Oral Answers to Questions

Maria Eagle Excerpts

Thursday 27th June 2013 Commons Chamber

[Mr McLoughlin]

I simply say to the hon. Lady: look at what has happened since privatisation—and, indeed, all the current franchises in operation were let by the last Government.

[Maria Eagle (Garston and Halewood) (Lab)]

At the previous Transport questions the Minister of State said on East Coast that

“the involvement of the private sector means that we can increase, over and above the taxpayers’ money, the money that can be invested”.—[Official Report, 25 April 2013; Vol. 561, c. 995.]

Yet he has now admitted to me in a letter that the investment

“comes from an increase in the value of Network Rail’s regulatory asset base”,

and he says

“it is through private sector operation that we can best realise the benefits of the planned investment.”

Why does the Secretary of State not now just admit to the House that his Minister was wrong?

[Mr McLoughlin]

No, what my right hon. Friend said was absolutely correct. We are seeing huge investment in the railways and, as I said just a few moments ago, all the franchises currently in operation were let, and endorsed, by the last Government.

[Maria Eagle]

The fact is that the Secretary of State’s policy does not bring in any additional investment and is costing taxpayers, with millions of pounds paid to train companies to extend contracts so we can focus on East Coast. He claimed West Coast is paying more money back to the taxpayer than East Coast: it is not. He said Lord Adonis backs his plans: he does not. He says they are vital to bring in investment: they are not. Is it not the case that, one by one, his arguments for this costly and unnecessary privatisation have fallen away?