Thursday 9th January 2020

(4 years, 11 months ago)

Lords Chamber
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Lord Berkeley Portrait Lord Berkeley (Lab)
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I wish the noble Baroness good luck in those five years.

My Lords, I declare an interest as a former chairman of the HS2 review. I will talk about railways and HS2, if I may, in the short time available. I welcome the references in the Queen’s Speech to prioritising investment in infrastructure and giving

“communities more control over how investment is spent so that they can decide what is best for them.”

Ministers have supported that since then. In her opening speech, the Minister made it very clear. She said that you need investment so that people can get to work on time. That is very simple but it is absolutely the core of the whole matter.

I welcome the Government’s commitment to the regions, particularly in transport. This is the first time we have seen that for decades, and it i is pretty good. It needs doing because TransPennine Express has cancelled 40% of its services this month, or during some part of this month. Northern Rail is apparently about to be stripped of its franchises. How can you hold down a job if 40% of your trains on the days on which you want to go to work are cancelled? Who is to blame? It is easy to blame people. The rail operator blames a lack of trains but 400 electric coaches are sitting in sidings funded by the Department for Transport because electrification was cancelled. Those 400 coaches could be operating today. That does not include Crossrail, which is a separate subject for another day. We have got to get our act together. This is about Leeds, Manchester, Liverpool and the north-east. As we know, the result is not good.

I am grateful to my noble friend Lord Griffiths for his positive comments about my HS2 report. I will not go into great detail today as there is not enough time—I will do it another time—but we need to consider how to deal with the poor economic performance in the north and parts of the Midlands and the effect that HS2 may or may not have. Therefore, what are the most important improvements to the rail network in those areas and is HS2 the best way of achieving them? We consulted widely within the review team but we have now got to a cost of £100 billion. HS2 does good things around Crewe and Manchester and Leeds and Sheffield, but is it the right answer further south?

This goes back to the fundamentals of the businesses in those areas. From talking to a lot of people, it is my perception that it is managing directors, and us politicians, who want to get to London more quickly, but the people who work in those businesses want to commute, and they probably commute daily whereas we do it perhaps weekly, or whatever. That is where the money needs to be spent. The Government could commit £50 billion over 20 years really to improve those services. So, Ministers have to answer this question: if HS2 needs £100 billion and regional rail services need £50 billion—if they have £150 billion, then fine, do the lot—which do they prioritise?

Lord Adonis Portrait Lord Adonis (Lab)
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My Lords, my noble friend referred to localism and local decision-making but the Mayor of the West Midlands, the Mayor of Greater Manchester and the leader of Leeds City Council are strongly in favour of HS2 continuing. They prioritise it very highly. Does that not weigh with my noble friend?

Lord Berkeley Portrait Lord Berkeley
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I am aware of those prioritisations. They want both. I have talked to them. However, when I asked them, “Do you want HS2 to get to London quicker or do you want better commuter services?”, they said, after a lot of thinking, that commuter services came first.

Lord Adonis Portrait Lord Adonis
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I do not accept that that is correct. If my noble friend asks the Mayor of the West Midlands, he will not find him prioritising other services over HS2.

Lord Berkeley Portrait Lord Berkeley
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I will conclude. I am grateful to the Economic Affairs Committee, under the great chairmanship of the noble Lord, Lord Forsyth, for its excellent report. I hope that Ministers will read it, if they have not done so already, and I hope that we will have a debate on it. I hope that we will have another opportunity to debate this issue. It really is a question of money: do we have £150 billion or £75 billion? That is the decision for Ministers to make. I will be grateful if, when he winds up, the Minister can give me some idea of when that decision might be made.