Connecting Europe Facility

Penny Mordaunt Excerpts

Thursday 19th January 2012 Commons Chamber

[Penny Mordaunt (Portsmouth North) (Con)]

I welcome the Government’s approach to this and connected issues. I agree that large increases in EU spending are not acceptable at present, and that they jar with the necessary and tough measures required by member states to tackle their deficits. Measures that would impose substantial bureaucracy and associated costs on member states, and on our local authorities and businesses, are both unwelcome and unnecessary. Allowing such decisions to remain with member states would not erect a barrier to the progress of schemes that would benefit the single market.

It will come as no surprise to many Members who are present, particularly the Minister of State, Department for Transport, my right hon. Friend the Member for Chipping Barnet (Mrs Villiers), that I intend to speak mainly about funds for the core and comprehensive transport networks, as I never need much excuse to start talking about trains. The main purpose of the funds is to promote co-operation and co-ordination. We need only look back to the early days of rail to see that that is very important. In the 1870s, the Great Western Railway was busily laying a gauge of 7 feet while every other company was busily laying gauges of 4 feet 8 inches, and better planning would certainly have saved Brunel and his contemporaries a lot of grief, but such co-operation does not require us to pay into a centrally administered fund. We should spend the money on projects that benefit the UK directly, which would not preclude co-operation.

Transport spending must be directed towards projects that will support growth and investment in member states, but that should be a matter for individual member states. The Government are prioritising new projects that will yield a substantial return on investment, such as High Speed 2, Crossrail, Thameslink and, in order to make faster journeys possible, the electrification of key routes such as the First Great Western service between London and Cardiff, the First TransPennine Express route from York, Leeds and Manchester, and services between Liverpool, Preston and Manchester. Many of the schemes are controversial, and following consultation the Government have made changes. What chance would our citizens have to influence such schemes if the decisions were not made by the Governments of member states?

As well as yielding a good return on investment, the Government’s schemes will reduce the impact on the environment, and the aim will be to keep pace with public demand in terms of both capacity and quality. Other member states should be doing likewise. I am concerned about the idea of the UK’s paying into a fund and receiving very little back, in the form of either infrastructure or benefit from a scheme in another member state. I think that that is true of any member state, but our geography makes it doubly true of us.

According to my quick and dirty assessment, given the focus on the missing border links scheme and other measures intended to support growth in the single market, many schemes favoured by the UK would be very low in the pecking order were the Commission’s proposal to proceed. Moreover, member states would be given no incentive to put their own houses in order and prioritise spending, because some of the criteria for the operation of the fund would be skewed towards states that had continually failed to get to grips with balancing their books and controlling their spending.

As Ministers will know, my hobby horse extends beyond greener and faster transport to comfort standards and the opportunity presented by rail franchises. The Financial Secretary to the Treasury, who is a neighbour of mine, will know of the campaign to prevent South West Trains from continually replacing rolling stock that it should be using for main line services with substandard suburban stock. Those issues are not as high-profile or sexy as the issue of new routes, but they are very important to the public, and they affect the viability of particular modes of passenger transport as much as new routes.

In a short space of time, franchise agreements and many other factors will present us with real opportunities. We need to seize those opportunities, and given that they will be time-sensitive, the more healthy our financial position and the more flexibility we have in making decisions and attracting investors, the better. I am firmly in favour of member states retaining as much control as possible over these investment funds.