Oral Answers to Questions

John Pugh Excerpts

Thursday 30th March 2017 Commons Chamber

[Andrew Jones]

Most certainly. I am acutely aware of the impact of cycling infrastructure on road safety. It is clearly part of our consideration. We hoped to launch our cycling and walking investment strategy last week, but for very obvious reasons there was a change to the timetable of Government announcements.

[John Pugh (Southport) (LD)]

Following on from that question, what plans does the Minister have to address the issue of cyclists ignoring not only traffic lights but pedestrian crossings? This has now become a major problem in central London.

[Andrew Jones]

That comes down to activity undertaken to enforce the rules and to educating cyclists about the importance of following road safety directions. I am aware of cyclists who go through red lights. It is unsafe. It is part of our THINK! education campaign to help cyclists to know what is good behaviour on our roads.

Bus Services Bill [Lords]

John Pugh Excerpts

3rd reading: House of Commons & Report stage: House of Commons
Monday 27th March 2017 Commons Chamber

[Graham Stringer (Blackley and Broughton) (Lab)]

I support the amendment and want to reflect the huge consensus in Committee on this issue. We divided on a number of matters, but it was a relaxed Committee and the Minister gave reasoned answers. The Bill represents a first step towards a change in attitude to buses. It was brought about following negotiations between the then Chancellor of the Exchequer and various metropolitan areas. A deal was reached whereby elected mayors could re-regulate bus services. I hope that this is just the first step.

I ask the Minister to reflect on this issue in a developing situation. The new Prime Minister has brought in an industrial strategy, and there is a strategy for the railways, as has been mentioned, as well as a strategy for aviation. It is rightly difficult to think of areas where large amounts of public money are spent where it is not the responsibility and the right of the Government and elected representatives to define the objectives that that public money should provide.

[John Pugh (Southport) (LD)]

The hon. Gentleman mentioned a connection between directly elected mayors and bus deregulation. Does he see any logical or sensible connection between the two? Is there any reason why the two should go hand in hand?

[Graham Stringer]

It was a pragmatic decision taken by the then Chancellor and the combined authorities in metropolitan areas. There is obviously no rational basis for deciding to have a different bus system in Greater Manchester from that in Southampton, for example. What would be the rationale for that? Clearly, there is none.

The point I was making is that, having taken the first step—not necessarily consistently, but in a sensible way in the metropolitan areas—it is right to look for a strategy that would help us to get rid of a relic of ideological Thatcherism from the early 1980s, which was seen in the Transport Act 1985 that deregulated buses. What the absence of strategy says is that we do not care how many millions of pounds have gone into the bus industry since 1986 when the 1985 Act came into force. I do not know, but I would have thought that over 31 years we are talking about a large chunk out of £100 billion being spent without any policy direction at all over that spending.

What we have been left with is a rather sterile debate. On the one side it is said that buses are declining and they would have declined in any case over this period. On the other side, there are those who think that that decline was not necessary. They say that without on-road competition, which has failed, with better competition at the tender stage and with a clearer decision on what bus services were needed and what fares should be charged, we would not have lost so many bus routes and bus passengers as we have. Not having a strategy over the last 31 years is saying that it does not matter that two thirds of bus passengers have disappeared in Greater Manchester and that bus fares have gone up considerably more than the rate of inflation. But these things do matter.

As both the right hon. Member for Basingstoke (Mrs Miller) and my hon. Friend the Member for Cambridge (Daniel Zeichner) have said, the vast majority of the people we represent, particularly the poorer people who do not have access to a car, rely on buses to get to work, to get to a hospital and to see relatives at weekends, but after deregulation, many of those bus routes no longer existed. How could we not have a strategy in view of that? How could we abandon those people?

--- Later in debate ---

[Huw Merriman]

The right hon. Gentleman is absolutely right. Anything that can be done to get young people on to the buses so that they stay on the buses has much to recommend it. I am also conscious that subsection (2) of new clause 1 refers to “consideration” of a reduced fare scheme, as, indeed, do the points I am talking to. So perhaps a mission for Government should be that money that can be saved, or perhaps reinvested, could go towards this measure, which I believe would help young people and social mobility.

[John Pugh]

I rise to speak in support of new clauses 2 and 3 in my name and also new clause 1.

Both my new clauses are basically about coherence; neither is about dictating to local authorities, as was mischievously suggested by the Secretary of State on Second Reading. I am not trying to dictate to local authorities what they should do. Both of them are also obviously about concessionary travel for young people, which has been a thorny issue throughout the passage of this Bill.

Support for young people’s transport is variable, as the hon. Member for Bexhill and Battle (Huw Merriman) said, and worsening. Since 2008, 50,000 16 to 18-year-olds have had free transport withdrawn—a 42% drop, I believe. Two thirds of local authorities no longer provide free transport to 16 to 18-year-olds, and the price of bus passes for 16 to 18-year-olds varies incredibly across the country, ranging from £230 to more than £1,000. The number of transport authorities offering concessions right across their area has dropped since 2010 from 29 to 16, and 10 authorities have no arrangements that benefit the older age groups. The roll of shame of authorities that do not offer any concessionary fares for young people comprises Cheshire West and Chester, Halton, Warrington, Lincolnshire, Nottingham, Peterborough, Bracknell Forest, Oxfordshire, Portsmouth and Slough.

The situation is hardly good and the impacts are fairly obvious. The hon. Gentleman mentioned the impact on educational progress. According to the Association of Colleges, a fifth of students consider dropping out during their course, and often the reason is transport costs or, if the cost is not foremost in their mind, transport difficulties. There is an impact on students: a survey by the National Union of Students shows that two thirds of further education students pay more than £30 a week for transport—a lot of money for a young person. There is a clear impact on traffic congestion and pollution—the hon. Gentleman mentioned that, too—as more young people get a car, perhaps sooner than they should, or rely on parental transport, which affects congestion at all the wrong times in most towns. There is also an impact on educational choice—I emphasise the hon. Gentleman’s point that the worst affected are probably residents of rural areas and poorer students generally.

Within the system are clear anomalies that need to be resolved. We raised the age of compulsory education, but local authority transport obligations remain very much as they were.

[Andy Burnham]

I agree with everything the hon. Gentleman says about the withdrawal of concessionary support for young people, but does he concede that the withdrawal of the education maintenance allowance under the coalition Government made the problems for young people much worse?

[John Pugh]

The right hon. Gentleman might be surprised to learn that EMA was mentioned in my notes, but for some reason I omitted to mention it just then. He has drawn attention to it, and I dare say it was a factor.

Another anomaly in the system—this is where new clause 2 comes into its own—is that while we all accord parity of esteem as between the academic route and the technical route, and the apprenticeship route is now being sold fervently by almost all Government Members, apprentices do not really get a look in: an apprentice aged 16 to 18 gets a bare £4 minimum wage. We want to make the apprenticeship route more attractive, and there is some evidence that where schemes are introduced, they are highly successful. Anecdotal evidence suggests that the MyTicket scheme in Liverpool city region improved attendance quite appreciably. Developing transport in line with the apprenticeship system is very much a part of the city region agenda, which the hon. Member for Blackley and Broughton (Graham Stringer) touched.

The aim of my new clauses is relatively modest. They would not change the character of the Bill, which I broadly support. Essentially, they oblige local authorities to take a broader view of the environmental and educational impacts of transport policy.

[Lilian Greenwood (Nottingham South) (Lab)]

Does the hon. Gentleman share my concern that while the Government make huge cuts to local authority funding, even where authorities want to provide concessionary fares they are in many cases being forced to withdraw them? We heard evidence to that effect from Nexus, which said that, as much as it would like to support young people, the point was being reached in the north-east where it would no longer be able to do so.

[John Pugh]

Desperate times call for desperate remedies, and the financial situation in most local authorities at this moment is desperate, as is evident from the Audit Commission’s recent study of local authorities’ financial sustainability. Whether the Government accept that point or not, I think they will accept that there is a case for joined-up policy. The Government need to link the apprenticeship opportunity agenda with real-time transport problems and impacts. That is where new clause 2 comes into its own, and if I am supported, I will happily press it to a vote unless the Minister can assure me that all these things are within his frame of reference for the moment.

Vehicle Technology and Aviation Bill

John Pugh Excerpts

2nd reading: House of Commons & Carry-over motion: House of Commons & Programme motion: House of Commons & Ways and Means resolution: House of Commons
Monday 6th March 2017 Commons Chamber

[Chris Grayling]

I am aware of that issue. I am happy to give my hon. Friend such an assurance and to discuss the issue with her.

[John Pugh (Southport) (LD)]

I want to probe the Secretary of State on this business about autonomous vehicles and the responsibility of the passenger—or the driver, who is I suppose a passenger in this respect—while the vehicle is in autonomous mode. When the driver is not in control of the vehicle and the vehicle is in autonomous mode, is the driver exonerated of all legal responsibility? Is that the principle of the Bill, because surely it cannot be as simple as that?

[Chris Grayling]

The measures focus on insurance. If the vehicle is under its own control, the insurance principle is still applicable. If the insurance policy applies to the driver and the driver is not driving the vehicle, by definition the driver cannot be at fault. Under the provisions in the Bill, it will be possible to have an insurance policy that covers both eventualities of something going wrong: when the driver is driving; and when the vehicle is in autonomous mode. That is one of the key changes necessary to create an environment in which such vehicles can operate freely on the roads.

--- Later in debate ---

[John Pugh (Southport) (LD)]

This modest Bill is clearly uncontentious. It seeks to adjust legislation to new technology, but from the red flag Acts onwards the House of Commons has not been great on anticipating either the potential or pitfalls of technological advance. Victorian Members used to fulminate against the railways, on the grounds that they led to revolution and moral torpor. In truth, it would have been hard for those Members to have anticipated the astounding success of the internal combustion engine, and the huge behavioural, commercial and social change that flowed from it.

Cars are potential killing machines driven by millions of people, of a variety of dispositions and intelligences. The fact that the car does not simply create havoc is due to intelligent legislation which has evolved over time. As I am sure the Minister would agree, it is always better to have legislation in place before we get to the problems, rather than after. I apologise if at this point I sound like a petrol head—the hon. Member for Wycombe (Mr Baker) has confessed to being one and I must, too—but I am sure that we have not quite sized up all the problems relating to these new cars and new technologies. Indeed, we probably cannot do so. I recognise that autonomous cars and electric cars exist as developed technologies and will only improve, and that we already have satisfactory transport in the sky and on the rails which is almost autonomous. We also know, and we all agree, that human error is the principal cause of accidents. However, successfully trialling a few vehicles on an open road in California or in dedicated areas in the UK does not enable us to figure out, in any easy way, the consequences of their mass adoption, especially within a heavily congested network with a mixed ecology of driven and autonomous vehicles. Sure, we need to get insurance for those that exist and charging capacity for electrics, but what will mass roll-out look like? What desirable and undesirable behavioural changes will result?

I am sceptical about the mass adoption of electric vehicles, which may be a strange thing for a Liberal Democrat to say, as the party has always been massively enthusiastic on this score. However, there are big implications for the grid; for greenhouse emissions, as this depends on how we actually generate the electricity and how clean that is; for the streetscape and for planning authorities; for the world’s resources, given all these batteries which, to some extent, use rare elements; and for the second-hand market, which is not doing so well in electric vehicles, and on which I heavily depend.

[Tom Tugendhat]

The hon. Gentleman is making a fine speech, from a luddite perspective. I appreciate that he was instrumental in passing the red flag Acts through this House in the early 1900s, but surely he can see the liberation of resources and of planning-scape, the reduction of the impact of the vehicle and the liberation of the citizen that all that can bring.

[John Pugh]

Not necessarily, but I did listen to the hon. Gentleman talking about the Deputy Speaker’s voyage to the airport and saying that he would not need to leave his car in the car park. The hon. Gentleman was looking on the positive side, but we can also look at the negative side: the Deputy Speaker’s car has had to travel back to parts of Lancashire and then come out to get him again, so he has filled up the road more. We can spin these things either way.

[Tom Tugendhat]

I am terribly grateful that the hon. Gentleman is giving me the opportunity to reply, but he is assuming a level of ownership of today’s vehicle that is simply not relevant. If one looks at a vehicle as a means of transportation and sees it more in the form of a train, one sees that Mr Deputy Speaker uses a vehicle to get him to the airport and then gets out and gets on his plane, and somebody else gets in the vehicle and goes all the way back to Lancashire. Lucky Lancashire, to have spared the use of two cars.

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

The good thing is that I do not have a plane, either.

[John Pugh]

We invented the train some time ago; there are trains available, even in Lancashire. My fundamental point is that electric vehicles are probably a less flexible technology than either the internal combustion engine or the hydrogen fuel cell, and the technology is wholly inapplicable in the case of heavy goods vehicles, in which they surely do not have much of a place. Even if I am wrong about that, there are some legislative problems if we anticipate a silent city of electric vehicles moving about at pace and the hazards that that may present for pedestrian safety.

What would prevent drivers of ordinary cars from bullying autonomous vehicles in the knowledge that they must give way? They might cut out at junctions, as I believe they already intend to do. What responsibility does a driver or owner have when he initiates a journey? He may be tempted to plan a journey much longer or more hazardous—for example, at night—than he previously might have done, or more frequently than if he had to drive himself. Would he have to nominate a co-pilot, and what would be the safety protocols there? Can the roads cope with possible additional vehicle use? People have anticipated elderly people who had given up using their cars returning to them, and the use of cars by disabled people becoming far more common.

[Stewart Malcolm McDonald]

I fear the hon. Gentleman sounds as though he would have argued, when the lightbulb was invented, that candle makers would be put out of business. I hear a lot of negatives, some of which I accept are entirely valid concerns, but can he enlighten us as to the Liberal Democrats’ vision for this new, innovative technology, on which we cannot be left behind?

[John Pugh]

I am presenting my personal observations. The hon. Gentleman has acknowledged that there are problems and I am simply alluding to them.

[Alan Brown]

Did the hon. Gentleman not make the case for autonomous vehicles when he talked about people potentially making long-distance journeys when they are tired? The whole problem with drivers at the moment is that they fall asleep at the wheel and lose concentration. Autonomous vehicles must be an improvement on that.

[John Pugh]

We are just looking at different sides of the same problems. It is quite obvious that people will not get tired in autonomous vehicles in the same way, but they will then perhaps make longer journeys than they otherwise might have. Both points remain valid.

If people are going to go along the motorways in convoy and at the right speed all the time, have we not considered the thought that everybody could get into the same vehicle? Have we not, through a back door, invented the bus all over again?

There are imponderables from a manufacturers’ side. It is easy enough to insist on technology that does not let people drive if it is unsafe, but once they are on the road, vehicle failure midstream is always a possibility, even if the software is up to date. There might be unexpected damage to sensors or equipment because of conditions such as bad weather or through accidental damage. In responding to a change of circumstance mid-journey, at what point is it the driver’s responsibility? If road signals fail, road markings are obscured or traffic is unexpectedly redirected in a haphazard fashion, at what point does the manufacturer, the council or the passenger take the blame should an accident occur?

We can leave out all the hypothetical moral dilemmas involving nuns or how a vehicle would distinguish between a black bin bag waving and a child frozen in terror when collision is inevitable. Machines would make different calculations, and I am sure there would be solutions. I suspect that with the development of artificial intelligence, machines will better reflect our moral preferences and become smarter. The other day, I was torturing myself by thinking about what would happen if two autonomous vehicles met on a single road, on which one could not pass the other, and one had to give way but both systems predicted that the other would. One would have a sort of parallel to the Balaam’s ass dilemma.

The Bill is a modest attempt to tackle the issues I have outlined. The pious hope behind it is that the tricky issues will eventually be ironed out in court. But courts can operate only within the law they have, and my expectation is that technology will move faster than the law and we will be back here soon.

Bus Services Bill [Lords]

John Pugh Excerpts

2nd reading: House of Commons
Wednesday 1st March 2017 Commons Chamber

[Chris Grayling]

My hon. Friend is right, but the interesting thing about Cornwall is that it is proceeding without seeking to use those powers, precisely because it has forged a better and stronger partnership with the local bus companies, which are already enhancing those services. That is my point. We are not seeking particular structures in particular places. We are seeking to ensure that we provide the best possible services for passengers around the country. Cornwall is already doing a very good job of that.

[John Pugh (Southport) (LD)]

rose—

[Chris Grayling]

I will give way one more time and then make a good deal of progress, because other hon. Members wish to speak.

[John Pugh]

The Bill will do all sorts of good things, but it conspicuously fails to do anything for young people’s travel or mandate local authorities to consider it. Why not?

[Chris Grayling]

It is somewhat ironic that the hon. Gentleman, whose party has always argued for localism, argues for centralisation of something that I believe should be a local decision. That is a matter for local decision making and local priorities. I have no doubt that Southport Council will take wise decisions about what is best for that town, as will others around the country.

As I said, the franchising powers are not entirely new—they have been available in London for many years—but are being refreshed. Franchising enables local authorities to specify the services that should be provided to local communities, with bus companies competing for contracts to provide those services. Local authorities that implement franchising will have more influence on where and when services run, but they will remain commercial operations, with the private sector providing those services.

That is what happens in London. The deregulation of the London bus market took place in the 1980s, but took a path different from the market outside London. Competitive tendering in London was introduced in 1985, and privatisation of the bus companies took place in the mid-1990s. That has evolved into a network with almost 2.3 billion passenger journeys a year. Those powers are being extended to other Mayors in other parts of the country, to give them the opportunity to operate in the same way as London. The Bill therefore provides for the Government’s intention for all combined authorities with elected Mayors to have automatic access to franchising powers.

--- Later in debate ---

[Andy McDonald]

I could not agree more with my hon. Friend. If this is to mean anything, making this happen in reality must be a smooth and quick process rather than a long and protracted one.

The rationale behind deregulation was that turning services over to the market would give the customer the final say; companies would compete and, as a consequence, would better cater their services to passengers. In theory, it is a competitive market, but in reality most bus services are provided by five large companies that avoid competing against each other. Since deregulation, bus use in metropolitan areas has decreased by a half and in non-metropolitan areas by a fifth. Meanwhile, in London, where buses were not deregulated, bus journeys have increased by 227%, mileage has increased by 74% and London journeys now outnumber bus journeys in the rest of England, while fare increases have been lower than in the city regions.

[John Pugh]

In London, a lot more schoolchildren use buses. Does the hon. Gentleman believe that more could be done in the context of this Bill to encourage youth to use buses?

[Andy McDonald]

I would always want to see our young people encouraged to use our bus services. I was somewhat disappointed when I heard what the Secretary of State said about young people and their access to buses. He might want to reflect on that as the Bill proceeds.

--- Later in debate ---

[Graham Stringer (Blackley and Broughton) (Lab)]

It is worth going through a little history to put the Bill into perspective. Although I support this Bill, there is one real sense in which I, as Labour MP, think it is not necessary. The fact is that since the Transport Act 1985 was implemented in 1986, virtually every Labour Member has seen it as a catastrophic failure for people who use buses. It saddens me that a Labour Government did not bring forward a better Act than the Bill before us now. However, the Government have brought this Bill before us, and it is worth supporting.

Given what the Secretary of State said about reversing the Lords amendments, it is worth remembering why we have this Bill at all. It came about because the then Chancellor, the right hon. Member for Tatton (Mr Osborne), had discussions with the chief executive of Manchester City Council, Sir Howard Bernstein, who retires this month and to whom we should all pay tribute for progressing this item, which will undoubtedly improve buses. The then Chancellor recognised what many of us had been saying for some time—that this country would be much better off economically if we made our major cities work, rather than depriving them of resources and of allowing them to run their transport system in favour of the economy and people who live in the area. Sir Howard Bernstein and Sir Richard Leese persuaded the then Chancellor, and we now have this Bill before us.

It was always an ideological position of the Conservative party, as we heard from the right hon. Member for Chipping Norton, that it wanted a complete free-market approach to buses. However, the Government conceded that they would allow reregulation if combined local authorities agreed to have an elected mayor. That negotiation was entered into and agreed. One has to bear that in mind when the Government say that they will reverse the Lords amendments. I agree with that in principle, but I would not like to lose the Bill, given that a negotiation happened and an agreement was put in place between local authorities and the Government that will improve life for many people I represent and for many in mayoral combined authority areas.

I will go through two major issues. First, the right hon. Member for Chipping Norton gave the argument for the exceptionalism of London or, to put it another way, “It’s okay for us in London. You lot can get on with it.” [Hon. Members: “ Chipping Barnet.”] I am sorry; if the right hon. Member for Chipping Barnet (Mrs Villiers) were in her place, I would apologise to her. She put forward three arguments as to why London should have something that the rest of us cannot. One was that it would bring uncertainty to the bus companies. Well, there would probably be a bit of uncertainty for the bus companies, as they will have to compete in a different way to run services, but my prime interest and concern is for the passengers who, for the past 31 years under the deregulation Act, have only had six weeks’ notice—in practice, sometimes less—of bus services being withdrawn. Part of the Bill takes some of that uncertainty away from passengers, so that argument does not stand up, particularly if our priority is the passengers.

To be completely straightforward, I did not understand the right hon. Lady’s second point, which was about the renationalisation of the buses. The Bill is not about renationalising the buses. It is primarily about reregulation in metropolitan areas. Although I accept the deal, and allowing local authorities to set up municipal bus companies was not part of that deal, I do not think it would do any harm for local authorities that saw the need for it to have the right to set up municipal bus companies, particularly if the private sector moves out, as it has threatened to do on a number of occasions if the Bill goes through.

The right hon. Lady’s third point was about the finance that goes into London from the congestion charge. The really important thing is that there was a period between 1986 and 2000, when Ken Livingstone won the London mayoralty, when there was effectively no subsidy. There was certainly no congestion charge for there to have been subsidy. There was no loss of bus passengers in Greater London over that period, whereas the number of bus passengers plummeted in the west midlands, Merseyside, Tyne and Wear, and Bristol. The figures fell by two thirds in South Yorkshire and by half in Manchester, but without the subsidy from the congestion charge, the passenger figures in London remained the same. The arguments of the right hon. Member for Chipping Barnet against this Bill do not stack up.

It is worth taking a deeper look at how the deregulation has worked, why it does not work and the flaw in the arguments in support of it, for those who still support deregulation. When the legislation was introduced—incidentally, I have sadly been around long enough to have campaigned against the introduction of the 1985 Act—the argument was that competition would improve the bus services because bus services were run by municipal authorities that had monopolies and were not providing the best possible service. I do not believe, as the Opposition have been accused of believing, that that was a completely utopian, golden age. It was not; there were flaws. Many bus routes in South Yorkshire, which my hon. Friend the Member for Sheffield South East (Mr Betts) talked about, and in Greater Manchester and Merseyside, were still running on the schedules and timetables of the old tram system. They did not respond quickly enough to the changes in population after slum clearance. There were faults, but there were night services, people could get across the conurbations to see their parents on Saturdays and Sundays because there were bus services, and people could get to work early in the morning or home late at night after shifts. All that has disappeared. So, no, it was not a golden age, but it was a much better service than is being provided by the private sector.

It is important to understand why the competition that was supposed to deliver has not worked, and it has not worked for two reasons. Where there was severe competition, as there was in south Manchester, Preston, Edinburgh and other places, bus companies went head to head and really had a go at trying to run the other bus company off the road. Those places got not a better service, but terrible congestion. City centres were blocked up. The system did not work where there was severe competition, but that was very rare. The Competition Commission did a study in 2011, finding that there was virtually no on-the-road competition. Supplementary evidence shows that there was very little competition because companies in the London system—as much as the bus companies’ accounts can be understood—were getting a much lower rate of return on their capital than companies elsewhere, although it still enabled them to invest in new buses.

[John Pugh]

Does the hon. Gentleman agree that there is also a myth about deregulation meaning the introduction of the private sector? There were many splendid private sector operators in Liverpool prior to deregulation, such as Crosville and Ribble, which existed alongside the municipal sector.

[Graham Stringer]

The hon. Gentleman is quite right about Merseyside. In Manchester, Mayne Coaches ran a service in the private sector, but it was regulated; it could not just—as happens under the deregulated system—decide to run a bus service one day and take it off six weeks later, or vice versa. So the issue is not privatisation but the lack of regulation.

The point I was getting to is that there is supplementary evidence that competition did not work. The rate of return in London was much lower, and FirstGroup moved out of the London market because it could make a much higher return in South Yorkshire and Greater Manchester.

Ultra Low Emissions Vehicles

John Pugh Excerpts

Wednesday 1st February 2017 Westminster Hall

[John Pugh (Southport) (LD)]

I thank the hon. Member for South West Bedfordshire (Andrew Selous), who introduced the debate, for the opportunity to talk about something apart from Brexit for once.

When we talk about this subject in Transport questions, I often intervene. I do not know whether the Minister has noticed, but I sound a slightly sceptical note, simply because I am not wholly convinced of the case for electric cars. The roll-out is slow, the product is expensive and there are a lot of long-term uncertainties, including maintenance—when a car is no longer to be seen by the franchise dealer but goes to the local garage—and supply issues. The hon. Member for Wells (James Heappey) alluded to the difficulty of getting the grid and supply of electricity right and ensuring that not everyone in London goes home at 6 o’clock and plugs in electric cars at the same time.

There is also the issue of exactly how the electricity is generated. The Chinese are indeed making lots of electric cars, but they are building a lot of coal-fired power stations as well. Furthermore, a degree of optimism bias exists in the business with regard to where battery technology will take us, so the absence of much consumer confidence means that most people prefer a hybrid car to an electric- only one. There is also a lack of clarity about what success would look like when we are all driving electric cars. The vision was partly sketched by the hon. Member for Wells, but I do not think that we are at all clear.

The one point that I want to make is that at one time the Department used to express itself as being technology-neutral, but—probably under the influence of Liberal Democrat Transport Ministers as much as anything else —we started to talk almost exclusively about electric cars. Many other viable alternatives are around, such as hydrogen cars, which are being developed by Honda and Toyota. I believe that the Metropolitan police are thinking of ordering some, and I have driven in one. Hydrogen cars fuel up much more quickly than electric cars, a charging-point structure is not needed and the costs have been coming down. They are a very viable alternative.

Other alternatives are already around, and they are what I might describe as under-supported—for example, liquefied petroleum gas. I do not want to be a spokesman for petrolheads, but the LPG infrastructure is already there. Manufacturing capacity is already in place at Ellesmere Port, where we make LPG for export. We rarely incentivise it appropriately—someone will get £10 off in tax each year, which is a minimal incentive. There is little benefit to drivers from converting, unless they hang on to the car for a very long time. The duty on LPG, as opposed to straightforward petrol, is uncertain.

There is one big problem with electric cars that fuel cells, or even hydrogen fuel cells, will not cut into effectively. At the moment, if we put a battery big enough into a lorry to drive it and let it do what it has to do, that is basically the payload of the lorry. Lorry drivers will not be driving electric vehicles any time soon, so we need to incentivise them to use the cleanest possible fuel—and that is not diesel.

Oral Answers to Questions

John Pugh Excerpts

Thursday 12th January 2017 Commons Chamber

[Mr Hayes]

Indeed. Was it not Ronald Reagan who said that the future does not belong to the fainthearted? We must be big-hearted and far-sighted in respect of electric vehicles, and that does mean more charging points. We will create a regulatory regime sufficient to provide those charging points and, therefore, to assuage the public doubts to which my hon. Friend has drawn the House’s attention.

[John Pugh (Southport) (LD)]

Despite all the inducements, only 3% of new car sales are of electric cars. Should the Minister be doing more to encourage liquefied petroleum gas switching or hydrogen fuel cell cars?

[Mr Hayes]

The hon. Gentleman will know about our Go Ultra Low campaign, which is match funded by industry, and which is designed to encourage the kind of learning he described. We need to persuade people that that switching is desirable. It is partly about charging points, partly about battery reliability and partly about people simply knowing that electric vehicles can be good for them. We will continue that campaign in exactly the spirit he recommends.

Oral Answers to Questions

John Pugh Excerpts

Thursday 17th November 2016 Commons Chamber

[Mr Speaker]

I think that we can agree that Disraeli did not drive a Nissan.

[John Pugh (Southport) (LD)]

Sorry to break the consensus, but is there not a danger of the Government putting too much emphasis on electric vehicles and not enough on liquefied petroleum gas and hydrogen cells, which do not require the same level of infrastructure?

[Mr Hayes]

The hon. Gentleman is right that technology is changing in all kinds of ways, and there will be all kinds of results from that in respect of the zero emission ambition that I set out. The electric vehicle developments that I described, and to which the hon. Gentleman referred, are important. The Government’s role is to make sure that we do what we can to make them as attractive to consumers as possible. Charge points are at the heart of that.

Oral Answers to Questions

John Pugh Excerpts

Thursday 28th April 2016 Commons Chamber

[Claire Perry]

I think that that is Humberside for a wiggle, Mr Speaker. Rail North and I completely share the hon. Lady’s enthusiasm for faster and better rail journeys for her constituents, which is why the new franchise that we let last year will give her constituents brand-new trains—bye-bye, Pacers!—more services and more direct connections. Hull is getting £1.4 million for its station in time for the city to take pride of place as the UK city of culture 2017. She should be pleased with that record.

[John Pugh (Southport) (LD)]

The Southport to Manchester line has been prioritised for electrification, but we might lose our direct link to south Manchester and the airport through Piccadilly. Why is that happening, and how does it constitute progress?

[Claire Perry]

The hon. Gentleman has raised a service question that I am not across, but I will get back to him.

Transport Infrastructure: Lancashire

John Pugh Excerpts

Tuesday 15th March 2016 Westminster Hall

[John Pugh (Southport) (LD)]

I congratulate the hon. Member for South Ribble (Seema Kennedy) on securing this debate. I often travel through her constituency, paying particular attention to the speed cameras in Penwortham that regularly trap an awful lot of my constituents.

The hon. Lady and I represent the same corner of Lancs. I am tempted to call it a forgotten corner because its priorities are masked by the greater priorities of and the vocabulary surrounding the city regions—Manchester, Liverpool and so on, which are part of the northern powerhouse. Laudable though such a city-focused agenda is, it risks neglecting the periphery—the areas that are not plum centre in the city regions.

I question the use of the word “periphery” in referring to this area, particularly when it is applied to the hon. Lady’s constituency and mine. A recent report pointed out that, although there are a number of thriving city regions in Lancashire—the triangle of Manchester, Liverpool and Preston—their connectivity has an important missing piece, which is a good direct rail link between Preston and Liverpool. Such a link would go through Southport, of course. It is a relatively small part of Lancashire, and its omission is to be regretted. That certainly was not the case before Beeching.

Why has that area been omitted? I have an explanation, which I hope the Minister will take in the spirit in which it is intended. There are several transport authorities in the area. Manchester has a very big, powerful one—the Transport for Greater Manchester Committee; Liverpool has the Merseytravel Committee; and then there is Lancashire, which is the problem. It is a two-tier system, and Lancashire is a very diffuse authority—it is broken and fragmented with many priorities lying elsewhere—so things get strangely omitted.

Take, for example, the Burscough curves, which I have spoken about in Westminster Hall previously. Outside the hon. Lady’s constituency and mine, there are two stations in the thriving and expanding town of Burscough that are literally half a mile apart. They could be joined together by a piece of track, and there is certainly the capacity to do that. That proposal, which is supported by the Ormkirk, Preston and Southport Travellers Association, the organisation that the hon. Lady said helped her prepare for the debate, would link Manchester with Wigan, Bolton and Preston, and connect the Merseyrail network to the wider rail network. It would be an easy, very quick win and could be funded from the tea money from Crossrail or another big project. If those stations were anywhere but that particular corner of the north west, it would have been done. Were they in London, it would have been done 50 or 60 years ago, but it has not happened. It is a project that could be completed for a very small sum of money. It is, incidentally, going to be looked into as a feasibility prospect by the new franchiser for the northern franchise, Arriva.

There has been a lot of rhetoric about connectivity in connection with the northern powerhouse, but my constituency is very unfortunate because it will lose a connection to Manchester airport and the south Manchester business district, where many of my constituents are employed; yet paradoxically we are in the city region. There is clear evidence that the city regions of Manchester and Liverpool will be worse connected. The bit that will be worst connected is the northernmost tip of the Merseyside city region. [Interruption.] The Minister is looking at his map carefully—it is Southport.

I have another example of how things can be overlooked. There was an electrification taskforce, which the Minister served very creditably and chaired. Using objective evidence, it came up with a number of proposals, and I was delighted to see that one of them was electrification of the Southport line. It is hard to fathom what will come out of that report. I am very unsure about what action will be taken on it.

Not a lot happens in that area, although there is a lot that could be done, which would benefit communities and be relatively low-cost, compared with some of the larger projects that seem to please the Government more. Part of the problem is that the boundaries of the various transport regions are not situated in a way that helps either the hon. Lady’s constituency or mine. We are at the intersection of a number of different transport authority areas. Part of the problem is that, particularly in Lancashire, we are grappling with a two-tier system. The priorities identified by the districts are not necessarily priorities for the transport authorities.

There is a forgotten Lancashire. This area is forgotten in the vocabulary and rhetoric surrounding the city regions. I suspect that there are forgotten areas of many counties right across the country. I am grateful to the hon. Lady for giving me the opportunity to ensure that this forgotten area is forefront in the Minister’s mind, if only for the fleeting 10 minutes that he takes to reply.

--- Later in debate ---

[John Pugh]

I concur with the hon. Gentleman’s views about Transport for the North, but is not the danger that the best prepared local authorities—by that I mean Manchester and Liverpool—knowing what they are going to do, will have disproportionate influence compared with other areas?

[Paul Maynard]

I thank the hon. Gentleman for that, because that is largely my point—Lancashire risks being left behind. Equally, the challenge of devolution is that the responsibility of local government in Lancashire is not to get left behind. It is hard for central Government to yank Lancashire into line; they need to enthuse and equip Lancashire, certainly, but the onus is on local government to ensure that it is playing its part.

I also want to touch briefly on another aspect of public transport infrastructure in Lancashire. The last time that I faced the Minister, it was on this point—I wanted to give him some good news for once, which is that thanks to his personal intervention, I suspect, Lancashire County Council performed a U-turn. My constituents who are residents of Cleveleys, who had lost their free access to the trams, have had it restored to them. Everyone in Cleveleys is absolutely delighted. Now, of course, we have the bun fight about who claims the credit. I hope that the shadow Minister, the hon. Member for Cambridge (Daniel Zeichner), will forgive me if I make a slightly partisan point, which I do not normally like to do in Westminster Hall, because it is often better to be edified here. It amuses me, however, to see the Labour party seeking to claim credit for the U-turn on a decision that it originally implemented.

Labour does not want to say that the price of the U-turn appears to have been a decimation of local bus services. My constituents might have had their NoWcard restored for use on the trams, but they do not have many buses left to get on. That is a real concern in Lancashire and, frankly, I am disappointed that more Members are not present to shout about it—not least because the county council itself does not seem to have a clue what is happening.

Every month, we get a helpful email with a little leaflet attached as a PDF document, announcing this month’s bus changes. It was a fascinating read this month, because it was saying, “We don’t really know what’s going on.” I read it and I had no idea what was going on; they have no idea what is going on. I have involved the county council’s chief executive. She has forwarded my email on somewhere deep into the bureaucracy of the county council and denies all knowledge of it—no one in Lancashire seems to have a clue about what is going on, least of all the date on which the precious NoWcard will be restored to all my constituents. It is an absolute shambles. I urge the Minister to try and persuade Lancashire to ensure that we, the representatives of the people of Lancashire, understand exactly what buses will run on 1 April, because at the moment no one has a clue.

Finally, I re-emphasise that we could all come here with long lists of desirable transport projects. I am grateful that the A585 will be improved at some future date—I hope that 2019 will be the start date—and for some of the other investments, not least the electrification of the main line into Blackpool. I could spend a whole separate debate discussing rail services from Blackpool, but I will spare hon. Members. However, I also urge that when we are comparing apples with apples, the new, devolved transport authorities need to ensure that they present further information to allow us to compare the relative benefits of different projects, all of which are highly appealing, but need to be judged against each other, like for like. That would aid the decision-making process and might also help to clarify what exactly Lancashire thinks its economic strategy might be in the future.

--- Later in debate ---

[Daniel Zeichner]

Thank you, Mr Pritchard. I am here very happily.

I have also listened closely to the other contributions to the debate, and I have consulted colleagues who know a little more about Lancashire than I do—I come from the east of England. I have heard worries from colleagues about cuts to bus services, as we have heard this afternoon, and about old recycled trains trundling along through east Lancashire. I must say that I have also heard talk of Chorley being given insufficient mention in transport plans, but my source will have to remain anonymous.

In January this year, the Lancashire enterprise partnership argued that connectivity, in Lancashire as elsewhere, is fundamental to maximising our growth potential. Sadly, however, Lancashire’s average economic performance is more than 20% below the national average, in terms of gross value added per resident. Clearly, in order to unlock and harness the economic power of Lancashire, we need far greater and more efficient delivery of promised projects to improve transport connectivity in the region than we have had so far—delivery, not just announcements.

The Secretary of State for Transport told us last week:

“I do not think I need to encourage the Chancellor on infrastructure spending. I have been incredibly successful in securing funding for infrastructure from the Chancellor, who certainly gets the importance of infrastructure investment, not least in the north. Indeed, it is his policy to pursue the northern powerhouse and to take forward transport for the north. That will have a transformative effect on transport between our northern cities and is something other parts of the country are looking to follow.”—[Official Report, 10 March 2016; Vol. 607, c. 424.]

The rhetoric is good, but the record is not so good. Despite the claims, the Government have a poor record on transport infrastructure. In 2010, they cut a huge £4 billion from the strategic road network, which created major uncertainty and saw existing schemes scrapped and delayed. Road maintenance budgets have fallen in real terms and we discovered recently that the much vaunted permanent pothole fund is yet to fill a pothole. We have bus passes preserved, but in too many cases there are no buses on which to use them, and manifesto promises to electrify key rail lines have been broken. Those are hardly the actions of a Government that certainly gets the importance of infrastructure investment.

Indeed, Britain is lagging behind other countries when it comes to delivering major projects. Embarrassingly, we are now 28th in the World Economic Forum rankings for infrastructure quality. We should be trailblazing for transport infrastructure, not trailing behind. The Government’s sluggish delivery of infrastructure projects in Lancashire aptly illustrates that failure.

In December 2014, nine new schemes to improve major roads in the north-west were announced, worth around £800 million. However, just one of those schemes has an updated cost estimate and that cost is careering out of control. Latest estimates on the Highways England website suggest that the M6 junction 19 improvements will cost between £192 million and £274 million, but in the “Road investment strategy: investment plan”, they were estimated to cost between just £25 million and £50 million. That single scheme is now projected to cost ten times as much as initially predicted.

What of the other eight schemes? When my hon. Friend the Member for Birmingham, Northfield (Richard Burden) asked a question last week requesting the latest cost estimates for schemes announced in 2014, the question—as so often—was ducked. Will the Minister give us an update on the delivery and projected cost of those schemes now? We worry that those announcements were little more than part of a pre-election stunt. Also, the numbers keep changing. A £15.2 billion road investment strategy was announced in December 2014, yet in the Office of Road and Rail’s first “Highways England Monitor”, a different figure of £11 billion emerged. We suggest that the Government have been announcing those road plans since July 2013 and we need some action to accompany the announcements.

Transport Focus has identified that, in the north-west, car and van drivers’ top priorities for major road improvements are improved quality of road surfaces, safer design and upkeep of roads and better management of roadworks. While in both 2013 and 2015 the Government committed £6 billion

“to resurface 80% of the SRN and keep our network in top condition”,

it was reported last month that Highways England will not meet that target. Will the Minister now tell us where the billions have vanished and which projects have had to be scrapped?

On rail, too, Lancashire and the north-west is being let down. Labour supports the extension of high-speed rail services. The Secretary of State for Transport has said of HS2:

“When we start the service from Birmingham, it will be possible to link with conventional rail routes, rather as high-speed trains currently run from St Pancras to Ashford and then beyond. I hope that the northern parts of the United Kingdom will be served by HS2 straightaway.”—[Official Report, 28 January 2016; Vol. 605, c. 394.]

Indeed, Lancashire local enterprise partnership is planning to modernise Preston station as part of its HS2 growth strategy in order to accommodate HS2 trains and to reduce journey times between Preston and London from the current 128 minutes to 77 minutes by 2033 after phase 2 of HS2 is complete, but, unfortunately, we are still waiting for Ministers to confirm the route and the station locations for HS2 north of Birmingham. We were told that the route for phase 2 of HS2 would be confirmed by the end of 2014, but the target has now been deferred for at least another two years. That lack of certainty is damaging for residents, damaging for potential investment and damaging for the Government’s credibility when they profess their commitment to HS2 in the north.

We are full of questions today and we have some more. How can Lancashire and other areas in the north-west plan to benefit from HS2 when its route and station locations have not yet been confirmed? Why has that confirmation been kicked into the long grass and why are the Government letting down the north by dragging their heels?

[John Pugh]

Does the hon. Gentleman accept that for many people who live in Lancashire—I know he does not, so he cannot be expected to know this—HS2 is a distant dream? The improvements they would most like are some ease of getting by train from, say, Preston to Liverpool, or anywhere in east Lancashire from the coast.

[Daniel Zeichner]

While I recognise that it may seem like a distant dream, as far as we are concerned it is certainly an improvement on the current situation and that is why we will continue to support it.

The Government also paused the trans-Pennine electrification last year; pausing seems to be a characteristic of this Government when what we actually need is fast-forward. Furthermore, after recommencing in September, completion of the whole Manchester to Leeds and York corridor was pushed back from 2019 to 2022. Transport infrastructure improvements in the north, including in Lancashire and the wider north-west, have too often been characterised by dithering and delay. There is still no official estimate of the cost of the trans-Pennine electrification outside the initial funding commitment of £300 million and the £92 million that has been spent so far on contracts.

In addition to delays in infrastructural improvement, Lancashire has also suffered severe cuts to its funding from central Government. Lancashire County Council has had to reduce funding of bus services from £7 million to £2 million to make £85 million in budget savings next year. The hon. Member for Blackpool North and Cleveleys (Paul Maynard) has already referred to bus issues, but I have said it before and I will say it again: the Government are devolving cuts, not power. They are putting local authorities in impossible positions and keeping their own hands clean.

--- Later in debate ---

[The Parliamentary Under-Secretary of State for Transport (Andrew Jones)]

It is a pleasure to serve under your chairmanship, Mr Pritchard. May I start by congratulating my hon. Friend the Member for South Ribble (Seema Kennedy) on securing the debate? I will be replying as one of those rascally white rose-types just from the east, but we will move on from that.

I am sure everyone is aware that last week we saw the publication of “The Northern Transport Strategy: Spring 2016 Report”. The importance of the transport infrastructure of the north is therefore right at the front of our minds. We have been working closely with our partners at Transport for the North, and that is our first annual update of the northern transport strategy, which was originally set out a year ago.

The report outlines the significant progress that the Government and our partners have made in laying the foundation for transformative transport projects right across the north of England. It sets out the next steps for projects, which include major improvements to the north’s road networks, better connecting the northern regions by rail and enhancing the passenger experience of travelling across the north using smart and integrated ticketing technologies. This is therefore a proper milestone in the Government’s plans as we build for Britain’s future, making the biggest investment in transport infrastructure in generations, starting with that £13 billion committed for transport infrastructure in the north over this Parliament and then looking into the future with the work that Transport for the North is undertaking. All of that investment will help to create a northern powerhouse, which is, as my hon. Friend the Member for South Ribble explained, critical for rebalancing our country’s economy. It will enable the north to pool its strengths and become greater than the sum of its parts. We are working closely with Transport for the North to deliver improvements in the short term and are making progress on longer-term projects, all of which benefit the north as a whole.

There have been a number of questions from Members in the course of this debate. I am now surrounded by papers with the detailed answers. I will get to all of them, but I will first outline some of our thinking and the progress we have made. Following the extension of Transport for the North to include all the areas in the north, Lancashire has become an integral part of TfN and its importance to the northern powerhouse is fully recognised. The northern powerhouse without Lancashire is unimaginable.

Lancashire has a £25 billion economy—one of the largest in the north of England. It has more than 40,000 businesses employing more than 670,000 people. Its key strengths of advanced manufacturing, aerospace and automotive are well known, but it also has a strong tradition in energy, higher education, professional and business services and logistics. Lancashire also has Britain’s most famous and largest seaside resort, which my hon. Friend the Member for Blackpool North and Cleveleys (Paul Maynard) frequently mentions, although he did not do so today. Lancashire’s four enterprise zones are also at the forefront of propelling Lancashire’s future growth as part of the northern powerhouse.

We cannot create the northern powerhouse unless we have good transport and connectivity at its heart; those are key to Lancashire’s future growth. The M6 and west coast main line are vital north-south arteries. The M65 and M55 support key growth corridors both east and west, and the proximity of the great northern conurbations of Leeds, Manchester and Liverpool to much of Lancashire’s population mean that improved connectivity can further strengthen Lancashire’s growth. We have recognised the importance of Lancashire’s transport infrastructure and are investing in it on a scale not seen in that part of the world for some time.

On the strategic road network, we have delivered a number of key improvements, such as unblocking pinch points at junction 32 of the M6 and junction 1 of the M55, at the A585 at Windy Harbour and at junction 5 of the M65. Our road investment strategy includes a commitment to significant further investment on the A585 to improve connectivity to Fleetwood and the Hillhouse enterprise zone and to the construction of what is sometimes called the “missing” junction 2 on the M55 linking to the Preston western distributor road, which we are funding through the Preston city deal and the Lancashire growth deal. The route strategy process, which will inform RIS2—our second road investment strategy—will commence in the near future, enabling Highways England to work with local partners to determine future investment priorities for the strategic road network in Lancashire.

Many colleagues have mentioned rail, and it is therefore appropriate to highlight how we are significantly improving rail in Lancashire through investment. As of last year, electric services are operating between Preston and Liverpool, and we are currently upgrading the line between Preston and Manchester to deliver faster, more frequent and less crowded journeys for passengers by December 2017. We are building the foundations for better journeys across the north.

The Farnworth tunnel, which was mentioned earlier, is a significant project. Network Rail has enlarged the railway tunnel in order to accommodate the new wires that will soon be installed for electrification of the line. The tunnel boring machine used by Network Rail was made in Oldham and is larger than the machines used to build Crossrail. Around 120 people worked on the project 24/7, moving 30,000 tonnes of material from a 270-metre long tunnel. I wanted to go and see it, but I am afraid to say that the Secretary of State, who has an interest in tunnelling, decided that that would be his particular priority. That progress is a sign of our commitment to the people of the north. We are already well under way with works on the line from Manchester to Blackpool via Chorley, due to be completed to Preston in December 2017 and to Blackpool by spring 2018.

If I may, I will take a moment to update Members on an issue that is very important to me in transport: accessibility. At Leyland station, which my hon. Friend the Member for South Ribble mentioned, we have spent £4.5 million—including more than £200,000 of third-party funding—to provide an accessible route into the station and to each platform with a new footbridge and three lifts. Network Rail started on site last summer and the work will complete in July. The footbridge is already in public use, while work continues to complete the new lifts. That will be a significant change for the people using the station. I have looked at pictures of the work in progress, and it looks fantastic.

At a local level, we have provided funding via the regional growth fund for Lancashire to reopen the Todmorden curve. The reinstatement of that 500-metre curve through local funding and the regional growth fund has enabled the reintroduction of direct rail services between Burnley and Manchester city centre for the first time in 40 years, significantly reducing journey times. I have checked the passenger usage, and we have already seen passenger numbers grow significantly as a result of that new service. We have also supported upgrades between Blackburn and Bolton, which will support more regular services to Greater Manchester.

[John Pugh]

I am interested in what the Minister says about the Todmorden curve, because it shows that small-scale curve reinstallation—as I outlined in the case of Burscough—can pay dividends. He mentioned his commitment to connectivity, which I think we all share. As part of that commitment, will he look into the mooted change to the Southport to Manchester line? Under those new arrangements, my residents will lose any chance of getting to south Manchester and the airport; we are actually losing connectivity, rather than gaining it. That has not been finally decided, but will he look into what is happening?

[Andrew Jones]

I will indeed look into the matter that the hon. Gentleman raises, as well as all other matters that colleagues have raised. I am aware of the issue of the Burscough curves because he has explained them to me on previous occasions. As a comparison, we used the local growth fund to reinstate the Halton curve elsewhere in the Liverpool city region, as he knows. That key project shows that where local areas prioritise, we are able to provide support. I simply urge the hon. Gentleman to ensure that his LEP continues to prioritise rail investment, including that particular project.

Lancashire will benefit significantly from our plans for HS2. Phase 2a to Crewe, which will bring the project forward by six years, will result in the benefits from classic compatible services arriving in Lancashire by 2027. The completion of phase 2 will bring journey times between London and Preston down from the current 128 minutes to 77 minutes by 2033. HS2 is not being delayed, as the shadow Minister said. We are doing all we can to accelerate HS2, and later this year we will announce the potential routes from Birmingham up into Manchester and Leeds. HS2 is a critical part of rebalancing our economy.

We are supporting a significant investment programme in Lancashire’s local transport infrastructure through the city deal process, which vitally puts Lancashire partners at the forefront of determining the transport investment that they need to grow and support the Lancashire economy. The Preston, South Ribble and Lancashire city deal, which is key to the constituency of my hon. Friend the Member for South Ribble, was signed in 2013 and is worth more than £430 million to the local economy. The road infrastructure that the deal will deliver, including the Preston western distributor and the Broughton bypass, will support significant housing growth and the advanced manufacturing enterprise zone and will make Preston one of the most commercially dynamic locations in the UK.

The Lancashire growth deal, signed in 2014, is supporting a truly significant investment programme, with a local growth fund of more than £250 million allocated to the LEP to deliver its programme. That programme includes 14 local transport schemes that will see new roads in and around Preston and to St Anne’s; key maintenance projects in Burnley and Blackpool; rail improvements in Blackburn; a new tramway in Blackpool; cycling networks in east Lancashire; and improvements to the M65 growth corridor.

We are funding schemes that have been on the waiting list for years. For example, work started in January on a bypass for Broughton after years of plans that had all come to nothing. Perhaps the best example is the Heysham link road, linking the port of Heysham to junction 34 of the M6 and providing congestion relief to the centre of Lancashire. After 60 years of waiting, it should open later this year, following £111 million of support from the Government towards the total £123 million cost. I hope that time allows me to mention the near £32 million that we have invested in the Pennine Reach bus scheme for east Lancashire, significantly improving east-west bus linkages in the area.

Looking ahead, Transport for Lancashire, on behalf of the LEP, has produced its strategic transport prospectus setting out the transport infrastructure that it believes is needed to deliver Lancashire’s potential. My hon. Friend the Member for Blackpool North and Cleveleys had some reservations about the nature of that document, and particularly its print type—it is a very glossy document—but I think we should welcome the idea that local areas are taking responsibility, showing aspiration for those areas and determining what they need. That is at the heart of what Transport for the North is all about.

The document helpfully sets out interventions that have a potentially pan-northern impact and are therefore of particular interest to Transport for the North, as well as key local schemes, such as the South Ribble crossing, which are vital to local growth. I urge Lancashire partners to take full advantage of the opportunities provided by Transport for the North, devolution and growth deals to move their proposals forward.

We are seeing a significant change in the way that we handle transport. My hon. Friend mentioned that he had called for Transport for the North a long time before it was actually created. We are seeing a partnership that has brought together 29 partners locally to determine what they think is required. Transport for the North will be running the franchises on our rail network in the north, in partnership with the Department for Transport. It is from the north, for the north. We will have better decisions when they are taken as near as possible to where a service is delivered. This is a significant development in transport. The Bill to put it on a statutory basis received Royal Assent at the end of January, and we are working towards Transport for the North being set up on a statutory basis within a year.

I have been asked many questions, which I shall try to answer as quickly as I can. Let me start with those asked my hon. Friend. How are schemes appraised? All schemes appraised and promoted by the LEP should be assessed in accordance with its assurance framework. That has to be WebTAG compliant and all results should be published—he is looking sceptical. If he would like any kind of technical briefing on the WebTAG process, I am happy for that to be arranged for him—he should just let me know afterwards.

My hon. Friend highlighted the importance of bus services, and I agree; bus services are critical for local areas. However, we have managed to retain the BSOG—the bus service operators grant—in the spending review programme, in recognition of the importance that we place on protecting buses. They are absolutely vital to our network.

I turn to the points raised the hon. Member for Southport (John Pugh). I am aware that areas away from our core cities feel that they may get a slighter deal from Transport for the North and devolution. People in other parts of the north have raised that issue. I simply say that it has appointed an independent chair—independent from the local authorities—ex-CBI president, John Cridland. We have discussed this issue, and Transport for the North is acutely aware of it and is determined that it should not happen or even be seen to happen. The Government are giving it £50 million over the course of this Parliament so that it can do its job and work with all its partners, including Lancashire, to ensure that all projects are developed in an integrated manner.

Let me address some of the concerns raised by my hon. Friend the Member for South Ribble. The development of the new South Ribble crossing project is certainly an issue for Lancashire County Council. It is a local scheme. The LEP’s strategic transport prospectus identifies it as a key project. The county council says that it is examining how it could be accelerated and funded. A £12 billion local growth fund was announced in the spending review, including £475 million for large local majors, and this is the sort of scheme that could be considered a large local major. I suggest that she picks that matter up on a local basis.

We recognise the importance of HS2. It is worth continuing to highlight how much people in the north, in my estimate—not everybody, but certainly the overwhelming majority—welcome the arrival of HS2 and are impatient for it to happen. I am sure that they are pleased that we will be able to take HS2 up to Crewe six years earlier than planned. That will speed up services to Lancashire sooner. The greater connectivity that it will provide, and the greater capacity that it will inject into our network will be a great help in allowing more services, and therefore, more benefits to flow from it.

My hon. Friend the Member for Bolton West (Chris Green) mentioned additional carriages at Bolton. As I am sure he is aware, the rail franchises included significant upgrades to the rolling stock—both the TransPennine and Northern franchises—and our new franchises start only on the first of next month, so passengers will start to see the benefits flow through in the not-too-distant future.

I cannot ignore some of the questions from the shadow Minister. The new franchises that I just mentioned will deliver new-build trains—more than 500 carriages, in fact, across the north, and that will create room for 40,000 more passengers across the region as a whole.

Potholes were also mentioned, and I should highlight that we have announced a £6 billion fund for local road maintenance up to 2021. Allocations have been given to local councils. I have the information if colleagues wish to know the allocation for their particular area. The point is that we have been able to provide some clarity for the years ahead, so that local councils can plan appropriately.

If the shadow Minister does not mind me saying so, there was a slightly churlish element to his comments. The impatience for transport delivery is obviously fair—we are all impatient. I could perhaps highlight that, after 10 miles of electrification were delivered in 13 years of Labour government, all the good schemes that we have referred to have been welcomed in the north. We need to remember that many of the councils in the north are run by the Labour party, and what we hear locally from Labour and what we hear nationally from Labour are utterly disconnected.

The idea that the transport inheritance that this Government took on from the Labour party is strong is, I am afraid, not borne out by facts. The shadow Minister mentioned the World Economic Forum’s infrastructure league table. During the Labour years, our performance fell from seventh to 33rd in that league table. It was a shocking record, and we are now recovering that position. The Labour party has a poor record and it should start to get behind the programme, as some of its local members have.

I hope that I have managed to convince Members that this is not a forgotten corner of the north—very far from it. It clearly has strong and powerful advocates who have developed a good reputation for championing it already. It is not a forgotten corner; it is a key part of our northern powerhouse. We cannot deliver a strong northern powerhouse without a strong Lancashire—and I say that as a proud Yorkshireman.

Transport is at the heart of what we are delivering. That is clear across all the modes of transport that we have been talking about today—bus, road and rail. We have not talked about aviation connections, but many residents of Lancashire will be using the growth that we are seeing and the improved access into Manchester airport. We have a strong record, as we work with partners to transform transport in the north of England.

Oral Answers to Questions

John Pugh Excerpts

Thursday 10th March 2016 Commons Chamber

[Claire Perry]

My hon. Friend and other hon. Members have left me in no doubt about the value of the Ely North junction upgrade work. I am disappointed that this work will not be completed until after 2019. As a result of discussions that he and others have organised, I am now more confident that the preparatory work the project needs can go ahead sooner, with funding coming from a variety of sources. I have committed my Department to work with him and the local team.

[John Pugh (Southport) (LD)]

What actual progress has been made with the top three projects recommended by the northern electrification taskforce, which was chaired by the Under-Secretary of State for Transport, the hon. Member for Harrogate and Knaresborough (Andrew Jones)?

[Mr McLoughlin]

The report was a cross-party report from the taskforce, which was chaired by my hon. Friend. Much has obviously been learned about electrification since then, but the report forms part of the foundation for deciding how we will move forward with further electrification and how we will prioritise those particular schemes.