High Speed Rail (West Midlands-Crewe) Bill

Lord Tunnicliffe Excerpts

Committee stage & Committee: 1st sitting (Hansard) & Committee: 1st sitting (Hansard): House of Lords
Monday 9th November 2020 Grand Committee

[Baroness Randerson (LD) [V]]

My Lords, I support the principle behind this amendment. We need a clear statement from the Government endorsing the full HS2 project. Anything less would fundamentally undermine the economic and social case for HS2.

Building only phase 1, from London to Birmingham, would simply make Birmingham a suburb of London, bringing it within the commuter belt. Building only phase 2a would destroy much of the economic case for high-speed rail, because only the more southerly parts of the western route would benefit from the regenerative impact of HS2, and the possibilities for improving local rail connectivity in the Midlands and the north would be much diminished. Put all this together and HS2 becomes much more questionable as an investment.

Sums that seemed eye-watering only nine months ago seem rather less daunting now that we have experienced in recent months the short-term government expenditure necessary to save us from catastrophe. But the pandemic has proved that we now need to invest for a greener future and a more sustainable way of living, and HS2 is a vital part of that.

Reference has been made in this debate to a recent lack of passengers on the railways and other impacts of the coronavirus. We are going to move on from this; there will be a time when people get back on to the railways, and the buses. It is important that the Government encourage people to do that. Therefore, HS2 and its progress need to be part of that picture.

Nevertheless, we still have to ensure value for money, which you do not get if you abandon the full concept of HS2 in the name of cost-cutting. Instead, you destroy the economic case and undermine the environmental benefits, because you are not producing a high-speed railway that is able to compete with internal flights and long-distance car journeys. HS2 will provide additional capacity, taking long-distance passengers off existing lines and leaving spare capacity for more freight and for shorter journeys and commuter trips.

The amendment of the noble Lord, Lord Adonis, raises the key issue of continuity. Building a railway is rather like having a mobile factory. The equipment and the skills move along the line with you as you build. Pause the process and the skilled workers disappear to other jobs and the equipment is repurposed, sold off and so on. Getting it all together again costs a lot more than just moving seamlessly on.

Behind this are the lessons of the electrification of the Great Western line, which reveal that message clearly. Expensive mistakes were made in the early stages because it was so long since any electrification of the railways had been done in UK that the expertise had to be built up from scratch. Further projects will inevitably be more cost-efficient, because the expertise, materials and equipment are all available now.

HS2 is, of course, already running well behind the original schedule, so there is a need to build it as quickly as possible. The amendment from the noble Lord, Lord Adonis, addresses that issue in its intention. There is already talk that phase 2b might not be complete until 2040. That is totally unacceptable. The north-east, and the north beyond Crewe in the west, need regeneration now. HS2 is a large piece of the jigsaw of initiatives that are needed.

On 7 October, the Government announced a consultation on several aspects of phase 2b. That closes on 11 December. Can the Minister tell us when the results of that consultation are likely to be made public and what she thinks will be the timescale for the Government’s decisions on it?

We can already see the regenerative impact of HS2 in Birmingham, and shovels are hardly in the ground. The north-east leg via Nottingham to Leeds, and the further part of the western leg to Manchester, need the certainty of the Government’s unequivocal commitment to the whole of HS2 now. I will listen to the tone of the Minister’s response with great interest.

[Lord Tunnicliffe (Lab) [V]]

My Lords, in general, we view the amendment favourably. It seems to have two points to it. The first is to try to secure some continuity, as spelled out by the noble Baroness, Lady Randerson. The concept of continuity in railway construction is a sound one. Unfortunately, it is a sound principle that we tend not to keep to. The key part of the amendment seems to be the question of whether Her Majesty’s Government will commit to building HS2 phase 2b to Leeds in full. For the avoidance of doubt, Labour’s answer is that we fully support the HS2 concept and the concept that phase 2b should be built to Leeds in full.

I think we already know what the Minister will say. Andrew Stephenson was asked this question in the other place on 22 October. He said that

“when the Prime Minister gave the go-ahead to HS2 in February this year, he said that we were committed to delivering phase 2b but how phase 2b was delivered would be subject to the integrated rail plan. We have been making significant progress with the integrated rail plan. Sir John Armitt and the National Infrastructure Commission have already published their interim report. We look forward to their further recommendations and to responding to them before Christmas.”—[Official Report, Commons, 22/10/20; col. 1213.]

That caused me to look up the interim report, since it seems central to how the question posed in the amendment will be answered. When I found it and skimmed through it, I came up with two questions. The first is very simple: when will the final report on this issue be published? The interim report promises that it will be published in November. It should be noted that Andrew Stephenson said that it would be published by Christmas. If it were published in November, it might be available before we get to Report, which would be extremely useful. When does the Minister expect the report to be published and when does she expect the Government’s response?

The other perhaps disturbing feature of the interim report is the commitment to a very different methodology from that used in the past. Essentially, what is said about a plan depends on the methodology and assumptions in the analysis that answers the question, to what extent and to what standard should the railway be built? Can the Minister assure the Committee that the methodology and assumptions will produce an answer no less favourable to the Leeds branch than those used in HS2? Put another way, if the criteria used in the original HS2 decision would say yes to Leeds but the new criteria say no, surely, this cannot be levelling up. I have seen precious few examples of levelling up, and a failure to build HS2 phase 2b to Leeds—indeed, a failure to build HS2 in full—surely is a statement that the commitment to levelling up is meaningless.

[The Parliamentary Under-Secretary of State, Department for Transport (Baroness Vere of Norbiton) (Con)]

My Lords, I thank the noble Lord, Lord Adonis, for tabling the amendment and all noble Lords who have taken part in this first debate in Committee on the HS2 phase 2a Bill. Before I go any further, on behalf of the Government, I extend my sincere thanks to the Select Committee. I am particularly grateful that its members agreed to undertake hearings for petitioners virtually. That was the first time this had been done and the noble and learned Lord, Lord Hope of Craighead, and the other committee members did an incredible job in the most challenging of circumstances. Where petitioners chose to appear in person, the committee undertook hearings in a hybrid fashion and handled all the different ways of working with ease. I therefore put on record my thanks, and those of the Secretary of State and the Government as a whole, for its work and ensuring that we maintained momentum on this incredibly important Bill.

Turning, then, to the debate on this first amendment, I note that many noble Lords know what I will say. I hope I will not disappoint and that I will get my words right. The noble Lord, Lord Adonis, is a great and very knowledgeable advocate for HS2 and I thank him for his continuing support for and dedication to getting the railway built, and for setting out so passionately his reasoning. Despite my appreciation for the noble Lord’s tenacity, I do not see that the amendment is needed. I also feel that potentially, it is very unhelpful.

There is simply no benefit or technical justification for making the progress of work on this section of railway—a very short one of just 36 miles, going from the West Midlands to Crewe, also known as phase 2a —contingent on the deposit of a Bill for the eastern leg of phase 2b. While the Bill is part of a much bigger project, as noted by the noble Lord, Lord Liddle, the amendment would delay works on phase 2a by a significant period, given the scale and complexity of hybrid Bills and the time needed for their preparation.

All being well, if we can get this Bill through your Lordships’ House, we expect work to commence in the early part of next year. It will not surprise noble Lords to hear that there is a window in the early part of next year in which the work needs to start; much of it is environmental work that is sometimes limited by the time of year in which it can take place. We do not want anything to delay the passage of the Bill and, therefore, the start of the works for phase 2a. Secondly, those works are intrinsically linked to work going on in phase 1. As the noble Baroness, Lady Randerson, noted, continuity is really important. The two works will eventually proceed alongside one another. Therefore, it would be better to get the Bill through.

We have come a long way in the last 12 months or so since Second Reading. We had the Oakervee review, in which Douglas Oakervee said that the whole of HS2 should go ahead, but that the Bills for phase 2b —there will be Bills, not a single Bill—should not be introduced to Parliament before the publication of the integrated rail plan, which, as noble Lords will have heard me say before, is due to be published by the end of the year. Delaying the beginning of works on phase 2a until an eastern leg Bill has been deposited in Parliament would serve only to delay the phase 2a works and the benefits of HS2 reaching the north and the Midlands.

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[Lord Adonis (Lab)]

I agree with everything that the noble and learned Lord, Lord Hope, has just said. I would just add one point. Crossrail has considerable experience of burial sites and monuments and is generally acknowledged to have dealt with them sensitively and to have made a significant contribution to the archaeological history of Britain. In respect of dealing properly with human remains, it has been extremely sensitive at every stage and has arranged for reburial as appropriate. I would have thought that the Crossrail experience offers a good example to HS2.

[Lord Tunnicliffe (Lab) [V]]

My Lords, I generally support this amendment, which is really about tone.

The noble Baroness, Lady Jones, and my noble friend Lord Adonis have touched on the question of the treatment of any burial sites and monuments that we come across. I felt sure that there was something, somewhere that requires HS2 to show some respect in this regard. My research shows that an information paper on burial grounds was published on 15 February 2019 for the Bill before us. Paragraph 3.1 states:

“Any human remains affected by the Proposed Scheme will be treated with all due dignity, respect and care. Any impact caused by works to construct the Proposed Scheme on human remains and associated monuments is an emotive and complex matter and HS2 Ltd and the Promoter recognise their duty to address the concerns of individuals and communities.”


The essence of that assurance is that any remains should be treated with

“all due dignity, respect and care.”

Had that been carried into the Bill, perhaps through some wording in the Explanatory Notes, one would feel that this would be handled sensitively. During the works for the Jubilee Line extension we did end up building through burial sites, and we were sensitive to how that was managed. I think that we caused no offence as a result.

Unfortunately, no reference is made to “dignity, respect and care” in the rest of that document. Nowhere in Schedule 20 is there any sense of that, nor is it set out in the Explanatory Notes. I hope that the Minister will find some way of assuring the Committee that those key cultural attitudes to burial sites will be carried through in the execution of the project.

[Baroness Vere of Norbiton (Con)]

My Lords, I thank the noble Baroness, Lady Randerson, for tabling this important amendment. As she will be aware, I wrote to her on this matter at the end of last week and I have shared that letter with other noble Lords who have spoken in the debate. When I am not taking HS2 Bills through the Lords, I am the roads Minister and am well aware that one can make finds at any point in the construction process. Highways England has very good systems to deal with this, and I am very pleased to be able to tell noble Lords that HS2 does, too.

However, it is worth pointing out that no gravestones, monuments, burial grounds or human remains have so far been identified along the phase 2a route. The noble Lord, Lord Liddle, and the noble and learned Lord, Lord Hope, mentioned that they had not come across this issue in the Select Committee, and that is why we do not expect to make such finds. However, as noted by the noble Baroness, Lady Randerson, and the noble and learned Lord, Lord Hope, that does not mean that such artefacts will not be there. Human remains and monuments are often discovered during construction and if this happens, requirements are already in place for HS2. They are set out in great detail in the Heritage Memorandum, which is one of the Environmental Minimum Requirements. There is also the phase 2a burial grounds, human remains and monuments procedure. These documents ensure that the right approach is taken—one very much in line with that set out by the noble and learned Lord, Lord Hope.

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[Lord Bradshaw (LD) [V]]

I say simply that I accept entirely the arguments advanced by the noble and learned Lord, Lord Hope. I agree that the procedure is cumbersome and expensive and I would be very pleased to see some reforms brought forward in due course, but I am sorry, I cannot agree with the arguments put forward by the noble Lord, Lord Berkeley.

[Lord Tunnicliffe (Lab) [V]]

My Lords, I have to admit that I barely understand this debate. I did my best to research it and it seemed to be about giving the promoter considerable flexibility to exercise powers under the TWA procedure to create opportunities for activity on land that might be outside the Bill, as well as other rights to do things. I am sure the Minister, briefed by her excellent team, fully understands what this is all about and I will be very grateful if she explains it to me, ideally in words of one syllable.

[Baroness Vere of Norbiton (Con)]

My Lords, I thought that the noble Lords, Lord Adonis and Lord Liddle, did a very good job of making many of my points for me. Then, of course, the noble and learned Lord, Lord Hope, came in and did a proper job on the matter in hand. I will play this with a straight bat and read out what I have here, which I thought I understood when I read it through over the weekend. I hope this will be helpful to the noble Lord, Lord Tunnicliffe. It was certainly helpful to me. When I got to the end of it I thought, “Right, I get this,” so here we go.

It is normal practice on major infrastructure projects such as HS2 or Crossrail that, during construction, further planning consent needs to be sought for details of the scheme that were not anticipated when it passed through Parliament. One of the means for doing this in relation to railway works is an order made under the Transport and Works Act 1992, known as a Transport and Works Act order.

During its construction, Crossrail has had three such orders, addressing changes in station design at Whitechapel, stabling arrangements at Plumstead and connections between platforms at Paddington, all of which arose from continuing discussions on the design and operation of the railway after the Crossrail Bill was enacted. Phase 1 of HS2 has had one Transport and Works Act order so far, in that case for new sidings near Calvert Green for use by a waste-to-energy facility. This was to honour an assurance given to the operator of the facility during the passage of the phase 1 Bill. The facility could not be included in the scheme because of the time needed to develop the proposals, which would have unduly delayed progress. As we build phase 1, it may be found that there is a need for more orders.

I will mention briefly the process that such a Transport and Works Act order goes through. The application for the order is submitted to the relevant Secretary of State—in England that would be the Transport Secretary and in Wales it would be the Welsh Government. The applicant must then make the application public by publishing notices in local newspapers, by writing to people directly affected, by posting notices near the works and by notifying specified organisations. If the scheme is large, the applicant may be required to hold public information events. It is clear that such orders go through a large amount of consultation.

People who wish to object then have six weeks to notify the relevant decision-maker of their objections. If there are many objections or if there are statutory objectors—those who are considered directly affected because their land is being bought compulsorily, for example—there may be a public inquiry. A recommendation on the application for the order will then be made to the Secretary of State, who will ultimately make the decision as to whether it should be approved. There may also be a need for the applicant to apply separately for planning permission, but that is another process.

If an application for a Transport and Works Act order were to be made in relation to phase 2a of the railway, Clause 49 would allow such an order to adopt, as necessary, any provision of the Bill so that the works were constructed within the same legal and planning framework as the rest of the scheme. Further, Schedule 1 to the Bill allows any engineering work shown on the plans and sections that were submitted alongside the Bill to be substituted by a work not so shown. Any such work would still be bound by the environmental minimum requirements of the scheme. What this amendment seeks is already addressed in the Bill.

However, we know that the amendment is not entirely about that. I know that the hybrid Bill process in this House can be a little frustrating. As I said to the noble Lord when discussing his amendment with him last week and as I will repeat now, it is accepted practice on the basis of fairness that, as the second House to consider the Bill, it cannot make amendments that would extend the powers in it; for example, to acquire new rights over land to change the route. This practice was confirmed by the noble and learned Lord, Lord Hope, as chair of the Select Committee that considered this Bill and by the noble and learned Lord, Lord Walker, who chaired the Select Committee that considered the phase 1 Bill in 2016. The Select Committee chaired by the noble and learned Lord, Lord Hope, also considered the suggestion that instructing the promoter to make an amendment to the scheme through a Transport and Works Act order would provide a valid alternative to taking powers in the Bill. The committee did not take this view.

I agree that this is the right approach. Such a committee directing the outcome of an application for a Transport and Works Act order without the formal application being made and therefore without any such change going through the process I described would be unfair. It would take away the opportunity for those who wished to object to have their concerns heard.

I agree with the conclusions of both committee chairs. It is right that if a Transport and Works Act order was necessary, any such order should be entirely outside the scope of the Bill, but I would add that any such order, being associated with phase 2a of HS2, should attract the environmental protections that this scheme offers. The amendment would do nothing to change the ability of the nominated undertaker to use a Transport and Works Act order to amend the scheme; nor would its use in a future HS2 Bill allow the Select Committee in the second House to adopt a different approach. The Bill makes sure this is the case. I trust that this fully explains the stance that the Government take on this matter.

However, I am given to understand that the House authorities are considering a further consultation on the hybrid Bill process in the near future. If the noble Lord, Lord Berkeley, has an issue with that process, he may wish to participate in those discussions—I am sure that his input would be welcome. As such, I wonder whether he might withdraw his amendment.

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[The Deputy Chairman of Committees (Baroness Barker) (LD)]

We will come to you after the Minister. If you were ready then to make a short speech, I think that would be in order. I call the noble Lord, Lord Tunnicliffe.

[Lord Tunnicliffe (Lab) [V]]

My Lords, the position that we take on HS2 is unambiguously to support it, therefore I am not seeking to find devices to slow it down or otherwise damage its future. However, I recognise two things. Speaking first to Amendment 4, I note that the Government have gone some way towards the aim of that amendment by promising six-monthly reports. Indeed, the first one was published on 13 October in the form of a Written Ministerial Statement, as far as I understand it. If the department and the Minister were to look upon this debate positively, there could possibly be a meeting of minds, ideally before Report, on the contents of those reports so that the many sensible concerns expressed in this debate could be met.

On the environment, towards the end of the report it says:

“In the coming months, HS2 Ltd will establish a new Environmental Sustainability Committee (as a sub-committee of the HS2 Ltd board), let by its Chair Allan Cook. This committee will be charged with strengthening Environmental Sustainability Reporting including the development and publication of an Environmental Sustainability Report. HS2 intends to publish the first report next year.”

Perhaps the Minister might know of this report and be able to tell us when it will be published.

The discussion on ancient woodlands—I have to be honest—was merely the Labour Front Bench doing its duty and making sure that all issues were fully debated. I will not repeat the briefings that I have had from the Woodland Trust and others, because they have already been employed in the arguments so far. I urge the Government to listen to this debate and, once again, to enter discussions with Members of this Committee who have spoken so passionately on it to see whether the need for regular reporting can be merged with the particular and important needs of ancient woodland.

On the issue of the periodicity of reporting, the divide between one amendment calling for three months and the other amendment calling for one year could probably be crossed by a merger of the two. We settled on six-monthly reports, but with a wider range of issues, particularly involving ancient woodlands. I hope that the Minister will be able to achieve through discussion some consensus on these two issues, because while I recognise that speakers in this debate are, to some extent, coming from different directions, the generality of their contributions tends to be to the common ground of a report covering a wider range of facts.

[The Deputy Chairman of Committees (Baroness Barker) (LD)]

I call the next speaker, Baroness Vere of Norbiton.

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[Baroness Randerson (LD) [V]]

My Lords, the noble Earl, Lord Lytton, with his great expertise, has made a detailed case for these amendments, so I will speak briefly. I want particularly to talk about Amendment 10 in the name of the noble Lord, Lord Tunnicliffe, to which I have added my name.

Some elements of the compensation schemes devised for HS2 are relatively generous and go well beyond the statutory minimum, but the noble Earl has set out a series of concerns about how those schemes are applied. Even if everything happens perfectly, it is right to say that it is an emotional and difficult time for many people affected by a project such as this. I want to address in particular my concerns about tenants. Some categories of tenancy are adequately covered, but the committee’s report has drawn our attention to the apparent lack of progress in dealing with an issue that was originally raised in the Select Committee of the House of Commons. Tenants with shorthold assured periodic tenancies, some agricultural tenancies and tenancies for narrowboats all appear to have no rights to compensation—not even to a home loss payment. Once again, those in society who are the least well off and the least likely to have adequate resources are given the least consideration. I call on the Minister to provide a better answer than the one that the Secretary of State was able to give in the other place, and to provide us with information and reassurance that all tenants will be properly compensated and dealt with.

The report also draws our attention to two special cases where it is envisaged that homeowners could lose out badly. I would be grateful if the Minister addressed those and said whether, in future, such people will be covered.

[Lord Tunnicliffe (Lab) [V]]

My Lords, this has been an interesting debate. My amendment was tabled to make sure that these important issues are fully debated. I have been rewarded, in the sense that we have had a debate to which people with a great deal of knowledge and experience have contributed.

When I headed up a large publicly owned enterprise, I faced the obligation of how you pay compensation. You are a guardian of the public purse, but nevertheless you want to be fair in an exemplary way, and that implies being on the generous end of the margins that the regulations and/or the law permit. Generally speaking we got that right, and generally speaking we were able to justify the generosity of some of our settlements by the fact that they went through smoothly with little litigation and no loss of public image.

What seems to be true here is the need for consideration of the whole framework. While the position with freeholders may be satisfactory, tenants in general in this area do not get a fair deal. I hope that the Minister will be willing to go beyond saying, “Well, this is what the regulations say,” to a recognition of the widespread feeling that, one way or another, tenants are particularly hurt by the present situation.

I have had a briefing from the National Farmers’ Union, which has already been repeated, and there seems to be a particular problem with agricultural tenancies. You can see the tremendous importance of security of tenure when it comes to farming. Indeed, as far as I can see from the briefings I have received, tenures were much more secure in the past but have become less so, and the compulsory purchase regulations do not in any way reflect the real impact that compulsory purchase can have on the ability of farmers to carry on trading and, if necessary, move farms in order to continue doing so. The whole value of the investment that they make in the land does not seem to be in any way represented in the compensation.

So I am very pleased for the support for my amendment. I agree in some ways with my noble friend Lord Adonis about the need to get this right. I hope the Minister will acknowledge that there is genuine concern in this area, promise to take this issue away and perhaps, once again, have some meetings before Report to see if we can have a meeting of minds.

[Baroness Vere of Norbiton (Con)]

My Lords, this has been a very good and occasionally somewhat detailed debate; I will certainly be doing a follow-up letter when we have finished.

I want to say at the outset that while I agree that HS2 must always strive to improve, I do not recognise the claims by the noble Earl, Lord Lytton, of coercion in dealing with members of the public. If someone has evidence of coercion then we would very much like to hear about it so that we can deal with it properly, but we cannot do anything with unsubstantiated accusations and anecdotes.

I turn first to compensation for tenants, a subject covered previously at Second Reading. As I said then, most types of tenants are already provided for under the existing compensation law where they are impacted by the scheme. Where they are not provided for, the Government are able to use flexible, non-statutory arrangements to provide support. The Government have also committed to taking forward appropriate measures where the law is silent in discussions with stakeholders and residents if it is necessary to do so.

Matters of tenant compensation are complex because they depend on a person’s individual tenancy arrangements, and any compensation must balance the rights of the tenant with fairness to the taxpayer. It should, of course, be executed in a sensitive manner; I think all noble Lords would agree with that.