Infrastructure Bill [Lords] Debate
Full Debate: Read Full DebateRichard Burden
Main Page: Richard Burden (Labour - Birmingham, Northfield)Department Debates - View all Richard Burden's debates with the Department for Transport
(10 years ago)
Commons ChamberI thank the Minister for those few brief words of introduction to the Bill, and I look forward to debating its contents with him. If he will forgive me, I will not quote Disraeli quite so extensively as he did. I might not even quote “Alice in Wonderland” quite so extensively, although he might like to think about his own party’s performance as I remind him of another quote from the book, in which a character says that when he uses a word,
“it means just what I choose it to mean”.
That seems to typify the Government’s flip-flopping on infrastructure up to now.
The Minister has had criticism for Opposition Members today. Interestingly, he has also had some veiled criticism for his predecessors from those on the Government Benches, which surprised many of us. Perhaps that shows that infrastructure policy was not really in shape until he came along. Also, I could not help but notice that he kept referring to “my Department”. The Secretary of State for Transport, who is sitting alongside him, might need to be a bit careful about who is after his job.
This is a complex and wide-ranging Bill. It contains extensive provisions covering a whole range of Departments, which is why I am pleased to be joined on the Opposition Front Bench today by the shadow Secretary of State for Transport, my hon. Friend the Member for Barnsley East (Michael Dugher), as well as by my hon. Friends the Members for Rutherglen and Hamilton West (Tom Greatrex) and for City of Durham (Roberta Blackman-Woods). The Library briefing on the Bill describes it as a “portmanteau” Bill, and we are pleased to welcome the Minister and his portmanteau to the House today.
The Bill comes nowhere near to meeting the challenges faced by transport, energy and housing, despite all that the Minister has said today. There is cross-party consensus on the importance of infrastructure to our economy. Economic and population growth and the need to decarbonise our economy will all add further strain to an infrastructure that is already creaking. There seem to be different views about that. I imagine that, while we might disagree on a number of aspects of the Bill, hon. Members on both sides of the House will have raised an eyebrow on hearing the leader of UKIP explaining that the problems with infrastructure were all down to immigration, but I guess that that is a matter for him.
The Minister said that the Bill proved the Government’s commitment to investing in infrastructure. We have heard a lot of talk from the Government on infrastructure over the past week or so. We have heard the re-announcement of a £15 billion road programme—two thirds of which, surprisingly, has been earmarked for coalition Members’ constituencies—yet this is happening after the Government scrapped £4 billion-worth of strategic roads investment on entering office. We have also heard another garden city announcement, yet Ministers have presided over the lowest peacetime level of house building since the 1920s. And we have had yet another infrastructure plan update, promising yet more schemes, when the reality is that less that a fifth of the projects are in construction and infrastructure output is down more than 10% since 2010.
Let me give the House an example of one of the supposed achievements of the plan that the Government have published. The Dartford crossing is a major bottleneck, with serious congestion. One of the achievements of the Government’s infrastructure plan is—wait for it!—to narrow down three options for improving one of the worst traffic bottlenecks in the country to two.
Since the hon. Gentleman is critical of this Government for narrowing down the options to two, will he advise the House which option he would choose?
I have a feeling that in this debate Conservative hon. Member after Conservative hon. Member will stand up and ask me about this scheme or that scheme, and will say, “Come on. Will Labour go ahead with this or not?” We are not in the business of cutting long-term investment in our roads infrastructure in the way that the present Government cut long-term investment in infrastructure. But if we are looking through individual scheme after individual scheme, we are going to scrutinise them. We are going to see if they are all they are cracked up to be.
Let me give other examples. In many cases the Government’s figures do not add up. In some announcements there is £3.5 billion-worth of investment for 20 new schemes; in other announcements, that becomes £3.4 billion. In 2013 we read that £8.5 billion had been set aside for 26 schemes; that now appears to be £6 billion. In some announcements there has been £15.1 billion for 2015 to 2021, but in answer to a parliamentary question that I asked the Minister last week, the figure was £15.2 billion, and it is still unclear whether this is entirely Government money or whether the Department for Transport is still waiting for third-party contributions to make up the total. I shall not be able to give answers on individual schemes because as far as I can tell, those individual schemes do not add up, but we will scrutinise them. We will ask the difficult questions, because those are the questions that the public expect us to ask.
Now that the shadow Minister has seen the projected overall levels of capital expenditure laid out by the coalition Government in the autumn statement for the period up to 2020, does his party think they are the right levels, or are they too low or too high?
As I said in answer to the previous question, we are not in the business of saying that we wish to cut back on capital investment. For goodness’ sake, we have been saying for four years that the Government have not been investing enough in infrastructure. It seemed from the Minister’s opening remarks that he was criticising the previous Government for not having spent enough. That is a bit of a change from what we have heard before—usually we are accused of having spent too much. Labour spent a total of £93.7 billion on our road network between 1997 and 2010. That is because we are interested and we are committed to repairing our creaking infrastructure. That will not change.
It is nice to hear how much Labour spent on roads, but does the hon. Gentleman agree that it took 60 years to get a bypass in my constituency, and for 13 of those years under Labour rule the scheme was knocked back and confused? It took me to get £123 million from this Government to build the road. It has been built.
I am sure the hon. Gentleman has been a great advocate for his constituency, as are hon. Members across the House. That does not alter the fact that, as I said, I want to check that these Government announcements are all they are cracked up to be. Even a few examples indicate to me that there are a lot more questions to ask.
Investment in infrastructure needs to be long term. That is key, and that is why Labour is backing the proposal by Sir John Armitt, the man who delivered the Olympics—in practice, not just in theory—for a national infrastructure commission. That looks not just five years ahead, but 20 or 30 years ahead to produce an evidence-based assessment of national infrastructure needs. That should establish a cross-party consensus on priorities, breaking electoral cycles and ending the stop-start announcements we have seen up until now. It can also hold the Government to account for delivery. That would help the Government and it would help Parliament’s decision making. That is why it is backed by more than 89% of businesses surveyed by the CBI. For all that the Minister said about wanting to build a consensus on these things, words have, again, not been matched by actions. The Government had the chance in the other place to accept the idea of a national infrastructure commission, a cross-party body to plan infrastructure for the long term, and what did they do? They voted down such an amendment, and that commission is nowhere in the Bill today.
Let me now deal with some specific parts of the Bill. On highways and transportation, Labour supports long-term roads funding and we want to end stop-start funding. We want to give the supply chain the confidence to invest in skills and equipment, and enable the Highways Agency to negotiate better contracts and make efficiency savings. We want to see those contracts create new apprenticeships to train young engineers, as Britain will need 780,000 to meet demand by 2020. I am very pleased that the Minister has mentioned these matters in his opening remarks, and I am sure that if the Bill gets to Committee we will press him further on them.
There are three problems to discuss. First, Ministers have failed to prove why a top-down institutional reorganisation of the Highways Agency is needed to deliver long-term roads funding. After extensive debate on the rationale for this in the other place, the fact is—this came across clearly there—that the Highways Agency can deliver a five-year roads programme without being turned into a wholly owned Government company. The Alan Cook review showed that it can make £1.2 billion-worth of efficiency savings. That can be delivered through funding certainty, not because it should be a wholly owned Government company or because of institutional change. The cross-party Transport Select Committee has concluded that it is “not convinced” by the need for a new company. It is the roads investment strategy that will enable an efficient and faster delivery of roads, not necessarily an arm’s length body, and we will be looking for clear evidence from the Government of why this move is needed. I do not mean anecdotal evidence or what Benjamin Disraeli might have predicted; we need facts on why this is going to be needed to deliver long-term investment, as all we have seen to date is conjecture and confusion.
The Bill previously included clauses to set up more than one highways company. Fortunately, Ministers have rowed back from that, but the model is still confused. The body is to have a licence but officials recognise that it cannot have a “licence to operate” as it has no income stream or revenue-raising powers. With such a shaky rationale, is it any wonder that the Government proposal to set up a wholly owned Government company has met widespread concern from organisations ranging right the way from the Alliance of British Drivers to unions like the Public and Commercial Services Union and Prospect, who see this as a precursor to privatising an asset worth £111 billion?
I am confused by Labour’s great love of yet more road building. We had a welcome article from Ed Miliband yesterday in which he talked about the importance of climate change. Some 25% of—
I do apologise, Madam Deputy Speaker. The right nomenclature momentarily went from my mind, but I am very happy to refer to the Leader of the Opposition—the honourable Leader of the Opposition. [Hon. Members: “Right honourable.”] The right hon. Leader of the Opposition. The point is that what he wrote about climate change is not in harmony with what we are hearing now, which is the Labour party saying that we need more roads. Roads are responsible for more and more CO2 emissions, which cause climate change.
The hon. Lady is absolutely right on this point: protecting our planet and our environment has to be centre stage for any serious Government at the moment. It is also absolutely right that in a whole range of areas we need to look for the most effective and environmentally sensitive forms of transport. Does one conclude therefore that all road building is wrong and that congestion does not need to be tackled? No, because all those things must be done as well, but they must be done sensitively and in harmony with our environment. That was said by the Opposition in the other place, and we will be exploring all those areas if this Bill gets as far as Committee stage.
Does my hon. Friend think it would be helpful for the hon. Member for Brighton, Pavilion (Caroline Lucas) to attend a meeting of the all-party motor group and to arrange a visit to Nissan in Sunderland to see the Nissan Leaf, an electric, non-petroleum-driven motor car, to see the innovation being taken forward by the motor industry on a real green agenda?
My hon. Friend is right on that point. As well as being a shadow Minister with responsibility for roads, I have the honour of chairing the all-party motor group. Fortunately, the days of seeing the motor vehicle as an inevitable enemy of environmental protection are long gone. There is a great deal of innovation going on in the automotive industry. Although the hon. Lady has some very serious points to make, she should understand who brought in the Climate Change Act 2008, and who was Energy Secretary when some of the best initiatives on preserving the environment were taken in Britain. That should give her a little more confidence that the Opposition take our environmental responsibilities seriously.
Another area that the Bill does not tackle is that of local roads. The Minister talks about a roads revolution, but in reality this Bill addresses just 2% of the road network, as 98% of the roads in this country are local roads. Two-thirds of traffic is on local roads. Motorists, pedestrians, cyclists, HGV drivers and motorcyclists all rely on roads to get around. Nearly all our journeys start and finish on local roads, but it is those roads that are the most creaking part of our road infrastructure. A third of local roads are in urgent need of attention. There is a £12 billion pothole backlog that will take 12 years to fix, and congestion on local roads is set to rise by 61% by 2040. A record 91% of the public are dissatisfied with the condition of local roads. Nearly 90% of businesses surveyed by the CBI expect local roads to get worse, not better. That is not surprising, because spending on local road maintenance is down 11% since 2010. Under this Government, it will decline further in real terms by 2020. There is a risk that the Bill will make the situation worse.
Local government and transport campaigners have warned that giving strategic roads management to an arm’s length company could create a two-tier road system, pushing traffic on to local roads and into our towns and cities. We need proper joined-up planning between strategic and local road networks, with devolved bodies and local authorities having greater powers over local transport and traffic management to tackle congestion. That is why we on the Opposition Benches are committed to English devolution. City regions face huge congestion pressure between now and 2040. They are planning their 20-year growth strategies, and need confidence that the Highways Agency, or whatever it is called, is working to similar horizons. We need an independent commission to take that long-term view.
Ring-fencing money for environmental protection, innovation, cycling and safety is important, which is why I am pleased that there is a £100 million budget for cycling on strategic roads. The problem is that it is yet another one-off announcement. It is not the long-term commitment to funding to get Britain cycling. As far as I can tell, the Department for Transport still has no clear budget for cycling, and funding is set to end by 2016 when the local sustainable transport fund finishes. It seems ludicrous that we will have five years of that.
After two years of calling for safety targets to be reinstated, I am pleased that the Government have finally recognised that axing them was a mistake. It is good to see in the road investment strategy a target to cut deaths and serious injuries by 40% on strategic roads by 2020. However, if it is right to have road safety targets for the strategic road network, why cannot we have safety commitments and targets for all UK roads?
It seems ludicrous that we will have five years of road and rail plans that will not be joined up. One of the most pressing transport problems is that, too often, decisions on road, rail and airports are taken in individual silos. Investments are not joined up and maximised. The Government’s proposals to study the options for HS3 include a tunnel under the Peak district and other trans-Pennine road improvements, but they are being considered separately when they should be looked at together. Where is the requirement for the new company and Network Rail to share forecasts, and to map and plan investment in a co-ordinated way?
I am grateful to the Minister. I am sure we can pursue and discuss the matter in Committee if the Bill gets that far.
My final point—perhaps the Minister has reassuring words on this—is whether the new agency will have adequate accountability, which the right hon. Member for Wokingham (Mr Redwood) mentioned. Passenger Focus will be renamed Transport Focus because it will have a responsibility for roads as well as for rail and bus. Why is there still a silo mentality on the Office of the Rail Regulator, even though it will have a monitoring role? After pressure from the Opposition in the other place to give the new body more powers, it cannot be a regulator of roads. In the Bill, Transport Focus can represent only people who use strategic roads—it will not represent pedestrians or cyclists who use local roads, or motorists who are frustrated with conditions on local roads. I hope we can look at that if the Bill gets as far as Committee. With the recent ruling on the UK’s air quality infraction, should not a watchdog consider the environmental impact of any new company?
What about the Minister’s accountability to Parliament? Will hon. Members be able to table parliamentary questions and have proper debates on roads, whether in the Chamber or in Westminster Hall, or will we get letters from the chief executive of the new body instead? The chief executive of the Highways Agency has said that the reform will enable it to “set its own destiny”. The public depend on roads for daily life, so is that what we want? We will want to look at that closely in Committee if the Bill gets that far, and I hope the Minister reflects on it.
The Opposition support the extension of powers for the British Transport police to obtain driver information and take enforcement action outside the railways. That proposal was tabled by Lord Faulkner in the other place, with the Opposition’s support. It is an absurd situation when trained and effective British Transport police officers have to ask permission to take enforcement action on land outside railway jurisdiction. That makes no sense to the public. I hope the Minister will comment, today or later, on how that relates to the Smith commission recommendation that the British Transport police should be devolved.
The Opposition support a proper control regime for invasive non-native species, but we do not believe the Bill is fit for purpose. After the badger cull chaos, the Government listened to pressure from animal rights campaigners, wildlife groups, the National Farmers Union and Labour, and it is good that they included animal welfare protections in the regime. However, although there are three distinct categories of species in the Bill—native, former native and non-native—the definitions still seem problematic. We expect the Government to look at the EU habitats directive for those definitions, and will seek assurances that specific species such as the beaver will be given legal protection.
The Bill also includes a number of changes to the planning regime, none of which seem to go anywhere near addressing the housing crisis facing Britain today. Effective and efficient planning is vital, and we will support sensible changes to deliver a timely planning system, especially for nationally significant infrastructure projects. We want the Bill to define what the public can expect from garden cities in terms of high-quality design and sustainability for strong and inclusive communities for the future. My hon. Friend the Member for City of Durham will expand on that point later, say why the Bill fails to ensure that building standards reduce CO2 sufficiently, and explain our position on deemed discharge, land transfers to the Homes and Communities Agency, and the Land Registry. Suffice it to say that a trend seems to be emerging with the Government’s Land Registry reforms, which still seem rather confused, and they appear to have made a U-turn on putting those at arm’s length. Perhaps the most glaring omission on housing and land use is the fact that the Bill contains no acknowledgment of the housing crisis our country faces, of what the Lyons review said, or that Labour is right to call for ambitious reforms and 200,000 extra homes to be built a year. This Bill is a far cry from that.
Part 5 sets out a number of provisions on energy. Getting energy policy right is critical to our economy and vital to enable all infrastructure sectors to function. It is therefore a shame that the Bill contains no ambitious commitment or strategy to ensure that the UK will meet growing demand in a sustainable way. The Bill sets out a new community right for a stake in renewable energy schemes—that is fine, although we do not think it goes far enough—and it is good that it implements Wood review proposals for increasing oil and gas extraction, which have cross-party support. However, the issue that I am sure generates the most interest, both inside and outside the House, is in clauses 38 to 43 on underground access to shale and geothermal energy—there have already been questions on that.
Is my hon. Friend aware that in constituencies such as mine people are concerned not only that there are no adequate safeguards in the Bill, but that even the Government’s minor concessions, such as the requirement on companies to notify people of their right to land use and of the payments that can be made, will be reviewed after five years? Does that indicate that the Government are not serious about putting sufficient statutory protections in place?
My hon. Friend makes an important point that was repeated in the other place and if the Bill gets to Committee, and we will be seeking a much more robust regulatory environment. My hon. Friend the Member for Ellesmere Port and Neston (Andrew Miller) said that securing public confidence is not just important to us as parliamentarians when representing our constituents, but it is also important to the industry, which needs public concern about this issue like a hole in the head. If questions are to be answered they should be answered, and we should have transparency and a proper regulatory regime.
The planning process for shale gas was changed on the first day of the recess last year—a day after we had debated it here—and there was no chance to comment. As my hon. Friend says, it is important that the public have confidence, which they cannot have at the moment. Planning authorities such as that in Salford should not have been denied the chance to comment on and take into account certain measures that were removed by the Government last year, and the time scale should not have been shortened. People need time to get their heads around this complex process, and planning authorities have fewer staff than they once had. I mentioned the payment scheme, which is totally unsatisfactory. People whose businesses lost money or who could not sell their homes will not be compensated by giving small amounts of money to the scout group down the road. This must be dealt with—
I am grateful Madam Deputy Speaker. Let us give it another five months.
It is difficult on Second Reading to go through the specifics of what is needed, but my hon. Friend has mentioned some important issues. There is a whole range of areas where we can tighten regulation. To give the Government some credit, they have so far accepted a number of our proposals—we put forward six—which is good, but there are still areas where they need to sharpen up. She mentioned timing. Our view is that, where there is monitoring, there is no reason why it should not take place over a proper 12-month period.
The Minister ignored what happened in the other place, although I understood it to be part of the constitutional process. My hon. Friend will know that one of the amendments was about baseline monitoring. It seems to me that we cannot have a proper, scientific assessment of any process without proper baseline monitoring. Will he give a firm commitment that Labour will press that point to the nth degree in Committee if we get that far?
As I said earlier, over the weekend the Labour Government in Wales said that they wanted powers over licensing to be devolved to Wales. Will the official Opposition table amendments in Committee to support the position of the Labour party in Wales?
The important thing in relation to these provisions is that regulation is robust and effective and that it happens at the most effective and correct level. We know that the Smith commission has made some specific suggestions, which we will be considering, and there are other issues that we can talk about. The important thing is that it works. My hon. Friend the Member for Wrexham (Ian Lucas) was absolutely right to say that what the public want to know is whether it will work.
I think that a pragmatic approach is the correct one. My personal opinion, on the point the hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards) raised, is that it makes sense for this to be devolved, since so much of the planning regime in Wales is devolved.
My hon. Friend is right that the most effective place for planning needs to be the place where these regulations operate.
I am listening carefully to the hon. Gentleman. I understand what he says about tighter regulation, which is welcome. However, the Smith commission has recommended devolution of these powers to Scotland. Planning already rests with the Scottish Government, whose attitude has perhaps been different from that of planners south of the border. Would it not make sense, before fracking is fully established, for all the powers to rest in the same place so that this can be looked at properly?
I must say that I am a little confused by the hon. Gentleman’s point. As I understand it, the current situation, even without this Bill, is that shale gas extraction can happen in Scotland only with the approval of the Government in Holyrood. I also understand—perhaps he will correct me if I am wrong—that the Scottish Government, despite having an effective veto over any development in Scotland, actually voted against a shale gas moratorium earlier this year. He is right that the Smith commission has recommended the devolution of mineral access rights and the licensing process to Scotland. If this goes as far as Committee, I am sure that the issue will be explored there.
Labour is committed to the decarbonisation of the power sector by 2030 and to reducing our carbon emissions in line with the Climate Change Act 2008.
Before the hon. Gentleman moves on from shale gas, and leaving aside the issue of where power is exercised and how close that is to its effects, let me repeat that we recognise that this is an embryonic industry. We are very happy, during the course of the Bill’s consideration, to listen to reasonable overtures about safety and other matters such as those that have been raised in this House.
I am grateful for the Minister’s comments.
As the Committee on Climate Change has said, within our legally binding carbon targets, gas can have a role to play as part of a balanced energy mix, along with renewables, nuclear, and carbon capture and storage. With 80% of our homes reliant on gas for heating, and in the context of declining North sea oil production, indigenous shale gas production may have a beneficial impact on our energy security. However, only by fully addressing legitimate environmental and safety concerns about fracking, with the kind of robust regulation that I have been talking about, with comprehensive monitoring and strict enforcement, will we give people confidence that the exploration and possible extraction of shale gas is safe and a reliable source that can contribute to the UK’s energy mix. That is why we are seeking to amend the Bill in Committee to ensure that any fracking could happen only under robust safety and environmental standards.
The issue of underground access rights is separate from the environmental and safety framework. It does not affect the requirement for consent to be sought for exploration and extraction through planning and relevant environmental permitting processes. Any application sanctioned by local authorities will require a strict environmental assessment. Other industries requiring underground access—such as coal mining, water, sewerage, and gas transportation pipelines—already have underground access rights without requiring the landowner’s permission. In principle, we do not oppose the reforms to underground access. However, we will continue to push for the environmental framework to be strengthened, and for assurances that the responsibility for clean-up costs and the liability for any untoward consequences rest fairly and squarely with the industry, not with taxpayers or homeowners.
Important regulatory questions must be answered before large-scale extraction can begin, but Conservative Ministers have so far chosen to ignore those legitimate environmental concerns rather than address them and provide safeguards for communities. That is why we will table amendments to close a number of loopholes in the existing regulatory framework. My hon. Friend the Member for Rutherglen and Hamilton West will set those out in detail in Committee. We are taking a responsible approach. People will have confidence that shale gas is a safe and reliable source only if this Government provide robust regulations, set out a comprehensive monitoring process, and ensure strict enforcement of exploration and extraction. Sadly, we heard no such assurances from the Minister.
The Bill has some important provisions to help to facilitate and improve national infrastructure planning, but too many parts are weak or confused. Above all, it is no match for the infrastructure challenges that face the UK in transport, in housing, and in energy. That is why Labour wants an independent commission to set out the priorities and strategy that we need to deliver—not just announce, re-announce, and re-announce again—the infrastructure that the UK so urgently needs.
Am I to take it that the hon. Gentleman is moving amendment (b)?
My mistake, Madam Deputy Speaker. I can let you into a secret: I received a note from my colleagues saying, “Don’t forget to move the amendment”, and I did precisely that.
I beg to move an amendment, to leave out from “That” to the end of the Question and add:
“this House declines to give a second reading to the Infrastructure Bill because, whilst welcoming efforts to further enable necessary infrastructure projects and acknowledging that long-term strategic planning and investment for transport infrastructure is urgently needed, the Bill fails to establish an independent National Infrastructure Commission to set out an evidence-based analysis of future infrastructure priorities in sectors including transport, waste and energy, and to hold governments accountable for delivery, because the Bill creates a new Strategic Highways Company, which could result in an increasingly two-tiered road system when there is no evidence that a new company is needed to deliver a road investment strategy, because the Bill fails to address the deteriorating condition of the local road network due to the cuts in spending since 2010 on local road maintenance, because the Bill does not ensure that unconventional gas extraction could only happen in the context of robust safety and environmental standards, comprehensive monitoring and strict enforcement, because the Bill fails to give communities new powers so that they can build the homes they need locally in the places they want, and because the Bill fails to include Garden City principles to underpin the next generation of New Towns, fails to strike the right balance between communities and developers in the discharge of planning conditions, and fails to properly plan ahead to ensure that building standards address CO2 emissions and climate change.”
I thank the hon. Gentleman for his belated but sincere moving of the amendment. I call Professor Charles Hendry.