High Speed Rail (West Midlands-Crewe) Bill

Lord Adonis Excerpts

Committee stage & Committee: 2nd sitting (Hansard) & Committee: 2nd sitting (Hansard): House of Lords & Committee: 2nd sitting : House of Lords & Committee: 2nd sitting
Thursday 12th November 2020 Grand Committee

[Lord Liddle (Lab) [V]]

My Lords, I oppose the amendment. I do not see any point in it whatever. It seems to me that in this country we can never make up our minds about whether we are going to do anything that is big and expensive. We have constant reviews, and we are constantly cancelling projects that have already made some advance. We have just had the independent Oakervee review of HS2, and we have just had a government decision to go ahead with the line to Manchester—although I share the worries of my noble friend Lord Adonis about what the Government are thinking about the eastern leg. However, I see no purpose in launching another review now.

My noble friend Lord Berkeley says that it is very difficult to get independent advice regarding all these concerns about costs, et cetera. Of course it is difficult to get independent advice, as the people who really know the facts are the ones who are doing the job. Unless the taxpayer is to fund an independent organisation to be critical of a scheme that Parliament has voted for and that the Government have reaffirmed and have cross-party support for, then this is a ludicrous proposal. I suppose that the answer to my noble friend’s legitimate concerns is to have an effective HS2 board. If there is an answer to this problem, it lies in having an effective board to supervise the management of the project. That is the point that the Government ought to be satisfying themselves on. I honestly do not think that this is a matter for legislation at all.

[Lord Adonis (Lab)]

My Lords, I agree with every word that my noble friend Lord Liddle has said, and I hope that the Minister will not give an inch to this amendment and will comprehensively refute it when she speaks. HS2 has been reviewed to death.

I find it utterly astonishing that my noble friend Lord Berkeley should be moving this amendment because he has brought his great, independent wisdom and distinction to the biggest review yet of HS2, which concluded only this February after the best part of six months’ work. When he says that there are no independent people to conduct that review, it is a lot of complete nonsense. The members of the Oakervee review were very eminent and very independent: Doug Oakervee himself, a man of immense distinction in the delivery of infrastructure projects here and internationally, including some of the most successful developed in modern economies, in Hong Kong; my noble friend, who was the deputy chairman; Sir John Cridland, who is the former director-general of the CBI; Michèle Dix, who is responsible for directing Crossrail 2; Stephen Glaister, one of the most eminent transport economists in the world; Sir Peter Hendy, the chairman of Network Rail and former commissioner of Transport for London; Andrew Sentance, of the Bank of England; Professor Tony Travers, who is one of the most independent-minded and distinguished professors of government in the world and holds a chair at the London School of Economics; Andy Street, who is the elected Mayor of the West Midlands; and Patrick Harley, who is the leader of Dudley council. So I ask my noble friend Lord Berkeley to tell us in his reply: what sort of independence does he have in mind? Who are these great independent judges of infrastructure projects who can bring their wisdom to bear and have not already been consulted? At the end of the Oakervee report, which is 130 pages long, there is a list of the people who submitted evidence and were consulted. That list extends to more than 400 people and organisations.

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[The Deputy Chairman of Committees (Lord Russell of Liverpool) (CB)]

My Lords, I have received no requests to speak after the Minister, so I call—

[Lord Adonis (Lab)]

Sorry: I was not quite sure who I was supposed to email under this complicated regime. I emailed someone, but clearly the wrong person.

Perhaps I could ask the Minister a question. She gave she gave a compelling response as to why we should not have a review. She was less convincing in response to my noble friend Lord Rosser about cost/benefits, because costs and benefits change over time, which was part of the point my noble friend was making. The noble Lord, Lord Framlingham, was so concerned that we should pay attention to cost/benefits; can the Minister confirm that when it comes to the next review of cost/benefits, it is very important that the costs of upgrading the three principal lines running north from London—the west coast main line, the Midlands main line and the east coast main line—will be set against the costs if HS2 does not proceed? All the estimates made of those costs are that they are huge and should not be discounted in any future cost/benefit analysis.

[Baroness Vere of Norbiton (Con)]

I thank the noble Lord for that intervention, but what he notes are the counterfactual opportunity costs of not having to do those upgrades. I am not sure how they would factor into a standard cost/benefit analysis, but it is certainly the case, as he pointed out, that they would be fairly costly and that HS2 brings not only speed but capacity.

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[Baroness Jones of Moulsecoomb (GP) [V]]

My Lords, I apologise for my ineptitude with the mute button. I am afraid that I have been infantilised by the previous system, but I promise to do better.

I strongly support this amendment because this is another thing that ought to be standard in public life. Government works are for the public good and private contractors are there to perform that role for the Government on behalf of the public good. It is about trying to achieve that outcome and transparency should be a central pillar of all public works. Lack of transparency breeds distrust, fuels conspiracy theories and undermines whatever public good the Government are trying to and might achieve in doing the work. In particular, non-disclosure agreements should never be used for political purposes; for example, to avoid embarrassment or controversy. Perhaps the Minister could give us an explanation of the full range of NDAs being used in relation to HS2 and precisely why they are being used. That would help us move forward on this issue.

[Lord Adonis (Lab)]

My Lords, while I recognise that there is a fixed order of speakers, I really want to speak after the noble Baroness, Lady Kramer, because I know that in the past she took up the case of a particular whistleblower. I think that it relates to the time when she was the Minister responsible for HS2. In thinking how I can use creatively the processes of the Grand Committee, now that I know which clerk to email in order to speak after the Minister, if I have anything to say after the noble Baroness, Lady Kramer, has spoken, I shall do so by those means.

What the noble Baroness, Lady Jones, has just said about non-disclosure agreements not being used for political purposes is of course completely correct and all noble Lords would agree with that. I am very keen to hear from the noble Baroness, Lady Kramer, because I think that she is going set out her concerns about a particular case or cases, and obviously I am also keen to hear the Minister’s response to those.

[The Deputy Chairman of Committees (Lord Russell of Liverpool) (CB)]

The noble Lord, Lord Haselhurst, has withdrawn from speaking to this amendment and so I now call the noble Lord, Lord Liddle.

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[The Deputy Chairman of Committees (Baroness Watkins of Tavistock) (CB)]

I have received requests to speak after the Minister from the noble Lord, Lord Adonis, and the noble Baroness, Lady Kramer.

[Lord Adonis (Lab)]

The Minister’s response has been compelling. She is right to point up the importance of HS2 Ltd being able to discuss with local authorities confidentially different route options, treatment of works, and so on. That is completely correct. Of course, if that was not possible, HS2 probably would not be able to have some of those conversations, because the issues raised would be too sensitive. Therefore, I do not think that the case for this amendment has been made even in principle.

I note that the noble Baroness, Lady Kramer, is going to come in after me. If she is going to try to persuade the Committee that there should be some more different and onerous process for HS2 Ltd in respect of non-disclosure agreements, she will have to be franker with the Committee about that. I do not think that we should have general statements made that would lead to substantive changes in a non-disclosure agreement that could impede the work of HS2 Ltd, unless we are given instances that we find compelling to justify that.

[Baroness Vere of Norbiton (Con)]

I do not think I have anything further to say to the noble Lord, Lord Adonis. I too would very much appreciate hearing from the noble Baroness, Lady Kramer.

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[Baroness Randerson (LD) [V]]

My Lords, in speaking to Amendment 11, I shall refer to the amendment in the name of the Labour Party.

The finances of HS2 do not stack up, unless it is used as a spine from which to hang a network of substantial improvements to existing rail services and a programme of new lines and stations. Amendment 11 in my name is designed to cover this by way of an annual review by the Secretary of State. The frequency is intended to keep the process of future planning under constant review because, for the sake of efficiency and cost effectiveness, it is essential that there is a steady flow of work for the rail manufacturing and construction industry. The Department for Transport needs to move away from the cumbersome feast-and-famine approach to railway building which has so hampered the industry in recent years.

The noble Lord, Lord Adonis, queried whether the eastern leg of HS2, phase 2b, would be built following the Minister’s confirmation in our previous debate on Monday that Bills for the eastern and the western legs will be separated. I invite the Minister to tell us whether there is any truth in the rumour that the National Infrastructure Commission, which is developing the strategic rail plan, might recommend that HS2 as a new line should be built only from Birmingham to East Midlands Parkway, and that thereafter trains would join the existing main line to Nottingham, Derby and Leeds. Even if that line is improved and electrified, this would mean that there will be no gains in capacity and speed, and it will mean the loss of the economic development potential of HS2 which we have seen so well illustrated already in Birmingham. If there is truth in this rumour, it illustrates the UK’s fatal flaw: our failure to raise our eyes to the horizon, to build for the future, to plan for the future.

The work of Midlands Connect, for example, and its Midlands Engine Rail plans illustrates perfectly the way in which HS2 can and should be used to stimulate major improvements in rail services across the area and, beyond that, further to the north. It has planned three packages of improvements. Package West uses phases 1 and 2a as well as capacity in existing lines which is released by HS2. It would enable 20 more trains per hour into and out of Birmingham Moor Street station, improving links with the south-west, Wales and the east Midlands. There are plans to improve connectivity at Birmingham Airport and for faster trains on existing lines between Birmingham and Manchester. Then there is its Package East: a multimodal strategy to connect towns across the region into the HS2 hub station at Toton. But possibly most significant is its Package Connect. It has plans to enhance the east-west connection between, for example, Crewe and Derby, Nottingham and Lincoln, and so on, significantly improving journey times in an area where the percentage of commuters who travel by rail is woefully low. Why is that? It is largely because the speeds of the trains—the services at the moment—are low, and the services are infrequent. I must also not forget the importance of freight. Putting more goods on to the railways is important, and essential to a green future and to avoiding climate change.

The single unifying factor in all these plans is that they all depend in some way on the impetus that HS2 will provide. A high-speed long-distance railway leads to improved services for commuters, shoppers and leisure travellers as well as additional capacity for freight. Despite the falling numbers of rail passengers, and despite the fact that the pandemic has made us think again, there is every reason to believe that people will return to travel in the future. Indeed, they already have. Already, we are at roughly 100% of pre-pandemic road traffic levels, at a time when only 59% of us are back in work in our offices. If we were all to go back to work as we have done before, that would be an additional 2.7 million cars and other vehicles on the road per day. It is simply not possible and sustainable in terms of congestion, let alone the impact on air quality and emissions. For a green future we have to plan for a modern, fast and efficient railway.

I remind the Minister that in the general election last year the Government received a huge boost from electors in the Midlands and the north, who put their faith in the Government’s levelling-up rhetoric. Now the Government have to deliver on that, and HS2 is a key part of that deal. But as I hope I have illustrated, HS2 must be used as a catalyst for much more—for much greater change—and the north of England and the Midlands will have a pretty dim view of government promises if that does not go ahead as planned. I beg to move.

[Lord Adonis (Lab)]

My Lords, the noble Baroness, Lady Randerson, has made some powerful points. She has also teed me up splendidly because her amendment raises the issue of connectivity. I can see that the Minister is much looking forward to the fact that I am going to speak again about the connectivity of the east Midlands, Yorkshire and the north-east, which is imminently threatened by this review and potential cancellation of HS2 east.

Lest noble Lords think that I am unnecessarily alarmist on this, I am doing my public duty to see that this catastrophic and historic error is not made. Every time I raise this issue and engage with stakeholders, my concerns become greater. Since I made my remarks on Monday I have had a number of private representations, which it would not be proper for me to reveal because I gave non-disclosure agreements in response to those, but I have also had a very significant public representation —which I have forwarded to the Minister to give her an opportunity to respond in her reply—from Professor David Rae, who is a professor of enterprise at De Montfort University in Leicester, an area which would gain enormously from the benefits of HS2 east. Perhaps I may read the key part of his letter to the Grand Committee, because it specifically responds to the points I raised in our previous sitting on Monday. He writes:

“Consistent with your Twitter messages”—


I tweet summaries of my speeches because they are far too long to inflict on the public at their full extent—

“regarding the threatened axing of the HS2 Eastern link, a well-informed source tells me that the National Infrastructure Commission, which is preparing the Rail Plan”—

the one that the noble Baroness keeps referring to, and which she rightly says I do not like because it is the disguise for delaying or cancelling it—

“which will recommend the future investment, is more likely to propose that HS2 East is only built from Birmingham to East Midlands Parkway (EMP) and there to join the existing Midland Mainline and follow existing … lines to Nottingham, Derby and North to Leeds. Even if this is approved, there are multiple negative effects. In terms of rail, there will be few gains in either rail capacity or speed, and none north of EMP. In effect the Leeds and Northern HS2 link would be via HS2 to Manchester and thence via Transpennine Rail”.

I should say in parenthesis that that means that the east Midlands would gain very little out of HS2 and the journey times to Leeds and the north-east would be significantly delayed because all of their HS2 journeys would need to go via Manchester. That presupposes that a tunnel is built under the Pennines at high speed to take the line from Manchester to Leeds, which itself, as I know from having looked at the costings, is a hugely expensive and very problematic project.

Professor David Rae continues:

“There is also a large economic development loss to the region. As you will know, the development of the Toton ‘Garden of Innovation’ new community and innovation district around the HS2 station—


the junction station between Derby and Nottingham that is proposed as part of HS2 east—

“is of strategic importance to the region and is one to which the Councils in Derby, Nottingham and respective Counties as well as the Local Enterprise Partnership … are committed. This is crucial to grow the high-value and high-skill capacity of the region, predicated on HS2, and if lost will set back the region’s economic development by 5 years. We simply cannot afford this loss, set against the effects of COVID-19 job losses and anticipated Brexit impacts.”

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[The Deputy Chairman of Committees (Baroness Henig) (Lab)]

I call the noble Lord, Lord Adonis.

[Lord Adonis (Lab)]

I have nothing to say on this amendment.

[The Deputy Chairman of Committees (Baroness Henig) (Lab)]

I then call the next speaker, the noble Lord, Lord Snape.