Transport and the Economy

Jonathan Ashworth Excerpts

Tuesday 28th February 2012 Commons Chamber

[Jonathan Ashworth (Leicester South) (Lab)]

I start by paying tribute to my hon. Friend the Member for Liverpool, Riverside (Mrs Ellman), who spoke with great eloquence and distinction. She spoke a lot of good sense on behalf of the Transport Committee and I agreed with every word that she said. She is quite right to draw the link between the wider impact on economic growth and investing in and building a modern transport infrastructure.

The Transport Committee’s recent paper highlighted the need for the Government to

“ensure that where it approves transport schemes designed to stimulate economic growth and rebalance the economy, they are supported by convincing economic development strategies.”

In my brief speech I will argue that electrification of the midland main line meets exactly those criteria, but although that is what I want to concentrate on, I will start by saying a word or two about high-speed rail.

On balance I support high-speed rail, although I understand the arguments against it, not least the argument put by hon. Member for South Northamptonshire (Andrea Leadsom). However, I want to put a point to the Minister on which I hope he can reassure me in his summing up. There is concern among campaigners for the electrification of the midland main line that they may not see any direct advantage from HS2—that resources for the scheme will be taken away and we will never get electrification. [Interruption.] The Minister is shaking his head, but that is a genuine concern, so perhaps he can touch on it in his response to the debate.

[Andrea Leadsom]

As I will not get the opportunity to speak later, I want to ask the hon. Gentleman whether he agrees that there is a concern about the total cost of high-speed rail, bearing in mind that the Y shape is not even known yet, and the rising cost of mitigation and compensation that is the inevitable result of that uncertainty? Does he share my concern about the impact that that will have on scarce resources?

[Jonathan Ashworth]

rose—

[Mr Deputy Speaker]

Order. Before the hon. Gentleman answers, let me remind hon. Members that the idea behind imposing a time limit is to get everybody in. He is well placed, but every time there is an intervention, that adds another minute, which means that somebody else will drop off the bottom.

--- Later in debate ---

[Jonathan Ashworth]

Thank you, Mr Deputy Speaker. To help other Members get in, I will take no more interventions. In answer to the hon. Lady, I recognise that concern, but on balance I think that HS2 is a good investment for the economy. However, I want to focus on the midland main line, if she will allow me.

I would be grateful if the Minister passed on my thanks to the Minister of State, Department for Transport, who last night kindly met me, my right hon. Friend the Member for Leicester East (Keith Vaz) and the deputy mayor of Leicester, Rory Palmer, to discuss electrification. It was a good meeting, and I was grateful for the way she responded to our questions.

I would argue that electrification makes economic sense. The midland main line is the slowest northbound route out of London. It is the only main line to London that has not been electrified and where there are no immediate plans for electrification. Electrification would mean improved journey times, improved performance times and improved reliability. Crucially, electrification ought to provide good value for money: estimates show that savings in operating costs and increases in passenger revenues would greatly exceed investment costs. Full electrification along the line would reduce the costs of rolling stock, energy and maintenance and would therefore meet the aspirations of the McNulty review. It would bring huge benefits to cities such as Leicester and to the east midlands as a whole, as well as to Sheffield and South Yorkshire.

[Angela Smith]

Does my hon. Friend agree that the increased relationship between Rolls-Royce and Sheffield means that connecting Derby and Sheffield more efficiently would be good for the economies of both cities?

[Jonathan Ashworth]

I said that I would not give way again—my apologies, Mr Deputy Speaker. My hon. Friend is quite right, though: Rolls-Royce is a major employer in Derby and elsewhere in the east midlands—in Hucknall, for example—and connecting Derby and Sheffield in that way is crucial for the economy.

One analysis has shown that the electrification of the line would benefit the economy by £12 million a year and by almost £450 million over the appraisal period, which makes an overwhelming case for it. It would also improve our links with Northamptonshire, making it easier for me to visit the hon. Member for South Northamptonshire (Andrea Leadsom) should I wish to do so, as well as the links between Derby and Sheffield. All estimates suggest that the conurbations served by the midland main line are set to grow—between 2000 and 2010, the population of those areas grew by 300,000, and estimates suggest that it will grow by 800,000 by 2030—so in addition to the economic reason for the investment, there is also the simple reason of population growth.

The trains currently running on the route are diesels, and research suggests that CO₂ emissions could be reduced by 43,000 per annum as a result of electrification. There is therefore also a good environmental argument for pressing ahead with electrification. There is another strong value-for-money argument, which is that electrification would result in immediate job creation along the line, it would boost the economy, and it would help cities such as Leicester to attract more inward investment. I am sure that it would do the same for other cities in the region and in south Yorkshire. It would bring long-term advantages to Leicester and the wider east midlands, and it will therefore be crucial for our region in the next few years.

As I said, I am grateful to the Minister of State for meeting us last night, and I hope that the Under-Secretary of State replying to this debate will pass on my thanks to her. Last week, at Transport questions, the Minister of State told me:

“The electrification of the midland main line has been prioritised by the industry in its initial industry plan, which will form an important part of the decisions that we have to make on what will be funded in the next railway control period.”—[Official Report, 23 February 2012; Vol. 540, c. 1012.]

That answer aroused a great deal of excitement on that evening’s edition of the BBC’s “East Midlands Today”, and in my own fine newspaper, the Leicester Mercury. If the Under-Secretary wants star billing on “East Midlands Today” this evening, or in the Leicester Mercury, the Nottingham Post or the Derby Evening Telegraph, he need only get up and announce from the Dispatch Box that he is going to strike while the iron is hot, build on the profile that the Minister of State already has in the east midlands, and say yes to the electrification of the midland main line.