London Local Authorities and Transport for London (No. 2) Bill [Lords]

John McDonnell Excerpts

Tuesday 6th March 2012 Commons Chamber

[John McDonnell (Hayes and Harlington) (Lab)]

I congratulate the hon. Member for Harrow East (Bob Blackman) on his succinct account of the Bill. He and I go back a long way with these Bills. When I was a Greater London council member, I was responsible for the promotion of GLC Bills and London local authorities Bills. He may recall that one year we introduced a policy of what we described as positive victimisation, whereby not a penny would be spent in the constituency of any London Member who did not vote for the money Bill. Unfortunately, that somewhat contravened parliamentary privilege, and I was called to the Bar of the House to account for my behaviour. Then, in a civil servant role as chief executive of the Association of London Government, I was responsible for promoting successive Bills on behalf of London local authorities.

[Stephen Pound]

That is quite a confession.

[John McDonnell]

It is. I have delayed the House on these Bills on even more occasions than the hon. Member for Harrow East. I congratulate him on valiantly supporting this attempt by the London boroughs to promote legislation.

I want to deal with clause 17 and pedicabs—or rickshaws, as they are more commonly known. The hon. Member for Harrow East informed us that the promoters of the Bill are seeking amendments in Committee to remove the clause. I have received correspondence from Mr Alastair Lewis of Sharpe Pritchard on behalf of the promoters of the Bill, saying:

“I am the parliamentary agent for the promoters of the above Bill, which is down for a second reading debate next Tuesday 6 March 2012.

I am writing to let you know that the promoters propose to seek amendments at committee stage which would have the effect of removing clause 17 (Pedicabs) from the Bill. This decision follows further discussions between the promoters and representatives of the pedicab industry in which it has been agreed that the pedicab industry will take steps towards self-regulation. The promoters have been working with the pedicab industry to achieve self-regulation and consequently propose to withdraw the provisions contained in the Bill.”

Having read that into the record, I hope that there will now be no attempt not to move the amendments.

I convene the RMT parliamentary group. The RMT, which represents taxi drivers in London, has expressed genuine concerns about the role of pedicabs, as have taxi drivers themselves and people more widely within the community. London taxi drivers consider that there is unfair competition from pedicabs. London taxi drivers go through extensive training, they do the London knowledge, and they are vetted.

[Mr Scott]

Does the hon. Gentleman agree that it is a deeper issue than whether pedicabs represent competition, because they are also a danger to members of the public? They are dangerous vehicles whose drivers are unlicensed and seem able to do what they want, when they want, and to charge what they want. It is not about competition, but safety.

[John McDonnell]

There is unfair competition because pedicabs do not have to comply with the legislation that applies to taxis. Fitness for taxi drivers is not about physical fitness, although I am sure they are a strong body of men and women who could compare with any pedicab driver. It is about not having criminal convictions, for example, so that people who step in a London taxi can feel safe and secure. There is no vetting of pedicab, or rickshaw, drivers in that sense. There is a strict safety regime for black cabs in London, but no such regime for pedicabs. The hon. Member for Ilford North (Mr Scott) is right. The more pedicabs are allowed to continue to ply their trade on the streets of London, the more Londoners are at risk. That is why the RMT objected to the proposals in the Bill, which do not provide details of any licensing scheme that would address those issues.

The last time this matter was raised in legislation, the Opposed Bill Committee cited the Department for Transport’s concerns about pedicabs, such as the lack of any safety regime, the impossibility of identifying the owners of the pedicabs, issues over insurance and the fitness of the characters who are operating the pedicabs. The provision was thrown out by the Opposed Bill Committee on the basis that it failed to comply with any of the Department for Transport’s recommendations about the form of the licensing regime that should be introduced.

We are now left with a situation in which clause 17 has been withdrawn and there is to be a discussion with the pedicab industry. I have no idea who that will involve. We have heard about Bugbugs, but we have no idea how representative that company is of the trade. Quite honestly, it could be a group of gangmasters who hire people on cheap work rates, requiring no form of qualifications and no vetting. After the discussion with the industry, a voluntary scheme will be introduced that will be regulated on a voluntary basis.

[Stephen Pound]

My hon. Friend has mentioned the view of the RMT, which I respect profoundly. The Licensed Taxi Drivers Association also has a firm view about this matter. One of its objections is that these death-trap rickshaws tout for business. I wonder whether my hon. Friend has considered that. They slow down outside theatres and other places of entertainment, touting for business and negotiating prices. That is not illegal according to the Metropolitan police. We cannot simply leave the situation in limbo, because in an hour, throughout the west end, this will happen tonight. Does he agree that action needs to be taken urgently?

[John McDonnell]

That is exactly the point. Clause 17 is being removed from the Bill because it is not satisfactory. It does not address the issues that were pointed out to the promoters by the Department for Transport and the Opposed Bill Committee of this House. We are now faced with a free-for-all out there on the streets of London, where there are vehicles that comply with none of the legislation that licenses and authorises every other vehicle on our roads. I find that unsatisfactory. It leaves Londoners at risk.

No commitments have been given on how the voluntary arrangements will be devised or who will be consulted. Will all the petitioners against the licensing clause in the Bill be consulted? Will they be engaged in drafting the voluntary registration and regulation scheme? Will there be a wider consultation with the general public? How will the consultation take place and over what period? How long will self-regulation be allowed to operate before the Government decide whether to move to a full licensing regime? None of that has been made clear by the promoters of the Bill.

Like other hon. Members, I find this situation unacceptable. We have been discussing this matter since 2003. Nine years on, we still have no licensing regime and no concept of how the self-regulation regime will be developed and consulted on, how it will be tested, what criteria it will be tested against and when the House will address the issue again.

[Mr Chope]

The hon. Gentleman is making an interesting speech. Roughly how many pedicabs are there on the streets of London, how many people use them, and what contribution do they make to the economy of London?

[John McDonnell]

Apart from there being too many, as I heard one hon. Member say from a sedentary position, nobody knows how many pedicabs there are, how many people are involved in the industry, how many companies or operations there are, or how many passengers there are. Also, nobody knows how many complaints have been made against the operation of these rickshaws. All we know is that when proposals have been made to discuss pedicabs and their regulation, a considerable amount of concern has been expressed about their operation and about how they should be regulated, if they are to be allowed to continue at all.

There is now strong concern and we are in the worst of all worlds. There is a free for all with no regulation, no licensing and no understanding of how voluntary regulation will work. These pedicabs are out there operating and it is making people vulnerable. There is growing concern and anger not just among taxi drivers but among other road users in the centre of London about the unrestrained way in which pedicab operators work—not only how they pedal through the streets but how they park and clutter up the streets. In some ways, they also affect west end businesses. As much as they say they benefit businesses in the west end and passengers travelling around the area, the more they clutter the streets the more they impede business.

I am pleased that the clause on pedicabs is being withdrawn, but the Government need to take action either to close down pedicab operations, because of the real concern about their safety, or to bring forward a proper licensing and regulation regime. If such a regime is introduced, it should be no less stringent than the one on the black cab trade in London; otherwise, it will undermine fair competition.

I have read into the record the intended withdrawal of clause 17, and if the promoters of the Bill are now going to enter into discussions about self-regulation, I urge them to contact all Members who have expressed concerns about the operation of pedicabs and engage us in a full consultation. In that way, we might find a way forward. After all these years, I would have hoped that the promoters had learned some lessons about how to legislate properly rather than continuing in the same way.

--- Later in debate ---

[John McDonnell]

The RMT is an expanding union, and Bob Crow is not averse to recruiting new members. However, there is fundamental concern that pedicabs are increasingly proving an unsafe mode of transport in our city centre. It is a matter of principle for the RMT.

[Mr Nuttall]

I am sure it is, and I can understand that if I were a taxi driver I would be concerned about the matter. However, I am looking at it from the public’s point of view. Do hon. Members who represent London constituencies find themselves inundated by complaints at their surgeries from people who have suffered overcharging or unsatisfactory service by pedicab drivers? If there had been anything more serious than that, it would no doubt have been dealt with by the police.

It occurs to me that if this problem—if it is a problem—were to be dealt with just in the area covered by the 33 London authorities, there is a danger that pedicab drivers would relocate to Birmingham, Sheffield or Manchester, and we would have the same problem there. If there is a need for regulation, it should surely be proceeded with on a national basis.