Oral Answers to Questions

Debate between Huw Merriman and Stephen Hammond

Thursday 8th June 2023 Commons Chamber

[Stephen Hammond (Wimbledon) (Con)]

T2. As railway ridership returns to pre-pandemic levels, we need an efficient approach to railway finance. Can my hon. Friend say when he intends to reunite cost and revenue, so that that continues to drive up demand and provides an efficient method?

[The Minister of State, Department for Transport (Huw Merriman)]

My hon. Friend is right to point out that we currently view costs as sitting with the DFT and revenue as sitting with the Treasury. This can make it harder to increase services, even when extra revenue can be assured, because costs at the DFT cannot increase. He can be assured that the Chief Secretary to the Treasury and I spoke yesterday about how we can grow services and revenues with one profit and loss statement. I am also working with the train operators to amend their contracts, so they can be the parties that take the risk and get a greater share of the reward.