Transport Infrastructure: Lancashire

Debate between Paul Maynard and Daniel Zeichner

Tuesday 15th March 2016 Westminster Hall

[Daniel Zeichner]

While I recognise that it may seem like a distant dream, as far as we are concerned it is certainly an improvement on the current situation and that is why we will continue to support it.

The Government also paused the trans-Pennine electrification last year; pausing seems to be a characteristic of this Government when what we actually need is fast-forward. Furthermore, after recommencing in September, completion of the whole Manchester to Leeds and York corridor was pushed back from 2019 to 2022. Transport infrastructure improvements in the north, including in Lancashire and the wider north-west, have too often been characterised by dithering and delay. There is still no official estimate of the cost of the trans-Pennine electrification outside the initial funding commitment of £300 million and the £92 million that has been spent so far on contracts.

In addition to delays in infrastructural improvement, Lancashire has also suffered severe cuts to its funding from central Government. Lancashire County Council has had to reduce funding of bus services from £7 million to £2 million to make £85 million in budget savings next year. The hon. Member for Blackpool North and Cleveleys (Paul Maynard) has already referred to bus issues, but I have said it before and I will say it again: the Government are devolving cuts, not power. They are putting local authorities in impossible positions and keeping their own hands clean.

[Paul Maynard]

As the shadow Front-Bench spokesman, might the hon. Gentleman be able to help me by encouraging his colleagues in Lancashire to explain to us what the £400 million in reserves at county hall are being kept back for? When will it rain to such an extent that we need the rainy day fund? That is our key question to the Labour party.

[Daniel Zeichner]

Ah, reserves—they are always quoted on all sides as the answer to every question. Of course it is for every authority to decide responsibly how to use its resources appropriately, and I do not think that Government Members can really deny that there has been a squeeze on resources.

Lancashire County Council has said that in the next five years it will need to make savings of £262 million on top of those agreed in previous budgets. It describes that as

“an unprecedented financial challenge due to continued cuts in Government funding, rising costs and increasing demand for key services.”

It states that by April 2018 it will not have sufficient financial resources to meet its statutory obligations even if it does not deliver any of the non-statutory services.

In the comprehensive spending review, the Government announced a reduction of 24% in central Government funding for local government over the spending review period. The Local Government Association tells us:

“Even if councils stopped filling in potholes, maintaining parks, closed all children’s centres, libraries, museums, leisure centres and turned off every street light, they will not have saved enough money to plug the financial black hole they face by 2020.”

In conclusion, those cuts alongside the uncosted deferment of major transport infrastructure projects is preventing Lancashire—and other areas—from reaching its full potential. Lancashire is rightly ambitious to unlock the potential for economic growth, but that will happen only when the Government move from their current practice of recycling announcements and actually start to deliver.