Rail (East Anglia)

Peter Bone Excerpts

Tuesday 3rd July 2012 Westminster Hall

[Dr Daniel Poulter (Central Suffolk and North Ipswich) (Con)]

Many key points have already been touched on, and we have heard a lot from hon. Members about the historical under-investment in the East Anglian rail network. We heard in a well articulated speech by my hon. Friend the Member for Witham (Priti Patel) that although fares continue to increase, the reliability of the service continues to be a problem, and there has been consistently poor value for money for passengers who use the line.

[Mr Peter Bone in the Chair]

My hon. Friend the Member for Mid Norfolk (George Freeman) rightly highlighted the fact that if we want a first-class business environment in the east of England and East Anglia, we need first-class infrastructure. We are pleased with the strong Government support for investment in high-speed broadband in rural areas in Suffolk, Norfolk, Essex and other counties, but a key part of a first-rate business infrastructure involves a first-class railway. That is important for agriculture, life sciences, retail and the tourism industry, which is growing throughout our region. It is also vital for every passenger who uses the railways in East Anglia on a daily—or in some cases weekly—basis; we have seen a growing number of passengers throughout our region.

It is a pleasure to serve for the first time under your chairmanship, Mr Bone, and I, too, congratulate my neighbour and hon. Friend the Member for Suffolk Coastal (Dr Coffey) on securing the debate. I want briefly to highlight three key issues. We can all talk about important stations and branch lines in our constituencies. I have one station in my constituency—Westerfield—but I will not talk about it today. That does not mean that the station and those who use it are not important, but we need to highlight the key considerations. Improving the great eastern main line will benefit every branch line and station that comes off it. The Government have already listened to that key message, and we are grateful.

Commuters have suffered from lack of reliability on the service. My constituents who use the railways in East Anglia tell me that if they could have one thing, it would be a more reliable service that does not break down but ensures that people get to where they are going on time. That is vital for businesses and for each and every passenger on a daily basis. The lack of reliability of railways in East Anglia has undermined the service that they provide to their passengers. At the heart of the prospectus launched this week is a request that before we see increases in speed, reliability of the service must be the priority.

A key part of improving reliability involves improving capacity, and the prospectus rightly outlines the need for additional track capacity, particularly on the great eastern main line. As my hon. Friend the Member for Peterborough (Mr Jackson) highlighted earlier in the debate, we must ensure that businesses are supported correctly and that more track capacity is freed up on the Felixstowe to Nuneaton freight rail link, which is an important part of this debate. As the prospectus highlighted, if we want to support businesses in East Anglia, a first-class rail link between the midlands—one of the manufacturing engine rooms of the British economy—and Felixstowe, which takes 46% of the UK’s container traffic, is vital.

Furthermore, in terms of the passenger arguments that we are advocating today and the increased reliability of service, it is not desirable for freight to travel from the midlands into London and then back out, as happens at the moment. That slows down the passage of freight and is bad for business, but it also clogs up passenger capacity on the lines, which would be much better used to support improved reliability—a more reliable passenger service. Therefore, a key part of the rail prospectus is about ensuring not just that business is supported through the Felixstowe-Nuneaton freight rail link, but that there is recognition of the importance of that link to the passenger service. I am talking about the freeing up of passenger capacity on the rest of the rail network in East Anglia and particularly on the great eastern main line.

The primary issues are reliability of service and capacity, but it is also desirable to increase, where possible, the speed of service. However, we will get a faster service only if we deal with reliability and capacity as the first priorities. Reliability and capacity improvements will of course lead to greater train speed. If we want to achieve Norwich in 90, Ipswich in 60 and all the other key considerations, the only way we can do so is by focusing on reliability and capacity of service.

All the MPs present at the debate are very grateful for the support that the Department has given us in our fight for improved rail services in our own constituencies, but all of us are also aware that the issue is much bigger than any individual station or branch line. It is about improving the overall reliability and capacity of the service in East Anglia, with a focus—a laudable focus—on the great eastern main line as the primary driver for delivering that. I thank my right hon. Friend the Minister for her support for all that we have been doing. I again commend my hon. Friend the Member for Suffolk Coastal for securing the debate. I look forward to the Minister’s supportive comments when she responds to it.

[Mr Peter Bone (in the Chair)]

I call Ben Gummer.

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[Ben Gummer]

rose—

[Mr Peter Bone (in the Chair)]

Order. Before the hon. Gentleman replies, I remind the Chamber and people who may have arrived late that the winding-up speeches are to start in about a minute’s time. The hon. Gentleman might like to bear that in mind.

[Ben Gummer]

Thank you for your guidance, Mr Bone. I am glad that I have no more than a minute left to contribute to the debate.

I will make one final point because I agree with every point my hon. Friend the Member for South West Norfolk (Elizabeth Truss) made. It is important that the line from Ipswich should benefit towns nearby, such as Colchester, and continue across the east-west link, from Cambridge to Bedford and thence to Oxford, creating an arc of knowledge across the country.

The Minister knows that travellers in East Anglia pay some of highest premiums in the railway industry. That money goes out of the region to subsidise loss-making lines elsewhere. We need to retain some of that money to invest in our area. It is only right that our constituents— not only the fortunate and well-off, but those who lack opportunities—can retain a bit more of that investment in our area, so that we can improve our rail links and make the contribution to our local, national and European economy that we aspire to make.

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[Lilian Greenwood]

I am sorry that the Minister felt the need to spell that out, because she is wrong. She is cutting money from planned rail investment, and there will be an impact when hon. Members seek investment. I look forward to hearing what she has to say on the high-level output specification and what it means for not only East Anglia, but other parts of the country.

The hon. Member for Suffolk Coastal has said that she was reassured that

“it is not on the Government’s Agenda to reduce passenger rail services.”

She will surely hope, therefore, that the Government do not follow the model they adopted when they issued the west coast invitation to tender. The document allowed bidders to reduce daily stops at stations by up to 10%. Any reduction in service would be compounded by the McNulty report’s ticket office closures in the counties represented here today. Colchester Town in Essex, Thetford in Norfolk, and Whittlesford Parkway in Cambridgeshire, to give just a few examples, all face having their staff withdrawn. I am sure that the hon. Lady, having secured the debate, will also put pressure on her Government to ensure that existing services in East Anglia are protected. [Interruption.]

Passengers are already feeling the pinch. Services are overcrowded, and the Government have decided to increase fares by 3% above the retail prices index for the remainder of the Parliament. They have also given train operating companies the freedom to average out the rise, leading to fare rises of up to 11% next January. When personal and family budgets are under great pressure, with some commuters paying as much as £4,000 or £5,000 for their annual travel, the Government should be on the side of East Anglia’s commuters, not vested interests in the rail industry. [Interruption.]

[Mr Peter Bone (in the Chair)]

Order. If Mr Shelbrooke wants to intervene, would he mind standing, rather than grunting from a sedentary position?

[Lilian Greenwood]

Thank you, Mr Bone.

It is regrettable that the Government have added to the uncertainty about the future of East Anglia’s rail network. When National Express ceased to operate East Anglia rail earlier this year, the Government should have entrusted the franchise to public ownership through Directly Operated Railways, thereby providing stability in the run up to the Olympics. A two-year private tender with no long-term security or incentive for investment was not the solution East Anglia needed.

The Government’s tendering process in East Anglia also raises questions about their commitment to devolution. It is clear from the prospectus, and hon. Members’ contributions today, that there is local appetite for greater involvement in guiding infrastructure spending and delivery in East Anglia. We, in Labour, wish to promote that spirit by working more closely with local authorities to deliver a better transport system. The Government have already entered into negotiations with transport authorities in the north of England on potentially devolving responsibility for railway operations in that region. Why not do the same in East Anglia?

I urge the Government to listen to the calls in the prospectus to strengthen transport links to Stansted airport. Half of all passengers arrive at Stansted by public transport—the highest proportion for any major airport in the UK. Better transport links could help to relieve airport capacity constraints in Greater London without the environmental costs associated with other proposals. The Government are locked in distracting internal arguments on Heathrow expansion and fantasy islands in the middle of the Thames, but would it not be better to listen to those arguments instead?

In conclusion, I welcome the publication of the document and the spirit in which it was compiled. We want closer working between local authorities and other representatives, and we would back them with genuine devolved powers over transport spending. Discussions with the Department for Transport must now begin. There are many other worthy projects to consider at a time when capital budgets have been cut too far and too fast. Nevertheless, the report’s authors must be commended for the case that they have made on behalf of East Anglia, and I wish them all the best in their endeavours.

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[Mr Peter Bone (in the Chair)]

Order. On the point about loudly and clearly, it would help if the Minister faced forward, so that the microphone could pick up what she is saying.

[Mrs Villiers]

Thank you for that steer, Mr Bone.

Later this month, we will publish our high-level output specification, to cover what we want the rail industry to deliver in the 2014-to-2019 period. Some of the larger headline schemes are likely to be directly mentioned in the statement, but most of the projects needed to deliver the general outputs that we will set in that statement will not be explicitly listed, so the July statement will not have all the answers on exactly how the benefits of rail improvements will be shared around the country. It will be followed by an industry process to decide which upgrades are needed to deliver the specified outputs, overseen by the Office of Rail Regulation. I assure hon. Members that careful consideration will be given to the points made about the Ely North junction and other improvements today. I should mention that this HLOS statement, like the last one, is likely to contain certain general funding pots that are to be made available over the five-year period, which could be used to support various different schemes around the country, including in East Anglia.

The forthcoming long franchise for Greater Anglia will be important in answering the questions we have heard today. We are granting a longer, more flexible franchise, because we believe that that will give the train operator a stronger incentive to invest in the improvements passengers want, including better trains and stations. We expect the next Greater Anglia franchise to start in the summer of 2014, and to last for up to 15 years. Our reforms to franchising put passenger satisfaction and service quality at the heart of the outputs that we require train operators to deliver. We will work closely with bidders and Network Rail to see how we can maximise the opportunity to integrate decision making more effectively between track and train management—that is another aspiration in the prospectus—and we will also require the next franchisee to introduce ITSO smart ticketing across the franchise.

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[Mrs Villiers]

I am afraid I do not have time; I have only a couple of minutes left.

As for aspirations such as “Norwich in 90”—a campaign for that has been led by my hon. Friend the Member for Norwich North (Miss Smith)—it is too early to say what the franchise will specify for the train service between London and Norwich. However, in making such decisions we will need to take into account the interests of all the communities on the line, and those who live in intermediate destinations such as Chelmsford and Colchester. Whatever train service we adopt, we shall encourage bidders to put together affordable proposals for improved journey times and a better customer experience.

We did some work on options for Norwich to London before letting the short franchise, and that suggested that spending about £10 million to £15 million on new locomotives and refurbishing existing passenger vehicles would make it possible to save about seven minutes on most trains, and that could be funded in a 15-year franchise from additional revenue. However, that is just one option. We hope that franchise bidders will devise alternative plans that either cost less or produce greater benefits for passengers.

One factor, of course, that bidders will have to take into account is the requirement to make modifications to rolling stock by 2020, to provide proper access for people with reduced mobility. In response to all hon. Members who talked about the state of the rolling stock—some of it is fairly elderly—let me say that there will be changes over the next few years because of the deadline. The decision on whether that will involve targeted improvements, full refurbishment, new rolling stock or a combination of all three lies in the future, but change will have to be made. In the meantime, Abellio is pressing ahead with a deep clean of rolling stock.

In conclusion—

[Mr Peter Bone (in the Chair)]

Order.