Transport: Cheshire

Michael Ellis Excerpts

Wednesday 5th June 2019 Westminster Hall

[The Minister of State, Department for Transport (Michael Ellis)]

I congratulate the hon. Member for Ellesmere Port and Neston (Justin Madders) on securing this debate on transport issues in Cheshire. As it happens, I intend to visit his constituency tomorrow—[Interruption.] It is already scheduled. I will visit Argent Energy’s biodiesel-from-waste production facility, which is an example of the vital importance of Ellesmere Port to the local and national economy. It will be my first visit out of London since becoming Transport Minister, and I am delighted to do that.

Cheshire is a powerhouse of the northern economy and the UK economy. It is the gateway to the north. It links strongly to its neighbours, the large city regions of Liverpool and Manchester, as well as to the engine of the midlands and, vitally, to north Wales. I recognise that. With its £29.3 billion economy employing over 488,000 people in more than 42,000 businesses, Cheshire is an economic success story and home to almost 920,000 people. The region has particular strengths in advanced manufacturing, science and innovation, and professional services. In fact, Cheshire’s economy outperforms the UK average on a number of measures. The local enterprise partnership’s strategic economic plan is entitled “Cheshire and Warrington Matters”, and I absolutely endorse that view.

The north matters, and transport matters in and to the north. Transport in all its forms and modes is essential for the prosperity, growth and wellbeing of the whole nation. I therefore commend the hon. Gentleman on raising these matters on his constituents’ behalf. The Government recognise that good transport infrastructure is essential for productivity, which is why we are investing significantly across the country to deliver sustained economic development.

On 1 April 2018, Transport for the North became a statutory body, according the north powers and funding not seen in other areas to develop and drive forward transport plans, which will support economic growth. The Government have also committed to creating a northern powerhouse to rebalance our economy. Northern Powerhouse Rail, the flagship scheme within TfN’s strategic vision, will provide the east-west rail links that the north needs. It is a once-in-a-lifetime opportunity to unlock the full potential of the region.

That is part of our long-term economic plan—one that we share with the north. As Transport Minister, I am committed to improving journeys for passengers in the north. We are carrying out the biggest investment in transport in the region for a generation. Between 2015 and 2020, the Government will have spent over £13 billion improving and modernising northern transport.

[Faisal Rashid]

Does the Minister agree that it is unfair to ask the public to pay those tolls when that bridge has been untolled for decades?

[Michael Ellis]

I will come to tolling in a moment, but it is a long-established principle that goes back to the 1930s that those roads and tunnels are tolled. Figures from the Infrastructure and Projects Authority show that in the three years to 2021, central Government’s planned transport capital investment per head for the north-west, the north-east, Yorkshire and Humber will be higher than for London, the south-east and the south-west. Each year we will invest an average of £248 per person in the north, compared with £236 per person in the south.

We are investing in a smart motorway from junctions 6 to 8 of the M56, which serves Manchester airport, and from junctions 21A to 26 of the M6, which links Cheshire, Merseyside, Greater Manchester and Lancashire. Those are important additions to other localised improvements such as tackling congestion on the A55, which I understand is a major factor, as well as at the Posthouse roundabout. Improvements at junction 8 of the M62 are designed to support the rapid and significant expansion of the Omega employment site, which now employs more than 5,000 people. In the 2018 Budget, the Government published their objectives for the second road investment strategy for 2020 to 2025, and we intend to make available £25.3 billion to further develop the strategic road network. My Department is developing an affordable, deliverable investment plan for that, which will be published in a few months.

[Laura Smith (Crewe and Nantwich) (Lab)]

I am sorry that I missed the start of the speech by my hon. Friend the Member for Ellesmere Port and Neston (Justin Madders). Does the Minister agree that the delivery of HS2 is essential for achieving that vision in the north and opening up that capacity?

[Michael Ellis]

As the hon. Lady knows, we are investing significantly in rail. The reinstatement and reintroduction of services on the Halton curve means that from last month, after a gap of more than 40 years, a direct rail link between the west of Cheshire, north Wales and Liverpool Lime Street now connects those important areas together, unlocking business and opportunities, and providing improved access to the airport. HS2 is, of course, very important, as is the construction of a new station at Warrington West to serve new housing growth. The Northern franchise will lead to the removal of pacers, and brand-new trains will operate on the new Northern Connect service between Liverpool, Warrington Central, Manchester Piccadilly and Manchester airport, as well as a new direct service between Leeds and Chester via Warrington Bank Quay.

[Mike Amesbury]

rose—

[Michael Ellis]

I am conscious of the time as I want to address the issue of tolls, but I will give way to the hon. Gentleman.

[Mike Amesbury]

For every £4 of investment put into London and the south-east, the north gets £1—those are the Government’s own figures. The Northwich area in my constituency was promised two trains an hour to Manchester, but that has not been delivered by the failing Northern franchise. On tolls, there was a clear promise, as outlined by my hon. Friend the Member for Ellesmere Port and Neston (Justin Madders), that a local discount scheme would be extended to Cheshire West, Chester and Warrington, but that promise has not been delivered. Will the Minister answer that point?

[Michael Ellis]

I will come to that in a moment, as I want to talk a little more about HS2. Despite speculation and claims that we should scrap HS2, our commitment to the full HS2 network remains. From 2027, high-speed trains will begin serving Cheshire at Crewe, and the legislative process is under way to extend HS2 to Crewe by 2027—six years earlier than originally planned. For Cheshire, Crewe offers a significant opportunity. We are working actively with local partners to maximise the potential of an HS2 hub at Crewe, both for the wider connectivity to HS2 that that will offer, and for its potential as an agent of change and a significant driver for regeneration and development in and around Crewe, Cheshire and the wider region, including Stoke and Staffordshire.

With Transport for the North we are developing a business case for northern powerhouse rail, and exploring the best options to ensure that the huge economic potential of Warrington and the north Cheshire science corridor is served. Through a £200 million-plus growth deal, we are supporting a significant number of local transport improvements that are vital for people going about their daily business. Those include a new bus station in Chester, bypasses for Congleton, Middlewich and Poynton, and a new highway infrastructure in Crewe, Warrington and Birchwood to alleviate congestion. There is a huge amount of investment. We are also supporting the construction of the new Mersey Gateway crossing, which is the largest local transport scheme in the country and benefits residents of Cheshire, Liverpool city region, and beyond.

[Faisal Rashid]

rose—

[Michael Ellis]

We have just five minutes left, and I wish to get on to tolling. I acknowledge that tolling to support the estuary crossing, and other crossings, is controversial, and it is clear that the hon. Member for Ellesmere Port and Neston has a major disagreement with the Labour Metro Mayor in his region, who changed the hitherto existing position. He is understandably upset about that, but it is a matter for the Mayor, Steve Rotheram. The hon. Gentleman called the tolls “unconscionable” and “racketeering”, and I have noted his comments.

For the Mersey Gateway we were able to ensure that all eligible residents of Halton Borough Council can use the new bridges for free through the local resident discount scheme. It has been the policy of successive UK Governments—both Labour and Conservative—to place tolls on major estuarial crossings, so that those schemes help to pay for the benefits that people receive in those areas. The Government decided to provide free access for the residents of Halton because of their unusual position, given that the existing bridge connects the two parts of the borough on either side of the River Mersey, and that is the only practicable way of travelling between those areas. We looked at the case for extending free tolling to residents of councils beyond Halton, but decided not to do so because the cost to the Government and local authorities would have been disproportionate and substantial.

Since their construction in the 1930s—I think it was 1934—and again in the 1960s and early 1970s, the Mersey tunnels have always been tolled. This is not new. Those tremendous feats of engineering were developed, funded and delivered by the local authorities in the area. The Queensway tunnel, which links Birkenhead and Wallasey with Liverpool, opened in 1934. It cost £8 million at the time and ranked financially as the biggest single municipal enterprise ever undertaken in this country. The Kingsway tunnel, which links Wallasey and Liverpool, opened in 1971 and saw the first example of a giant mechanical “mole” being used in this country. These have always been locally owned assets. Both tunnels have been financed by tolling since they opened, with the toll revenue used to cover the costs of operating, maintaining and enhancing the tunnels, as well as repaying the debt accrued during their construction. Decisions on toll levels rest with the Merseyside local authorities and are now vested in the Liverpool city region mayoral combined authority. They are not a matter for Ministers of the Crown; they are a matter for the Liverpool authorities.

The former Chancellor of the Exchequer may have commented on local tolling in a tweet, or whatever it was, as part of the 2015 general election campaign. [Interruption.] Recognition should be given that my Department worked closely with the combined authority on its review of tunnel tolls, which resulted in a reduction of the fast tag toll for motorists. That was good news, and that is what the Department for Transport did at that time. As hon. Members are probably aware, the process for setting tolls for the Mersey tunnels is set out in the Mersey Tunnels Act 2004, which requires the toll charge to be increased annually in line with inflation, and allows—subject to certain conditions—some of the revenue to be used for wider transport objectives in Merseyside. I hope I have assured hon. Members of the Government’s strong commitment to transport in Cheshire.

[Faisal Rashid]

The Minister is speaking about millions and billions of pounds of investment in the north but he contradicts himself. Part of that investment should come from the national infrastructure fund, rather than from private investors and tolls, including on an existing bridge that was not previously tolled.

[Mr Howarth]

rose—

[Michael Ellis]

If the right hon. Gentleman can make his point in 20 seconds, I will give way to him.

[Mr Howarth]

Does the Minister accept that having to pay an additional £20 a week just to go to work is unacceptable for my constituents and those of my hon. Friends?

[Michael Ellis]

I suggest that all hon. Members work actively with their regional Mayors and with Cheshire West and Chester Council to explore what may or may not be possible.

Question put and agreed to.