26 Karl McCartney debates involving the Department for Transport

High Speed 2: Yorkshire

Karl McCartney Excerpts
Monday 6th February 2017

(7 years, 10 months ago)

Commons Chamber
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Ed Miliband Portrait Edward Miliband
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That is an incredibly important point. I will come on to the vexed question of costs, because that will obviously be a concern of the Minister, and I understand the reasons for that.

HS2’s fourth argument is about what it calls local constraints—that is, the urban industrial density and the environmental challenges of the Meadowhall route. However, HS2 itself admits in its most recent document that what it calls the constructability issues at Meadowhall can be overcome, and, as I have said, the engineering challenges of the city centre are completely unanswered.

Karl McCartney Portrait Karl MᶜCartney (Lincoln) (Con)
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Is the right hon. Gentleman aware of the woefully inadequate evidence that HS2 gave to the Transport Committee when it was called to give evidence? It was questioned quite closely in its witness statements on this particular issue and did not give any semblance of a proper answer.

Ed Miliband Portrait Edward Miliband
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I thank the hon. Gentleman for that. I noticed the hon. Member for Colne Valley (Jason McCartney) nodding from a sedentary position; I know that he raised this issue in the Transport Committee as well. It is also something that my constituents have raised with me.

The other thing I would say about the challenges and constraints is that we are not comparing like with like. We are comparing three or four years of work on the Meadowhall route with, frankly, back-of-a-fag packet calculations in relation to the M18 route. My constituents with houses that are going to need to be demolished have not had letters saying that their houses would need to be demolished. There is a whole range of issues. A whole new housing estate, the Shimmer estate in Mexborough in my constituency, is threatened with demolition. Some of the most distinctive countryside around villages in my constituency such as Hickleton, Barnburgh, Clayton and Hooton Pagnell is under threat. Our argument is not simply about the local effect—it is a wider argument about the benefits to South Yorkshire. However, I do think that that is relevant, and proper work has not been done on the constraints of this route.

Nottingham to Lincoln Railway Line

Karl McCartney Excerpts
Monday 27th January 2014

(10 years, 10 months ago)

Commons Chamber
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Karl McCartney Portrait Karl MᶜCartney (Lincoln) (Con)
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I thank my colleague, the hon. and gallant Member for Newark (Patrick Mercer), for letting me speak in this debate. I will not take up too much time, because I am conscious that we would like to hear from the Minister and give him as much time to reply as possible.

I want to add a few details from a Lincoln perspective, as we are discussing the Lincoln-Nottingham corridor. The economic importance of that corridor was recognised when, pre-1997, under a Conservative Government, a dual carriageway was built between Newark and Lincoln, as the hon. Gentleman mentioned. That has been extended all the way to Nottingham in more recent years. It is of crucial economic importance. We have road transport infrastructure but we would like the rail infrastructure, all the way from Nottingham to Lincoln, to match it.

When I was lucky enough to have the honour and privilege of being elected Member of Parliament for Lincoln, I inherited the only city in the country that was unfortunate enough not to have a quick, fast, direct route to London. That has been improved, but we have only one service to London a day, and none at weekends. Unfortunately, we also had one of the least frequent and slowest cross-country services, and that is what we are tonight seeking to ensure that the Department for Transport addresses.

The Lincoln-Newark-Nottingham service is well below the normal standard of all comparable routes in all key respects—frequency, speed, capacity and onward connections. Lincoln has only one train per hour to its core city, Nottingham, whereas most similar places have two, three or even four to theirs; I cite core cities such as Birmingham, Manchester and Leeds as examples. Moreover, the Lincoln-Nottingham service ran every half-hour until 2002, when half the trains were withdrawn because of operational difficulties elsewhere on the rail network, following the Hatfield crash. Those difficulties have long since been overcome, but Lincoln-Nottingham is the only service reduced in 2002 not to have been restored to former standards.

The trains that were withdrawn ran every hour directly between Lincoln and Birmingham. When they were withdrawn in 2002, Lincoln and Newark not only suffered a reduction in frequency, but lost their direct service to Derby and Birmingham—a double whammy. The line is characterised by out-of-date service levels on Sundays, when there are no services from Nottingham to Lincoln before 4.30 pm, despite the significant increase in leisure and commercial activity on Sundays in recent years—a point alluded to by my hon. Friend the Member for Sherwood (Mr Spencer). That highlights just how far services on the line have fallen below people’s expectations today.

In 1912, fast Lincoln-Nottingham trains took 45 minutes; now they take around 50 minutes because of speed limits, and many trains take more than an hour because of extra stops. For the avoidance of any doubt, it should be noted that the things that make the service substandard are not the responsibility or fault of East Midlands Trains. The service frequency is specified by the Department for Transport, as is the stopping pattern that results in so few non-stop trains. The speed limits are imposed by Network Rail because of the characteristics of the infrastructure, and East Midlands Trains is obliged to obey those speed limits. In fact, it is consistently one of the most punctual train operators in England, with around 94% of trains complying with required standards, but even an excellent operator such as EMT cannot run a fast service on a line with very low speed limits, especially if it is instructed by DFT that most trains must stop at stations every few miles.

There are issues such as the at-grade crossing at Newark between the east coast line and the cross-country line, and railway electrification, which Lincoln, Newark and Nottingham would benefit from, if that was forthcoming in future years. Lincoln and Nottingham are designated housing growth points––an additional 60,000 houses are planned over the next 20 years, 18,800 of them in Lincoln. Lincoln university is one of the UK’s fastest-growing universities, with a 40% increase in students planned for the next 10 years. A science park of around 1 million square feet is being developed for spin-off and related industries. Those are all reasons why we would like an increased, better train service from Lincoln, Newark and Nottingham.

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Stephen Hammond Portrait Stephen Hammond
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My hon. Friend knows that it would have been easy for me to say some soft words. What I am saying now is probably not terribly good news for him. But he and all the elected Members here have often made the case, and I urge them all again to go to their local bodies, as I have previously tried to indicate. It is incredibly important that the county councils and the economic bodies in the region declare this a strategic priority. That will underline the importance of reconsidering whether the improvements to the line are a high priority for those bodies and, therefore, for the allocation of local funding, which is available. That could then be reflected in the local growth fund.

I say to my hon. and learned Friend the Member for Sleaford and North Hykeham (Stephen Phillips) that there is still a chance for that to happen, because the bids for the local growth fund are due by 31 March this year. It is still perfectly possible for local bodies to engage with Network Rail and its partners in developing a business case for the proposed enhancements and to put it forward for the local growth fund. Equally, it is still possible for those local bodies to develop a business case and put it forward as a priority for investment for the 2019 to 2024 control period. I recognise my hon. Friend’s ambition to have it earlier, but none the less that would still be possible.

My hon. Friend the Member for Lincoln reviewed his hopes, and I suspect those of Lincoln, for an increased through service between London and Lincoln. I certainly recognise the appetite for more frequent direct services between that city and London. I welcome the work on a business case undertaken by Lincolnshire county council in 2012. As he will know, I cannot commit at this stage to any additional services, mainly because the Department is currently evaluating the business case and the network impacts of running services to the locations not currently served by the east coast main line. However, I can confirm that a number of regions—Yorkshire, the north-east, the midlands and the east of England, including Lincolnshire—are in that evaluation and assessment process. Depending on the outcome of the work, the invitation to tender for the east coast main line franchise might include a requirement or an option for bidders to run services to a specific number of locations.

Karl McCartney Portrait Karl MᶜCartney
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It is obviously of the utmost importance that any invitation to tender includes a specification for the eventual winner of the franchise, which is what we in Lincoln want to see. On that point, with regard to cross-country services, might not a franchise extension that brings an improvement that we are seeking between the line from Lincoln and Newark to Nottingham see an improvement in the specification of services?

Stephen Hammond Portrait Stephen Hammond
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I hear what my hon. Friend says about specification. The Department is keen to give options to bidders for initiative and innovation in the franchise. He may wish to pursue that, because he might find that it is the way to secure what he desires, rather than the Department directly specifying things.

The train service requirement will be set out in the invitation to tender, which will be published by the end of February, so it would be imprudent of me to comment on that any further. However, as I have said to my hon. Friend the Member for Newark and other hon. Members, I will be happy to brief any hon. Members on the proposals for the ITT at that stage.

I welcome the opportunity to set out the Government’s position on how enhancements to that line could still be progressed, even at this late stage, were the local authorities to get themselves in line. I welcome the opportunity to see that the line could build on the massive programme of investment that we are already seeing across the rail network. The Government remain committed to working with local authorities and local enterprise partnerships to see improvements to the line and others, should that be a priority for them. But I say to hon. Members again—I know that they will have heard me say this—that the ball is in the court for them to hit heavily at their local authorities. I hope that the local authorities will then decide to demonstrate that commitment to the investment that they are asking me to provide this evening.

Question put and agreed to.

East Coast Main Line

Karl McCartney Excerpts
Tuesday 12th November 2013

(11 years, 1 month ago)

Westminster Hall
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Sharon Hodgson Portrait Mrs Hodgson
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That is a very good question, which the Minister will perhaps answer. For all of us here and our constituents, that is the question, and our only answer is that dogma and ideology are forcing re-privatisation to go ahead. The Government have pressed on regardless, and the tendering process is well under way, which is why my colleagues and I thought it was time for another debate.

Karl McCartney Portrait Karl MᶜCartney (Lincoln) (Con)
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It is a pleasure to serve under your chairmanship, Mr Bone. The hon. Member for Wansbeck (Ian Lavery) made an interesting intervention in which he mentioned that the Opposition are blaming the current Government. Will the hon. Lady tell me exactly how many train companies were renationalised in the 13 years of the Labour Government?

Sharon Hodgson Portrait Mrs Hodgson
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We are not talking about the renationalisation of the east coast main line—it has already been nationalised—but about how to stop it from being re-privatised. The point is that it is already in national ownership.

Sharon Hodgson Portrait Mrs Hodgson
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That is the point—the east coast main line does not need to change. The process might ultimately lead to a significantly worse deal for all our constituents, as well as for the Exchequer, when there is absolutely no need to go down such a path.

As I and others said in the last debate, East Coast is doing very well under the current arrangement, both for passengers and the Exchequer. Since the failure of National Express, thousands more services have been timetabled; hundreds of thousands more passengers have used services; significant investment has been made in passenger comfort and stations, including at Newcastle; customer satisfaction has been at record highs, notwithstanding the recent blip; and complaints have been handled in a timely way 98% of the time, compared with 73% of the time under private ownership.

Karl McCartney Portrait Karl MᶜCartney
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Will the hon. Lady give way?

Sharon Hodgson Portrait Mrs Hodgson
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No, I will not. I will make some progress, because many hon. Members want to speak.

This is the people’s railway. It is delivering real improvements for our constituents, unencumbered by the primary purpose of having to pay dividends. That is not to say that Directly Operated Railways is squandering millions on such trivial things as improving the experience of their customers and therefore winning more of them; it is also chipping in a lot of money to the Exchequer. By the end of this financial year, it will have returned £800 million to the Treasury and put the rest of its surplus of nearly £50 million back into the service. It of course gets the lowest rates of public subsidy of all the train operators, except London commuter services.

Ministers have always talked about the need for a private operator to bring in extra investment, but have failed to make clear how much will be brought in by this process. What investment we know about appears to come from the public purse. Just as with Royal Mail, Ministers seem to be privatising the profit, while keeping the ongoing costs on the public books.

The Minister will say that decisions should not be taken on the basis of ideology, and to an extent I agree, although I must of course confess to having a default opinion when it comes to the ownership of public services. However, the returns to the Treasury and the improvements in services provide the business case in support of our argument that the line should remain directly operated. Perhaps that is why nearly half of Tory voters oppose the Government plans. If anyone is guilty of ideological decision making on this issue, it is surely the Government.

As if the west coast main line shambles, which cost taxpayers £55 million, was not bad enough, the contract extensions for other franchises—the Government have had to negotiate them so that they could bring forward the east coast main line tender—will cost taxpayers millions more in lost revenue. For example, First Great Western paid £126 million in premiums last year, but will pay only £17 million next year, as a result of the extension terms it has been given by the Government. Ministers are actually throwing money away hand over fist, just so they can make a point of privatising a franchise that they know is doing perfectly well in public hands.

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Sharon Hodgson Portrait Mrs Hodgson
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I will go away and look more closely at the matter. I may have missed the part to which the Minister refers. Perhaps he could write to me about it, so we can be assured that there will not be a third-class rail service.

I will conclude because many Members wish to speak in the debate. I leave the Minister with the words of one of his departmental predecessors, the noble Lord Adonis. He was regularly cited by Ministers as being against public ownership when he was Secretary of State, and that was correct. However, given the success of Directly Operated Railways, he recently had this to say:

“In the last four years East Coast has established itself as one of the best train operating companies in the country, both operationally and commercially…This has fundamentally changed the situation, and it is right and proper that East Coast should be allowed to continue as a public sector comparator to the existing private franchises.”

Lord Adonis is a wise man. He had an opinion. He looked at the evidence that contradicted his opinion and, like many a wise man before him, accepted that his opinion had been wrong and changed his mind. There is still time for the Minister and his colleagues to demonstrate similar wisdom and halt this process before more money is spent by the Department and the companies that might bid. They should accept that this experiment in public ownership, forced upon a reluctant Secretary of State at the time by the failure of a private provider, has been a success and can continue to be a success.

Karl McCartney Portrait Karl MᶜCartney
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Will the hon. Lady give way?

Sharon Hodgson Portrait Mrs Hodgson
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No, I am just winding up. I am sure the hon. Gentleman will get his chance to speak in a moment.

Most importantly, it is time for the Government to put British passengers and taxpayers first, before taking profits out of the system—especially where such profits then go to subsidise passengers in other countries. As I said in June, I hope the Minister will listen to what parliamentarians are telling him here today. We have already had the shambles over the west coast main line. It is in everyone’s interests for the Government not to make the wrong decision on the east coast main line as well. Let us call off the tender and give Directly Operated Railways the stability and support it needs to carry on improving services and sending much-needed cash back to the Treasury. At the very least, let us allow it to bid to run the service again in the coming years, and weigh up the public benefit that that would provide in a fair and open way. Come on, Minister: it is public versus private. Surely he is up for that.

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Karl McCartney Portrait Karl MᶜCartney (Lincoln) (Con)
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I will make a short speech, because a number of Opposition Members want to get in before the shadow Minister and the Minister reply. I did not say this in my intervention earlier, but I thank the hon. Member for Washington and Sunderland West (Mrs Hodgson) for securing the debate.

There has been some striking ideological dogma from the Opposition, and it smacks of having a brass neck to accuse the Government of dogma.

Grahame Morris Portrait Grahame M. Morris
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Will the hon. Gentleman give way?

Karl McCartney Portrait Karl MᶜCartney
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No, not at this point. I would like to make some progress, if I may, and then I will certainly give way.

I liked the fact that the hon. Lady started her speech completely against re-privatisation, but seemed by the end to be quite content to support it, albeit only in a way that she wanted and that benefited her constituents. Of course, that is what we would all want as Members of Parliament: we all want the best for our constituents.

The hon. Lady claimed not to be a PR cheerleader for East Coast. Indeed, like her, not one Opposition Member—I waited until quite a few had spoken—declared an interest. Since 2009, however, they have seen a real increase in services for their constituents. That is to be welcomed, and I am sure Opposition Members are pleased. However, some of us represent seats that have not seen services increase to the level we were promised they would be once East Coast was taken back into the public sector. Lincoln was promised seven trains down to and up from the capital a day, but we have ended up with one. Members can now see why I am perhaps not as big a cheerleader for East Coast as some Opposition Members.

Lilian Greenwood Portrait Lilian Greenwood (Nottingham South) (Lab)
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Will the hon. Gentleman give way?

Karl McCartney Portrait Karl MᶜCartney
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No, not at this point.

The real elephant in the room is perhaps the fact that Opposition Members are worried that re-privatisation might bring some change to services. Although I agreed with some of the points made by the hon. Members for Edinburgh East (Sheila Gilmore) and for Edinburgh North and Leith (Mark Lazarowicz), they might consider the fact that seats to the south of theirs are not just “and beyond”, as they were referred to. Lincoln is not “and beyond”; it is my constituency, and I will fight for it as hard as I can and as hard as Opposition Members, I am sure, do for theirs.

I would like to see better services from Lincoln to our capital city, as I am sure Opposition Members would from theirs. However, I am also aware that if trains on the east coast main line stopped at Edinburgh, and passengers then had to cross a platform to catch another train to go further north, people south of Edinburgh would see a vast improvement to their service. That is something a private operator might consider, although I am not saying it will. In Lincoln’s case, however, I would certainly like to see more direct trains daily and even at weekends.

Karl McCartney Portrait Karl MᶜCartney
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I am being surrounded. I will take all three Members on if they like, but I will give way to the hon. Member for Easington (Grahame M. Morris).

Grahame Morris Portrait Grahame M. Morris
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The hon. Gentleman argues there is an evidence base that suggests that the east coast main line is better off privatised. However, whatever measure is used—whether customer satisfaction, profitability or prices—the evidence is that the line is better off as part of a directly operated public service, and I heard nothing to contradict that. The profits that are being made can be reinvested to improve the service or they can be used elsewhere by the Treasury.

Karl McCartney Portrait Karl MᶜCartney
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I thank the hon. Gentleman for that erudite and timely intervention, which is typical of the interventions he might make, but I would refer him to my first intervention. If he and the Labour party feel that way, why did they not re-nationalise the rail service across the whole country in their 13 years in office? They did not do that.

Mark Lazarowicz Portrait Mark Lazarowicz
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May I respectfully point out that the private operators did not provide the direct service the hon. Gentleman is calling for to his constituency in the 13 years or longer they operated the line? The private sector did not offer his city any improvements when it was in charge. That is surely an argument for saying that Directly Operated Railways should offer an alternative. The hon. Gentleman can then decide whether he wants Directly Operated Railways and East Coast or the private sector. Surely he can accept that there should at least be a choice.

Karl McCartney Portrait Karl MᶜCartney
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I accept that different changes might be made. I thank my predecessor in the constituency, who, as a Transport Minister, perhaps secured the promise of seven trains a day down to and up from the capital. Ultimately, I was the lucky recipient of more votes in the 2010 general election, and I replaced her. Unfortunately, at that point, unlike some Labour Members who have retained their seats, East Coast decided not to follow through with its promise. That is to the disbenefit of my constituents. As I said, I will always stand up for them to secure the best rail services I can.

Graeme Morrice Portrait Graeme Morrice
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The question I was going to put has already been asked by my hon. Friend the Member for Edinburgh North and Leith (Mark Lazarowicz), but given the discussion earlier about the public view on this issue, does the hon. Gentleman not accept that the overwhelming majority of the public, including passengers, oppose privatisation? Is he aware that the Government have actually consulted on the issue?

Karl McCartney Portrait Karl MᶜCartney
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I am, and I am happy to accept that the majority of people in his constituency, and the passengers who use the rail station he uses, might, like him, not want to see any changes to the level of services they enjoy. However, some of us, in seats that do not receive such a regular service, might feel differently, and that might be where the ideological difference is.

Ian Mearns Portrait Ian Mearns
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Unfortunately, a couple of weeks ago, we had the wrong sort of trees on the line, and my hon. Friend the Member for Easington (Grahame M. Morris) and I had to get off a train at Peterborough. We had a chat with quite a lot of residents and people who work on the railway there, and I have spoken to lots of people from Peterborough since. It is quite clear that the vast majority of them do not want the line to be taken out of public ownership and re-privatised. That is not Gateshead—that is Peterborough.

Karl McCartney Portrait Karl MᶜCartney
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I will take those comments with quite a large pinch of salt. I would probably take on board a little more the comments of my hon. Friend the Member for Peterborough (Mr Jackson) on behalf of his constituents. However, like him, I am pleased to see the new rolling stock on the east coast main line. Lincoln might—perhaps with hybrid locomotives—see better, more regular rail services, including at weekends. As I said, I have been fighting for that for my constituents.

The hon. Member for Edinburgh North and Leith managed to bring nuclear power stations into the debate and mentioned that in 1997 there were other priorities for the Labour party. Obviously there were, because you did not sort out any power stations and certainly did not sort out the rail system. You were all busy spending money our country did not have.

Peter Bone Portrait Mr Peter Bone (in the Chair)
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Order. The hon. Gentleman is using the word “you” a little too much. He should not be doing that.

Karl McCartney Portrait Karl MᶜCartney
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Indeed I should not, Mr Bone. Thank you for that reminder.

I never refuse any opportunity to have a dig at the Independent Parliamentary Standards Authority. The hon. Member for Washington and Sunderland West mentioned talk—although it has been refuted—of a third class on the east coast. I ask her not to tell IPSA, because I am sure it would try to make us all travel on it.

Oral Answers to Questions

Karl McCartney Excerpts
Thursday 27th June 2013

(11 years, 5 months ago)

Commons Chamber
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Norman Baker Portrait Norman Baker
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As a matter of fact, we have provided significant sums of money to ITAs to take forward smart ticketing. We are also taking forward multi-operator ticketing guidance, in accordance with the Competition Commission’s recommendations, and I have made it plain to bus companies that we want to see progress on that matter. Only this week, I held a two-hour meeting with key operators in the bus and train world to talk about smart ticketing and to make sure we are making progress, which indeed we are, in both modes of transport.

Karl McCartney Portrait Karl MᶜCartney (Lincoln) (Con)
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3. What steps he is taking to reduce incidents of dangerous driving.

Stephen Hammond Portrait The Parliamentary Under-Secretary of State for Transport (Stephen Hammond)
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We are taking forward the measures set out in the strategic framework for road safety. In 2012, a new offence of causing serious injury by dangerous driving came into force. We are also creating a new drug-driving offence and will consult on the limits shortly. We have also consulted on changes to make the enforcement of drink-driving laws more effective. Additionally, we intend to publish a Green Paper on young drivers later this year.

Karl McCartney Portrait Karl MᶜCartney
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My hon. Friend will be aware that in certain areas of our country there are drivers who have never taken a driving test. Has his Department investigated the potential benefits of requiring drivers to take a test every five or 10 years in order to reduce such incidents and make our roads safer by removing those who drive illegally?

Stephen Hammond Portrait Stephen Hammond
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The Department has not investigated the potential benefits of that. We do not regard it as a priority, partly because if those people are driving illegally, they are unlikely to take the test. However, I can reassure my hon. Friend that we take illegal driving very seriously, and that the automatic number plate recognition system is helping us to crack down on illegal drivers.

East Coast Main Line

Karl McCartney Excerpts
Wednesday 5th June 2013

(11 years, 6 months ago)

Westminster Hall
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Andy McDonald Portrait Andy McDonald
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Thank you very much.

Journey numbers have grown from 18.1 million in 2009-10 to 19.1 million in 2012-13. An estimated £800 million will have been generated by the franchise for the taxpayer by April 2014. All that has resulted in a £40 million surplus: money that would otherwise be providing the profit to shareholders, if the line were privatised, and which East Coast has reinvested in its greatest asset, its staff. The fruits of that investment are clear to see: employee engagement is now at an all-time high of 71%—up from 66% in 2011 and 62% in 2010—which is the highest score of the eight train operators that is currently available. The average number of sick days has fallen from 14 to nine. Investors in People accreditation has risen from “standard” in 2009 to “silver” in 2012. Impressively, East Coast was the only train company to have achieved “Britain’s top employer” status in 2012 and 2013. Most importantly, on-board passenger-attributed accidents have reduced by 20% and staff accidents by 23% in the past year.

East Coast has also introduced a new timetable—the biggest change on the east coast main line in 20 years—seamlessly launched in May 2011. It introduced 117 extra services a week; a four-hour Flying Scotsman express from Edinburgh to London, calling only at Newcastle; and new direct services between London and Lincoln and Harrogate, and I hope that it will soon restore the link to Middlesbrough, the largest conurbation in the country without a direct link to the capital.

Karl McCartney Portrait Karl MᶜCartney (Lincoln) (Con)
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Does the hon. Gentleman not see that it is a shame that the seven daily services that Lincoln was promised ended up being only one service?

Andy McDonald Portrait Andy McDonald
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I am not sure that I have picked up on that seven turning into one, but I will mention the performance issues, so an answer may emerge as we proceed.

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Karl McCartney Portrait Karl MᶜCartney
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I thank the hon. Gentleman for giving way to me once again, and I take this opportunity to congratulate him on securing the debate and on the fact that so many of his colleagues—from both sides of the House—who have an interest in the franchise are present. Thank you, Dr McCrea, for chairing—I forgot to say that the first time I intervened.

The Labour Government before 2010—in fact, before 2005—acted perhaps with undue haste, in desperately getting back into the private sector the southern franchise that had been taken off Connex. They made many mistakes at that time. Does the hon. Gentleman not feel that this Government should be credited with ensuring that such mistakes are not made in re-awarding this franchise to the private sector?

Andy McDonald Portrait Andy McDonald
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I am grateful to the hon. Gentleman for highlighting the weaknesses of the entire structure of these private franchises. He does so eloquently.

A serious overhaul of the franchise process is necessary. The Minister may well claim that, following the Brown review, a new process is indeed in place. In that case, one has to wonder why existing private sector franchises, which would be the ideal testing ground for the process, are instead receiving extensions of up to 50 months. The Government’s haste to extricate themselves from running trains is all the more baffling when more than half the rail franchises in Britain are to some extent state-controlled already; it is just not the British state that is in control.

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Martin Vickers Portrait Martin Vickers
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I welcome that intervention by my hon. and learned Friend, who highlights a particular problem. My point is that the station in my home town of Cleethorpes has been removed from the timetable—because there is no through train to it, it is no longer shown as having a connecting service. I think that Middlesbrough was another destination that was removed from the timetable. Regrettably, despite my protests, East Coast did not correct that in its new summer timetable.

The Government show every sign of moving ahead with the new franchise to a good timetable, which I welcome. I hope that the company will put in place services that British Rail removed in 1991, namely the direct services from King’s Cross to Cleethorpes, which I know the Minister is keen to restore in the new timetable.

Karl McCartney Portrait Karl MᶜCartney
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Does my hon. Friend agree that spending some money on electrifying the line between Newark and Cleethorpes might well give the east coast an option for diverted trains? The west coast has a multitude of such options whereas the east coast does not.

Martin Vickers Portrait Martin Vickers
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My hon. Friend raises a valid point. The important thing for the Cleethorpes constituency in relation to electrifying the line is that 25% of the country’s rail freight, when measured by tonnage, starts or ends at Immingham dock. The line must therefore be a potential candidate for electrification.

The hon. Member for Middlesbrough used, as I suspect all politicians do occasionally, selective statistics, especially ones that were critical of private operations. For example, he omitted the statistic that showed that the west coast main line, in private operation, generates more passenger income than the east coast main line— £820 million in 2011-12 compared with £587 million on the east coast main line.

I hope that the Minister will confirm that we are going ahead with the new franchise, that we are on course to deliver it and that the new franchise will deliver a better service than the existing east coast main line, which is, to be honest, just treading water at the moment. I know that the Minister will also want to ensure that there is a service to Cleethorpes.

Oral Answers to Questions

Karl McCartney Excerpts
Thursday 28th February 2013

(11 years, 9 months ago)

Commons Chamber
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Lord McLoughlin Portrait Mr McLoughlin
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I am due to meet the Minister in Wales shortly to discuss a number of issues. I am sure that the hon. Gentleman’s point will be one of the particular issues we discuss. We have made major announcements about electrification in Wales. I realise that it affects south Wales, but I hope that the hon. Gentleman will think it a move in the right direction.

Karl McCartney Portrait Karl MᶜCartney (Lincoln) (Con)
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T2. Lincoln finally has one daily direct service to London despite being promised seven up-and-down daily links at the 2010 general election. Will the Minister assure me that when the new franchise is put out to tender, my constituents will see an expansion of direct daily services and weekend services, as we are well aware of the need for our expanding city to enjoy as many rail links to the capital as other cities across our nation?

Lord McLoughlin Portrait Mr McLoughlin
- Hansard - - - Excerpts

My hon. Friend now serves on the Select Committee, and will therefore be well able to keep an eye on these matters. We are always being asked for extra services, but I assure him that I am well aware of the case for Lincoln, especially in the light of the important celebrations that will take place next year. I will certainly consider it, and will judge it in the context of all the other opportunities that we have, and requests that we receive, for the provision of extra services.

HGV Road User Levy Bill (Ways and Means)

Karl McCartney Excerpts
Tuesday 23rd October 2012

(12 years, 1 month ago)

Commons Chamber
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Karl McCartney Portrait Karl MᶜCartney (Lincoln) (Con)
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Can the Minister confirm whether it is true that the wear and tear caused to a stretch of road by one journey by an HGV vehicle equates to 100,000 car journeys?

Stephen Hammond Portrait Stephen Hammond
- Hansard - - - Excerpts

I would like to be able to confirm that statistic, which may or may not be true, but I cannot do so at the moment. I will seek divine inspiration at some stage and write to my hon. Friend.

Rail Infrastructure (Merseyside)

Karl McCartney Excerpts
Tuesday 12th June 2012

(12 years, 6 months ago)

Westminster Hall
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Alison McGovern Portrait Alison McGovern (Wirral South) (Lab)
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I thank the Speaker for providing me with the opportunity to hold this debate. I am a railwayman’s daughter. I am also a railwayman’s granddaughter and great-granddaughter, and had the opportunity to work for Network Rail for a few years myself.

Karl McCartney Portrait Karl MᶜCartney (Lincoln) (Con)
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I thank the hon. Lady for giving way so early in her speech and congratulate her on securing the debate. On the subject of fatherhood, is she aware that Merseyrail provides free travel for pensioners travelling from the Merseyside area to Chester, but that pensioners who catch the train at Hooton must pay to travel to Chester?

Alison McGovern Portrait Alison McGovern
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I thank the hon. Gentleman for his intervention. It is always important to speak up for pensioners, especially those related to us. I am sure that people outside this place will take note of his comments.

As I was saying, I come from a long line of railway people. I mention that not to emphasise a lack of imagination in the McGovern family but to say that in this debate, I will be demanding in speaking for the future of rail in Merseyside. However, I do so in the knowledge of how difficult questions of investment can be.

For reasons that I will suggest shortly, public transport should be central to the current national debate about the economic future of our country. This afternoon’s debate focuses on Merseyside and the surrounding areas of north Wales, Cheshire and Lancashire, but my point—that infrastructure planning is at the heart of economic development and poverty alleviation—could be made about many places in our country.

This year, the Secretary of State for Transport will set out the Government’s investment priorities for our rail network for the five-year period from 2014 to 2019. It is a significant opportunity. It will set the agenda for investment and begin thousands of conversations about how we can speed up, increase capacity and provide access to markets for our many citizens who are looking for a job or need access to parts of our economy.

Northern Rail Hub

Karl McCartney Excerpts
Wednesday 18th January 2012

(12 years, 11 months ago)

Westminster Hall
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Guy Opperman Portrait Guy Opperman (Hexham) (Con)
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I will try to be a little briefer and more directly to the point. I make the fundamental point that I support the assertions in favour of the northern hub, and briefly reflect on the fact that we now have a situation where the Secretary of State is from Rotherham. Is that not a good thing, as a northerner? The Minister has been repeatedly up to Newcastle, both before and after the general election, and we have a Parliamentary Private Secretary, my hon. Friend the hon. Member for Harrogate and Knaresborough (Andrew Jones), who is from Harrogate and is a former vice-chair of the all-party parliamentary rail in the north group. It is a positive step to have Ministers and parliamentarians who are genuinely interested in transport in the north, and particularly in railways.

I endorse all that has been said on HS2. That does not mean to say that we do not have to monitor the contracts, support it in the right way and monitor it so it goes well, but fundamentally it is a great thing that we have HS2 investment and the degree of investment we have had in the northern hub, with the Ordsall chord and the electrification that has taken place, which will produce extra capacity. I regularly take the train from King’s Cross to Newcastle and, on the last two occasions, far from being happy-go-lucky in first class, I have sat all the way to York outside the toilets, because that was the only place where there was any space on the floor.

Guy Opperman Portrait Guy Opperman
- Hansard - - - Excerpts

Some would say, “Quite right, too.” I do not think that everybody else is doing that, but the point is this: all of us see, commuting as we do to the north, the degree to which there is a lack of capacity on the trains at peak times. I support wholeheartedly the work that is being done by the North East chamber of commerce, which is very supportive of the northern hub, and by the Tyne Valley community rail partnership.

I want to raise one follow-on point from the northern hub and how Northern Rail in particular is conducting itself in the north-east and in Northumberland. If colleagues will indulge me for two minutes, I will explain. “Torchgate” is not a matter that I expect the Minister to solve, but it is important that she understands the great difficulties that Northern Rail has produced. There have been a number of new carriages applied to the Northumberland lines, but a failure—the key point—to actually light the areas such that for three days we had an extra carriage on the crucial 7.42 from Hexham to Newcastle and then the union decided that it was not safe for its drivers to walk in an unlit area to change it all around. Consequently, torchgate means that, in the absence of a torch and the ability to navigate from one end of the train to the other, the train has been cancelled to the great detriment of my local residents.

Hilariously, these trains are Leyland buses on wheels. They are the original 1985 Leyland national bus, which has been turned into a train, and upgrades are welcomed greatly, but the idea that in the north of the north we are being supported by Northern Rail and that the northern hub goes that way, is genuinely not being felt by local commuters and people who utilise this service.

I am acutely conscious that other colleagues wish to get in. I urge Northern Rail to change its approach, resolve the torchgate problem, increase the capacity on the Hexham line and, generally, address the manifest failure to be flexible. I suggest that the Minister can address this. All the rail companies that we have to deal with as we develop and move forward are not looking at what the customer wants: they are working out what they want to do, not what the customer wants to do. Let me give an isolated, easy example.

A plethora of fans want to support Newcastle United or Sunderland on a match day, including Saturday. People might think that it would be obvious for a rail company to lay on extra trains or carriages to entitle people to do that and travel in the right way, but that is not happening. I urge the Minister to speak to Northern Rail about the extent to which it can become more flexible, so that we can have a better, more functional rail system.

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Stuart Andrew Portrait Stuart Andrew
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My hon. Friend never ceases to remind us that Yorkshire goes further east than Leeds. I support his comments.

Karl McCartney Portrait Karl MᶜCartney
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Please do not forget Lincolnshire either, and Lincoln.

Stuart Andrew Portrait Stuart Andrew
- Hansard - - - Excerpts

It has nothing to do with me; it is up to the Minister.

Thinking about the economy, my constituency comprises old mill towns. The mills have now gone and people now travel much further to go to work. We have excellent, vibrant cities and towns in the north of England. We have a horrible reputation of wearing cloth caps and so on, but some vibrant work is going on.

I am proud that Leeds, Harrogate, York, Wakefield and Bradford are working together in the Leeds city region, ensuring that they are making the best of what we have. The chamber of commerce has now linked together with Leeds and north Yorkshire. But we need to work even more widely, so that Leeds, Liverpool, Manchester, York, Sheffield and Hull can take up the opportunities that are there. However, there is an obstacle: the current network is struggling. There are more passengers on our railways, more cars on our roads and more freight on the motorways. We need to make it easier to get around.

My mother visited me recently and wanted to get over to Chester to see the rest of her family. Trying to plan her journey from Leeds to Chester was ridiculous, because she would have had to make a number of changes and spend a long time on platforms waiting for connecting trains.

Not so long ago, when I went on a Select Committee visit to Wrexham, I thought I would be good and get the train back to Leeds. It took me four and a half hours on five different trains, by which time all the officials from the Select Committee had got back to London. It is ridiculous that I cannot make a journey that would take an hour and a half by car in a similar time on the train.

Cost of Motor Insurance

Karl McCartney Excerpts
Tuesday 8th November 2011

(13 years, 1 month ago)

Commons Chamber
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Karl McCartney Portrait Karl MᶜCartney (Lincoln) (Con)
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It is a pleasure to follow the hon. Member for Liverpool, Riverside (Mrs Ellman), who made many points with which I agree. I congratulate her and hon. Members across the House on securing this debate and putting forward this motion. May I declare an interest as both a justice of the peace and one of 32 million drivers who pays insurance for the family car? Like many, I am dismayed that the previous Labour Government did nothing to dissuade the estimated 1.5 million uninsured drivers still on our roads or to halt the rise in fraudulent claims and insurance scamming which plague drivers and our courts.

Like many colleagues, I am aware that it can often be the issues that never make the front pages, or those that receive little, if any, attention, that can irritate people the most and can undermine and shake their belief in the rule of law and a responsible society. Normally, this occurs when people have done the right thing yet their fellow citizens who have purposely done the wrong thing somehow get away with it and the law-abiding are left to pay the penalty. The menace of uninsured drivers is one such issue. If that and the so-called insurance scammers were effectively tackled, the costs of motor insurance would be significantly reduced for the law-abiding drivers of our country.

In September, I conducted an online survey regarding uninsured drivers, the fines and punishments currently handed down, and what respondents felt should be the punishment, given the rising costs of premiums that most law-abiding drivers have had to pay in recent years. There is a widely held view that there is a need for far harsher penalties for uninsured drivers and other people who, aided and abetted by the claims industry, lie about the extent of injuries caused to them and, in some cases, wilfully manufacture the circumstances in which accidents occur. There are also about 1,200 claims per day for whiplash, each case averaging a payout of £3,500, and hire car charges for replacement cars are also eye-wateringly high. That is not sustainable, or, I believe, a true representation of accidents on our roads.

My interest results not only from what my constituents or friends and family tell me, but from what I have seen with my own eyes and experienced personally. As a magistrate, I have found that our hands have for some time been tied by rules and by the ring-fencing of the level of fines and type of sentences we can impose on the same old faces that come before us, often three or four times in a few years. These people include those who drive without insurance, and often without tax and MOTs for their vehicles too. It is also a proven fact that many of those convicted of vehicle crime are involved in other law-breaking activities.

Moreover, my family and I have been the victim of three car insurance scams, and the police forces in both Kent and St Albans have shown no interest in following them up, despite judges and courts finding in favour of us and our insurance company. But they should, because how many fully insured drivers have the time and bullishness to see through such action, and challenge the system and the fraudsters? The system relies on this lack of willingness.

Kwasi Kwarteng Portrait Kwasi Kwarteng (Spelthorne) (Con)
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How extensive does my hon. Friend think the problem of fraud is in relation to rising premiums?

Karl McCartney Portrait Karl MᶜCartney
- Hansard - -

It is very extensive, and I shall discuss it later in my speech. It is something we have to deal with.

The system relies on a lack of willingness to contest such fraudulent claims. After the judge’s decision in our most recent case, it was revealed in court that these scammers had tried it on—successfully—six times in the past five years from the same registered address of the vehicle. Unpunished, they are probably trying it on again as I speak. Not only do uninsured drivers increase the insurance premiums of law-abiding insured drivers, but we taxpayers are being fleeced a second time, as our courts are seeing similar claims cases taking up large amounts of court time, whereas 10 to 12 years ago that was not so. Typically, the courts, those working in them and the legal system suspect that the true number of fraudulent claims is at least 10 times that which reaches our courts.

To gauge whether my views were in tune with others—I feel that there is an appalling lack of appropriate punishments for uninsured drivers and accident scammers—I conducted an online survey, as I said. It was predominantly of local people in Lincoln and asked their views about uninsured drivers, given that the average fine for driving uninsured in the county of Lincolnshire was £213 in 2010, a reduction from £233 in 2008. I was not surprised to find that the vast majority felt the fine level was too low. It is especially galling for insured drivers to note that while their average insurance premiums have risen by up to 40% in recent years, the fines for uninsured drivers have decreased in the same period. We can see why this situation has occurred. The average comprehensive premium for the Lincoln postcode was just over £603 at the end of September 2011, which shows that someone has to be caught 2.8 times or more in a year for it to be more expensive than to drive with insurance.

However, as we have heard, insurance is about risk and age, and those key factors also matter. For example, the estimated cost for comprehensive insurance for a male in Lincoln aged between 17 and 20 is £2,733. It is £1,338 for a 21 to 25-year-old and £765 for a 25 to 30-year-old. That means that anyone from those age groups caught driving uninsured has respectively to be fined 12.8, 6.5 and 3.6 times per year before the fine exceeds the insurance cost.

Jonathan Evans Portrait Jonathan Evans
- Hansard - - - Excerpts

But this is not only about the financial penalty that may be imposed on uninsured drivers. If the uninsured driver is involved in an accident, the significant costs of personal injury have to be borne by all the people who are doing the right thing, and that then adds to the insurance costs to which my hon. Friend has referred.

Karl McCartney Portrait Karl MᶜCartney
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My hon. Friend is correct, and that is something else that I will discuss later in my speech.

For many, the risk of driving without insurance is attractive. The “getting away with it” factor is too enticing. As hon. Members on both sides, and you, Mr Deputy Speaker, may know, I like being positive, and there have been many changes recently that I warmly welcome: the reported fall, by a claimed 25% in the past five years, in the number of people driving while uninsured; the recent clampdown on people owning uninsured cars; the seizure of uninsured vehicles; and the coming prevention of insurance companies and other agencies selling on personal data, which has fuelled insurance scamming. That move followed the welcome recent Motor Insurance Regulation Bill sponsored by the right hon. Member for Blackburn (Mr Straw). I hope that my ministerial colleagues will ensure that this applies to all referrals of personal data following vehicle accidents, and that the insurance industry and associated agencies will not look for any loopholes.

However, I believe that more needs to done, and the survey that I conducted through my website shows that the vast majority of local people who responded think so too. Unfortunately, I suspect that much of the insurance industry’s claimed recent fall in uninsured driving has come in London, where of course there has been a proliferation of number plate recognition cameras, in the City and, more recently, with the congestion charge area. Across the country a frightening statistic is still in force, which is that when we drive on UK roads in some areas every 12th car we pass has an uninsured driver at the wheel.

Having taken my views and those of my constituents into account, I have come up with a 10-point plan to clamp down further on the scourge of uninsured driving and phoney claims. First, as part of the need for a far more zero-tolerance attitude to be taken against supposedly low-level crimes, driving without insurance needs to be treated as a higher priority by the police. Like drink-driving, uninsured driving needs to be no longer socially acceptable.

Simon Hart Portrait Simon Hart (Carmarthen West and South Pembrokeshire) (Con)
- Hansard - - - Excerpts

Does my hon. Friend agree that things are a load easier for enforcement agencies in other countries, because the certificate of insurance is displayed on windscreens there?

Karl McCartney Portrait Karl MᶜCartney
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Remarkably, my hon. Friend picks up on the second point of my plan. Secondly, we should have an insurance sticker on every windscreen, just as we do for the current tax disc, that proves that a car is insured. Thirdly, we need far tougher sentences for those caught driving uninsured, with the minimum fine in each area being the double the average insurance cost in that area for the age and gender of the person caught. Fourthly, where someone is caught and prosecuted for driving uninsured, they should automatically lose their driving licence for a set period, perhaps at least one year. That should certainly be the case for a second offence and perhaps the period should be longer—say five years—for subsequent offences. Fifthly, when someone is caught and prosecuted for driving uninsured for at least the third time, they should perhaps go to prison—only for a short time—and be given a lifetime driving ban. Sixthly, if someone causes a serious accident while driving uninsured, they should go to prison and be given a lifetime driving ban. Seventhly, juries and magistrates should be made aware of whether false vehicle insurance claims had been made by those making a subsequent vehicle insurance claim that has reached the court.

Eighthly, those making false insurance vehicle claims that reach the courts should be prosecuted and actively pursued by the relevant police force. My penultimate point is that the names and addresses of those prosecuted for driving uninsured should be published widely. Finally, we must support both the clampdown on insurers being able to trade personal data of those involved in accidents and the regulation of the monopoly and sharp practices currently engaged in by insurers and the legal profession that see the motorist paying through insurance premiums and general taxation for their unwillingness to stamp out fraudulent and speculative claims, such as personal injury and hire car charges. These moves are just the start, and throughout my time in Parliament I am going to continue to campaign for justice for the insured drivers of our country.

Julian Sturdy Portrait Julian Sturdy
- Hansard - - - Excerpts

I agree with my hon. Friend that tougher action is required. Is he surprised to hear that 10% of drivers aged under 34 do not realise it is compulsory to have motor insurance?

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Karl McCartney Portrait Karl MᶜCartney
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I have heard that before and I am still surprised considering that I was brought up knowing that one had to be insured and given that one has to show one’s insurance documents to tax one’s vehicle. However, the point is well made.

I am going to continue to campaign for justice for the insured drivers of our country and for heavier punishments for those who are uninsured. The law-abiding majority—in this case drivers who, in many cases, struggle to pay large car insurance premiums but who rely on their car for work, for transporting children to school in rural areas or just to access local services and amenities—must always come first. I am also wary of the claims made by insurance companies and their insurance bodies and organisations, along with some parts of our legal system—the legal firms and operators in this field—that they are doing their best to reduce uninsured driving and scamming claims. They patently are not doing what they claim to be doing. They are complicit in passing on the cost of fraudulent claims and the £400 million to £500 million a year that the Motor Insurers Bureau fund pays out, which is taken from our premiums rather than their profits, to insure drivers who are involved in accidents with uninsured drivers. That is too much. They do not mind what our premiums are, as we have to pay the figures they quote. They have a monopoly.

I hope that my right hon. and hon. elected colleagues in government and honourable members of the judiciary and legal system will actively seek to reduce the financial burden of motor insurance on law-abiding drivers, particularly on new and young drivers, by ensuring that uninsured driver numbers are further reduced. That will ensure that young drivers in particular, at what should be an exciting time when they are able to have some independence, will be able to afford to drive legally on our roads. Further, older drivers who are struggling to afford motor insurance should find that premiums are reduced not just marginally but heavily if the insurance industry and legal system help to clamp down on the cost of uninsured drivers and on the cost generated by fraudulent and inflated claims. Those involved in the legal system that is currently in place are happy to see those claims passed through the system because they generate work, fees and profits at no cost to them, with drivers’ insurance premiums rising instead, as they have by more than 40% in the past year, to cover those costs.

The points I have made are based on the views of law-abiding respondents locally and on the view I have always held that the law-abiding majority should come first and the criminal should come last by a long way. The irritating system under which people may break the law knowing that the penalties for being caught are minor compared with the cost of complying with the law cannot continue. The situation has to be rectified to ensure that the law is on the side of those who uphold it, not of those who break it. Tackling uninsured drivers and insurance scammers will be a good step in the right direction.

Anything that will help to reduce the cost of insurance premiums for the law-abiding 32 million-plus drivers in our country has to be a good thing. Ensuring that there is a truly competitive insurance industry can only help drivers, especially if moves are made to ensure that it is no longer viewed as a rip-off for the motorist—or highway robbery, as some have termed the recent 40% rise in premiums. Perhaps regulating and removing the absolute monopoly enjoyed by the sector will also, along with appropriate levels of punishment, help to eradicate the despicable practice of uninsured driving on our roads. I support the motion.

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Jim Shannon Portrait Jim Shannon
- Hansard - - - Excerpts

Clearly, the fact that premiums are 84% higher shows what we in Northern Ireland have to bear. Part of the role of the cross-departmental ministerial Committee is to address that issue.

Premiums are high in Northern Ireland, but the number of compensation claims is falling, whereas in England and Wales it is increasing. The number of claims notified to the compensation recovery unit has reduced by 23% in Northern Ireland over a nine- year period, and over the same period it increased in England and Wales by 17%. It is a clear disparity—84% dearer insurance to start with, despite the fact that our claims are reducing. We have to ask why premiums are so high in Northern Ireland.

In 2009 the CRU was notified of 29,467 claims for compensation. In 2010 the county court of Northern Ireland made awards in only 768 civil bills for personal injury claims. The vast majority of claims are dealt with without the need for determination by the court. Again, claims are down but we are paying extremely high premiums.

In England and Wales a claim for damages arising from personal injury will routinely involve detailed claims for future caring costs. In Northern Ireland, these costs are reduced as injured persons will often be cared for by family members. That is perhaps the nature of us in Northern Ireland, but it is a factual example. In 2010, 87% of awards for personal injury in the county court were for less than £5,000. When there are claims, the average claim is small. That is important to note.

Karl McCartney Portrait Karl MᶜCartney
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Does the hon. Gentleman know whether the reduction in Northern Ireland is a result of insurance companies still having plenty of assessors who look at claims and make sure they are not fraudulent or as high as they are in England and Wales?

Jim Shannon Portrait Jim Shannon
- Hansard - - - Excerpts

I am not aware of all the details. I am aware only that compensation claims are down. The value is down, as well as the numbers. That indicates that we deserve consideration when it comes to premiums. That is the point I am making.

A number of the factors that are thought to have contributed to the rise in the cost of insurance premiums in England and Wales are absent from Northern Ireland—again, it is important to draw the comparison. The absence of no win, no fee agreements means that those in Northern Ireland who are seeking compensation must invest their own funds—perhaps that explains the previous point—before a legal claim can be brought. Alternatively, a solicitor’s practice may be willing to fund the outlays. This dissuades unmeritorious litigants. Furthermore, in England and Wales a successful plaintiff’s solicitor can claim a success fee, which can increase legal costs by up to 100%. There is no provision for success fees in Northern Ireland.

The insurance market in Northern Ireland shares a number of characteristics with England and Wales. The same advertisements are shown on TV. Admiral Group advertises on TV, as does Churchill, but underneath, the wee small print says, “Not available in Northern Ireland.” So although Churchill says, “Oh, yes” to every question he is asked, that does not apply to Northern Ireland, so there is clearly an issue to be addressed. The insurance market in Northern Ireland shares a number of characteristics, but not the price. That is the point we want to make.

Some time ago I had the opportunity to go with some of my constituents to meet the Department of the Environment in relation to a suggestion we were making. Perhaps the Minister in his response, as well as the Committee, will take this on board to see how we could reduce premiums and fees in Northern Ireland. One of the suggestions that was made concerned a new scheme that exists in parts of America and Europe, whereby a gadget, for want of a better word, is put in cars that monitors the speed and the mannerisms of the driver. That feeds back to a central place. That reduces fees because if drivers transgress, on the principle of “Three strikes and you’re out,” they lose their premium reduction. That might be a way of addressing some of the issues.

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David Ward Portrait Mr David Ward (Bradford East) (LD)
- Hansard - - - Excerpts

Just after I was elected, I was asked to go to a local mosque to meet a group of young men who wanted to talk to me about various issues in the BD3 area of Bradford. It soon became apparent, however, that the main issue that they wanted to discuss was unaffordable motor insurance. Tales were told of people having to give up the ownership of vehicles used for family purposes and, more worryingly, of people having to give up the ownership of vehicles such as taxis, which were used for businesses and as part of their livelihoods. Even more worrying, I guess, were tales of friends who used Leeds postcodes when applying for insurance, despite living in Bradford, as the only way—fraudulently, of course—to obtain affordable motor insurance.

I undertook to determine the extent of the problem locally, and to see what proceedings had already taken place in Parliament to address the issue. It quickly became clear that Parliament did indeed take the issue seriously, especially through the work of the Transport Committee. It was useful to see the work that took place during the previous Parliament, and I am delighted that it has continued into this Parliament on such an important issue. Indeed, I welcome the Committee’s dogged and persistent pursuit of it.

We distributed about 15,000 local survey forms, and incredibly almost 2,000 were returned. In fact, they are still coming back. The respondents to the survey have seen their premiums rise by more than 60% in the past two years, at an average of just under £900, and their responses show that many Bradford residents are well aware of the role that personal injury claims play in pushing up total claims and, therefore, premiums. Many people have reported being pressurised to make bogus claims, and often by reputable firms of solicitors.

We carried out interviews with the police, insurance brokers and companies, driving instructors, GPs and, of course, numerous affordable-insurance-seeking drivers in order to get their views, and we produced a report and held a summit meeting to report back on the work that we carried out. What became apparent was that almost everybody we talked to had their own pet reason why insurance premiums were high. Whoever we talked to, they would say, “This is why they are so high.”

Many members of the public blamed uninsured drivers, and unfortunately we have the dishonour of topping the hit parade for uninsured drivers. I think that we have held it for several years in the BD3 community, and during our survey we often heard the question, “Why don’t the police do more about it?”

The police pointed out that the cost of uninsured drivers—the Transport Committee covered the point, but not a lot of people know this—is about £30 per premium, and it plays a part in high premiums but not a tremendously large part in excessively high premiums.

I went out with the police on a dawn patrol—all very exciting—in a vehicle impressively equipped with the latest, unbelievable technology for automatic number plate recognition. We have a ring of steel in Bradford—fixed cameras—but the technology in our vehicle enabled us to see all the number plates coming towards us and going away from us. They pinged up as information came through about vehicles that the police had an interest in, not necessarily just those that were uninsured.

Within 60 minutes of leaving the police station, we had identified an uninsured driver, the car had been seized and it was on the back of a trailer on its way to the compound. The car probably ended up being crushed. It would have been held for a period, but probably the owner just went to the next car auction and replaced the vehicle—and off he went again.

The police do impressive work—they seized 2,000 vehicles during the previous 12 months—but the level of fines has to be investigated. There is a difficulty for magistrates, because they have to take into account the ability to pay of the person being charged. It seems a simple solution just to increase the fine, but if the person cannot pay the penalty it does not really matter whether it is £300 or £3 million because it is not going to be a deterrent.

Karl McCartney Portrait Karl MᶜCartney
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The hon. Gentleman may have heard my speech, in which I made precisely that point. Fines have to be such that uninsured drivers definitely insure themselves. Unless they are increased in the magistrates courts and elsewhere, such drivers will not be forced to do so. What does the hon. Gentleman think?

David Ward Portrait Mr Ward
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Absolutely. When the fines are so much lower than the premiums, there are bound to be people who take the risk of getting caught, and it completely undermines the public’s confidence in the system and, indeed, the police. If fines are to be a proper deterrent, surely they should at least reflect the amount that the driver would have had to pay had they not avoided paying insurance.

--- Later in debate ---
Mike Penning Portrait Mike Penning
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I know you too well ever to rebuke you, Madam Deputy Speaker, and I would never be led astray by the hon. Gentleman.

I do not agree with the hon. Gentleman. We have a situation in which young people—or, indeed, anyone—passing their test today can go on the motorway. There are no restrictions on that, and we need to give them the necessary skills. I have a full car, full motorbike, HGV and tank licence to boot, and I have driven on the motorway in all types of vehicle, so I understand. I have an H licence. The hon. Gentleman was indicating from a sedentary position, “What is a tank licence?”—it is an H licence for tracked vehicles.

Let me touch on issues of technology. As we heard earlier, some insurers have been using technology, particularly the black box. The Co-operative insurance company, which was mentioned earlier, has a scheme that encourages people to take the box in their car, and it monitors very carefully what speed one is travelling at, what time of day one is driving—nearly everything. I have been pushing quite extensively with insurers to roll that out further. It is the obvious way forward. If people are given the responsibility of a driving licence, they can be given the opportunity of responsibility. However, insurance companies have to be transparent. We have to know why the premiums are what they are and how they can best be broken down so that the public, when they look at their premium, know exactly what they are getting for their money. If there is a discount, we need to know exactly what it is and that if the person who takes out that policy sticks rigidly to the agreement their premium will not shoot up the following year or month.

In conclusion, I think this has been a very sensible debate. I welcome the report from the Committee chaired by the hon. Member for Liverpool, Riverside and I think that we can agree on most things. We have many, many Committees sitting already; one more would be quite difficult. We meet regularly on a cross-party basis to discuss these matters, and myriad Departments can be involved, depending on the issue in question.

At the moment, we are doing a great deal of work on penalties, which I have not yet touched on, and on the question of whether fines are the answer. The Secretary of State for Work and Pensions has already announced that he is going to allow fines to be increased for those on benefits. At the moment, the figure is £5, but that will increase to £25. I personally think that, as well as looking at increasing fines, we need to look at the points. In most cases, people will be prepared to pay a fine, but they might find the prospect of getting additional points on their licence more of a deterrent. They might decide that getting an extra six points, rather than just three, might mean losing their licence. I hope that such a move might prevent more people from driving while uninsured.

Karl McCartney Portrait Karl MᶜCartney
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I understand what my hon. Friend is saying about points. Is there not also a need to make it socially unacceptable to drive while uninsured? Would it perhaps be prudent to consider a prison sentence for people who seem determined to do it three, four of five times or who have been involved in a serious accident while uninsured?

Mike Penning Portrait Mike Penning
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I thank my hon. Friend for that point. We will continue to look at the penalties involved. Those of us who came through the drink-driving campaigns of the ’70s and ’80s will remember how we turned drink-drivers into pariahs, but that involved educating the public first, then using a big stick. We did the same with seat belts, and we now need to do it with drug-driving as well as with uninsured driving. We will continue to look at this, but, at the end of the day, it is for the magistrates and the courts to decide how they interpret the law. They have a degree of autonomy, which is why so many drivers who have more than 12 points have kept their licence. It is a matter for the courts to interpret the special needs of the people involved, and perhaps the lawyers who represent them are also a factor. I was shocked when I saw the figures, and it was my own Department that released them.

I know that the hon. Member for Liverpool, Riverside is going to respond to the debate. Her Committee has produced an excellent report, and we have had an excellent debate. I look forward to implementing many of the measures that have been mentioned, so that our roads can continue to be the safest in Europe and among the safest in the world.