Operation of Air Services (Amendment) (EU Exit) Regulations 2020

Lord Berkeley Excerpts

Tuesday 26th January 2021 Grand Committee

[Lord Berkeley (Lab) [V]]

My Lords, I am grateful for the opportunity to respond to the Minister, who has given us a comprehensive introduction to the regulations. I suspect, as she hinted, that the Covid situation causing the massive lack in demand for air services will go on for some time and that we will have many such debates on air regulations before the year is out.

I have just one or two questions for the Minister. First, it appears from reading the Explanatory Memorandum that the regulations apply only to the UK and to UK-registered carriers—obviously, it is just the UK—but how do foreign carriers get registered to operate in the UK?

Secondly, I have noted that a UK air carrier must have its principal place of business in the UK, which is perfectly reasonable, but are there any restrictions on the shareholding or ownership or on where those operators might be registered, be they in the UK, within the European Union or elsewhere?

I am also interested in bilateral air services agreements. How many, if any, have been agreed with EU member states and came into force at Brexit? If those agreements are not complete, when will they be—they must be done individually, I believe—and what happens in the meantime? Are we just hoping for the best, or are there some interim arrangements?

Finally, on qualifying air operators being eligible for PSOs—I am obviously interested in PSOs from where I live in Cornwall and the Isles of Scilly—I understand PSOs being limited to EU carriers, but do any EU carriers have cabotage rights to operate in the UK? Would they then be able to bid for PSOs in the same way as UK-registered air carriers?

That is enough from me. I look forward to the Minister’s answers.