Transport and Local Infrastructure

John Healey Excerpts

Thursday 19th May 2016 Commons Chamber

[John Healey (Wentworth and Dearne) (Lab)]

What an extraordinary waste of time! I counted 42 announcements in the Queen’s Speech and only four had not been announced before yesterday. This is a Queen’s Speech that risks being a waste of the Queen’s time, the people’s time and Parliament’s time. I cannot recall in 19 years in this House seeing a Queen’s Speech debate in which the speeches from the Government Back Benches numbered two and ran out before we got a third of the way into the debate, and those Benches were entirely empty for the rest of the debate.

Headline measures in legislation for this year are little more than a middle manager’s task list for the next month: more control over budgets for prison governors; stop radical preachers from taking jobs in elderly care homes; longer school days; more NHS charging for non-EU citizens; money for school sport from a levy on fizzy drinks. I ask you, Mr Deputy Speaker! This is the “So what?” Queen’s Speech—minimal, managerial, marking time; minor policy changes hugely overblown and hugely over-briefed to the Minister.

What was not a waste of time was the speech from the shadow Transport Secretary, my hon. Friend the Member for Nottingham South (Lilian Greenwood), and many of the speeches made this afternoon by hon. Members on both sides. My hon. Friend warned the Secretary of State for Transport, who is again not in his place on the Treasury Bench, about the gap between what this Government do and what this Government say. She welcomed the buses Bill, which has received wide support in the House this afternoon, including from the hon. Member for Bath (Ben Howlett), my hon. Friend the Member for Sheffield South East (Mr Betts) and the hon. Member for Strangford (Jim Shannon)—who also referred to this as the sci-fi Queen’s Speech.

My hon. Friend the Member for Denton and Reddish (Andrew Gwynne) also talked about how valuable the buses Bill is, and I think the hon. Member for Hazel Grove (William Wragg), who is no longer here, might have said that, too. Although they welcomed the Bill, my hon. Friends the Member for Nottingham South and for Denton and Reddish both questioned why it was only for areas with elected mayors. We want other mayors to get the same powers in the same way as the Bill goes through this House.

My hon. Friend the Member for Nottingham South took the Government to task for the lack of response to the Law Commission’s report and the lack of a taxi licensing Bill. We want the system to be tightened up so that drivers who are rightly and properly rejected for a licence in their own area cannot sidestep the bar by getting a licence in another area. Above all, my hon. Friend took the Secretary of State to task for the continuing delay regarding any decision on airport expansion, particularly on the runway at Heathrow.

My hon. Friend was strongly backed by my hon. Friend the Member for Liverpool, Riverside (Mrs Ellman), with the authority that she brings as the Chair of the Transport Committee, by the hon. Members for Bath, for Inverness, Nairn, Badenoch and Strathspey (Drew Hendry) and for Strangford, and by my hon. Friend the Member for Poplar and Limehouse (Jim Fitzpatrick), who said that the big absence from the Queen’s Speech was any announcement on airports and on Heathrow. He described such an announcement as long overdue and rightly reminded the Government of all the groundwork done by the Labour Government—a White Paper on aviation in 2003 and the decision in 2008 on the expansion of Heathrow, but nothing since.

My hon. Friend the Member for Poplar and Limehouse went on to talk about housing and the damage that the Housing and Planning Act 2016, which has just reached the statute book, will bring—

[Jim Fitzpatrick]

Will my right hon. Friend give way?

[John Healey]

Let me finish my comments on my hon. Friend’s speech, then I will give way to him.

My hon. Friend went on to speak about leasehold reform. He is one of the champions of leasehold reform in the House. I was glad to hear that the Minister for Housing and Planning is now taking an interest. For too long, under Governments of both parties, leasehold reform has been put in the “too difficult to do” box. To the extent that the Minister is willing to act on leasehold reform, we are willing to support him where we can.

[Jim Fitzpatrick]

Because of time constraints, I was not able to point out our belief that the Government’s housing record is not very good. Notwithstanding the claim that they have a better house building record than we had when we were in power, they are taking credit for things that we paid for and put in the planning process before they even came to office.

[John Healey]

It will not surprise my hon. Friend to know that I will come on to that. He is right. We sometimes hear the Government say that they have built more social homes than we did, but 90% of the social homes built by this Government were commissioned by the Labour Government and largely funded by the Labour Government. I should know—I was the Minister who did it.

My hon. Friend the Member for Great Grimsby (Melanie Onn) made a strong case for lower tolls on the Humber bridge. Existing tolls, she said, were a barrier not just to work and to trade, but to leisure. I am pleased to see the Secretary of State for Transport on the Front Bench. My hon. Friend the Member for Great Grimsby asked whether he would be prepared to meet her and other MPs from the area to discuss how the barriers that transport creates—especially barriers to leisure for young and older people, as well as to their work and trade—could be overcome. The Secretary of State is nodding, which is a good sign. I look forward to hearing from my hon. Friend that that meeting will go ahead shortly.

One thing that my hon. Friend the Member for Denton and Reddish always brings to debate is passion and principle. I love the way he speaks. He rightly said that intentions were well and good, but it is on actions that people will judge this Government. It is fine to talk of social justice, increased life chances and reducing inequality, but we look to the actions for proof that the Government mean what they say and do as they say. As my hon. Friend said, when we look at the scrapping of the education maintenance allowance, the introduction of the bedroom tax, and the cutting of benefit support to disabled people and to people working hard on low incomes, all the signs from the past six years point in the opposite direction.

My hon. Friend described this Queen’s Speech as a missed opportunity. I thought he made an interesting argument, which he could perhaps take up with the Procedure Committee, about whether, as one of the consistent systematic checks that this House applies to any new legislation, we could assess its impact on national health and wellbeing.

Over the years that I have known her there has been no more consistent, forceful or better champion of older people than my hon. Friend the Member for Worsley and Eccles South (Barbara Keeley). She gave the House the extraordinary statistic that one in three carers now has to wait six months to get an assessment of their needs, never mind get those needs met. As she rightly said, the £4.6 billion cuts to adult social care since 2010 are a big part of that story, and there is nothing in this Queen’s Speech to reassure people concerned about this that the essential funding is in place. She also noted that there is no pensions Bill to deal with the problems of the 2.6 million older women who have been hit so hard by the recent pension changes.

The hon. Member for Kirkcaldy and Cowdenbeath (Roger Mullin), who has left the Chamber, argued that it might be helpful to adopt the Scottish model—or, as my hon. Friend the Member for Worsley and Eccles South pointed out, the London model—for concessionary travel.

My hon. Friend the Member for Bradford South (Judith Cummins) rightly reminded the House that business demands better infrastructure. A city as big as Bradford, as rich in business history and business innovation, as it now is, is being badly let down by the quality of the investment and transport infrastructure to support it. As she said, grand rhetoric is what we get from Government while real change, real investment and real improvement falls so far short of that, and people in her city, businesses and residents alike, will find little comfort in the Queen’s Speech announcements.

I liked the argument that my hon. Friend the Member for City of Chester (Christian Matheson) made when he reminded the House and Ministers that we require intellectual infrastructure as well as hard building and capital projects. He urged a training and certification programme for, for instance, engineers involved in the development of electric vehicles and in the electric infrastructure to support those vehicles. He expressed a fear shared by me and many colleagues in Yorkshire and Humber that HS2 will simply mean faster rail journeys between London and Birmingham, and the north-west will be left out. The Secretary of State said nothing to reassure the House about the plans or promises on HS2 being delivered in full.

The Secretary of State talked about UK infrastructure and, with a flourish, picked two dates, he said, at random—1997 and 2010. In 2010, Labour’s last year in government, public sector net investment—or infrastructure investment from Government—was 3.4% of GDP. One year later, in the first year of the previous Parliament, after the Chancellor made his cuts, it was down to 2.8%. By the end of that Parliament, it was 1.9% of GDP. This year, it is 1.9%. By the end of this Parliament, it will be 1.5%. That is the reality between the great rhetoric that my hon. Friend the Member for Bradford South talked about and the actions, investment and long-term commitments we see from this Government. Housing investment—part of the picture—was slashed by 60% in 2010, the first year of the previous Government. In the same year, roads investment was slashed by £4 billion. The renewables obligation—Labour’s renewables obligation, which was creating the funding to invest in green energy—was removed entirely. That is the reality of what happens when the Government do, rather than talk about, infrastructure.

My hon. Friend the Member for Sedgefield (Phil Wilson) spoke about why this sort of investment is so important—why it is more than simply figures and argy-bargy in this House. He talked about Hitachi in his constituency, and the huge number of jobs and a big boost to growth in that region because of the investment in our rail system and in the rolling stock required to upgrade it.

It is that sort of impact, on all parts of the country, that makes infrastructure investment more than simply a matter of political and policy debate. It has a real impact when we get it right in areas all across the country. Instead of that investment in Britain’s future, the Chancellor and Conservative Ministers have, from 2010 onwards, cut investment that would secure our place in the world, stronger long-term growth and the future welfare of our citizens.

The Transport Secretary told us at the beginning of the debate—I have checked this—that yesterday’s Queen’s Speech was “all about building a stronger, more resilient, more modern economy”. I have to say, however, that after six years of failure, it is clear that the Government are doing no such thing. It is clear that the Chancellor did not fix our economic foundations after the global crash. Any right wing, hard-line Finance Minister can cut public spending, but he is dodging the really tough decisions that he himself promised to take in 2010.

Rather than helping British businesses to sell to the world, our UK trade gap was a record £96 billion in the red last year, which is the biggest ever deficit since records began in 1948. Rather than reforming the finance sector and rebuilding our production base, the number of manufacturing jobs in this country is still almost 10% below that before the global crisis and crash. Rather than rebalancing the economy away from borrowing, debt and household consumption, it is now forecast that household debt will top pre-crash levels and reach 160% of income by the end of this Parliament.

The six years of failure on the economy will be unaffected by many of the measures in the Queen’s Speech. There have also been six years of failure on housing. After 2 million more homes were built and 1 million more households became homeowners under Labour, we have seen failure on all fronts since 2010. When this Queen’s Speech needed direction on housing and planning, we got more of the same.

The effects of six years of failure include 200,000 fewer homeowners in this country. A third of a million fewer under-35s—young people—are able to own their own home than when the Prime Minister took over in 2010. The number of families accepted as homeless has risen by a third in the past six years. Rough sleeping has doubled and is up by a third in the past year alone. Last year, as my hon. Friend the Member for Poplar and Limehouse said, fewer affordable homes were built than at any time in more than two decades, and the housing benefit bill rose by £2 billion in real terms over the course of the last Parliament.

My hon. Friend the Chair of the Communities and Local Government Committee took the Housing and Planning Minister to task over his target of 1 million homes. He made the strong argument—this was echoed by the hon. Member for Strangford—that social housing, new social housing and affordable housing to rent as well as to buy must be part of the picture. The hon. Member for Kilmarnock and Loudoun (Alan Brown)—he is not in the Chamber, so I will not mention him again—made a similar point.

Yesterday the sovereign said in the other place:

“My Government will support aspiration and promote home ownership through its commitment to build a million new homes.”

The Housing and Planning Minister sometimes plays fast and loose with the figures. It is not possible to house people in planning permissions or to live in a start. It is building new homes that counts, and if he is to build 1 million new homes in this Parliament, he will have to do a great deal better than what we have seen over the past six years.

There were fewer new homes built in the last Parliament than under any peacetime Government since the 1920s. Even in the latest full year, 2015, the number of new homes built was still far below where it needs to be—a total of just 143,000. By the way, that is still 24% below the peak during Labour’s 13 years in office. Because growth in new house building has been so sluggish under this Government—astonishingly, it has been only 2% on average since 2010—if they do not improve that run rate, they will not hit their target until 2033.

Some of the best policies are bigger than party politics and capable of commanding a broad consensus, such as Bank of England independence, the national planning Act for major infrastructure projects and the localisation of council housing finance. Under the neighbourhood planning and infrastructure Bill, there is a welcome commitment to put the National Infrastructure Commission on a statutory footing. Like the commission itself, that was a recommendation made in Labour’s Armitt review in the previous Parliament, so we are pleased that the Government have taken it up. We look forward to seeing what further compulsory purchase powers the Government introduce in that Bill. Labour’s Lyons review in the previous Parliament recommended updating legislation on compulsory purchase orders to streamline and simplify the relevant powers and to enable CPOs to be secured at closer to existing use value. I hope that those suggestions will be in the Bill, because they will be among the tests that we use in considering it.

We will, however, oppose the privatisation of the public Land Registry, which will undermine the trust of homeowners, mortgage lenders and solicitors, and put at risk the essential neutrality, quality and transparency that the Land Registry offers. It will be a gift to tax evaders and avoiders. I remind the House that the Land Registry returned a profit of £100 million to the taxpayer in 2012-13 and has delivered a surplus to the taxpayer and the Treasury in 19 of the past 20 years. It is a public asset that makes money for the public purse, and we should keep it that way.

The deeper truth about this Queen’s Speech is a Conservative party riven over Europe and too divided to prepare a serious legislative programme that even tries to get to grips with the country’s problems. It is a Queen’s Speech for a quiet life in No. 10 Downing Street. It confirms a Prime Minister past his sell-by date. As the former Work and Pensions Secretary said when he walked out of the Government, policies are

“distinctly political rather than in the national economic interest.”

This is a Government who worry more about political message than policy substance, and who are more concerned to fix headlines than the housing crisis, the elderly care crisis, the crisis in wages for working people, or the crisis of low investment, productivity, skills and exports. Never mind one nation; this is a Government and a Queen’s Speech that are failing the nation.