(12 years, 10 months ago)
Commons ChamberI am grateful for this opportunity to speak. Like many colleagues, I wish the Secretary of State well, although he is not in his seat at the moment. It was great to see him back at the Dispatch Box. In taking interventions from Opposition Members, he was generous, flexible and accommodating—characteristics that he did not always demonstrate in his previous role.
This debate is simple for me. Although the railways are a complicated issue, the fundamental question is, who will pick up the tab of improving our railways? I am pretty disappointed by this debate because it is almost blatantly politically opportunistic. This is such a serious issue and it affects so many of our consumers and constituents that we should have more grace than to bat it about in this way and try to score cheap political points.
The answer to who will pick up the tab is, ultimately, the taxpayer. If we all agree that the railways need improvement and investment, and that the cash has to come from somewhere, ultimately the taxpayer has to pay the bill. The question is how to strike the balance between the ordinary taxpayer and the individual taxpayer who makes use of the service and rides on the trains. I put it to the House that someone working in the former coalfields of Sherwood, where rail services are pretty sparse, who earns less than £20,000 a year should not be put under pressure to pay taxes to give a banker who lives in Surrey a subsidised ride into the City. That is a difficult problem to solve, but we have to get the balance right between the ordinary taxpayer and the commuter. I am not sure that we have got the balance right today.
Standing at the Dispatch Box today, the Secretary of State inherits a situation that I do not envy: he comes to his role in the middle of a global financial crunch; he inherits a railway system that has faced enormous under-investment from a series of Governments; he faces the global price of energy going through the roof; and he has inherited a deficit from the previous Government that is difficult to solve.
The hon. Gentleman talks about the importance of getting the right balance. Does he think the right balance has been struck given that, since rail privatisation, there has been a 7% drop in the cost of motoring and a 17% rise in rail fares?
I do not know what sort of car the hon. Lady drives, but I certainly have not seen a 7% drop in the cost of my motoring. I do not think we have got the balance right at the moment, but we have heard a series of speeches by Opposition Members about how nationalisation could improve the railways. I wonder whether people’s memories are so short that they forget how poor British Rail was. The Government who privatised the railways did not do it because British Rail was so fantastic.
I would be very grateful to the hon. Gentleman. I accept that this is a complicated issue, but when British Rail ran the railways it was not a panacea or a fantastic system. There were enormous delays for commuters, and the railway carriages were cramped. The service provided to commuters was shocking.
We could argue that there has not been enough progress, which I accept to a certain extent. Like the Secretary of State, I travel on the midland main line. It seems simple to say that capacity on that line could be improved just by making the trains a little longer, but the situation is much more complicated than that. The trains are already too long for people who want to get out of certain carriages at Loughborough station, so they have to move down the train to get off. Enormous investment is required in the midland main line, which is one of the most under-invested railway lines in the country, and I am delighted that the Government are putting in the cash to improve it by moving electrification further up towards the midlands and Yorkshire. It has been a long time coming.
I return to my constituents in Sherwood, who are not blessed with wonderful railway connections. If a resident of the town of Ollerton is employed in the city of Nottingham, their only option is to use buses or get in the car and drive. Public transport provision in my constituency is shockingly poor, and with the exception of the town of Hucknall, railway provision is pretty much non-existent. A taxpayer in Ollerton has to get in their car, for which they have paid road tax, and fund their journey by paying for petrol and the tax on it. They drive to the city of Nottingham and pay the workplace parking levy introduced by the Labour-controlled city council to earn their wage to pay taxes to support a banker in Surrey by cheapening his journey into the City of London. To someone working in Sherwood and earning twenty thousand quid, that does not seem acceptable. We sometimes need a bit of a reality check. I have heard a lot of complaints from colleagues in the south-east. I understand that they feel under pressure because of the increases in the cost of their rail tickets, but there is not a great deal of sympathy from hard-pressed, hard-working people in the coalfields of Nottinghamshire who are on low wages.
How will we solve the problem? Frankly, I am not sure that I have all the answers, but I would be delighted to work with the Secretary of State and the transport team to try to solve it. I believe that the answer is for the price of railway tickets to creep up, so that people can adapt and adjust, and for us to find ways of being more efficient. My hon. Friend the Member for Northampton South (Mr Binley) talked about efficiency savings, which will be the key to solving the problem. We must not only make use of taxpayers’ money for investment but find ways of spending it in the most efficient way possible. It is not tolerable or acceptable to my hard-working, tax-paying constituents that they have to keep dipping their hand in their pocket only for that money to be wasted rather than spent in the most efficient possible manner. If efficiencies are made, they will be able to benefit when they make use of the trains if they have the opportunity to come to London or to commute across Nottinghamshire. They cannot keep paying indefinitely without efficiency savings.
Probably the most shocking statistic that I have heard today is the comparison between the cost of flying and using rail. It is now cheaper to fly from Edinburgh to London than it is to go on the train. It seems bonkers that we find ourselves in that position, but it demonstrates how efficient the private sector can be in providing air journeys.
The hon. Gentleman’s point is utterly specious. That situation has nothing to do with the effectiveness of a privatised airline and everything to do with the fact that airline fuel is subsidised whereas other fuel is not. If we subsidise domestic flights, it is not surprising that railways will be more expensive. Will he follow through on the logic of his argument and say that the Government will consider getting rid of the subsidy on domestic flight fuel?
I certainly think that we should examine how railways fund their fuel and energy supplies, and we are considering electrifying lines so that they are more efficient. I know that the hon. Lady is talking about aviation fuel, but I make the point that some rail lines, such as the midland main line, run on diesel rather than electricity. I am sure that the carbon footprint of those journeys will be of interest to her, and I wholly accept that we should continue to examine the matter.
I cannot reiterate enough the importance of getting the balance right between the commuter paying and the taxpayer paying. It is easy to forget that hard-working people doing fairly low-paid jobs are under equal pressure and also have to pay for transport to work. It is wrong to suggest that we can simply reduce rail fares.
I was aghast at some of the comments of my Liberal colleague the hon. Member for Cambridge (Dr Huppert), who is no longer in his place. He said that cutting the price of some rail tickets was Liberal Democrat policy. I hope that when the Minister responds, he will assure us, as a Liberal Democrat member of the Government, that the Liberal Democrat policy and the Government’s policy are fairly closely aligned. In the land of buttercups, rainbows and daffodils where my colleague seems to live, things do not seem to balance out as I understand them in the real world.
I look forward to the Minister’s response and hope that as the Secretary of State settles into his role he will consider the whole country, not just the commuters. They are obviously under pressure as they have to pay for their tickets, but he should also consider the hard-working taxpayers.They do not have a lot of spare cash and cannot keep dipping into their pockets for it.