Stephen Hammond
Main Page: Stephen Hammond (Conservative - Wimbledon)Department Debates - View all Stephen Hammond's debates with the Department for Transport
(10 years, 6 months ago)
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Mr Robert Buckland (South Swindon) (Con)
5. What progress he has made on reviewing the structure of rail passenger fares.
The Parliamentary Under-Secretary of State for Transport (Stephen Hammond)
The “Rail Fares and Ticketing: Next Steps” report was published on 9 October following a wide-ranging review and public consultation. It contains a number of measures to give passengers a better, more modern, and more flexible deal on fares and to improve the current ticketing system.
Mr Buckland
Swindon commuters who have no choice but to travel at peak times face increasing fares and want value for money. What plans does my hon. Friend have to increase flexibility and reduce costs for rail fare payers and season ticket holders?
Stephen Hammond
My hon. Friend is right. The train operating companies set the prices for season tickets and for fares. I recognise that Swindon is a popular commuting town that benefits from the frequent services on high-speed trains to London, Wales and the west country. Nevertheless, he is right and he will have noticed the announcement from the Government restricting “flex”, which means that none of his commuters will face a fare increase of more than 3% above inflation from January 2014.
Catherine McKinnell (Newcastle upon Tyne North) (Lab)
15. In the autumn, East Coast achieved the highest passenger satisfaction rates since records began, so why are the Government wasting taxpayers’ time and money privatising that successful service rather than getting to grips with the cost of living crisis and this Government’s inflation-busting rail fare price rises?
Stephen Hammond
The hon. Lady will obviously have read the Brown report, which suggests that franchising is the best way to secure better deals and more investment for passengers. That is why we are continuing to franchise and are putting the east coast main line out to franchise.
Mr Simon Burns (Chelmsford) (Con)
I remind my hon. Friend that commuters who are reliant on coming into London to work do not have any flexibility in their work times. What ideas does he have to get a better deal for commuters, who are a captive market and who have regulated fares?
Stephen Hammond
I pay tribute to my right hon. Friend for the excellent work that he did in contributing to the rail fares review. He will know that we have restricted fares to the retail prices index plus 1%, which “flex” has also reduced, so no one will pay more than 3% above RPI. He will also remember that the document suggests considering ways to provide season ticket holders with more flexible arrangements.
Mary Creagh (Wakefield) (Lab)
The Government’s fare review took 18 months and has delivered fare rises of up to 6%. That 6% is twice the rate of inflation and is cold comfort for commuters struggling as their incomes fall in real terms. Is that really the best the Minister can do for commuters struggling with the Government’s cost of living crisis?
Stephen Hammond
The hon. Lady will know that the formula for regulated fares is RPI plus 1%. Unlike her Government, we have reduced flexibility to 2%. We have made that permanent, something that the Government of the hon. Member for Nottingham South (Lilian Greenwood), who is shouting from the opposite Bench, did not do. She may just wish to remember this, which was in the franchise arrangement from 1 January 2011:
“the amendment to the Franchise Agreement set out in this notice of amendment shall be reversed.”
They did not scrap it; they put it in place for one year only.
Mary Creagh
The Department for Transport announced in September that it would cap standard return fares at £500. Given that no one will benefit from that £500 fare cap, is that not just another example of the Minister’s smoke and mirrors on fares?
Stephen Hammond
A number of things were announced in that review. The fare cap was a voluntary initiative put in place by the rail industry. We have not assessed, and nor has anyone else, how many passengers will benefit from that. We have also announced a reduction in the fares “basket flex”, a trial of single-leg pricing for off-peak returns, a trial of flexible ticketing, including discounted fares in quieter periods, and a new code of practice on ticketing information.
Mr Marcus Jones (Nuneaton) (Con)
14. Can my hon. Friend assure me that everything is being done to reduce the cost of running the railways and the inefficiencies that the previous Government left behind so that we can move towards an era of no above-inflation rises?
Stephen Hammond
I am delighted to confirm to my hon. Friend that the package of measures that we have worked up will continue to bear down on the cost of running the railways. We recognise the cost of living and the implications of fare increases. That is why the Government are doing something to help commuters and anyone travelling on the railways. It is noticeable that Passenger Focus recommended the recent package that the Government put forward.
John Stevenson (Carlisle) (Con)
6. What steps he is taking to increase the volume of freight carried by rail.
The Parliamentary Under-Secretary of State for Transport (Stephen Hammond)
The Government support the transfer of freight from road to rail. We are investing £400 million in rail freight infrastructure for the investment period out to 2014. The rail freight grant is helping to remove more than 800,000 lorry journeys. Ultimately, rail freight needs more capacity on our network, which is why we are taking forward High Speed 2.
John Stevenson
In Carlisle we have DRS—Direct Rail Services—a very successful rail freight company that is looking to expand. Can the Minister assure me that everything will be done to ensure that companies such as DRS are given every opportunity to expand not just their volume but their capacity?
Stephen Hammond
I congratulate my hon. Friend on highlighting the work of DRS. It is indeed a very successful rail freight company. The Government are committed to the growth of the rail freight industry, and we recognise the contribution that companies such as DRS make. We are continuing to look for every opportunity to support the expansion of the freight industry and encourage transfer to rail where it is practical, economic and environmentally sustainable.
Andrew Miller (Ellesmere Port and Neston) (Lab)
Will the Minister engage with his colleagues in the Department for Business, Innovation and Skills? A number of key companies in my constituency are losing competitiveness because they cannot move their goods fast enough across the UK into mainland Europe, in particular because there are huge blockages at the top end of the M6. A little bit of joined-up thinking could radically improve Britain’s competitiveness. Will he do something about it?
Stephen Hammond
This Government are known for their joined-up thinking, so if the hon. Gentleman wishes to write to me about the particular problem in his constituency, I will look at it and speak to my colleagues in BIS.
Neil Carmichael (Stroud) (Con)
Does the Minister agree that the wise decision to invest £45 million in redoubling the Kemble to Swindon railway line is a huge improvement, not just for passengers but for freight? Does this not reinforce the point that this Government invest not only in HS2, which is right, but in the existing network?
Stephen Hammond
My hon. Friend is right. We have consistently made the point that we are not only investing in High Speed 2 but that we are investing £37 billion in improvements across the network. He is right to pick out that example, which illustrates exactly what the Government have been saying—that capacity is being added across the network.
Kelvin Hopkins (Luton North) (Lab)
The Minister will be aware that 80% of freight in Britain goes by road, both cross-channel and within Britain, and that serious modal shift from road to rail cannot take place until the railways are capable of taking lorry trailers on trains. Will he look seriously at schemes for investing in rail freight capacity capable of taking lorries on trains?
Stephen Hammond
The hon. Gentleman is aware, of course, that there has been a huge increase of some 60% in rail freight over the past 10 years. The capacity that is being added will add the prospect and the potential for extra rail freight and extra transference from road to rail. If there are serious schemes, we will look at them, but they would have to justify the economic business case and provide better value than the capacity that we are adding, which will allow that transfer from road to rail.
Jackie Doyle-Price (Thurrock) (Con)
Today the new London Gateway port receives its first ship. As my hon. Friend knows, its ambition is to transport many of the materials that come into the new port by rail freight. Will he ensure that Network Rail looks carefully at the provision of level crossings across Thurrock so that our road network is not disrupted by the increased volume of freight trains using the network?
Stephen Hammond
My hon. Friend is a well-known and doughty campaigner for her constituency, which is why I have had the pleasure of visiting it several times in the past couple of years. I will of course look seriously at that and speak to Network Rail. It is essential that that new port is a success.
Alison McGovern (Wirral South) (Lab)
7. What recent assessment he has made of the quality of bus services outside London.
Stuart Andrew (Pudsey) (Con)
9. What steps he is taking to improve existing railway stations and build new stations.
The Parliamentary Under-Secretary of State for Transport (Stephen Hammond)
The Government have allocated some £550 million to the new Stations Improvement and Access for All programmes for the period to 2014, which have led to improvements at over 500 stations. For the next control period, from 2014 to 2019, a further £200 million has been allocated to improve stations and station access in England and Wales. The Government have also allocated £20 million through the new stations fund. Four successful proposals are now being built and a fifth is under consideration.
Stuart Andrew
I am grateful to the Minister for that answer. Will he update us on the progress being made on the new and much-needed Apperley Bridge and Kirkstall stations, which are crucial to alleviating chronic congestion in my constituency? May I also lend my support to the suggestion my hon. Friend the Member for Harrogate and Knaresborough (Andrew Jones) made about the electrification of the Harrogate to Knaresborough line, which would help commuters in the Horsforth area?
Stephen Hammond
Apperley Bridge is part of the Leeds growth package promoted by the West Yorkshire passenger transport executive, and it has received programme entry funding from the major local transport schemes budget. The Department is expecting to receive the PTE’s submission of a business case for final approval in spring 2014. I welcome my hon. Friend’s support for the electrification of the Leeds-Horsforth-Harrogate line, although Apperley Bridge is not on that line but on the already electrified Leeds-Bradford Forster Square line.
Andrew Percy (Brigg and Goole) (Con)
13. In the past fortnight, East Riding of Yorkshire council has commenced a £50,000 improvement of the subways at Goole station. We want Network Rail to contribute to this improvement to make it a lot better. If I provide the Minister with details, will he help me to lobby Network Rail to get that additional funding?
Stephen Hammond
My hon. Friend will be aware that funding for almost all these schemes comes through the new local growth fund, which is being used to finance transport improvements up and down the country, but of course, if he cares to provide me with the details, I am happy to meet him to discuss them.
Mrs Anne McGuire (Stirling) (Lab)
10. What recent assessment he has made of East Coast Main Line Ltd’s financial performance.
Simon Wright (Norwich South) (LD)
According to a report by the transport consultants, Atkins, enhancements to capacity, line speed and service quality on the great eastern main line could bring an extra £3.7 billion into the economy. Will the Minister confirm that the recommendations of the East Anglia rail prospectus, which is backed by MPs from across the region, will be progressed at the earliest possible opportunity?
The Parliamentary Under-Secretary of State for Transport (Stephen Hammond)
I congratulate those who put a considerable amount of work and effort into unifying the stakeholders in East Anglia and producing that excellent document. It contains a huge number of recommendations. I will continue to engage with MPs and others to ensure that we complete the process, that their voices are heard and that we understand the benefits of the recommendations.
Phil Wilson (Sedgefield) (Lab)
The A67, which runs through my constituency between Darlington and Barnard Castle, is a major bus route. It recently suffered from a major landslip at Carlbury banks, which is severely disrupting bus services. Will a Minister meet my hon. Friends the Members for Bishop Auckland (Helen Goodman) and for Darlington (Jenny Chapman) and me to see whether any funding can be made available from the pinch-point fund?