Sale of New Petrol and Diesel Cars and Vans

Debate between Mark Pawsey and Andrew Stephenson

Thursday 4th July 2019 Commons Chamber

[Andrew Stephenson]

I will come on to that, but I think we are making good progress on a range of fronts, although significant barriers remain. Our wider commitments on climate change have been bold, and we have achieved a faster reduction in our carbon emissions than any other country in the G20 has done. There is no reason why we cannot go faster than the targets that we have set ourselves. Meeting those targets requires an adequate supply of ultra low emission vehicles, a strong consumer base and a fit-for-purpose infrastructure network.

Government cannot deliver our ambitions alone. At the heart of our strategy is a commitment to working in partnership with industry, business, academia, environmental groups, devolved administrations, local Government, consumers and international partners. We need new charge points in homes, workplaces and public places. The consumer experience of public charging needs to be improved. The system must be easy to use, affordable, efficient and reliable. That is why we passed the Automated and Electric Vehicles Act 2018, which allows us to regulate further in this area; that is why on Monday the Prime Minister asked OLEV to undertake a review, setting out our vision for a core national network of rapid charge points along the country’s key roads; and it is why we are encouraging people to charge at home overnight, both on and off street.

On Tuesday this week, I attended a roundtable convened at 10 Downing Street with companies such as Jaguar Land Rover, LEVC, Tesla, PSA and the National Grid to discuss how we can best build on our core infrastructure network for electric vehicles in the UK. Those who were present were supportive of Government schemes, such as the up-front £500 off the cost of installing a domestic charge point; the provision of grants to businesses for workplace charge points; and the provision of grant funding to local authorities to install charge points for residents who lack off-street parking. We accept that we need to go further and faster; for example, by ensuring that all new homes are electric vehicle ready. We will soon consult on requiring every new home to have a charge point where appropriate.

We are already in a strong position. Government funding and leadership, alongside private sector investment, has supported the installation of more than 20,000 public charge points to date. That includes more than 2,000 rapid charge points—one of the largest networks in Europe. We want to build on that and encourage private sector investment to build and operate a self-sustaining public network.

Overall, we are investing nearly £1.5 billion between 2015 and 2021 to support ultra low emission vehicles and address the barriers to uptake. As the hon. Member for Birmingham, Northfield (Richard Burden) mentioned, we have grants available to offset the up-front cost of ultra low emission vehicles, which currently cost more than petrol or diesel equivalents. As an incentive to make the switch, our plug-in grants offer up to £3,500 off the purchase price of an electric car, up to £7,500 for a taxi and up to £8,000 for a van. We are also funding the development of new cleaner technologies. With £300 million of funding from OLEV, we are supporting vehicle manufacturers, technology companies and academia to deliver a major programme of research and development in the UK.

I am pleased to say that a year on from the publication of our strategy “The Road to Zero”, we are making progress against our ambitions. In 2018, the UK was the second largest market in the EU for ultra low emission vehicles, and there are now more than 200,000 of them on our roads. We are also building in large numbers—last year, one in five electric cars sold in Europe was made in the UK—and I am proud to say that Europe’s best-selling electric vehicle, the Nissan Leaf, was made in Sunderland, as the hon. Member for Washington and Sunderland West mentioned.

Let us not forget that this sector is hugely important to the UK economy: with a £77.9 billion turnover, it directly employs 165,000 in manufacturing alone. As someone from the north of England, that is particularly important to me. Manufacturing is still a major employer in my constituency, with companies such Wardle Storeys, part of Uniroyal Global, employing more than 150 people in Earby, making automotive components. That is why I am keen to see the industry’s rapid evolution, rather than revolution, supported by our automotive sector deal, which was published last year. As I speak, the Automotive Council, which I would have attended were it not for this debate, is meeting just down the road.

It has been a real privilege of my role to see at first hand some of the technologies and innovations that are already delivering for us on the Road to Zero. Just last week, I visited the BMW Mini plant in Oxford, and I have also visited Bentley in Crewe; the Advanced Propulsion Centre in Coventry, where I got to sit in—they would not let me drive it—the first all-electric Aston Martin, which will be built in St Athan, south Wales; and McLaren in Wokingham. We are supporting innovation in the sector, with the Advanced Propulsion Centre, the Faraday battery challenge and the connected and autonomous vehicles programme, focusing on the key technologies that will drive the global transition to low-carbon mobility and form the basis of future vehicle supply chains in the UK.

Battery technologies are of course integral to the market, which is why we have committed more than £270 million to the Faraday battery challenge, to ensure that the UK builds on its strengths and leads the world in the design, development and manufacture of electric batteries. In May, I announced additional funding for the UK Battery Industrialisation Centre in Coventry, a project in which we have so far invested more than £100 million and which will provide a stepping stone in our ambitions for a gigafactory in the UK. The Government and industry have committed around £1 billion over 10 years through the Advanced Propulsion Centre, to fund the research, development and commercialisation of the next generation of low-carbon technologies and keep the UK at the cutting edge of low-carbon automotive innovations.

We have reached the tipping point with the ULEV market and made a strong start on the Road to Zero, but we cannot be complacent. The closer that we can work together across Government, manufacturers, innovators and industry, the quicker we can make that transformation and allow future generations to enjoy the benefits of cleaner air, low carbon emissions and a thriving low emission automotive sector.

[Mark Pawsey]

Will the Minister comment on the fact that a new motorway service area is going to open with just two charge points? What can we do to accelerate the provision of charge points?

[Andrew Stephenson]

That is another shocking example. In the Road to Zero strategy, a copy of which I can lend to my hon. Friend, the Government announced that we would look into the best options for ensuring the adequate provision of electric-capacity connections at motorway service areas, and that work is under way. The key task over the next year is to sustain and strengthen our collaboration in the sector, as we stride towards our ambitious emissions targets for road vehicles and beyond.

Question put and agreed to.

Resolved,

That this House calls on the Government to bring forward the date by which the sale of new petrol and diesel cars and vans will be ended.

Bombardier

Debate between Mark Pawsey and Andrew Stephenson

Tuesday 7th May 2019 Commons Chamber

[Andrew Stephenson]

I thank the shadow Secretary of State for the tone of his remarks, and I agree with him completely on the importance of Bombardier. Indeed, I would go as far as to say that it is a jewel in the crown of not only Northern Irish manufacturing, but the whole UK aerospace sector. It is therefore vital that we all work together to do everything we can to ensure the future of this site and its workforce.

The hon. Gentleman posed a range of questions that I wish to touch on. I am more than happy to meet the unions and workers’ representatives to talk about this issue, and to visit Northern Ireland to see what we can do. It is important that we find the right buyer for this company, which has a good order book and is profitable. Like other companies in the aerospace sector, it has huge growth potential in the coming years. I will not rehearse the statistics now, but they show huge growth potential in the aerospace sector, and Bombardier is well positioned to capitalise on it.

The Government continue to work to support the wider Northern Irish economy. A heads of terms agreement for the Belfast city deal was agreed by the UK Government, Northern Irish government and Belfast regional partners in March 2019. The Belfast region city deal will see the UK Government invest £350 million into the Belfast region over the next 15 years. In addition, work is ongoing between the UK Government and local partners on a funding announcement for a Londonderry/Derry regional city deal. As has been said, the Secretary of State for Northern Ireland is not here—obviously, she is doing good work in Northern Ireland at the moment—but I stand ready to work with her and other Ministers to ensure that all necessary support is given to the workers at this site going forward.

[Mark Pawsey (Rugby) (Con)]

The Business, Energy and Industrial Strategy Committee paid a visit to the Belfast plant of Bombardier last November during which we saw a highly skilled workforce carrying out fantastic work in the manufacture of aircraft wings with a high level of expertise. We also saw the benefits of the £2.7 billion investment that has been made in the plant since 1989. Does the Minister agree that it is important to reassure not only customers of Bombardier, which provides for the families of aircraft that Bombardier itself produces, but external customers such as Airbus with its A220 programme?

[Andrew Stephenson]

I agree that this site is very much a going concern. Bombardier has made it clear that it will look for the right buyer for this site. It does not intend to close it. As part of a strategic overview of its business, it has decided that this site, along with the Morocco site, should go up for sale. The Government have worked consistently with the site, and, since 2017, more than £20 million has been invested in research and development activity at the Belfast plant to develop new products and to improve efficiency.

Oral Answers to Questions

Debate between Mark Pawsey and Andrew Stephenson

Tuesday 30th April 2019 Commons Chamber

[Andrew Stephenson]

The UK has committed to being a global leader on this topic. We have already taken more than 15 billion plastic carrier bags out of the economy, we are consulting on a deposit return scheme and we have introduced proposals for a world-leading new tax on plastic packaging that does not meet minimum thresholds. There is always more that we can do, but there is an awful lot that we have already done.

[Mark Pawsey (Rugby) (Con)]

Does the Minister recognise the contribution of the UK packaging manufacturing industry, which has annual sales of £12 billion, employs 85,000 people and makes up 3% of the UK manufacturing base, in working closely to increase the percentage of recycled material by using innovative new technologies and materials?

[Andrew Stephenson]

I thank my hon. Friend for that question. The UK plastics industry is vital to our economy, employing more than 170,000 people. This new challenge for the sector allows it to create new jobs as it embraces our challenging targets and ambitions in this area.