Community Transport

Matt Rodda Excerpts

Thursday 10th May 2018 Westminster Hall

[Matt Rodda (Reading East) (Lab)]

It is a pleasure to see you in the Chair, Mr Davies.

I pay tribute to my hon. Friend the Member for Nottingham South (Lilian Greenwood) and I congratulate her on securing this important debate and on her excellent speech outlining the issue. Her knowledge and expertise on all transport matters is of great benefit to the House, and I commend her work as Chair of the Transport Committee in carrying out this important and thorough inquiry. I also thank hon. Members from across the House for their contributions.

We have heard that community transport is a very broad term for the vital local transport services that provide a lifeline to people in our communities who, sadly, might otherwise be isolated. From lifts by volunteer car drivers to more organised schemes such as dial-a-ride or dial-a-bus, minibus travel for groups of people who struggle to get out on their own and community bus services where there are no existing commercial routes, such as in remote rural areas, not-for-profit services are vital to local communities.

[Dr Huq]

My hon. Friend mentioned that community transport is a lifeline for the users, but does he agree that it is also a lifeline for the volunteer drivers? Patrick O’Keefe, a constituent who was very high up at Heathrow, and Paul Hurley, who is ex-BBC, love it because they have a post-retirement second lease of life.

[Matt Rodda]

My hon. Friend makes a very valid point.

My hon. Friend the Member for Nottingham South and other Members are right to describe the services as a lifeline, as my hon. Friend the Member for Ealing Central and Acton (Dr Huq) just did. It is heartening to see so many Members here showing support for them. Throughout the debate, we have heard many examples of the impact that these vital services have in constituencies up and down the country. The value of these services is not disputed and is not a topic for this debate.

The debate came about as a result of the failure of the Department for Transport to ensure that UK legislation and guidance kept pace with community transport practice and European regulations. Sadly, the Department did not respond appropriately or quickly enough to address issues that were raised directly with them over a number of years. When officials did respond, they mismanaged the situation, causing confusion and panic in the community transport sector. We have heard that the Department’s ill-judged letter last July had an immediate and damaging knock-on effect. It led to local authorities halting commissioning and in some cases even withdrawing contracts from community transport operators. The delay of more than three months in the Department providing clarification further exacerbated the problem and highlighted the Department’s lack of understanding of the impact of its proposals on the community transport sector.

My hon. Friend the Member for Nottingham South informed us earlier that the Transport Committee’s subsequent inquiry was launched in response to the concerns that not-for-profit community minibus services for vulnerable or isolated people were under threat, and in response to Members being contacted by constituents and community transport providers. The inquiry received more than 300 submissions, which demonstrates the considerable strength of feeling among organisations that provide community transport and people using those vital services.

The inquiry found that the Government’s position—that the majority of community transport operators would not be affected by any clarification of the rules—was inaccurate. The Department’s view appears not to differentiate between true commercial services and those vital community services that fill gaps where the market is unable to deliver transport. By accepting a premise that any transaction in any form makes something commercial, the proposed changes will prevent many more community organisations from operating than the Department intended, affecting not just those that compete for contracts. It is important to remember that not all services where a payment is made are truly commercial.

If the proposed guidance stands, the total estimated impact on community organisations will be about £399 million. That will mean that many of the not-for-profit organisations will no longer be able to afford to run their services, as we have heard from many Members. That is a fundamental and worrying shift away from the established policy that not-for-profit organisations are able to play an important role, which has been supported by legislation and encouraged by both Labour and Conservative Governments for nearly 30 years. This long-established arrangement has been successful and has ensured that people in our communities can still get about when public transport cannot support them. That is why, in its inquiry report, the Transport Committee urged the Government to engage with the sector, and called for Ministers to address the Department’s lack of understanding of the community transport sector and to carry out a full impact assessment of the proposals.

A further key recommendation was that the Government use the consultation to consider reforms to achieve compatibility with EU regulations. That would maintain the key objective of continuing to provide high quality, safe and secure community transport services. It is disheartening to hear from my hon. Friend that the Government have not listened and, sadly, not engaged with these very legitimate concerns. With the consultation now closed, I hope the Minister will outline the steps he will take to ensure the views and concerns expressed are taken into account, and will reassure Members that the consultation was not merely an exercise to rubber-stamp the Department’s proposals.

The community transport sector has acted in good faith, in accordance with official guidance from both local and central Government over many years. By its own admission, the DFT has not kept pace with developments in community transport. Furthermore, the Department has taken action only when under immediate legal threat. Will the Minister now outline what steps he is taking to ensure that the Department has the expertise and understanding required to oversee the reforms, whilst ensuring the protection of these vital services? The role of the DFT is to support transport networks and to keep people moving.

This sorry episode suggests a wider failure to take a strategic view of local transport policy, which I hope the Minister will now address. I urge him to take a fresh look at community transport services, to improve services and make them more efficient. I look forward to hearing the Minister’s comments and to him reassuring the Committee on this matter.