Aviation Strategy

Robert Goodwill Excerpts

Thursday 24th October 2013 Commons Chamber

[The Parliamentary Under-Secretary of State for Transport (Mr Robert Goodwill)]

I welcome the opportunity to respond to what has been a timely and generally good-natured debate. I also welcome the hon. Member for Blackpool South (Mr Marsden) to his new post. He represents Lancashire’s premier resort; I represent the United Kingdom’s premier resort.

I thank the hon. Member for Liverpool, Riverside (Mrs Ellman) for seeking the debate, the Backbench Business Committee for arranging it, and Members on both sides of the House for taking part in it. The hon. Lady is the sole survivor of the Transport Committee on which I served, and I remember my days there with great affection. She is continuing the assiduous work of her predecessor, Gwyneth Dunwoody, even if not in quite the same pugnacious style.

The Government are determined that the whole country will continue to gain the economic benefits of a vibrant aviation sector. The sector employs some 120,000 people directly, and many more indirectly. Today’s debate stems from the Transport Committee’s report on aviation strategy. As part of the Committee’s investigation, my right hon. Friend the Secretary of State gave evidence before it on 11 February this year, and the Government responded to the report in July.

Let me update the House on some significant aviation policies before dealing with a number of points that were raised. We appear to be in broad agreement about the importance of maintaining the United Kingdom’s position as a leading global aviation hub for the UK economy. Freight volume and terminal passenger numbers were higher in 2012 than in the previous year. We have the third largest aviation network in the world, after the United States and China. The five airports serving London offer direct services at least weekly to more than 360 destinations worldwide, which is more than Paris, Frankfurt or Amsterdam. We are determined to take the necessary action to maintain the UK’s position as Europe’s most important aviation hub.

Aviation capacity is important for the economic growth of the UK, and that vital issue requires long-term thinking and consensus-building. The UK continues to have excellent aviation connectivity, both on a point-to-point basis and through the London hub, but our major airports face a capacity and connectivity challenge in the medium and longer term. Heathrow is operating to capacity today, Gatwick is expected to be full in the 2020s, and Stansted, which currently has considerable spare capacity, is expected to be full by the early 2030s.

The Government accept that aviation capacity, especially in the south-east, has been a controversial and difficult issue for many years. The only way in which we can end the years of indecision and inaction is by taking the approach that we have adopted, which I hope establishes cross-party support and political consensus. That was an important factor in our decision to create the airports commission and to make it independent of the Government. Led by Sir Howard Davies, the commission is examining options, and it will make recommendations that will maintain the UK’s status as a leading global aviation hub in the long term.

[Mr Jenkin]

Given that we believe in democracy, openness and transparency, would it not be much more democratic to allow the Davies commission to report before the general election so that the debate at the time of the election can take place in the light of its findings?

[Mr Goodwill]

The commission will publish its interim report before the end of the year, and the Government will respond to it by the spring. There may be some action that we can take at that stage, perhaps in respect of surface connectivity, but I think it is important for the commission to have a chance to do its work properly, and that means giving it enough time. If we are going to do this, let us do it right.

I am pleased by the support for the commission’s work that Members have given today. The Government welcome the publication of its discussion papers on issues such as connectivity, climate change and noise, and we look forward to receiving its interim report by the end of this year. That report will outline the scale of the additional capacity that is needed, shortlist the places that the commission thinks can best provide that capacity, and make recommendations for the effective use of existing capacity in the short term. We have also asked the commission to consider the findings of the report on our trial of operational freedoms at Heathrow, so that, too, will be covered in the interim report.

The Government look forward to the interim report, and we will give it full consideration, but we shall not be in a position to comment on the scope or content of our response—which, as I have said, we intend to issue in the spring—until the report’s publication at the end of 2013. I hope that the hon. Members for Liverpool, Riverside and for Poplar and Limehouse (Jim Fitzpatrick) will understand the need for the work to be done thoroughly, and the time that that will take.

I am pleased to be able to tell my right hon. Friend the Member for Saffron Walden (Sir Alan Haselhurst) that I will visit Stansted soon, so I will learn about some of the issues there first hand. He said there has never been a strategy, but I hope that the Davies commission addresses that failing.

The hon. Member for Blackley and Broughton (Graham Stringer) has considerable experience of this subject through Manchester Airports Group, and I hope he welcomes the fact that I spent an Industry and Parliament Trust year with MAG, when I learned a lot about the operations of airports. He mentioned the vexed issue of APD, which the House had a good opportunity to discuss yesterday. Although I am new to the job, I am not so wet behind the ears that I would encroach on the Treasury’s territory, but I would make the point that there are other barriers to visitors coming to the UK, including the issue of visas for people from China, so I was pleased that my right hon. Friend the Chancellor addressed that on his recent visit there.

[Mr MacNeil]

I would hope that the Department for Transport would have a fairly robust view on this and that it would communicate its thoughts to the Treasury if it felt that APD was limiting the numbers of passengers, although we know it is—by about 2.1 million per annum in Scotland. Surely the Department for Transport will not sit back and let the Treasury take the lead.

[Mr Goodwill]

The Government are determined to stay on track with our deficit reduction plans, and it is important that the aviation sector continues to play its part. A number of Members in the House should shoulder some of the blame for the deficit that we are having to reduce.

On CAA costs, I assure the hon. Member for Blackley and Broughton that I intend to have regular meetings with its chair, Dame Deirdre Hutton. Indeed, one such meeting is already in my diary. Of course, under the Civil Aviation Act 2012, there is a requirement on the CAA to consult on charges.

The right hon. Member for Greenwich and Woolwich (Mr Raynsford) raised the issue of noise and air quality, as did the hon. Member for Hayes and Harlington (John McDonnell), whose views on this matter are well known. The right hon. Gentleman referred to recent research by Imperial college and others about heart attacks and strokes in areas affected by aircraft noise. We need to do further work on that because other factors may also be in play.

My hon. Friend the Member for Harwich and North Essex (Mr Jenkin) made the case for London to be better connected, so I look forward to his support next week as we push forward with plans for the High Speed 2 rail network, which will connect London with the north of England so effectively. The hon. Member for Poplar and Limehouse raised concerns about some of the initial press coverage following my appointment. May I assure him that he should not read too much into the meeting I had with the Scarborough Greenpeace people? Indeed, I was relieved that the coverage was not portrayed as the Chancellor having another of his chums in a Government Department watching his back. I assure the hon. Gentleman that I come to this with an open mind. Indeed, when the Secretary of State appointed me he said, “You’ll be just the person for aviation as you’re 250 miles away from the south-east of England.”

Looking outside London, the Government’s aviation policy framework, which was published earlier this year, supports the growth of regional airports, and we recognise the importance of regional air connectivity to London in supporting regional economies and contributing to national cohesion. In fact, domestic airport connectivity across the UK increased in 2012. We now have a flight from Leeds Bradford to Heathrow, which is becoming a boon to the Yorkshire economy.

Aviation is a challenging topic. Successive Governments have struggled with how best to continue to gain the economic benefits it brings while restraining its impact on local people. I hope that the House agrees that the Government have established the right foundations to move forward, gain consensus and secure the benefits aviation brings for the nation.