Rail Infrastructure Investment

Lilian Greenwood Excerpts

Thursday 17th January 2019 Westminster Hall

[Lilian Greenwood (Nottingham South) (Lab)]

I beg to move,

That this House has considered the Fourth Report of the Transport Committee, Rail infrastructure investment, HC 582, and the Government response, HC 1557.

I am delighted to lead this debate on the Transport Committee’s Fourth Report of this Session, on rail infrastructure investment. I will start the debate as we started our report, by underlining the importance of the UK’s railways. They are a vital part of our national transport network and make a substantial contribution to the economy. Their importance has been recognised by successive Governments of all parties, with billions of pounds invested in rail every year. The importance of our railways is not in question.

However, there are serious challenges for both rail passengers and the industry. While 1.7 billion journeys were made by rail in 2018, it was not an easy year for passengers, who faced disruption and disappointment. Planned improvements—including electrification in south Wales, the midlands and Cumbria, and the opening of Crossrail—have not been delivered, while May’s timetable changes caused unprecedented chaos across the network. This year started with more unwelcome news for rail commuters, with fares increasing by an average of 3.1%.

We must work towards improving services for rail passengers and freight customers. Investment in the network is essential for enabling better services, which in turn provide new opportunities for our constituents and support the development of our towns and cities. That was the focus of our report, and today I will look at three of the main issues it raised.

First, we need to ensure that rail investment and its benefits are shared equally across the country. It is clear that many feel that rail investment is unfairly centralised in a small number of areas, and the Department for Transport has done little to respond to those concerns. Secondly, there are serious questions about what future improvements the Government’s new approach to funding rail enhancements will deliver. To date, more than a year after the new system was put in place, there is a total absence of information about what proposals are even being considered. Thirdly, there remain questions about the future role that electrification will play in improving the UK’s rail network, following the cancellation of the electrification of the midland main line north of Kettering to Nottingham and Sheffield, the Great Western main line to Swansea and Cardiff and the lakes line between Oxenholme and Windermere.

There is long-standing dissatisfaction about the level of investment in the rail network in different regions, and our report looked in detail at the disparity in investment across the country. We considered the issue in the context of the Government’s stated intention to rebalance the economy away from London, exemplified by the northern powerhouse and the midlands engine. From 2012 to 2017, the north-east, the east midlands, the south-west and Wales all received less than 10% of the level of rail investment that went to London. Only the north-west, the south-east and Scotland received even a fifth of the level of rail investment in our capital.

The capital’s size and population mean that it is unsurprising that more is spent in London, in absolute terms, than in other regions. However, there is also a substantial disparity between spending per capita in London, at £773 a head in 2016-17, and other regions, with a low of just £70 per head in my own region, the east midlands. The Institute for Public Policy Research North analysed the Government’s planned transport spending, as set out in the Government’s 2016 “National Infrastructure and Construction Pipeline”, stating that it showed problems not only in the past but in the future and

“a stark gap between London and the rest of the country”,

with £1,900 per capita spending planned in London from 2017 onwards, compared with £400 in the north.

The sense of unfairness felt by many regions across the country has been exacerbated by continued investment in major developments that primarily benefit London. It is hardly surprising that there was real anger when, four days after the cancellation of those electrification schemes, the Secretary of State and the Mayor of London jointly announced an agreement in principle to fund Crossrail 2 at an estimated cost of £30 billion.

The Government have tried to rebut the figures about the regional disparity of investment in our railway. Their response to our report said that

“the planned spending per head figure is within 33% of the national average for all nine English regions. Moreover, the overall figure for the three Northern regions (North West, North East, Yorkshire and Humber) is £1,039 per head, compared to £1,076 per head for the Middle regions (East of England, East Midlands and West Midlands) and £1,029 per head for the Southern regions (London, South East and South West).”

However, those figures are based on a selective analysis. By aggregating regions, variations in the midlands, the north and the south are masked. For example, Yorkshire and the Humber received just £729 per head, the north-east £822 per head and the south-west £851 per head.

[Diana Johnson (Kingston upon Hull North) (Lab)]

As usual, my hon. Friend makes a powerful case for the report that her Committee has produced. She just referenced the funding for Yorkshire and the Humber. The Department for Transport seems to put its head in the sand whenever it is challenged on these regional disparities. Given that the new Rail Minister is a Yorkshire MP, does she think that we might now see a recognition that the north has not had its fair share, and that we will now start to get our fair share?

[Lilian Greenwood]

My hon. Friend has been an outstanding advocate for the north and its need for rail investment. The Minister is a newish Rail Minister, but I know that he previously served in the Department for Transport. We had discussions in the past, when he was the Minister responsible for buses, and I always found him genuinely prepared to listen. I hope that he brings the same approach to his new role.

In January 2018 IPPR North assessed the Government’s analysis of regional spending and stated that it excluded spending in the pipeline for after 2020-21, meaning that the analysis omitted some £42.5 billion of planned investment, 40% of which—£19.8 billion—is earmarked for London. The Government have therefore presented, even if accurate, a rather skewed picture of how planned transport spending will be distributed across the country in the coming years.

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

My hon. Friend is doing an excellent job of presenting our Committee’s report and explaining how the Government tried to fiddle the figures to obscure the fact that London is getting about 80% of the funding. Does she agree that this will not be rectified and made fair until the methodology for deciding on investment schemes is changed? It massively over-weights time saved, which always pushes investment towards densely populated cities such as London, rather than Newcastle, Manchester, Leeds or the other regional cities.

[Lilian Greenwood]

My hon. Friend makes an important point, which I will come to in due course. He is a long-standing, experienced and expert member of the Transport Committee, and I am delighted that he is here this afternoon.

The DFT also argues that it is difficult to break down regional spending accurately, saying that where expenditure on the railway takes place is not always an accurate reflection of where the benefits are felt. The Department also emphasises the difficulty of analysing investment annually, or even five-yearly, given that railway assets typically have a lifespan of 25 to 40 years, pointing out that there was inevitably

“a cyclical nature to replacing them that does not lend itself to an even split of funding across all regions within every 5 year control period.”

Of course, there is merit in those arguments, but I simply ask the Minister, when was there a time when investment in the north exceeded investment in the south?

While the Government’s commitment to rebalancing the economy is welcome, it is clear from past experience that, as my hon. Friend the Member for Blackley and Broughton (Graham Stringer) said, current methods for making investment decisions make it much easier for highly populated, economically successful places to prove the case for schemes in their area, because the model has a bias towards schemes that exhibit strong levels of potential demand and/or high potential to relieve existing transport congestion. Witnesses to the inquiry told us that this approach inevitably drew more investment to London and unless the system could be altered to take greater account of wider economic benefits, the process would be inexorable.

Maria Machancoses, the director of Midlands Connect, told us that

“figures on the disparity of investment, no matter which formula you look at—whether by the DFT or the Treasury—they all say that outside London it is just not working.”

Her view was that this should be the starting point from which to “move forward.” However, in their response to our report, the Government did not accept the suggestion that their scheme appraisal methods did not provide a fair share of investment in rail across the UK’s regions. This completely fails to acknowledge the overwhelming feeling across the country that investment in rail is unfairly concentrated in a few small areas.

While there are undeniable complexities in accurately breaking down regional spending and identifying where the benefits of investment are felt, the Government must recognise the concerns that have been raised about the regional disparities of investment in our rail network and take action to address them. It is hard to believe that the Department will do so if it does not accept that there is a problem in the first place.

The DFT has published a rebalancing toolkit, to be used as part of the strategic assessment of future investment programmes. This was welcomed in principle by our witnesses. However, when we asked the then Rail Minister, the hon. Member for Blackpool North and Cleveleys (Paul Maynard), for examples of the toolkit’s influence on DFT’s transport investment decisions, he could not provide a single specific example. He told us that it was “relatively early days” for the approach. Our witnesses said that the Government needed to prove that what the rebalancing toolkit is meant to achieve will actually take place. I ask the Minister, over a year after the toolkit was introduced, how has it influenced the DFT’s investment decisions?

In our report, we also called on the Government to be more specific about the economic rebalancing effects they intend to achieve. We call on them to tell the regions in need of regeneration how they can prove their cases and secure investment. We argued that people in the north-east and south-west, regions that have experienced relative under-investment in recent periods, must have a clear sense of what the Government are trying to achieve in order to be able to judge their success.

We also recommended that use of the rebalancing toolkit be mandatory and that the Department worked with Her Majesty’s Treasury to explore how economic rebalancing can be made an intrinsic part of appraising transport schemes. That would put rebalancing at the heart of investment decisions, rather than it merely being an add-on. In response, the Government have told us that it would be impractical to make use of the toolkit mandatory. Why has the Department developed a toolkit that is impractical to use?

Let me turn to rail electrification. Under successive Governments since 2009, the Department has made a compelling case for widespread electrification, moving from diesel to electric traction, particularly on heavily used parts of the network, which would reduce journey times and facilitate lighter, more efficient trains, reducing long-term costs, improving environmental sustainability and enhancing capacity. The Government’s decision to cancel electrification schemes in south Wales, the midlands and the Lake district were a huge disappointment for people who had been promised improvements to their network. Following the cancellation of these schemes, there are also serious questions about the Government’s support for future electrification of the network.

It is clear that the plans for electrification were over-ambitious and suffered from inadequate planning and budgeting. The schemes were hampered by an unclear definition of responsibilities between the DFT, Network Rail and the Office of Rail and Road, and disappointment at their cancellation was compounded by poor communication by the Department for Transport.

Although the decision to cancel the midland main line and the lakes line schemes was taken in March 2017, it was not announced until July, on the day the House rose for its summer recess, limiting opportunities for scrutiny of the decision. The Government also presented the decision not to electrify these lines as a positive story about passenger benefits being delivered in other ways. The announcement, unsurprisingly, was met with scepticism by those who saw it as a pragmatic, cost-based response to overruns. The National Audit Office agreed with those sceptics, and concluded:

“The Department decided to cancel projects in 2017 because Network Rail’s 2014-2019 investment portfolio was no longer affordable.”

Passengers on the midland main line and Great Western main line should eventually see some improvements in capacity and journey time from other enhancements in control period 5, but the way that enhancement to these lines has been handled is far from ideal and has done nothing to create confidence in the Government’s approach to rail improvements.

[Huw Merriman (Bexhill and Battle) (Con)]

I congratulate the hon. Lady, my friend, the Chair of the Select Committee, on securing the debate. She took us through our Select Committee report and chaired us so well. The Government rightly place great faith in the future in hybrid trains and bi-mode, but does she share my concern that we are in a bit of a hiatus? We either have electrification or technology that is not quite there. Many communities—mine in particular, with the extension of HS1—are faced with uncertainty as to whether they will ever get a better service.

[Lilian Greenwood]

The hon. Gentleman is a very valued member of the Select Committee. While new traction, hydrogen and battery potentially have a place on our railway, it is clear that they are not sufficiently developed to be a proper replacement for electrification. There is some doubt about whether they will ever be a suitable replacement for electric trains, particularly on inter-city journeys operating at higher speeds. He is right to raise concerns about the time that might be taken for parts of the country to see improvements to their services, particularly if there is a continued aspiration to use bi-mode technology. While that can provide some benefits, it undoubtedly also has a significant impact on operating costs. When passengers are very concerned about their fares raising, building in long-term costs seems a wise approach.

While it is now clear that the electrification schemes that had been planned were undeliverable, the Railway Industry Association and others were convinced that, for now, electrification remained the optimal solution to train traction. The case for electrification is particularly strong on heavily used routes, balancing significant benefits to passengers with the wider environmental benefits and long-term cost efficiency. Our report called for electrification to be delivered through a long-term rolling programme in which the Department, Network Rail and the wider industry learn the lessons of earlier schemes and strive to reduce costs. Do not throw the baby out with the bath water.

A key driver of Government investment in the rail network is their commitment to reduce carbon emissions. In February 2018, the Government called on the industry to produce a vision for how it will decarbonise with an initial response due in September last year. The Government response to our report confirmed that an industry taskforce, led by Malcolm Brown, is taking this forward. Have the Government received this taskforce’s report on how to decarbonise the rail system? If so, what does it say and what are the Government doing with it? David Clarke, technical director of the Railway Industry Association, has said that to achieve the Government’s aim of decarbonising UK railways by 2040,

“electrification must be one of the prime options for intensively used routes”.

The Government accepted our recommendation that it should engage with RIA’s electrification cost challenge initiative. The Department committed to producing a report on cost-effective electrification by this summer, but has said that it will remain agnostic about the best means of securing rail enhancement and that it does not expect proposals for new enhancement to begin with a predefined solution such as electrification. I am afraid it is clear that the Government have no plans for the future electrification of the railways.

I ask the Minister to update us on the Government’s work to produce a report with the industry on cost-effective electrification. When we conducted our inquiry, we heard that there was considerable interest in third-party-funded electrification schemes on the midland main line. We recommended that those proposals should be fully considered as an alternative to the proposed bi-mode solution.

The Government accepted our recommendation and said that they would fully consider

“Any proposals made to government or Network Rail about private sector solutions on the Midland Mainline that could provide benefits in addition to the passenger benefits that are being secured by the Government.”

What discussions have the Government had with third parties about proposals for electrifying the midland main line, and how will the improvements for passengers of the enhancements that will be going ahead compare with the improvements that would be delivered by electrification?

Some hon. Members present represent areas of the north covered by the transpennine route. The upgrade of that route is expected to include some electrification, but those enhancements have been considerably reduced since the then Chancellor announced in 2016 that the Government were

“giving the green light to High Speed 3 between Manchester and Leeds”.—[Official Report, 16 March 2016; Vol. 607, c. 961.]

There are serious concerns that the upgrade will not be fit for purpose for freight trains, and that because only part of the line will be electrified, the route will need bi-mode trains, which will build in higher operating costs for years to come. Are the current proposals for the transpennine route upgrade in line with the advice from Transport for the North? If not, why not? I note the letter to the Secretary of State for Transport from the operator of Humber, Mersey and Tees ports on 7 January, which says:

“It is of increasing concern that the Department for Transport and Network Rail are undervaluing our industry in the North and undermining the economic goal and objectives of the Northern Powerhouse; it will only make the productivity gap between the North and South of England even greater and devalues further the role of Transport for the North.”

It is concerning when the industry feels that the transpennine route upgrade, as it is currently considered, will lead

“to an utter dependence upon the M62 for Transpennine freight traffic for at least another generation.”

We have talked about some of the problems experienced as a result of planned railway improvements in the past five years, which have triggered successive reviews of the planning and delivery of enhancements and led to a substantial change in the way future investment in the railways will be considered and delivered. The next five-year control period will focus on operations, maintenance and renewals, the volume of which will increase substantially, not least because of the number of renewals that have been postponed from the current control period.

Following those postponements, the greater focus on maintenance and renewals in control period 6, which starts in April, is necessary and welcome, but there are long-standing concerns in the industry that investment in renewals has been lumpy, stop-start and boom and bust. We have heard that the level of uncertainty about upcoming spending could have knock-on effects on the wider industry’s confidence to invest in its workforce, skills and innovation.

In our report, we called on the Government to work with Network Rail, the regulator and the industry to look at the ways in which investment could be smoothed out from the start of control period 6, throughout that period and beyond. The Government accepted that recommendation, so I ask the Minister, how has the Department worked with the industry to smooth out investment for the upcoming control period?

Instead of forming part of the five-year control periods for Network Rail investment, future enhancements of the rail network are now subject to a separate process. The new rail network enhancements pipeline is intended to support a continuous planning approach and move away from the overly rigid five-year cycle that was linked to railway control periods.

The Government have signalled that they expect more railway enhancements to be market-led proposals brought forward by third parties. We heard that there was likely to be interest from third parties in bringing forward such proposals, but it was not clear to us that Network Rail had the structures or culture in place to support such third parties to engage and participate in the planning, delivery, funding or financing of the railway.

[Daniel Zeichner (Cambridge) (Lab)]

I echo the earlier comments of my colleague on the Transport Committee, the hon. Member for Bexhill and Battle (Huw Merriman), about my hon. Friend’s skill in presenting her arguments and chairing the Committee. Does she share my concerns about the market-led proposals? In my part of the world, we have had some major proposals for east west rail, which has been promoted by the National Infrastructure Commission, but there is considerable confusion about whether that railway will be privately run, as the Secretary of State has suggested, or whether there is a plan B. I am not convinced that there is and I am interested in my hon. Friend’s views on that.

[Lilian Greenwood]

It is wonderful to see so many members of the Select Committee here. My hon. Friend raises an important point about what will happen if market-led proposals do not provide the opportunities that the Department hopes. I will touch on that in a moment.

In November, the Government said that they had received 30 responses to their call for ideas for market-led proposals to enhance the railway, but that they could not make an announcement about individual schemes because the proposals had been submitted in confidence. How have those market-led proposals progressed since November, and do the Government expect any of them to be delivered, including the one referred to by my hon. Friend the Member for Cambridge (Daniel Zeichner)?

There was significant support for moving enhancements planning away from the control period process, and we support the intention behind the rail network enhancements pipeline, which should ensure that the planning mistakes made over the past five years are not repeated. However, we also found a substantial risk that the rush to deliver poorly planned and scoped schemes in the current period could be replaced by a different problem—a slowdown or interregnum in new enhancement projects.

That is why we called on the Government to provide a clear set of strategic priorities for rail infrastructure investment in each region, and to outline the specific projects likely to be available for third-party investment. The Government refused to set priorities for each region, so I ask the Minister today to set out the Government’s priorities for rail enhancements over the next five years.

We were also concerned that the process outlined by the Government did not provide the reassurance and certainty on future investment that the rail industry is looking for. We said that more transparency about the enhancements pipeline and decision-making processes in the Department was needed. That is particularly true if the potential for a substantial increase in third-party investment is to be realised. The Government accepted that recommendation and said that they are

“committed to transparent policy making and intend to make clear public statements”

as investment decisions are taken at each stage of the pipeline. So far, however, we have seen no such statements.

The Railway Industry Association has said:

“The visibility of enhancements remains a major concern for rail suppliers. There is now a lack of an obvious enhancements pipeline, with no construction-ready schemes in the Rail Network Enhancements Pipeline…published in 2018.”

Last week, I asked the Department how many rail enhancement schemes were being considered as part of the rail network enhancements pipeline, and what stage each proposal was at. Again, the Minister told me that the Government

“are committed to transparent policy making”,

but failed to answer any points of my question. That means that, almost a year after it was set up, the Department has yet to reveal a single proposal being considered as part of the pipeline. We are none the wiser about what, if any, future enhancements the Department is considering, let alone planning.

In response to my question, the Minister also said:

“Network Rail…will continue to provide public updates on the progress of enhancements in the portfolio”,

but it is not clear at what stage of the pipeline proposals will enter the portfolio. Can the Minister confirm at what stage enhancements will be included in Network Rail’s enhancements delivery plan? It seems to me that it is only those that have reached the delivery section of the pipeline that will be exposed in that way, and we will not know what is in the development and design parts. Will there be any transparency of proposals before the decision to deliver them?

Although the Government have accepted a number of our recommendations, as I have outlined, their response to our report was disappointing in several regards. It seemed to show an unwillingness to engage with some of our key conclusions and recommendations.

The Association for Consultancy and Engineering agreed with our assessment of the Government’s response, telling us that the Government had

“failed to meaningfully engage with the expertise provided by industry, and the practical recommendations outlined in the report”.

It told us:

“As evidence givers, it was disheartening for ACE to see the DfT and the ORR”—

that is, the Office of Rail and Road—

“pay such little attention to the solutions proposed by the committee, including dismissing some of them outright.”

I have asked the Minister to respond today on some of the points where we felt that the Government’s response to our report was less than satisfactory. I hope that he will take the opportunity to expand on the Government’s response, for the benefit of both this House and those in the rail industry who were as frustrated as we were by the Government’s response.

To conclude, although our report welcomed much about the Government’s—

[Graham Stringer]

My hon. Friend is being very generous in giving way as she draws to her conclusion. She has already mentioned the fact that it took four months from the decision to cancel the electrification to a written statement to the House on the last day before the summer recess. The previous Secretary of State, the right hon. Member for Derbyshire Dales (Sir Patrick McLoughlin), assured the Committee that there would be no change in the investment plans when the Office for National Statistics had changed the designation of Network Rail’s public status so that it became part of the public expenditure. However, that has driven many of the cuts in the future investment programme.

Does my hon. Friend agree that the Government have not only failed to respond positively to our recommendations but failed to play a straight bat, in not presenting information to the Committee that would have enabled us to carry through properly our job of scrutinising the Department?

[Lilian Greenwood]

My hon. Friend makes a very important point. I do not know whether the previous Secretary of State was really unaware of the implications of that change, but certainly our experience as a Committee is that we have not always had the candour that we would have wanted from the Department. That is disappointing when we are simply trying to do the job of scrutiny that this Committee was appointed to undertake on behalf of Parliament.

As I have said, we welcome much about the Government’s approach to investment in the rail network. There is no argument about the importance of investment or about the fact that the Government are investing significant sums, but the issue is how they have gone about investing and how they ensure that that investment provides good value for money and strategic thought about the long term.

We agree with the increased focus on renewals and we agree that decisions about railway enhancements should be taken out of the five-yearly control period process. However, there are still outstanding questions that were not addressed in the Government’s response to our report. How will the Government meet their commitment to rebalancing the economy when it comes to investment in rail? How do they plan to decarbonise the railway network if they have completely ruled out electrification? What future enhancements to the railway network will emerge from the new rail network enhancements pipeline? I look forward to the Minister’s update on all those points.

--- Later in debate ---

[Jim McMahon (Oldham West and Royton) (Lab/Co-op)]

It is a pleasure to serve under your chairmanship, Mr Evans. I congratulate the chair of the Transport Committee, my hon. Friend the Member for Nottingham South (Lilian Greenwood), on its detailed report and on the hard work that she puts into that brief. She is what we call in Greater Manchester a grafter—where I come from, there is no higher praise than that.

Transport is really important but does not act in isolation. There is an ecosystem that supports the society, community and local economy. It has been well trailed, but we have not seen any meaningful action on even beginning to address the regional imbalances in investment that have been well rehearsed in this place. It would be good to hear from the Minister about the practical steps being taken to invest outside London and the south-east.

We are told by the Library that overall investment in transport in London over the past five years was £33.4 billion, taking 27.6% of total transport investment. In the north-west it was £11.1 billion, taking 9.2% of the total; in the north-east it was £3.3 billion, or 2.7% of the overall transport spend. Looking specifically at rail, the gap becomes even wider. London gets 42.8% of rail investment, the north-west 9.4% and the north-east just 2%. How can that be justified, even with the difference in population? Given that the regions outside London and the south-east are seriously disadvantaged by Government investment, are we surprised that they are not realising their full potential?

The Library briefing makes it clear that the figures for the north-west and the midlands are temporarily inflated due to some of the early work on HS2. Geographical work tied to a region has been included, but the wider cost of HS2 has been pulled out of the figures, so it appears that the north-west and the midlands receive more through that project than they actually do. London is getting about half of the transport spend. How can that be right or fair, and how can it deliver a balanced UK economy in which every community can thrive?

I know Members here today are aware that there is a world of difference between our big cities and their surrounding towns. There are even bigger differences between the towns and the villages and districts. When we look at the transport ecosystem, it is really important that we are not just discounting. London is a benchmark and we discount for the cities, towns and communities, which means that most people in this country are poorly served by a transport system that does not work in the way it ought to.

We are not calling for any more or less than our fair share. I do not mind if London continues to receive the money that it has received for generations. I am not resentful if the forward view means that that continues, but I demand the same for my community. If the money can be found for London, it ought to be found for the north-west region, too—no more, but certainly no less.

We have heard about the cancellation of the electrification project in July 2017, when it was described as no longer affordable. We have seen timetable cancellations: there were a staggering 470 cancellations every single day in the summer of 2018. The Office of Rail and Road’s review concluded that that was partly due to the lack of clarity on who was responsible for what. There was mass confusion in the industry, and the Transport Secretary’s response was simply, “Well, I don’t run the trains.” If we have a Transport Secretary who refuses to acknowledge his own role in running the trains in this country and to have political accountability for that, it is little wonder that the operators get away with what they are doing. There is just no accountability, which for my community means that Northern continues to provide a completely sub-standard service on a daily basis. It not only botched the introduction of the new timetable; but is in constant disputes with staff who are at their wits’ end with the management and the way they are being treated.

The latest action is on whether carriages should have guards. People in Greater Manchester might think, “Well, even if there are no guards, we just hope there are some carriages”, because 11% of train journeys are shorted, which means that they do not have enough carriages to meet the demand from commuters. Some 5,500 journeys did not have the capacity to meet passenger demand. What is the answer? In the north-west, we have been sent trains that even the Iranian Government have decided are not fit for purpose. We have been sent more Pacer trains—from the north-east to the north-west—to make up for the fact that we have passengers who wait on platforms, without enough carriages to service them, in order to get to work and get their children to school. How can that be right? The trains were built in the 1980s and were always intended to have a shelf-life of about 20 years. They were a pragmatic and affordable way to get new stock on the lines, but they were never intended to be on the lines nearly 30 years on. That just cannot be right.

Passengers face a 3.1% increase in fares—the largest increase over the past six years—while shareholders continue to profit from a sub-standard service. We know that the Conservatives do not believe in nationalisation. Well, they do—provided it is another nation that runs our trains. Deutsche Bank, which owns and operates the trains in the north-west of England and serves Greater Manchester, is not providing an adequate service; it is making profit from that contract. Where is the accountability? We have a Transport Secretary who says, “It’s nothing to do with me, guv.” We have an operator that is taking money and creaming off the top while services are not running on time. They do not run at all in some cases—when they do turn up, often it is not possible to get on because there are not enough carriages. If the operator gets its way, pretty soon there will be no guards on carriages, and people will not feel safe. The Mayor of Greater Manchester has made it very clear that that is just not on, and he would not be comfortable with that. The truth is that it is a very raw deal.

I will talk about the wider transport ecosystem. We need to bear in mind that it is not just rail that has been hit by poor service. When the Pacer trains were brought in for their 20-year life—nearly 30 years ago now—bus travel was commonplace. It still is, but there are now 140 million fewer bus journeys in Greater Manchester than there were 30 years ago. That is a 40% decline in bus use in Greater Manchester. Why? Because there are 40 operators in Greater Manchester—we are desperately trying to get franchising off the ground, but the Government are not providing the investment required to get through the legal process and produce the business case—all with different ticketing systems, and all deciding where they are willing to operate.

Oxford Road—the university corridor in Greater Manchester—is one of the busiest bus routes in Europe, and one of the cheapest. One of the most affluent parts of Greater Manchester—the south—is the cheapest place to catch a bus. In the north, which is generally the poorer part, the fares can be 40% higher. Often the poorer a person is—depending on where they live and where the operators choose to operate from—the more they pay just to get to work. That, by the way, is if there is a bus that goes where they need to go at the time when they need to get there. Shift workers in Greater Manchester might as well give up on the buses, because they cannot get to most big employment sites, such as Manchester airport or Trafford Park, to meet shift-work patterns.

The ecosystem has been completely torn apart. Operators pick and choose what they are willing to do, the taxpayer is desperately trying to plug the gap but it is nowhere near enough, and the number of bus journeys is falling. Year after year, we see subsidised routes taken away because the money does not stretch far enough, and the same is happening with rail.

It is a raw deal for taxpayers, passengers and, critically—this is really important when we are talking about a future Britain beyond Brexit—the future of our economy. After Brexit, the country will be hugely vulnerable to the danger of financial services and the insurance market deciding to relocate and basing themselves elsewhere in Europe. That will expose how lazy this country has been in addressing the underperformance in our regions. We have relied on the City of London to keep the UK economy going, and that has allowed us to ignore the hollowing out of the economies in the regions. Transport is a key part of that. We know that investment in transport leads to growth and jobs and creates a more vibrant economy. People live better lives and can access job opportunities that they might not have been able to access previously. We need more action and Government spending.

There are different views on HS2. I am a supporter, partly because it is investment in the north, so why would we not support it? However, the Chief Secretary to the Treasury is already issuing calls for a zero-sum review of capital spend projects such as HS2. I put this down as a marker: the Government may believe that, because it is not in London or the south-east, it is an easy target to be deleted, but we are watching it very carefully. It is critical that we ensure that the UK can perform to its full potential. The routes and investment beyond HS2 to ensure that the north of England is connected are absolutely critical, too.

[Lilian Greenwood]

I wholeheartedly endorse my hon. Friend’s concerns about future investment in HS2. There are good reasons to be concerned. When the transpennine route upgrade was firmly committed to in 2015, the DFT promised that, when the work was finished, the whole route from Liverpool to Newcastle, via Manchester, Leeds and York, would be fully electrified. The recent letter from Transport for the North’s chief executive board members reported that the DFT’s plans leave a crucial part of that route unelectrified—a gap of 18 miles in the 183-mile route. Does my hon. Friend agree that the failure to electrify that 10% will mean worse reliability and higher operating costs in the north for years to come?

[Jim McMahon]

I generally think that, with these types of capital project, once the decision to invest is made, the investment has to be seen through, because the full potential of the investment is only realised when it is done to the quality, standard and specification that was set out originally. When things are chipped away towards the end of a project, it is inevitable that the full advantage and economic return on the investment will not be realised, and the original investment will be compromised.

It is critical that the Government take a long-term view. There is far too much short-termism. They are looking to the next election, the next target seat and where their core vote is, rather than to what the structure of our economy will be in the next 10, 20 or 30 years. Greater Manchester is trying to look ahead with its 2040 strategy, but it is very difficult to do that if it does not know what funding is coming down the pipeline. We can decide what is important for our regions, but the way the Government invest makes it very difficult for our regions to plan ahead and ensure they have a joined-up transport strategy. It also makes it very difficult for UK manufacturers and engineering companies to bid for that work and plan ahead, because they do not have a forward programme that they can organise and work towards. I speak to many manufacturers in my constituency. In Oldham, they have contracts with Transport for London and the German Government, but they say consistently that it is very difficult to get a contract with the UK Government. Part of the reason why the Elizabeth Tower is shrouded in steel from all over the world, apart from Britain, is that it is easier for other countries to get contracts from our Government.

--- Later in debate ---

[Andrew Jones]

My right hon. Friend makes a powerful point. She gave a powerful speech, which recognised how transport investment, alongside other investments, can drive an economy. The work that she and colleagues have done on producing a business case has been highly effective. She asked whether I would work with her and of course I will, as I will work with all colleagues, to maximise the benefits of the rail investment we are putting in. As to communication, rail companies can do more. We should be looking at all digital and other means of communicating with customers to keep them informed. There are mechanisms through the franchise agreement for keeping the companies accountable. However, I also regularly meet the Rail Delivery Group, and through those and other regular meetings, with individual operating companies, I have already highlighted the issue of communication with their customers. I will continue to do so, but my right hon. Friend is right that there must be improvement on that.

I was saying a few things about how our network has played a role in the increasing economic growth of the past few years, and how that combination of the public and private sectors, working together, has delivered improvement. That includes private sector skills driving investment for passengers and rail freight. However, that success has also resulted in challenges. We have been open about facing such challenges, including in our programme of infrastructure works in the current investment period, and in the rail structures we inherited. That was very clear and it is why we have taken action and changed our approach. The work of the Select Committee has been very helpful in that respect.

In March 2018 we published our new approach to rail enhancements, called the “Rail Network Enhancements Pipeline: A New Approach for Rail Enhancements”. We have a knack of creating very difficult-to-say acronyms. In September the Secretary of State announced that he had appointed Keith Williams, a respected industry figure. He has expertise in driving customer service excellence, and therefore he is incredibly valuable as we seek to reform the rail industry to become more passenger-focused, and to lead a root and branch review of the railway. The Government’s new approach to enhancements has, as Members will be aware, been a key focus for the Transport Committee. The Williams review is a really exciting moment for our industry. The structures that we have had have helped to turn around decades of decline. We have gone from many years of decline to rapid growth. As many people now use the rail network as did in the 1920s—with all the challenges that come with that, which I shall come on to. The structure has helped to achieve the growth, but it is not clear to me that it will help us take things forward for the next stage. That is what Mr Williams has been asked to consider, and it is an interesting prospect.

The approach being taken learns lessons from CP5, responding to the recommendations of the Bowe review. It is quite profound. We are replacing a once-in-five-years plan with a rolling pipeline of investment, which was a key recommendation of the Committee. I can entirely see why both the review and the Committee made that recommendation. We will be able to respond flexibly to changes in circumstances, and emerging priorities. Unlike in CP5 where certainty—I know we have talked about it—often turned out to be frankly illusory, the supply chain can be confident that once we have made a decision we will stick to it. Those concerned will know exactly how far the commitment extends, for funding and delivery. I completely agree with the principle of transparency to help people plan accordingly. We shall be transparent about the progress of individual schemes as they move through the pipeline, and throughout the control period, but the point is that we are not simply making one announcement at the start of a cycle.

The RNEP has five stages, through which enhancement schemes move from concept to delivery, with increasing levels of detail and development required at each stage. We call them “determine”, “develop”, “design”, “deliver” and “deploy”. A theme runs through them, from “determine”, where the opportunity is identified, to “deliver”, where the solution is provided. Not all projects will progress through all the stages. Each stage is preceded by a decision point, where we will decide whether the scheme is ready to advance to the next stage, whether more work is needed, or whether there is a better way of achieving things. We commit to progress only to the next stage—not all the way to completion.

[Lilian Greenwood]

I completely understand the point that just because something enters the enhancements pipeline that does not mean it will reach the end. That depends on its progressing through the gateways. However, I should be grateful if the Minister set out clearly which parts of the enhancements pipeline will be transparent to the House and the wider industry. Will we know what things are in all the stages, or will we know only about the latter stages, once something has been committed to delivery? It would help us if we could be clear on that point.

[Andrew Jones]

My intention is that we should be as transparent as we can without giving a running commentary on schemes that also present challenges in the managing of expectation. I intend to be transparent about progress as they move through the pipeline—in the phrase I just used—and that suggests each stage of the process.

[Lilian Greenwood]

So is the Minister saying that when something moves from one stage of the pipeline to another, there will be an announcement to let us know?

[Andrew Jones]

Yes, exactly. What form it will take I do not know, but as schemes progress through, from “determine” to “develop” and so on, we will be transparent about it.

The objective is to secure value for the taxpayer by progressing schemes only when we have an appropriate understanding of how much they will cost, how long they will take, and the benefits that will be delivered. That is in great contrast to CP5, where that did not happen.

--- Later in debate ---

[Andrew Jones]

One simple way, of course, is to ask the Minister concerned. I will find out exactly where we are with the Ely junction and respond to the hon. Gentleman. Significant works are planned around Ely, but there are a number of junctions around Ely—I have reviewed a map of them in the past few weeks—and I will need to remind myself specifically which one that might be.

Let me go back to the changes to CP6 from CP5, which create a direct contrast. I think it is fair to say that in CP5 we overcommitted to projects at too early a stage, meaning that later we had to change the scope or cancel altogether, increasing the uncertainty and the impact on the industry’s ability to plan for investment and delivery. The RNEP sets out the Secretary of State’s four priorities for rail enhancements across the country, and we will not progress any enhancement that cannot clearly demonstrate how it meets at least one of them. It is important that those priorities remain applicable to the whole country so that the network can be improved fairly and as a whole.

I welcome the fact that the Transport Committee’s report shared a similar approach to our own in promoting engagement with third-party proposals for rail schemes. On 20 March last year the Department published its guidance for market-led proposals and launched a call for ideas for the same. That call for ideas ran between 31 May and 31 July last year. We received 30 responses. DFT officials have assessed all of them and will now work with promoters to move their schemes forward, although I stress that they will still be market-led. We will be transparent about schemes as and when they progress into the pipeline.

The question was whether this has stalled. No, it has not. We certainly want to see new entrants into the market and ideas being brought forward. I am absolutely clear that not all ideas to drive forward our network will come from SW1—that would be silly.

[Lilian Greenwood]

I thank the Minister for confirming that 30 proposals were received by the Department. I know that he does not want to raise expectations or to give us too much information, but will he at least confirm how many of the proposals are being progressed? Of those 30, how many are the Department taking forward? When might we expect to hear more about which those are, and where in the country they might relate to?

[Andrew Jones]

I cannot remember off the top of my head. I looked at the schemes but cannot remember the answer. I will have to write to the hon. Lady with the details.

We spent a bit of time discussing electrification. The hon. Lady expressed some concern and asked whether we had ruled out electrification. Clearly the answer is no. Our railway infrastructure investment in CP6, however, is about securing positive outcomes, not necessarily specific outputs or inputs. We want to secure benefits for rail users and to do so in the best way possible, rather than simply building more railway for its own sake. Passengers expect high-quality rail services, and we are committed to electrification where it will deliver passenger benefits and value for money.

We will also take advantage of state-of-the-art new technology to improve journeys. The hon. Member for Cambridge (Daniel Zeichner) talked about digital rail. Certainly, technology has a role to play. It is one of the exciting opportunities in the sector. We are already progressing a number of digital rail schemes, using the £450 million secured under the autumn statement 2016 to begin the roll-out of that vital technology. I agree with his points.

Our new approach is designed to provide the maximum possible certainty of investment and a sustainable pipeline for the supply chain. That will provide benefits balanced for the whole country. I met the Railway Industry Association and understand entirely its point about how unwelcome “boom and bust” is. One former Chancellor and Prime Minister talked about putting an end to boom and bust—I am not sure that he would use that phrase again—so I will be cautious in my language and instead say that we will smooth the pipeline of work so that the industry can plan appropriately—skill up and scale up.

However, I suggest that the industry should look at a £48 billion budget pipeline over the next five years and think, “Fantastic!” This Government are buying rail like no other Government in British history. We live in a bumper time for our railways, in terms of rolling stock investment, enhancements, new lines and maintenance. I would imagine—this is what we see—that a lot of people look at this and think, “I want to get some of the great work being done by the UK Government.”

Another aspect of technology to promote is how it can deliver outcomes. That includes the introduction of new bi-modal trains, which reduce disruption to passengers resulting from heavy infrastructure works. The new bi-modal trains are being delivered into service with Great Western, LNER and TransPennine, bringing modern traction technologies on to Britain’s railways.

We continue to promote the use of new technology across rail. Recent franchise competitions have included requirements for bidders to develop innovative solutions around rolling stock technology that will, among other things, reduce emissions on the network. I am keen to take forward the decarbonisation agenda, which the hon. Member for Nottingham South mentioned, and it remains an absolute priority. I will work with the industry and will publish that report—it cannot happen soon enough. I am talking about publication of the decarbon- isation report and about working with different types of traction, such as hydrogen-powered trains, which I have read about. I look at the opportunities that they present to improve air quality radically, and I think, “We want some of that in the UK.” It will certainly be a priority.

[Lilian Greenwood]

The Minister is being characteristically generous in taking interventions. I welcome the news that the decarbonisation report will be published. Will he clarify whether he has received that report from Malcolm Brown, the former CEO of Angel Trains? Will the Minister tell us a little about what is in it, or when he will share that information with us?

[Andrew Jones]

We have received a further draft within the past few days. It is not the absolutely final version of the report, but I understand that we are very near it. I hope to read it, but I think that I should read it when it is finished, rather than in draft form—to be fair to Mr Brown. As soon as we have more information, I will keep the hon. Lady posted.

Regional spend has been a concern in this debate and more broadly. The hon. Member for Kingston upon Hull North (Diana Johnson) kindly said that I was definitely listening—to confirm, I am definitely listening, and definitely Yorkshire. The Government are clear that there should be a balance of rail investment across the whole network, to the benefit of the whole country. The Government and the Select Committee alike agree that capital spending in one part of the network can deliver benefits further afield.

I must stress, however, that the Department for Transport does not allocate funding on the basis of per head of population. Our railway is a network, with spending in a particular area benefiting users up and down the country.

--- Later in debate ---

[Andrew Jones]

I am very keen for that line to be upgraded and will ensure that all the opportunities to progress it are considered. I want to make it absolutely clear that there is no loss of ambition, but at the same time we must be very careful when industry experts tell us that if we do any more we will bring the network to a halt for just about every weekend in five years. That is the advice from senior levels in Network Rail. On getting on with it, that cannot happen soon enough as far as I am concerned.

[Lilian Greenwood]

We still have 42 minutes left, but I do not anticipate that we will take that long. On the transpennine electrification, I accept the Minister’s point that we do not want excessive disruption, but will he accept that it is better to do the right thing, which will lead to cost-effective operations, environmental benefits and reliability benefits in the longer term, even if that sometimes means that delivery of the scheme will take longer? Will he commit to talk to Rail North about how the maximum benefits can be achieved in the long term, rather than a short-term approach that could bake in disbenefits over a very long period?

[Andrew Jones]

I will continue to talk with all the different bodies across the north to maximise the benefits. We are not taking a short-term approach; a short-term approach would be to get on and do it right away. We are taking the approach to deliver it in phases to maximise the benefits. At each stage we are also future-proofing it. That principle is already being implemented.

The hon. Member for Bradford South (Judith Cummins) talked about Northern Powerhouse Rail. I am also very keen for Bradford to be well served by that. Indeed, Transport for the North is developing the proposals for Northern Powerhouse Rail. That is great—it will be from the north, for the north. I went to Transport for the North’s last board meeting, at which I was going to receive the strategic outline business case. Transport for the North had to pull that business case at the last moment, but I will go up to its next board meeting; I do not criticise it in the slightest for that. The hon. Member for Nottingham South just mentioned the principle of getting things right for the longer term, and in pulling the business case, Transport for the North was making sure that it does that.

Northern Powerhouse Rail is a very exciting project. The only point I made when I said I would come back for the next board meeting was that I wanted Transport for the North to get on with the project promptly. Northern Powerhouse Rail and HS2 are linked in lots of ways, and any delays to Northern Powerhouse Rail could compromise other projects, so I urged speedy progress.

Colleagues mentioned HS2. I take the opportunity to confirm that HS2 remains a critical project for the Government.

--- Later in debate ---

[Lilian Greenwood]

We have had an excellent debate. I thank all those who took part, including my Select Committee colleagues and Members from across the House. I particularly thank the Minister for his willingness to engage so constructively. He can be in no doubt about the strength of feeling across the country—from Essex to Yorkshire, Lancashire, Cambridgeshire and Sussex—about the need for rail investment to be shared more fairly. Members, their constituents and businesses want to hear not only that the Government are listening, but that they will respond. Of course, this is not only about fairness. Failure properly to invest will hold our country and its people back. Effective rail networks and transport networks in general are key to tackling poor productivity.

I am pleased that the Minister has received the rail industry’s decarbonisation report, even if it is only a draft. I look forward very much to hearing what it says and what the Government intend to do in response. I hope he listened to the concerns a number of us raised about the transpennine route upgrade. It is important that the Government deliver on the promise of a wholly electrified line, which would benefit passengers, freight, the economy and the environment.

I welcome the Minister’s comments about the transparency of the enhancements pipeline. We look forward to receiving from the Department more information about which schemes are progressing through the pipeline and further details of the market-led proposals that are in development, which have the potential to improve our rail network and provide much-wanted work for rail companies up and down the country. Of course, enhancement work tends to be quite different from day-to-day maintenance and renewal.

We are in agreement about the level of investment that is going into our network, whether through the money committed in CP6 or through some of the major projects, including HS2. On that we can agree, but I have no doubt that the Committee will continue to scrutinise the work of the Department, to make sure that the investment goes in and to ensure that when new services are developed to benefit from that investment, they are delivered effectively. That has not been the case in the previous year. We all regret the problems with the delivery of the new timetable. There has to be learning from that and we have to move on, particularly so that passengers feel the benefits that they know they have been paying for, for some time. We look forward to future debates, in Westminster Hall and on the Floor of the House, on this matter.

Question put and agreed to.

Resolved,

That this House has considered the Fourth Report of the Transport Committee, Rail infrastructure investment, HC 582, and the Government response, HC 1557.

Oral Answers to Questions

Lilian Greenwood Excerpts

Thursday 10th January 2019 Commons Chamber

[Chris Grayling]

That is absolutely correct. In very many international trading scenarios using the common transit convention, customs processes can be at the start and the end of the journey. That is one reason why I felt able to say to the House earlier this week that I was confident that, in all circumstances, trade would continue to move relatively freely.

[Lilian Greenwood (Nottingham South) (Lab)]

It has been reported that the Secretary of State’s Department is in talks with two rail freight companies about options to provide additional services via the channel tunnel and High Speed 1 to ensure supplies of food and medicines in the event of blockages at Kent ports. It is also claimed that the Department has written to Southeastern trains warning of possible disruption to its services if additional daytime freight movements are required. Is his Department really contemplating emergency rail timetables in the event of a no-deal Brexit? Has he written to Southeastern regarding such contingency plans? Should the many thousands of rail commuters in Kent be bracing themselves for possible disruption?

[Chris Grayling]

No. The story is untrue.

Seaborne Freight

Lilian Greenwood Excerpts

Tuesday 8th January 2019 Commons Chamber

[Chris Grayling]

My hon. Friend makes a valid point about public scrutiny. This contract was properly signed off by my Department’s accounting officer, and it was done in the best possible way when dealing with a new business, which is to ensure that the business will be paid only when it delivers the service. That is a responsible use of taxpayers’ money.

[Lilian Greenwood (Nottingham South) (Lab)]

I have already written to the Secretary of State with a long list of questions about his Department’s procurement of additional ferry services as part of no-deal planning, and I look forward to receiving his response. Yesterday, however, Lloyd’s Loading List reported some extraordinary remarks from the CEO of Seaborne Freight, Jean-Michel Copyans, about the proposed Ramsgate to Ostend route. He said:

“Then we’ve had to identify the vessels best suited to the type of crossing, which we’re keeping a secret for the moment.”

With no crew, no signed contracts in place with Ramsgate or Ostend, no clear plans to bring the infrastructure back into service and now “secret” ships, is there not a huge question mark over the deliverability of the service?

[Chris Grayling]

My officials and I have confidence in the deliverability of the service, but if the firm fails to deliver it, we do not pay.

Drones: Consultation Response

Lilian Greenwood Excerpts

Monday 7th January 2019 Commons Chamber

[Chris Grayling]

That is a serious point that we and the security services have been working on. We have been in conversation with airports about it for some considerable time, and two things are happening on that front. First, this country has moved to introduce a drone registration scheme, which will start later this year. Secondly, and more significantly, the European Aviation Safety Agency is moving towards a requirement, which I expect to be introduced within two to three years, for all drones to contain technology that allows them to be tracked and potentially to be stopped in critical areas.

[Lilian Greenwood (Nottingham South) (Lab)]

I welcome the Secretary of State’s statement, but I wonder whether it closes the gate after the horse has bolted. BALPA has been warning about the rise in irresponsible use of drones close to aircraft and airports for years. An incident of this sort was surely foreseeable, and I am unsure whether the Secretary of State was saying that he was satisfied that the airport had proper and adequate plans to respond to such a risk. However, changes to regulations will mean nothing if we are unable to stop, catch and prosecute offenders. If such a crime is perpetrated in the future, what assurances can he give the House that it could not lead to further such disruption to services?

[Chris Grayling]

On the hon. Lady’s point about BALPA, we legislated last summer to make certain activities around airports illegal. That included the height at which a drone can be flown and the restricted area around an airport within which a drone could not be flown. She asked what would happen in a future incident. Right now, we have protocols in place to allow us to deploy the same equipment as was used at Gatwick if there were to be a repeat attack. The airline industry and the airport industry are working intensively to try to assemble mechanisms that could prevent such an attack from happening again. The reality is that there is not, and has not been, an off-the-shelf solution. That is now being worked on—the technology is being assembled and systems are being integrated—but there is no simple, off-the-peg solution available right now, beyond the capability that we have in place to protect UK airports.

Train Operating Companies: Yorkshire

Lilian Greenwood Excerpts

Wednesday 19th December 2018 Westminster Hall

[Judith Cummins (Bradford South) (Lab)]

It is a pleasure to serve under your chairmanship, Dame Cheryl. I congratulate my hon. Friend the Member for Dewsbury (Paula Sherriff) on securing this important and timely debate. It is a pleasure to follow my hon. Friend the Member for Kingston upon Hull North (Diana Johnson). Nobody here needs reminding how terrible a year this has been for rail passengers in Yorkshire and across the north. Since the introduction of the timetable changes in May, we have seen what the Transport Committee rightly called a

“period of intensely inconvenient, costly and, on occasions… potentially dangerous disruption.”

Northern Rail, which serves Bradford on the Leeds-Bradford, Airedale and Wharfedale lines, has provided especially poor service. Since the new timetable was introduced, an average of 2.5% of trains have been cancelled, and 4.6% have operated in our region with fewer carriages than planned. On a typical day, about 100 to 200 passengers are left behind at stations in Yorkshire. They are stranded and are late for work and critical appointments that they need to get to. Unfortunately, despite the criticism that the train operating companies and the Department for Transport have come under since May, we have still not had a significant improvement in service levels. In fact, The Yorkshire Post found that rail punctuality is even worse now than it was in the immediate aftermath of the timetabling change. In November, only 62% of TransPennine Express services and 67% of Northern services arrived on time. Eight months on from the initial problems, it is shocking that the industry appears not to have got a grip on this issue. Passengers in Bradford and across Yorkshire have experienced almost a year of delays, cancellations and disrupted service. Despite that, fares continue to rise above inflation. It is simply not good enough; we deserve better.

As the Office of Rail and Road reported, the responsibility for the fiasco must be shared between the train operating companies, Network Rail and the Department for Transport. Each failed to prepare for the changes, and there was a clear lack of leadership at all levels.

It is also worth looking at the longer term causes of the crisis. There has been a persistent and longstanding underfunding of transport infrastructure in the north. As well as addressing the immediate problems with the performance of train operating companies, the Government must commit to revising the way that rail investment decisions are made. As a start, they should commit to working with Transport for the North to deliver Northern Powerhouse Rail as a priority. Bradford, like other towns and cities across the north, urgently needs that high-speed rail link to meet growing demand and fulfil our economic potential. It is only by investing in rail infrastructure, planning for future timetable changes and ensuring that passenger interests are at the heart of our rail system that we will prevent a repeat of the unacceptable service we have seen in recent months.

[Lilian Greenwood (Nottingham South) (Lab)]

My hon. Friend referred to the work of the Transport Committee, which looked at timetabling and rail infrastructure investment. Does she share my concern that, according to the figures for the national infrastructure and construction pipeline, planned spending on transport per capita in Yorkshire is set to be the lowest of all the regions? It was not only lower in the past, but will be lower in the future—in 2017-18 and 2020-21?

[Judith Cummins]

I share my hon. Friend’s concern, and we all share her outrage.

--- Later in debate ---

[Andrew Jones]

I am always available for colleagues and am happy to arrange meetings. I know that engineering work is going on around the Christmas period this year, and I shall be going to see it. That is affecting the possibility of running Boxing day trains this year; but let us look to the future. I am happy to meet the hon. Gentleman.

We shall shortly run out of time for debate, and I want to spend a moment looking ahead. I gently remind colleagues who talk about a lack of investment in the north that although I have some sympathy as to investment, a little caution is required in taking snapshots of figures. The figures for London reflect Crossrail, but analysis of the Infrastructure and Projects Authority figures for planned central Government spending on transport infrastructure in the four-year period we are now in—from 2017 to 2020—shows that the northern regions will have a higher spend than the southern ones.

[Lilian Greenwood]

Will the Minister give way?

[Andrew Jones]

I am going to run out of time in a minute.

[Lilian Greenwood]

On that point, please.

[Andrew Jones]

My goodness—go on then.

[Lilian Greenwood]

I thank the Minister for giving way. The point is important, because he talks about the northern regions, but this debate is about Yorkshire. As I said earlier, Yorkshire and Humber is set to receive the lowest level of spending of any region, according to his figures, at £726 per head compared with £1,026 in London and £1,139 in the south-east. It is much less than the spending in the north-west and west midlands, which will alter the figures. Yorkshire and Humber is losing out.

[Andrew Jones]

That was a repetition of the point that the hon. Lady made earlier, so I do not need to address it.

I gently remind hon. Members that we had a zero-growth franchise, which was put in place by the Labour party, and we are playing catch-up on under-investment. Labour Members may say that Labour invested steadily when it was in government, but the evidence is the exact opposite. We had a zero-growth franchise and are catching up from it. Let me consider what that catch-up might look like.

Although 2018 is clearly a year that passengers in the north would wish to forget, we should not overlook the fact that train services in the region will be changing fundamentally. A significant amount of investment will bring passenger benefits. On the infrastructure side, the electrification between Manchester and Preston, which I mentioned earlier, was finally energised last week and the first test trains are now operational. [Interruption.] It will benefit services across the north. That is my point. Electric passenger services will be phased in during the spring. Across the region platform lengthening is under way. Of course I recognise that performance is not good enough, and that is why we have made a change in the control period 6 budgets and priorities. Under CP6 there will be a budget of £48 billion. That covers the period from 2019 to 2024. The priority was moving away from enhancements to catching up on core reliability—the maintenance of the network.

[Andrew Jones]

If I get time I shall come on to the trans-Pennine upgrades, but the core purpose of the CP6 investment, which is a record from any Government in British history, is to increase reliability and punctuality.

The key thing that passengers will notice is new trains. New rolling stock will come in on Northern, TransPennine Express and London North Eastern Railway networks in the coming months, including the removal of Pacers by the end of 2019. By this time next year the vast majority of the 500 brand new carriages committed by Northern and TPE will have been delivered, and the remainder will have been completely refurbished. TPE will have introduced its new Nova trains on the north trans-Pennine route and all the Pacers will be gone from Northern. There will be more services to add to those already delivered, especially at weekends; there will also be later last trains in the evenings and earlier first trains on Sundays. Elsewhere, LNER will begin introducing its new Azuma trains next year.

The trans-Pennine upgrade is a huge Government initiative—a £2.9 billion upgrade covering York to Leeds and Manchester. It is one third of the expected rail upgrade investment in the next control period, so it is a significant point. By the way, freight has been mentioned, and it is of course still under our consideration for northern trans-Pennine.

[Lilian Greenwood]

Will the Minister give way?

[Andrew Jones]

No, because I am running out of time. I have 50 seconds left.

We have a trans-Pennine upgrade that is bigger than anything ever considered or delivered by Labour. We are delivering it for the north in a way that has never been considered before.

Northern Powerhouse Rail, which some have called Crossrail for the north, is a once-in-a-lifetime opportunity. The scheme is being developed for the north by the north—by Transport for the North—and the Government have given a budget to help it to do that. Crossrail in London was mentioned as if money were piling into it. The money that has gone into Crossrail was, of course, a loan. Transport for London needed that loan to help it deliver the project. It was not a grant.

Of course, it is fair to say that rail services across Yorkshire and the north as a whole have not been good enough. That is entirely understood, but I want to leave colleagues in no doubt that we recognise the importance of the Yorkshire rail network and that steps are being taken to improve it. More than that, I hope that in a year’s time passengers will be able to experience the change as investment comes on stream, and the benefits to match our vision for a 21st century railway in Yorkshire.

Govia: Moorgate to Welwyn Garden City Railway

Lilian Greenwood Excerpts

Tuesday 18th December 2018 Westminster Hall

[Grant Shapps (Welwyn Hatfield) (Con)]

I beg to move,

That this House has considered the performance of Govia on the Moorgate to Welwyn Garden City railway line.

It is a pleasure to start this debate under your chairmanship, Mr Hollobone. I am pleased to have the opportunity to discuss an issue that, although I suspect it will not fill this second Chamber, is none the less of enormous concern to my constituents and thousands, perhaps even millions, of people along the line from Moorgate to Welwyn Garden City. I should say that, although the title of the debate is the train service from Moorgate to Welwyn Garden City, there is also an impact from other services that run along the same line, specifically and in particular the King’s Cross service toward Cambridge and through my constituency.

Unfortunately, although the problems are in no small part to do with changes that were made, rather infamously, to the timetabling in May this year, that is not the whole story. I see that I first raised my concerns about the quality of this service all the way back in December 2016, when I called for a much improved service from Govia. It is most certainly the case, however, that since the May timetable change services have gone from pretty bad to disastrously awful. I will take a few moments to highlight some of the things that have gone wrong.

It cannot be right, in a timetable change intended to add 6,000 additional carriages to the train network and the services enjoyed by everybody, that in my constituency the service provided went backwards, in terms of not just the number of trains, but the speed of those trains. In a café that I am sure is frequented by many of my constituents, I came across a poster from the 1930s about coming to live in Welwyn Garden City—the second and, I should say, the best garden city in the country—boasting that people can get from Welwyn Garden City to King’s Cross in just 23 minutes. Here we are in 2018, about to go into 2019, and we can no longer make the journey at that kind of speed. It now takes seven minutes longer to get into London from that station, Welwyn Garden City. The speed of service is certainly a problem, but the problem is not just the speed of service.

We also now have fewer trains, particularly off peak, such that some stations—for example Welham Green and Brookmans Park, stations that I use regularly—have gone from having three trains an hour off peak to only two. The service has become less frequent. In other places in my constituency, particularly Welwyn North and particularly at the weekend, that drops back to one train an hour—a completely unacceptable level of service.

The problem is not only slower trains and those missing trains, but a poorer service all round, particularly from the larger stations, Hatfield and Welwyn Garden City, which are suffering. I have been inundated—and I mean inundated—with correspondence from my constituents, who are upset and concerned. At the height of the timetabling problems in the summer, some even had to give up their jobs as a result of this appalling level of service. While I accept that the Minister— who by the way I consider entirely blameless in all this, since he has only been in the job for a few weeks—will get to his feet and reassure me that things are improving, I must say that my patience has already given way and I have been looking for a suitable alternative.

Fortunately, there is an example of an alternative that could be put in place to resolve many of the problems. I have been in continuous discussion with Transport for London, which is keen to take over the service. I know that TfL has been in contact with the Minister’s predecessor, if not the Minister as yet, and certainly with the Secretary of State for discussion, and has written a detailed note in which it points out that if it were to run the service from Moorgate to Welwyn Garden City as a London Overground service, it could offer us better integration into the railway network, faster trains, more trains, cleaner platforms and a service integrated across the entire information system—in other words, when we are looking at information for the reliability of services, we are looking at the entire TfL system in one go.

I think that would make a significant impact on the quality and level of services to my constituency. It is of course the case that to get to my constituency, those services must run through several other stations along the line that are outside my patch, so I have been in active conversation with and writing to Members of Parliament across parties and right down the track from Moorgate to Welwyn Garden City, to seek their opinions. It is probably true to say that the concerns that have been raised in the past have been about where the Transport for London services would run outside London boroughs. That actually occurs in only two constituencies—that of my hon. Friend the Member for Hertsmere (Oliver Dowden) and mine. The concern is effectively that TfL would be in charge of services over which our constituents would have no democratic control.

Would it be the case that TfL running that line would somehow remove from my constituents the ability to hold both the franchiser and the franchisee—the organising department, in the case of TfL—to account? Not in my view. We are more than happy to take on the small risk that, because we are not Greater London taxpayers, the Mayor’s office might attempt to totally ignore our views. I simply do not accept that that would be the case, and I bring evidence.

London Overground lines run by TfL and Arriva Rail London already go into my county of Hertfordshire and elsewhere. I have taken the time and trouble to speak to Members for and residents of those areas, and none have said that they somehow feel ignored because they happen to be just outside London. Many report a quite dramatic increase in service quality as a result of the lines switching to TfL. I have some figures that back that up.

The lines that TfL has taken over and changed to London Overground lines have seen an increased frequency of trains, from 400 per day in 2007 to 1,500 per day 10 years later. Ridership has increased by 650%, delays have decreased by 30% and customer satisfaction has increased by 18%. In other words, I am more than convinced that switching the distinct Moorgate to Welwyn Garden City line to London Overground would increase customer satisfaction, improve the quality of our services and make our services far more integrated.

However, there is yet another reason why I believe that the Moorgate to Welwyn Garden City line should be run by London Overground—the heritage of the line itself. As I am sure only railway geeks will be aware, a section of the line actually operated as part of the London Underground until the 1970s. That section was from Moorgate to, I think, Drayton Park, where observers will find that the lights on the Govia Great Northern trains still flicker as they switch from the different electrics that were used on the London Underground. We already have the heritage of being a London Underground line. I argue that it is high time to convert the whole line to a London Overground line, which has only been available since the 2007 innovation.

The case is convincing indeed, but the question is how we get to that situation. I have met the deputy Mayor, the Secretary of State and the former Rail Minister; indeed, I have met every former Rail Minister from before the former Rail Minister. The Secretary of State has already said that this part of the Govia franchise needs splitting out, which, as hon. Members will imagine, I am very keen to see happen. In any case, the franchise is up for renewal in 2021.

I do not think that there is any principled objection to TfL managing that line, which I argue should be along the same basis as the other London Overground lines, with TfL procuring a service from Arriva Rail London. However, in order for that to happen, I need ministerial action almost immediately, and it is for that reason in particular that I secured the debate. As the Minister will know from his limited time in the job, these things do not happen overnight; the procurement process takes a couple of years.

Specifically, TfL now needs research and data that only Govia can provide in order to fully model this replacement service, with a deadline of February 2019. In other words, we have only a couple of months for that information to be passed across. How does that happen, in practical terms? It is straightforward: the Secretary of State needs to request that Govia shares that information.

At the risk of boring the Minister with details of woe and appalling service and the heartbreak of the problems over the summer, I put on the record my thanks to the Department for Transport for responding to my calls for additional compensation for commuters who were unable to travel during that period of enormous disruption. It was always the case, particularly for Southern, that compensation was offered if services completely fell apart, and in this case I think a month’s free travel was offered to season ticket holders.

However, the problem for my constituents was that many travel slightly less frequently. They do not know what time of day they might travel—perhaps after dropping the kids at school—and some days they might work at home. I came to a deal, after being very insistent with the Secretary of State in a meeting very early during the disruption post May, that additional compensation should apply not only to those who had season tickets but to everybody else who used the line on a regular basis. We agreed in the end that commuters who could demonstrate that they travelled on three days or more per week should be compensated.

I have to say that there was a bit of an internal, behind-the-scenes battle involving the Treasury. A couple of times it said it could not do it, which I said was unacceptable. I am pleased and grateful that the Minister’s Department ensured that compensation was offered. Constituents now regularly come up to me and tell me that they have had back £200 or £300 of compensation in addition to the delay repay scheme, which is far too fiddly to use and which I know the Minister has plans for.

[Lilian Greenwood (Nottingham South) (Lab)]

The right hon. Gentleman makes a compelling case on behalf of his constituents for looking at the management of the service. Does he agree with the Transport Committee that season ticket holders and others who were so badly affected by the timetable changes on Great Northern should receive a discount on their 2019 season tickets, in order to protect them from the fare increase due in January? That might provide some more immediate relief than the longer term changes that he seeks.

[Grant Shapps]

Yes, I agree. Commuters on our line from Moorgate to Welwyn Garden City have suffered unbelievable disruption. It would be right for the Minister and the Department to look at how they could compensate those commuters, which could perhaps be with a discount on the fare increase that has been mentioned for the new year.

I support that call, although I accept at the same time that, while being given £200 or £300 does not in any way compensate for the appalling disruption, it is at least a recognition of it, since it comes on top of the delay repay scheme. I put on the record that commuters should not be put off if they have already gone online and claimed their £3 back for a late train using the delay repay scheme. I am assured by Govia that they can now also claim compensation, whether they are a season ticket holder or not, using whatever means of proof they can provide. That can be a bank or credit card statement or tickets. I know some people will have bought carnets rather than tickets. Govia is prepared to be very flexible.

I will mention one other matter before I sit down. I have for a long time called for Oyster cards to be accepted along the distance of the line. I think it is currently accepted only from Moorgate to Hadley Wood, which means that ticketing is a complicated business. A person has to get an overground ticket. Then, at some point when they come off the train—at Finsbury Park or Highbury & Islington—they have to switch to paying by Oyster. The position at the moment is very unsatisfactory, so I am really delighted, on behalf of my constituents, that the Government and the Minister have announced that Oyster will come into play next year—I understand that that will be at some point in the autumn—meaning that the Oyster network will extend right out to Welwyn Garden City, along the length of that line. I would like to push it further—of course everyone will say that—because Welwyn North is also in my constituency and I must make reference to that. However, I will be very pleased to see this innovation. It will help tremendously: it will speed up ticketing times at the station dramatically. The innovation of not just Oyster but contactless payment—the ability to use phones and credit cards—makes travelling a lot easier.

Therefore I really have two specific requests: one simple and one on which I hope that the Minister will equally be able to reassure me, either today or very soon—ideally before Christmas. It will be his Christmas present to my commuters and, I suspect, commuters right the way along the line if he can provide clarification on the first point, and a yes on the second. The clarification is on the date on which the Oyster card will actually be introduced in our area. I very much hope that the Minister has available the date of its introduction next year. If not, I just seek clarification that it will certainly be introduced next year.

If my second point is not resolved as we go into the new year, the Minister will find me, rather annoyingly, on his shoulders about it. I am talking about the provision of data from Govia to TfL so that we can start the process of matching a London Qverground service to the line and not miss the 2021 deadline. I am reliably informed that that must be done by the end of February next year to meet the deadline. I invite the Minister to make my constituents’ Christmas.

Leaving the EU: Aviation Sector

Lilian Greenwood Excerpts

Wednesday 31st October 2018 Westminster Hall

[Mike Kane]

We are doing that now at my own airport. I will be going to the inaugural flight from Manchester to Mumbai next week. We now have direct connectivity to Beijing and Hong Kong, and shortly we will announce direct connectivity to Shanghai as well. Airports are increasingly going from point to point, and that seems to be the way of the future.

[Lilian Greenwood (Nottingham South) (Lab)]

I wanted to come in at that point, because my hon. Friend is talking specifically about those connections between Manchester airport and China. I want to touch on air freight, because Manchester has seen a £300 million increase in air freight exports to China in the last two years. To have that thriving air freight sector requires further work to be done. Does he agree that the UK needs to be doing better, given that we are outside the top 10 on the air trade facilitation index and outside the top 20 for electronic freight processing?

[Mike Kane]

The Manchester Airports Group includes East Midlands airport, which is close to my hon. Friend’s constituency, and Stansted. East Midlands is a huge hub for freight leaving the UK, and has huge expansion potential. I am concerned that the Government are not ready to use the opportunity, as we leave the EU, to prepare the aviation sector for the next, crucial five to 10 years.

The welcome that we give to those who visit us is also part and parcel of creating a truly international Britain after Brexit. It is how we tell the world that we are open for business and how we encourage tourists to come to see us time and time again.

Lots of questions still need answering, and there is a risk that questions are not being answered in good time. I am sure we were all concerned by the recent National Audit Office report on our state of preparedness for a no-deal scenario. Airports across the country have repeatedly reported problems of under-resourcing, queues at the border and a total dissatisfaction with the targets that Border Force works to. The Government have continued to cut funding for Border Force, while passenger numbers have grown, so can we really expect a proper service at our borders? I hope the Minister will tell us what the Government are doing to work with airports and Border Force to put in place a realistic, long-term plan to ensure our borders are adequately resourced into the future.

Finally, as I said, the aviation sector is a huge employer in its own right, and millions more are employed in related industries, such as the visitor economy and the logistics sector, which my hon. Friend just mentioned. Across the country, tens of millions of EU nationals make a valuable contribution to those industries. Although I am hopeful that arrangements will be put in place to ensure that people can remain employed in those sectors, we need to think seriously about what happens post Brexit. We must ensure we have the skills and training to support and grow the aviation sector in the years ahead. We have the opportunity to get this right through the industrial strategy process to ensure that Britain is known around the globe for delivering world-class service and hospitality, as well as for having a slick, efficient transport system.

As I have outlined, aviation is an essential component of an outward-looking Britain. It must continue to play a pivotal role in our economy and our social and cultural future, but the question is, how will we harness that potential? How will we use the sector to drive growth through enhanced trade and investment in tourism? How, on a more basic level, will we ensure that consumers continue to enjoy the choices they enjoy today? If we are serious about creating a balanced and truly international Britain, we must prioritise this sector now, during and after our exit from the European Union.

--- Later in debate ---

[Jim Shannon (Strangford) (DUP)]

Thank you, Mr Hollobone. It is not often that I get called first, so I appreciate the opportunity. I congratulate the hon. Member for Wythenshawe and Sale East (Mike Kane) on securing the debate, and I thank him for the cohesive way in which he put forward his point of view. His speech was constructive, and he looked forward with some positivity to our exit from the EU on 29 March next year.

I am delighted to have the opportunity to speak on this matter. In my constituency, I have Bombardier, which is involved in the production of planes, and Belfast City airport is not that far away, so domestic connectivity is very important to us. The hon. Member for Nottingham South (Lilian Greenwood) referred to air freight. We have some of the largest air freight connections in the domestic market through Belfast International airport. It is surprising how much air freight goes through the airports of the United Kingdom, and Northern Ireland in particular.

I hope I will be able to bring a bit more positivity to the debate. Of course, the ongoing Brexit negotiations are complex and difficult, but leaving the EU was never going to be quick and simple. If only that were the case. It will not come as a surprise to hon. Members that I think Brexit is a fantastic opportunity, including for our aviation sector, and I hope to expand on that point of view.

Although hon. Members have different points of view about Brexit, we are united by the need to have a thriving aviation sector in the UK after we leave the EU. I believe that it will thrive. The hon. Member for Wythenshawe and Sale East put forward that view very eloquently, and I support that.

The UK has the second largest aerospace sector in the world, behind that of the United States, and the largest in Europe. We must not underestimate the importance of our aviation sector to the EU or the importance of the EU’s sector to the UK. We both need each other. I often say in this House that we are better together. In this case, we are parting, but there is no reason why we should not be able to work together.

It is in both our interests to secure the best deal to allow the liberalisation of air transport to continue. The UK is currently a member of the European common aviation area, which allows registered airlines to have a base in one member state and operate on a cabotage basis—to use the terminology that they use—in other member states. It is an arrangement that works well.

The latest European Council negotiating guidelines aim to maintain connectivity between the UK and the EU through an air transport agreement. The Minister will respond to this debate in some detail, and we look forward to his comments. Naturally, at this stage it is unclear what that agreement might be. It might involve an open skies arrangement like the one the UK currently has with the US, or it might involve negotiating a single bilateral agreement with the EU as a whole, if member states give it a mandate to negotiate on their behalf.

Given the value of the industry to the United Kingdom and the EU, I am confident that we will get a good deal for our aviation sector and for future air travel between the UK and the EU. We need each other to succeed in this sector. London remains the world’s best connected and most attractive destination.

Although it is a while off, and there are hurdles to overcome, the third runway at Heathrow should be an even greater draw to London. It will improve our connectivity across Europe and with the rest of the world. My party and I fully support the third runway at Heathrow, and we would like to see it happen sooner rather than later.

In 2016, the chief executive of the Civil Aviation Authority said that the UK is a key player in aviation, and he was not wrong. We have the third best developed aviation network in the world, just behind the US and China. The figures show why the UK is such a vital player in the sector. It is not surprising that some airlines are already applying for licences to operate in the UK in the event of no deal. I suggest that that shows the confidence that people outside the United Kingdom have in the UK’s aviation sector. Although I am confident that we will secure a good deal—it has always been my intention that we will, and hopefully the Prime Minister will be successful in that—it is good that airlines are preparing for any eventuality. It is also welcome that, despite people’s warnings, airlines have every intention of continuing to fly to and from the UK. Life will not end when we leave the EU on 29 March. Indeed, it will get better. That has got to be good.

As well as liberalisation, we should also consider our membership of the European Aviation Safety Agency, which develops common safety and environmental rules at the European level. The Government have explicitly stated that they want to negotiate some sort of ongoing membership of EASA after Brexit, and there is widespread agreement that continued membership would benefit both the UK and the EU.

In a speech in 2016, Andrew Haines highlighted that the UK and France provide two thirds of the rule-making input on European safety regulation, and that together we undertake close to 90% of EASA’s outsourced activities. Again, that indicates EASA’s importance to the United Kingdom. Mr Haines set out four principles for the UK to consider during the Brexit negotiations. The third principle, which relates to competition, could present a real opportunity for the UK post Brexit. It relates to airline ownership rules, which are currently very outdated. Perhaps the Minister will comment on that. If the UK relaxed the ownership arrangements that UK-registered airlines currently have to comply with, that could present an opportunity to attract new equity from non-EU investors, which could improve choice and competitiveness for consumers.

Haines also referred to the EU slot regime, which requires that 50% of new slots are allocated to new competitors at a particular airport. I believe, however, that restricting such a large proportion to new entrants has been a barrier to strong competition, and changing our rules could be one advantage of leaving. That shows a lack of future planning from the EU, which could be to our benefit. The UK will have the opportunity to develop a new and more competitive slot regime—there are enormous possibilities.

As negotiations continue, there will be difficulties and we must plan for every eventuality, but it is also important to see the potential opportunities that Brexit could bring to the industry, especially regarding competition, which can drive prices down and keep air fares low. We should also consider the way that the industry has responded to date; according to ADS Group’s 2017 figures, the sector directly employed 120,000 people, with a further 118,000 employed indirectly—enormous employment figures. In 2017, the sector had a turnover of £31.8 billion, which was up 39% in five years. If a sector is growing, and probably outgrowing every other sector, it is the aviation sector of the United Kingdom of Great Britain and Northern Ireland.

While productivity growth in the general economy between 2010 and 2016 was just 3%, it was 19% in the aviation industry. Not only that, but so far, the UK's decision to leave the EU appears to have had no financial impact on the industry, which is perhaps another positive indication of where we are. In fact, according to ADS Group’s 2017 figures, 73% of companies were planning to increase investment—an indication of their confidence in the future. In Northern Ireland, Bombardier secured a deal in May this year with the Latvian carrier airBaltic, for up to 60 Belfast-made jets, which is another indication of how well our aviation sector is doing and how it benefits all regions of the United Kingdom.

Of course, airlines are concerned and, given the uncertainty, that is not surprising. It is important to consider the value of the sector to the UK and to the EU; to realise that Brexit can provide positive change and opportunity for the UK; and to realise that little has changed since the referendum. Moreover, aerospace is an important part of the Government’s industrial strategy: a number of initiatives have been set up to boost research and investment, and to guarantee exports. The Aerospace Growth Partnership and the Aerospace Technology Institute have both been set up in recent years as a collaboration between Government and the industry, to build on past success and look forward to the future success.

[Lilian Greenwood]

Like the hon. Gentleman, I am very concerned about the implications of leaving the European Union for our aerospace sector. The chief executive of Airbus said that there will be “severe negative consequences” to withdrawing from the European Union, and that they will be particularly severe if there is a hard or no-deal Brexit. Does he agree that it is essential that the Government address those issues to protect high-skilled and high-paid engineering jobs in our aerospace industry?

[Jim Shannon]

I thank the hon. Lady, but for the record, I do not share her concerns about leaving the EU in relation to the aviation sector. Maybe I did not make that clear enough, so let me make it quite clear: I believe that we should look forward to a very positive future. That has been demonstrated in my own constituency, where Bombardier have secured a fairly substantial and significant contract, and by aviation authorities and the airlines, which have indicated their confidence in the direction of the country over the last five years. It has been a fact that we are going to leave the EU for a year and a half of that time, and that has not slowed the industry. Government’s central theme of support, focus and strategy for the aviation sector indicates to me that good times are just around the corner. Hopefully, after 29 March 2019, the good times will come back, and those who have doubts about that just have to look at how the aviation sector is growing in anticipation. I put on record that I hope that the Prime Minister secures a deal for the UK, but in the event that she does not, the aviation authorities are well aware of their options in that scenario.

--- Later in debate ---

[Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)]

I congratulate my hon. Friend the Member for Wythenshawe and Sale East (Mike Kane) on this timely debate. It is only a shame that there are not more Members here to listen to the good contributions being made. Let me put on the record that before being elected, I was proud to work in aviation for ABTA for many years, working with large tour operators, airlines and airports. I am also vice-chair of the all-party parliamentary group on general aviation, which looks after airfields and small airports very proudly.

Brexit is a testing time for all parts of our economy. Whether hon. Members think Brexit is the best thing since sliced bread or a national disaster, we can all agree that the uncertainty created by Brexit is bad for business and bad for our country. For aviation, in particular, uncertainty is eating away at confidence in the investment and business decisions that are vital to its continued success in the UK. In that spirit, I hope my remarks will create some more clarity on Brexit and aviation.

If we are to mitigate the impacts of Brexit—or maximise the opportunities, depending on the side of the debate—we must look at the detail of aviation. How does it work, how are people employed, how are planes maintained—we just heard about that—and flown, and how will business investment continue? That requires an understanding of the detail of international agreements, but that involves a level of detail I have not really seen since I was elected to this place. Parliament is unaccustomed to dealing with that level of detail at scale, so I welcome this debate as a chance to get stuck in.

Sadly, my time with the hon. Member for Nottingham South (Lilian Greenwood) on the Transport Committee has just come to an end. When I left, I said I would continue to talk about transport and aviation, and I regard this speech as continuing that promise. It is worth talking about aviation in the UK because it is a global success story. We are really good at it, and we need to maintain that success. We have the largest aviation sector in the EU and the third largest in the world after the United States and China. We have direct connections to more than 370 international destinations, and more than 284 million passengers passed through a UK airport in 2017—a record number. Whether people are flying for business, for leisure or to visit friends and relatives, they all make a contribution to our economy. We must recognise that we get benefit from people not only flying in but flying out.

[Lilian Greenwood]

My hon. Friend made a great contribution to the Transport Committee. He will remember that the Committee was told repeatedly by the Transport Secretary that he is optimistic about a deal with the European Union on air transport. He told Parliament in November 2016 that he was

“absolutely in no doubt that we would secure in good time and effectively the agreements that our aviation sector needs”.—[Official Report, 23 November 2016; Vol. 617, c. 953.]

We are now five months away from the exit, and we still do not know what it means for our access to the European common aviation area or international agreements such as the open skies to the US; how it will affect our nine freedoms to fly and air traffic control, including our participation in the Single European Sky regime; and whether the UK will remain part of the UK-Ireland functional airspace block. Do those questions not need answering now?

M26 Closures

Lilian Greenwood Excerpts

Thursday 25th October 2018 Commons Chamber

[Tom Tugendhat]

Indeed; I am getting to that exact point, and I am delighted that the hon. Gentleman should make it.

When plans are developed for any area, local residents and businesses are expected to have their say, but that has not happened here. No information was given on why the closures were happening, other than for “central reservation works”. This phrase could realistically mean anything, and does not indicate the scale of what is proposed. I checked with a few people, including local county councillor, Harry Rayner—a more assiduous representative of the community it would be hard to find—but I could not find anyone who knew about the central reservation works. Earlier this year, I had heard that the idea of using the M26 to store HGVs was being talked about as a vague possibility, which is why I wrote to the Secretary of State on 4 April to raise my concern about the wider effect that this level of disruption would have on the local strategic road network. I shall quote from the letter that the Minister has no doubt seen, but that others in the House may care to hear:

“I would be grateful if I could meet urgently with your team planning this to talk about the impact closing the M26 for a sustained period would have on the local road network and the villages which rely on it.”

This is hardly a surprising turn of phrase, but as no meeting was forthcoming, I wrote to Highways England about works on the strategic road network in Kent. The M26 was not mentioned in its reply.

As recently as three weeks ago, when I asked Highways England if there were any plans to use the M26 in the case of a no-deal Brexit, I was told that there were not, so I was satisfied that there were no plans to subject communities in the area to even more traffic nightmares. For months, I have told the people I represent that this would not happen, following assurances that I had received. I now feel that we have all been let down. Why was there no consultation? The Department for Transport and Highways England are publicly funded, and they should be held accountable for their decisions. To fail to consult the communities most affected by the scale of the proposal is unacceptable. The very least they can do is to apologise.

I am calling for a fundamental rethink of this idea, which would almost cut communities off and cause chaos across the whole area, particularly as there are alternatives outside Kent; I would like the Minister and his Department to explore these. I very much hope that he will have detail on this by the time of his meeting with me, my right hon. Friend the Member for Sevenoaks and our councils next week. We need to explore how we keep lorries at their source rather than allowing them to park in Kent—neither their start point nor, indeed, their end destination. There is technology available and emerging that would enable this to happen. The M26 is not a lorry park and does not have to be used in this way.

Since the closures were announced two weeks ago, a lot of people have linked the proposal to the vote to leave the European Union, but Kent has actually been looking for a solution since Operation Stack plagued the county in 2015, well before the referendum, let alone the result. The impact of closing the M26 is severe, regardless of the cause. Take policing, for example. Our excellent police and crime commissioner, Matthew Scott, has said that pretty much every traffic officer in the county would be needed to patrol a closed motorway. This would create a huge hole in Kent police’s resources, with neighbourhoods nervous about losing their officers to cover for their colleagues. It is no wonder that Matthew thinks this is an unworkable idea.

The views of local people and representatives like Matthew matter because their local knowledge can provide real insight and solutions. For example, has anyone thought what happens to HGVs travelling north on the A21, or south from the Dartford crossing on the M25? There are no slip roads on to the M26, so how would they join the queue? Do they rat-run through villages like Shipbourne to get to the junction? Sat-navs—which, as we all know, have caused many issues for lorry drivers and for people living on small roads in past years—will no doubt take lorries through small lanes that are unsuitable. Do they travel the wrong way on the M25, or go along the A25 through six air quality management areas in 18 miles? These 18 miles along the M25 and M26 are the longest stretch of motorway in England without a junction. The A25 runs parallel the whole way—a single carriageway almost everywhere, even through villages such as Borough Green that suffer the most with air quality and congestion. Borough Green cannot cope with more traffic, particularly large HGVs. Its air quality will suffer even more. It is a perfect example of why the problem needs to be stopped at source, rather than parking HGVs in Kent that then cannot proceed on to Europe.

Could using the M26 as a lorry park be mitigated? Possibly, but I want to know what avenues the Department has explored. Can lorries be kept at source? Will my hon. Friend the Minister look at utilising lorry-holding facilities before the Dartford crossing so that Kent does not have to bear the whole of this load? If not, how can the Government provide appropriate mitigations for communities like Borough Green and Platt on the A25? That question is perhaps the hardest to answer. It requires significant investment. Take the air quality issue. How can the Minister and colleagues in the Department for Environment, Food and Rural Affairs provide funds and suitable equipment to properly measure the impact? How can they make sure that Tonbridge and Malling Borough Council can enforce the statutory limits so that they are kept within? What additional powers will be granted? These are all questions that we do not yet know the answers to.

I know that my hon. Friend the Member for Chatham and Aylesford (Tracey Crouch) joins me in the comments that I now make. Currently, when there is a problem on the M26, the impact stretches further afield, much further south and east of the motorway. For example, the A227 is the only realistic route in or out of Wrotham and runs over the M26. Congestion there leaves the village almost cut off, with a single track road to the west the only option. The conurbation of Wrotham—a wonderful and very beautiful village—and its neighbours Borough Green, Platt, Ightham and others understandably feels that it has been getting rough treatment recently. Its infrastructure is declining, when connectivity matters more than ever.

I want to try to make the lives of people living and working in these beautiful villages better, not worse, but traffic congestion and poor air quality remain problematic, and rail services are often unreliable and slow. I do not need to rehash the issues surrounding the Southeastern timetable changes, but added to the delayed start to Thameslink services to the City of London and compounded by the threat of a lorry park, villages could be cut off.

[Lilian Greenwood (Nottingham South) (Lab)]

Does the hon. Gentleman share my concern that this seems to imply that the Department for Transport simply is not sufficiently well prepared for what might come about on 29 March next year? Is he aware that the Comptroller and Auditor General expressed concerns about the Department’s preparedness last week to the Brexit Committee, when he said that the Department

“has convinced itself that it is less risky than it actually is”?

Is it not time that the Department got on top of this issue, to avoid the very problems for the hon. Gentleman’s constituents that he has set out so eloquently?

[Tom Tugendhat]

I thank the hon. Lady, the Chair of the Transport Committee, and I should also pay tribute to the Chair of the Public Accounts Committee, the hon. Member for Hackney South and Shoreditch (Meg Hillier). They have both taken up this question with great diligence. If she will forgive me, I am going to focus on the issue particularly relating to Kent, which is not only about Brexit. In fact, this issue is not specifically Brexit-related. It is, as we know, related to Stack, which happened before the referendum and would no doubt have arisen anyway should there have been any issues with crossing the channel. I will focus on the M26 rather than on wider issues, which she not only suggests but has done very capably through her Committee work.

It is worth considering the other implications. There is a planned 3,000-home new development in the area as part of the draft Tonbridge and Malling local plan, which is out for consultation at the moment and to which I urge those who wish to comment to respond as soon as possible. Should that be approved, it will put additional strain on local road and rail networks. Do an extra 3,000 families need hundreds of additional vehicles thundering down country lanes every day? I do not think so, and I would be surprised if others did.

Clarity, consistency and communication matter, especially for businesses. Take, for example, ALS Airport Travel in West Malling. Every day, its drivers make countless journeys from the Malling area to Gatwick. The combination of closing the M26 and the existing smart motorway work on the M20 will have a hugely detrimental impact on the business.

We have no faith in Highways England to manage two neighbouring works concurrently. It cannot even get the M20 scheme right at the moment. Lower speed limits, narrow lanes and full road closures are already forcing traffic on to local roads. Accidents are on the rise. We see the effect every day. Highways England’s woeful lack of communication across any scheme sees closure dates change frequently and residents unsure of what it will deliver for them. It has happened already with the scoping works on the M26 last week. The motorway opened two days before it was planned to, which is great, but Highways England failed to tell anyone that it had happened. The Department and Highways England really must start talking to the people who are most affected by these plans.

Closing the M26 to hold lorries will impact public transport, too. In a rural area, where many people travel long distances to school, even the slightest delay in the morning affects the network for the rest of the day. Has the Department spoken, for example, to local bus operators about that? How will it ensure that children get to school on time? More pressingly, should the education of students in west Kent be impacted day in, day out, because the area is at a standstill due to HGVs preferring not to stop in the county and blocking our major roads?

One possibility that I would like to see implemented if this proposal proceeds is to relax the rules of the traffic commissioner to allow bus operators and Kent County Council to modify and change bus routes quickly. Some people, including me, have argued that 70 days’ notice is too long already, but the Government have an obligation to ensure that public transport still works and to put into place changes that mean children can get to school on time and as stress-free as possible.

This is just as important for any other motorist, so can the HGV parking ban on Kent County Council roads, piloted in Ashford, be extended county-wide, and can the penalty be increased, with permission to clamp on the first offence as well? Without that, our roads will not have a chance of being free and available for local traffic to use. Sadly, clamping matters in this circumstance. Can roadworks on local roads be limited, too? I would like powers to be granted to Kent County Council to enable it to charge more than currently permitted under the lane rental scheme to limit works causing delays on the roads. This would require departmental approval and, I understand, a statutory instrument, but it is precisely the sort of change that needs to happen.

Mr Deputy Speaker, I could talk more about the further mitigations possible under part 4 of schedule 7 to the Traffic Management Act 2004, but I trust you and the Minister already understand my concern. There is an argument that, wherever disruption might occur, these ideas should be implemented. This summer, a sinkhole developed on the A26 in Maidstone, closing the road for months, and the whole of mid and west Kent suffered as a result. The highway network in our corner of Kent is not resilient, and this needs to be considered as well.

At yesterday’s Public Accounts Committee sitting, the permanent secretary of the Department admitted that the works on the M26 would cost £30 million to £35 million and include hard shoulder improvements as well as the central reservation works. Can the local community also benefit from these improvements? Why not pursue a simpler solution and stop HGVs entering Kent in the first place? Why should it be the responsibility of the garden of England to turn into the parking lot of England? Most HGVs do not start their journeys in our county, so why not keep them at source, as they do in France?

I want to touch on a social issue that I know concerns my right hon. Friend the Member for Sevenoaks. The M26 is largely rural and it is far from any services. If lorries are parked here, how will drivers be fed and provided with water and sanitation facilities, and where will they sleep at night? Tonbridge and Malling Borough Council and Sevenoaks District Council have clear statutory responsibilities under the Civil Contingencies Act 2004, so why have they not been informed either? Both councils do a brilliant job across all services, and they are excellently run, with extremely capable leaders and officers. I am pleased that the Minister will meet us on Tuesday, and it is clear than any proposal on the M26 would require abnormally high levels of Government support for our local councils.

I want to help the Minister and his Department to find a solution to this problem. I welcome the wonderful benefits that the freight industry brings, but there must be a better solution than turning major roads in the county into a lorry park. I look forward to his response and to working with him and local councils in finding such solutions. Before I sit down, I must extend the apologies of my right hon. Friend the Member for Sevenoaks and my hon. Friend the Member for Chatham and Aylesford, who express their support, but sadly could not be in the Chamber this afternoon.

Oral Answers to Questions

Lilian Greenwood Excerpts

Thursday 11th October 2018 Commons Chamber

[Chris Grayling]

I am slightly puzzled, because the harmonisation of laws would imply backing away from devolution. The reality is that in a devolved settlement, as we have with Scotland, there will always be some differences. Nevertheless, we and the Scottish Government must always work together in the interests of the whole United Kingdom and of producers throughout the whole United Kingdom.

[Lilian Greenwood (Nottingham South) (Lab)]

Air transport is obviously vital for Scottish food producers, as it is for businesses and people throughout the UK. In October 2016, the Secretary of State told the Transport Committee that future aviation arrangements would form part of the Brexit negotiations

“in the next few months”

and would be handled by the Department for Exiting the European Union. A year later, with no evidence of progress, the Secretary of State assured the Committee that there was no danger of planes being grounded by a no-deal Brexit. A year on, it is clear from the Government’s own technical notices that that is a real possibility. Who in the Government is handling this matter? What progress has been made? What confidence can people have when booking flights? How can we reach any conclusion other than that this matter has been badly mishandled?

[Chris Grayling]

I am sorry, but the hon. Lady has got this completely wrong. The Government have said or done nothing to imply that planes will be grounded and there will be no flights after we leave the European Union. I give the House the categorical assurance that flights are going to continue. Interestingly, those in the aviation industry who have been most vociferous about the risk of planes being grounded are now selling tickets for next summer and expanding the number of routes from the United Kingdom to the European Union next summer.

Oral Answers to Questions

Lilian Greenwood Excerpts

Thursday 5th July 2018 Commons Chamber

[Joseph Johnson]

Transport for the North has determined that passengers on the most severely affected routes, principally on Northern services, will get four weeks’ cash compensation, as my hon. Friend rightly said, and those on the less severely affected routes, which happen to be in Yorkshire, will receive one week’s cash compensation. That is a matter for Transport for the North.

[Lilian Greenwood (Nottingham South) (Lab)]

The National Audit Office revealed that the Minister’s Department has allowed Govia Thameslink Railway to buy out its liabilities for poor performance through to September 2018. The Public Accounts Committee has concluded that the threat to strip GTR of its franchise is not a credible one. What can he do to protect passengers from a continuation of the current appalling performance if the 15 July interim timetable fails to bring stability?

[Joseph Johnson]

Rail operating companies will be held responsible for that portion of performance for which they are responsible and accountable, and that is now under way. The Secretary of State has set in train a hard review of GTR, and at the end of that hard review, all appropriate options will be on the table and available to the Secretary of State and to the whole Government.