Automated and Electric Vehicles Bill

Jonathan Edwards Excerpts

2nd reading: House of Commons & Ways and Means resolution: House of Commons
Monday 23rd October 2017 Commons Chamber

[Mr Hayes]

The aim of the Bill is to create the greater certainty that is, as several Members have said, necessary for further developments. As I will explain in a moment, when I get to the main thrust of my contribution, we focused mainly on insurance. That is because we were told by the insurance industry that it was essential to establish absolute clarity about the framework for the development of a series of insurance products. The Bill sets out that framework. Those who recall the previous discussions on the matter, and who have studied the record, will know that the insurance industry has widely welcomed our endeavours in that respect. I have the Hansard here, but I would tire the House unduly if I merely read out that which Members already know. In essence, the Bill creates greater certainty about the development of insurance products, to put at rest any doubts that might have prevailed.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

What discussions has the Minister had with the insurance industry about the likely cost of premiums? If one of the main benefits of automated vehicles is increased safety, does he expect premiums to fall?

[Mr Hayes]

We explored that a bit with the industry in the witness sessions on the previous Bill. As Members know, we introduced the Bill and we gave it a Second Reading and a Committee stage—a very good one, actually—as part of which we took evidence from the insurance industry. The Bill that we are considering is very similar to the previous one, which, as a result of the general election, did not proceed.

My guess is that initially, as the marketplace develops and new products emerge, prices will be much as they are now; but that as the record becomes established and insurers’ calculations about the likelihood of claims are affected by the greater safety provided by autonomous vehicles, prices may well fall. That is, in the end, a matter for insurers. It is not something that the Government can stipulate, dictate or even, with any certainty, predict. Following on from the intervention by the hon. Member for Eltham (Clive Efford), it seems to me that if the safety of autonomous vehicles means fewer accidents, insurers will find that out. As they do so, the ability to insure a vehicle will grow and the price of doing so will fall. That is, as I say, a matter for the future and not for now.

--- Later in debate ---

[Mr Hayes]

Retrofitting is an important way in which we can improve the existing fleet of vehicles. As my hon. Friend will know, some of the money that is being invested in low emission vehicles is going towards changing the existing fleet, so she is right about that.

I thought of Disraeli as my hon. Friend rose, as I am sure did she. Disraeli said:

“Man is not the creature of circumstances. Circumstances are the creatures of men. We are free agents, and man is more powerful than matter.”

What we do in the future about these things is in our hands. It is in the hands of Governments and Parliament. We can create the kind of future we want and, in embracing this technology, ensure that it is harnessed to best effect. As I have said, not all technological change is implicitly virtuous, so people must not assume that all technological development is, by its nature, efficacious. It has no intrinsic moral aspect. It is for us to decide how the best outcome can be achieved through the kind of technological changes we are considering tonight. That will be done across the House, I know, by people of good will.

We need also to think about what workplaces can do. I want to help workplaces to provide charging facilities for fleets and employees’ cars. I want to ensure that vehicle charging is flexible to meet the demands of the grid and avoid extreme peaks in demand. It is in everyone’s interest to make the running of an electric vehicle as easy as possible and to get more of them on our roads as quickly as possible. In that vein, the Government will be—

[Jonathan Edwards]

Will the right hon. Gentleman give way?

[Mr Hayes]

I just want to make this point, because I am building up to an exciting part of my speech. That may not have been evident, but it will be in a moment.

In that vein, the Department will be seeking the views of the public on the design of the charging infrastructure. I promised previously a public consultation—indeed, a competition—to develop a charging infrastructure that is instantly recognisable. It seems to me absolutely right that when one drives down a street, one should be able to spot an electric charging point rather as one can spot a pillar box or Belisha beacon. It would be appropriate—although I leave this for others to decide—if my name were associated with such a thing. The shadow Secretary of State has suggested it should and I will take that as a proposal, but it is for the House to consider whether it agrees with that proposal and to make a decision on the exact nature of the name. Something alliterative and memorable might suit.

We certainly need to think about consistency with regard to charging points. People need to know where they are. We have electric vehicle charging points outside the Department for Transport, but I am not sure that anyone could spot them driving down Horseferry Road unless they knew that they were there and were familiar with what an electric charging point looked like. They do not stand out and perhaps they should.