also spoke to other colleagues. He has been a tireless champion of the council, with the predicament that it finds itself in, and when I and the local government Minister meet the team from Cheshire East, my hon. Friend is certainly welcome to join us. We have made such points to other colleagues, and we are determined to help and to work together. I know that the local government Minister cares about these matters and will work with us to do so.

I say gently to the hon. Member for Wythenshawe and Sale East (Mike Kane)—he is a fellow football player with me, as well as a good friend—that the Labour position appears to keep changing. Just last week, the Leader of the Opposition went to Manchester to say that HS2 would no longer continue, which was slightly inconsistent with what we heard this afternoon. It may well be the case that many dispute the plan we have in place, but the plan is not to go ahead with HS2 north of Handsacre, and instead to spend that money—the £36 billion—on projects across the country, particularly to benefit all cities across the north and the midlands. That is the plan, but I think we would all like to know what Labour’s plan is. Is it going to deliver HS2? If it is not going to deliver HS2 beyond the midlands, is it going to commit to the £36 billion that this Government are committing to levelling up? I think we would all like that clarity, not least the constituents represented by all those sitting behind me.

Greg Smith Portrait Greg Smith
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Will the Minister give way?

Huw Merriman Portrait Huw Merriman
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I cannot because of the time—by the look on your face, Mr Deputy Speaker.

Let me end with three final points. First, I thank my hon. Friend the Member for Stafford and all the other Members present for tirelessly working on behalf of those affected by HS2 and for the manner in which they have engaged with me. I am at their service. Secondly, I welcome and accept my hon. Friend’s kind invitation to visit Stafford. I will do so, and before the spring is out. Thirdly, and in conclusion, I commit to do the best that I can for property owners impacted by HS2, which includes ensuring the timely payment of compensation, the urgency of which has been laid bare in this debate.