Draft Common Rules for Access to the International Market for Coach and Bus Services (amendment etc.) (EU Exit) Regulations 2019

Nusrat Ghani Excerpts

Monday 25th March 2019 General Committees

[The Parliamentary Under-Secretary of State for Transport (Ms Nusrat Ghani)]

I beg to move,

That the Committee has considered the draft Common Rules for Access to the International Market for Coach and Bus Services (Amendment etc.) (EU Exit) Regulations 2019.

It is an honour to serve under your chairmanship, Sir Christopher. The draft regulations that we are considering will be made under powers in the European Union (Withdrawal) Act 2018 and will be needed in the event of no deal. The instrument amends the retained European Union legislation governing access to the international passenger transport market and associated domestic implementing legislation, to deal with deficiencies that would otherwise exist when the UK leaves the EU.

EU regulation 1073/2009 establishes the conditions for the international carriage of passengers by coach and bus within the EU and cabotage within member states by non-resident EU operators. It covers regular timetabled services, and occasional services such as those for holidays and tours. It establishes for this purpose a system of Community licences, which act as the international bus and coach licences used within the EU, to be issued by the competent authorities of member states. Section 3 of the withdrawal Act will preserve EU regulation 1073/2009 in domestic law, and—[Interruption.]

[The Chair]

Order. I understand that the hon. Member for Glasgow South West is finding it difficult to hear the Minister because of the conversation that is taking place. I hope hon. Members will enable those who wish to listen to so do.

[Ms Ghani]

I will perhaps speak a little bit louder, Mr Chairman. Section 2 will preserve implementing domestic legislation, including the Public Passenger Vehicles Act 1981 and the Road Transport (International Passenger Services) Regulations 2018. The statutory instrument adjusts the language and references in those pieces of retained legislation and five others to recognise that the UK is no longer a member state.

The SI amends the retained UK version of regulation 1073/2009, and allows EU-based operators to continue to access the UK market in a no-deal scenario on a unilateral basis by recognising Community licences and control documents issued by EU authorities under EU legislation. Existing authorisations for international regular services to the UK will continue to be recognised to avoid any additional administrative burden for operators.

In respect of the retained EU legislation, this SI covers Northern Ireland, too, but that devolved Administration will need to make consequential changes to their legislation; that is the subject of a separate instrument. The retained regulation 1073/2009 will apply only to EU-based operators. In the event of no deal, UK operators will be able to continue to access the EU market through the UK’s accession to the Interbus agreement, an EU multilateral agreement that allows bus and coach operators to run occasional services between participating countries. The UK is currently party to the agreement through its EU membership. As part of contingency planning for no deal, the Government have deposited the UK’s instrument of accession to the Interbus agreement, meaning that the UK will become a member of the agreement in its own right. Due to the wording of the agreement, it may only enter into force on the first of the month.

The Government have made a commitment to reducing the adverse impact of EU exit on businesses and citizens, and that applies to people’s ability to make international journeys by bus or coach. Coach travel provides a safe and environmentally friendly choice of travel, and its low cost is particularly valued by individuals on low incomes. Coaches from continental Europe bring in some 1.6 million visitors each year, and in Northern Ireland travel across the border is a commonplace daily activity, with 900,000 journeys across the border per annum. These draft regulations are essential to support our tourism industry, and to ensure that international services that are, in effect, cross-border local bus services on the island of Ireland can continue to run.

--- Later in debate ---

[Ms Ghani]

I thank hon. Members for their consideration of the regulations. Let me turn to some of the points made. Apologies for having been a little remiss; the proposal comes into play on 1 April. The UK will have completed formal accession to the Interbus agreement by the end of March, and it comes in on the first Monday after that, which is 1 April. My apologies for not mentioning that earlier. Engagement is ongoing with the Interbus depository to ensure alignment between the end of the formal accession period for Interbus and the short extension to article 50.

The other question was about cabotage and Northern Ireland. Under the agreement, cabotage can continue between the Republic of Ireland and Northern Ireland. Should we leave with no deal, we will continue to work with the European Commission and the Republic of Ireland to ensure that any long-term transport arrangements between the UK and the EU take into account the unique transport demands on the island of Ireland.

There was also some conversation about the impact that the agreement has on the sector, and potentially on the cost. I place on record the fact that my officials have been working with the Confederation of Passenger Transport, which is the main industry representative body, and the Federation of Passenger Transport Northern Ireland, to ensure that stakeholder consultation has taken place, and to understand the impact of this statutory instrument. All stakeholders support the UK’s decision to join the Interbus agreement independently. Any costs are noted as minimal, and any certification or passporting to allow this business to continue tends to be over a five-year period; the authorisations last for five years. Work has taken place to see how much work that would involve going forward.

[Rachael Maskell]

Could the Minister give some clarity on the impact on EEA countries? What will happen to their operations?

[Ms Ghani]

The Interbus agreement works with countries beyond the EU. There are another six countries that it is working with. My officials are working closely with them to put in place bilateral agreements to allow processes and practices that are in place to continue.

I thank the hon. Member for Glasgow South West for his question about passenger rights. We have worked to ensure that passenger rights will be as they are today; we are taking on board any part of EU legislation that we can adopt into UK legislation. As maritime Minister as well, I must say that we have gone above and beyond what is expected; we are working to international guidelines, not just EU guidelines, in this area.

I believe that the Committee is in agreement that these are serious regulations that we need to take forward to ensure that tourism, which is incredibly important business between the UK and the EU, can continue. I hope that hon. Members will support this instrument, so that we can ensure international coach travel access, and particularly regular services, to the UK for EU bus and coach operators, in much the same manner as before, in the interest of passengers. That is the reason why they will be supporting these regulations, which I commend to the Committee.

Question put and agreed to.