Bus Services Bill [Lords]

Steve Rotheram Excerpts

2nd reading: House of Commons
Wednesday 1st March 2017 Commons Chamber

[Andy McDonald (Middlesbrough) (Lab)]

I begin by placing on the record my relief that the Bus Services Bill is finally having its day in the House of Commons. We have been waiting for this piece of legislation for some time—and you know what happens, Mr Deputy Speaker, you wait an age for a Bill and then another one comes along in a minute, namely the Vehicle Technology and Aviation Bill.

I would like to thank all those involved in the passage of this Bill so far—the noble Lords on both the Government and Opposition Benches, members of staff and Clerks of the House, as well as my Labour colleagues, of course, both Front and Back Benchers, who have campaigned relentlessly for better bus services and have paved the way for the Government’s change in policy and this Bill.

The original Bus Services Bill has been expertly scrutinised and amended, leaving us with a much improved piece of legislation. Labour supports the Bus Services Bill, and we welcome the changes made in the Lords, which we hope to retain as the Bill goes forward.

Buses are an integral part of the UK’s economy and social life. Sometimes, a disproportionate amount of attention is paid to our railways and to aviation, but it is buses that play by far the most important public transport role for the greatest number of people. This is clear when looking at the number of passenger journeys alone. For example, there were 1.7 billion passenger journeys on our railways last year, a figure dwarfed by the 5.2 billion passenger journeys made by bus. Whether people are travelling to work or school, visiting family or attending a hospital appointment, it is more likely that they will do so by bus than by any other form of public transport. Buses provide a vital service to people in all areas of the country, supporting local economies, tackling congestion, combating social exclusion, and lessening environmental and climate change impacts.

This is why we want to see local authorities empowered and enabled to support thriving bus services, and to reverse the long-term decline of bus services that was brought about by the disastrous deregulation of bus services in England outside London by the Conservative Government in 1986. This Bill is an acknowledgment that the deregulation of bus services has not worked.

[Steve Rotheram (Liverpool, Walton) (Lab)]

I apologise to my hon. Friend for being late for the debate. Members will know that I have other duties on a Wednesday. Does he agree that the Bill and its related secondary legislation and guidance should enable a simple and straightforward process for metro mayors to introduce bus franchising in their area if that is what they and their combined authorities wish to do?

[Andy McDonald]

I could not agree more with my hon. Friend. If this is to mean anything, making this happen in reality must be a smooth and quick process rather than a long and protracted one.

The rationale behind deregulation was that turning services over to the market would give the customer the final say; companies would compete and, as a consequence, would better cater their services to passengers. In theory, it is a competitive market, but in reality most bus services are provided by five large companies that avoid competing against each other. Since deregulation, bus use in metropolitan areas has decreased by a half and in non-metropolitan areas by a fifth. Meanwhile, in London, where buses were not deregulated, bus journeys have increased by 227%, mileage has increased by 74% and London journeys now outnumber bus journeys in the rest of England, while fare increases have been lower than in the city regions.

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[Mrs Villiers]

My goal is to improve services for passengers, and I believe that private sector investment in our bus networks has had a positive impact on passengers. I do not believe that reversing that would produce better outcomes for passengers. One has only to look back at the pre-1986 position to see that the ridership on buses before that date had plummeted. It is not the case that there was a golden era for bus services before 1986.

The trouble is that if we create a system in which we discourage private sector investment in the bus network, we will create uncertainty in the bus industry. Discouraging such investment will have a negative impact on passengers. That is what I am worried about.

[Steve Rotheram]

Will the right hon. Lady give way?

[Mrs Villiers]

No, I have already given way.

We need to bear it in mind that, in competing for bus contracts, local operators might be up against large transport groups owned by overseas Governments with deep pockets. I am particularly concerned that the amendment that was approved in the other place will mean that bus operators could even find themselves having to contest for contracts alongside a company owned by the franchising authority that is making the decision to award the contract, giving rise to an obvious and unacceptable conflict of interest. I fear that clause 4 would inevitably result in a number of bus companies going out of business, which would be bad for passengers. I am also concerned that local authorities that are keen to take over the provision of bus services will find that taking on revenue risk could be a very costly exercise that would deplete the funding available to support those crucial non-commercial routes that do not generate enough passengers to cover their costs.

No local authority has introduced a quality contract to re-regulate bus services, despite their having been on the statute book since the early years of this century. I acknowledge that there are different reasons for that, but one of them is that taking over bus operations is inevitably a very expensive project for local authorities. To those who think that passing greater financial responsibility for investing in the bus network from the private sector to local councils is a great idea, I would point out that it involves investment in buses and bus services having to compete with pressing priorities such as social care, libraries, waste collection and all the rest, and that that investment—and bus passengers—are likely to suffer as a result.

Ever since 1986, there has been a vigorous and lively debate about the effect of deregulating bus services outside London. It cannot be denied that many millions of pounds of investment have been made by private sector bus operators in the years since privatisation. That brings me to a key problem with the franchising proposals—namely, the uncertainty that they will cause. If bus operators are unsure about whether their businesses could end up being taken off the road, they will be reluctant to invest in new buses or to improve passenger facilities such as ticketing systems.

Oral Answers to Questions

Steve Rotheram Excerpts

Thursday 20th March 2014 Commons Chamber

[Stephen Hammond]

I really wonder whether I can answer the question better than Mr Speaker. I am loth to commit my right hon. Friend the Secretary of State, but between us I am sure we will find someone who can join my hon. Friend the Member for Skipton and Ripon.

[Steve Rotheram (Liverpool, Walton) (Lab)]

8. What plans he has to review MOT tyre requirements for buses and coaches.

[The Parliamentary Under-Secretary of State for Transport (Stephen Hammond)]

Buses and coaches are inspected annually from the anniversary of their date of registration. Tyre condition, wear and their suitability for the vehicle are all checked at that time. Tyres are also checked routinely as part of the safety inspections undertaken by traffic commissioners who manage the licensing of such vehicles.

[Steve Rotheram]

The Minister may be aware of the tragic death of three people in a car crash on the A3 in September 2010, when a 19-year-old tyre burst on the front axle of their coach. Early-day motion 1166 calls on the Government to commission urgent research into whether legislation can be enacted to limit the age of a tyre on a bus or coach. Will he confirm that the Government are taking this issue seriously? When will they commission such a study?

[Stephen Hammond]

The hon. Gentleman will know that my right hon. Friend the Secretary of State met the previous shadow Secretary of State, along with one of the mothers of the people who were tragically killed in that coach crash. As an interim measure, the Department has already published guidelines to the bus and coach industry recommending that tyres of more than 10 years old are not fitted to the front axles of such vehicles. That was in December 2013, and I can confirm that we are in discussion with the tyre organisations about the product and about whether age and maintenance are the key factors and how they should be addressed.

Oral Answers to Questions

Steve Rotheram Excerpts

Thursday 7th November 2013 Commons Chamber

[Mr Speaker]

I am sure an invitation to come upstairs beats an invitation to come outside.

[Steve Rotheram (Liverpool, Walton) (Lab)]

T7. I am basically supportive of HS2 proposals, although I am becoming increasingly concerned about the project the more I read the specific detail of regional benefits. Will the Secretary of State assure me that Liverpool will get a spur to increase capacity and ensure greater connectivity with our ports so that the whole city region can benefit?

[Mr McLoughlin]

I am sorry that the hon. Gentleman seems to be having second thoughts. The mayor of Liverpool is certainly not having second thoughts and is a big supporter of the project. The truth is that once the high-speed line goes to Manchester, it will then go on to Liverpool. That will be very important for Liverpool, but it will also get the benefits from phase 1. Parts of Kent that are not served by the line benefit from the capacity and the trains.

Oral Answers to Questions

Steve Rotheram Excerpts

Thursday 28th June 2012 Commons Chamber

[Justine Greening]

I know that the hon. Lady has been very passionate about that project. Indeed, a number of weeks ago I was at a reception on it organised by her and my hon. Friend the Member for Reading East (Mr Wilson). We are looking at it very closely. I have to say that a Westminster Hall debate on rail-air transport links in the south-east took place earlier this week and not one Labour MP turned up to it.

[Steve Rotheram (Liverpool, Walton) (Lab)]

3. What recent assessment she has made of the level of funding for road maintenance.

[The Parliamentary Under-Secretary of State for Transport (Norman Baker)]

The Department is providing £3 billion over four years to 2014-15 to local highway authorities in England for roads for which they are responsible. We also provided £200 million in March 2011 to repair damage caused by the 2010 winter. The Highways Agency is responsible for operating, maintaining and improving the strategic road network in England, and this financial year its maintenance budget is £755 million, excluding costs associated with private finance initiative projects.

[Steve Rotheram]

We know that the coalition’s manoeuvre of choice is the U-turn, so can the Transport Secretary or the Minister continue in that vein by reversing the Department’s decision to cut investment in Britain’s road network by £3.5 billion?

[Norman Baker]

Again, I thought that the hon. Gentleman might have welcomed the £20 million that the Department gave to Merseyside yesterday for investment in local transport projects. I thought he might also have welcomed the fact that in cash terms the Department is providing more for road maintenance over this four-year period than his Government did over the previous four years.

Rail Infrastructure (Merseyside)

Steve Rotheram Excerpts

Tuesday 12th June 2012 Westminster Hall

[Alison McGovern]

I thank my hon. Friend for his intervention. He and I have tried to work closely together on these issues, for the reasons that he mentions. People do not respect administrative boundaries when it comes to getting a job. We must ensure that people in residential areas, a lot of whom need work, have access to big businesses such as the ones that he mentioned. I hope that I can suggest exactly how we might do so.

[Steve Rotheram (Liverpool, Walton) (Lab)]

Hopefully, my hon. Friend will agree that many people separate, isolate or segregate transport as just a means of moving goods or individuals from one place to another. Does she agree that there are also massive economic, health and well-being and social benefits to infrastructure, and that it creates the sorts of job and employment opportunity that she will know are all too needed on Merseyside?

[Alison McGovern]

I thank my hon. Friend for his intervention. He is quite right. If we consider the body of evidence produced by, for example, the Thameslink and Crossrail projects in London, we find exactly what he suggests. Transport infrastructure underpins economic development, but it also gives access to employment, and to the personal dignity involved, to those who currently do not have it. With that point in mind—

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[Mrs Villiers]

I agree that we need to assess carefully the value for money of every scheme, but we also need to look at overall affordability. I am afraid that even when one is talking about Government spending, £200 million is a significant amount. I am impressed with the work that Network Rail is doing, for example, on how to get the costs of delivering electrification down. I hope that there is scope to see whether there might be a more affordable scheme in the future.

For a local line, we, like the previous Government, would normally look to the local authorities to seek out the funding to realise such a scheme. We know that such schemes are important to the local authorities and, if they attach a priority to them, we would expect them to consider their options for funding. That might include the major local scheme, which will reopen in 2015. That has funded some very important improvements, for example, at Kirkstall Forge and in Coventry. There are options open to Merseytravel and the Welsh Government. As we have done in the past, the Government are prepared to engage with them if they want to do further work.

We take broadly the same position on some of the other improvements mentioned in today’s debate. On proposals to upgrade the Halton curve, we recognise the potential local benefits and we would be happy to work with the local authorities on their aspirations. However, again, the local authorities need to identify the funding.

[Steve Rotheram]

I am sure that the right hon. Lady, like all Ministers, is used to special pleading and everyone thinking that their project is the most important, but is she aware of the huge increase in visitor numbers to Liverpool and the importance of the extra connectivity my hon. Friend the Member for Wirral South (Alison McGovern) talked about to the future of the city and to growing the local economy? That is what the Government keep telling us that they want to see in relation to rebalancing the economy.

[Mrs Villiers]

We fully agree that improving our rail network can help us to achieve our aspiration to rebalance the economy and close the prosperity gap between north and south. That is why we are investing in a major programme of rail improvements, a number of which will benefit Liverpool—I am about to come on to those—including the announcements we have already made about the northern hub.

It is very important that we consider how to get the maximum benefits from rail investment to help to provide the jobs and prosperity that I think everyone in this Chamber wants. I acknowledge that rail has been key to Liverpool’s success as a port. In recent years, there have been a number of measures to improve rail freight connectivity. Under the previous Government, the Olive Mount chord was reopened to facilitate better freight train access to the port. The upgrade of the west coast main line has cut journey times between London and Liverpool, and a total of 106 new Pendolino carriages will be in use on the line by December, amounting to a 20% uplift in capacity, which obviously benefits many people in Merseyside travelling between Liverpool and London.

A competition for the next west coast franchise is under way. We are emphasising the importance of raising passenger satisfaction and service quality and improving punctuality. However, I fully agree that it is not only north-south connections we need to focus on. It is vital that we improve connectivity between our great cities of the north of England, because that is another way we will achieve the goals, rightly set out by the hon. Member for Wirral South, of rebalancing the economy and boosting the economy of the north of England.

In our spending review, we confirmed the control period 4 programme of rail improvements, including line speed improvements between Liverpool, Manchester and Leeds. Electrification in the north-west, which was another programme we inherited from the previous Government, was also given the go-ahead. That includes electrification of the line to Wigan via St Helens, which will benefit commuter services in Merseyside. The Ordsall chord recently got the go-ahead, which is a key part of the northern hub scheme.

Oral Answers to Questions

Steve Rotheram Excerpts

Thursday 19th April 2012 Commons Chamber

[Justine Greening]

I will follow up the issues that my hon. Friend raises. I know that Network Rail has been keen to do what it can to improve level crossing safety, but I recognise the concerns that she raises today and we will have them followed up and make sure that a meeting happens.

[Steve Rotheram (Liverpool, Walton) (Lab)]

T5. Is the Minister aware of the problems being caused to passengers travelling from Liverpool by rail to London on Saturday 10 May for the FA cup final at Wembley with no prospect of a return train until two days later? Will the Minister get the relevant authorities, Virgin, Network Rail and the Football Association, round the table and bang their heads together until common sense prevails?

Oral Answers to Questions

Steve Rotheram Excerpts

Thursday 23rd February 2012 Commons Chamber

[Justine Greening]

I am grateful to the hon. Lady for that question. She will be aware that all local bus operators must have an operators’ licence, which indicates financial standing at the time that the operator was licensed by a traffic commissioner. Local transport authorities can check with the Vehicle and Operator Services Agency whether operators hold a current licence. I am not aware of any barrier to a local transport authority ensuring, through its procurement process, whether the current financial status of a bus operator is sound, but I shall ask my officials to explore the matter further with the county council.

[Steve Rotheram (Liverpool, Walton) (Lab)]

T4. Will the Secretary of State explain why the latest proposals for a new high-speed rail service will see journey times to Liverpool increase compared with earlier plans, and will she accept that people in Liverpool will be rightly suspicious about why they are being left in the slow lane by this Tory-led Government?

[Justine Greening]

I will be happy to meet the hon. Gentleman to discuss this issue because I can assure him and his constituents that people in Liverpool are absolutely not being left in the slow lane. They will benefit from the improvements in times on the west coast main line. I am happy to talk with him about phase 2 and how we can, I hope, ensure that Liverpool benefits, as one of the cities that will not be on the line but will be in the region served by it.

Port of Southampton

Steve Rotheram Excerpts

Wednesday 18th January 2012 Westminster Hall

[Mr Denham]

Planning rules may be a problem, but they do not always necessarily need to be exploited to damage an investment.

In 2011, three years after the original application, the MMO issued consent. Two months later, Hutchison commenced judicial review proceedings in the High Court, alleging that the environmental impact assessment was defective. In June 2011, without discussion with ABP, the MMO, having listened to that objection, withdrew its consent. The critical issue is, as I understand it, that the judicial review application by Hutchison did not raise any issues that had not previously been raised in 2010 and that the MMO had every opportunity to consider. What actually happened is that the MMO had the chance to consider those objections and decided not to act on them, or decided that they did not have a substantial basis in fact, and issued the consent, but then, faced with a High Court challenge, changed its mind. It is another case where the MMO’s handing of the matter has badly let down everybody involved in the port of Southampton.

Since then, there has been further delay. ABP responded to further requests for analysis that it said it would deliver by 30 September 2011. Just three days before that date, the MMO asked ABP to produce additional information, which caused a further delay. Then—without going through all the twists and turns—there was a further lengthy delay before the MMO finally commenced the consultation on 11 January 2012.

I have gone over the history not to rake up old issues but to stress, for the benefit of the Minister with responsibility for shipping and ports, that the port of Southampton has been on the receiving end of particularly poor treatment by Government agencies, not just under this Government, but in the past. As a result, this major investment has yet to start. I will not hold the Minister or his predecessor, who will be contributing from the Opposition Front Bench, personally responsible for these errors. We know that these things happen deep in the depths of agencies far away, in normal circumstances, from ministerial decisions, but there are times when Ministers need to act.

I wrote to the Secretary of State for Environment, Food and Rural Affairs about this matter in August and again in September. I have to say that, although I am sure that the letters that I received were legally correct, there was no sense of urgency coming from the Department for Environment, Food and Rural Affairs on how the MMO would handle this matter. I was told that, since June, the MMO had maintained a single point of contact with ABP in Southampton and that, in July, it assigned a case team to the application. However, as I have said, that did not prevent further and later requests from the MMO to ABP for additional analysis and information that further delayed the project.

I wrote to the Prime Minister on 24 November. I hope that I am not unduly pompous as an ex-Minister, but there was a time when former Secretaries of State and Privy Counsellors who wrote to Prime Ministers would get a reply a from the Prime Minister or a Secretary of State. I am afraid that it took two months for the Prime Minister to get a junior Minister in DEFRA to send me back pretty much the same letter that I had got from the Secretary of State. There is no sense that the Downing street machine has grasped that it could play a role in making sure that this happens.

We are now at a critical point. The consultation is under way again—that is important—but the consultation period is six weeks. Objections must then be properly considered, because that is the legal process. The MMO must therefore consider objectively any issue raised so that, should it give approval, its decision cannot be challenged. The potential for delay is significant, and it is essential for the MMO to have sufficient resources and access to sufficient expertise to give the decision proper consideration. That is what I am asking the Minister to take away today and to take to his colleagues in DEFRA. We cannot have a situation in which either the MMO does not have the resources or expertise to consider the consultation responses properly or mistakes are made, thus laying the process open to further legal challenge.

I ask the Minister to consider one other factor. It is not for him or the House to constrain the courts, but in truth the move for judicial review came not from a statutory or voluntary environmental organisation, nor from any group that might be affected by the environmental impact of the port, but from a commercial operator, and it seems pretty clear that the motives were to inflict commercial damage on a rival. That raises a massive challenge to the Government’s plans to encourage infrastructure investment in the UK.

[Steve Rotheram (Liverpool, Walton) (Lab)]

Before my right hon. Friend concludes, I absolutely support the aim expressed in his earlier comments that we should work in the greater interest of the whole UK economy. Will he therefore agree to broker a meeting between the Southampton and Liverpool authorities, so that we can put to bed the animosity between the two and move forward on what is in the interest of both Liverpool and the UK, to grow the economy in Merseyside?

[Mr Denham]

Our two great port cities have a lot in common, in history and in the future, and I hope that Southampton and Liverpool will work together in the future. The Minister’s decision on the issue is imminent, and we will all want to consider it carefully. We are very consistent in Southampton: we are not saying that Liverpool should not have a cruise terminal; we are merely saying that competition should be fair and on the same basis of cruise terminal capacity development. We are not out to say, “You have no right to have cruise ships. You have no right to have this industry,” but the competition must be fair, so if meetings will improve understanding, they would be helpful.

The vast majority of ports in this country are privately operated, but they all depend on either the actions of Government agencies or, sometimes, public investment. The Government’s infrastructure plan, for example, included proposals to improve roads that would help, among other things, to support the port of Felixstowe. We will get into a terrible position, however, if urgent investment in the UK economy routinely becomes the matter of legal challenge by different commercial companies picking up technicalities and details of arguments rather than pursuing the UK national interest. I do not expect the Minister to say much or, probably, if he is prudent, anything at all on that point—I am sure that he will be measured—but Ministers need to have that serious discussion with major companies in this country, to ensure that the interests of UK plc always come first, particularly in such difficult times.

Oral Answers to Questions

Steve Rotheram Excerpts

Thursday 15th September 2011 Commons Chamber

The Secretary of State was asked—

[Steve Rotheram (Liverpool, Walton) (Lab)]

1. What assessment his Department has made of the ability of British-based train manufacturers to win contracts for rolling stock.

[Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)]

2. What assessment his Department has made of the ability of British-based train manufacturers to win contracts for rolling stock.

[The Secretary of State for Transport (Mr Philip Hammond)]

Since privatisation, Bombardier, as the only current UK-based train manufacturer, has supplied the majority of new trains across the UK main line rail and London underground networks, with a combined total of over 4,500 new carriages ordered since 1996. Going forward, there are a number of contracts that the Department would expect Bombardier to bid for, including the Crossrail project for the supply of around 600 carriages, and it is already a pre-qualified bidder. The tender for this contract is due to be issued in 2012. There are also potential future orders for the London Underground deep tube lines.

[Steve Rotheram]

I listened to what the Secretary of State had to say and, quite frankly, I could have predicted his response. Why is he not prepared to do anything to reconsider his disastrous decision to award the Thameslink contract to a company that intends to build these trains in Germany?

[Mr Hammond]

I sometimes get the feeling that I am talking to a brick wall on this subject. I have said it before and I will say it again: the criteria by which the bids were to be evaluated were laid down by the Government in 2008. The criteria have to be followed, although they might not be the criteria the hon. Gentleman would like. We have made a commitment to look at the way we specify the criteria in future public procurements, but on this project it is Labour’s mess and we are landed with it.

Tom Blenkinsop: I am sorry, but the right hon. Gentleman told the Transport Select Committee that there was an option to review or restart the Thameslink procurement process at any time during the year before naming the preferred bidder. Will he now admit that that was a terrible mistake, which has put at risk Bombardier, Britain’s last train manufacturer, and thousands of British jobs down the supply chain?

Coastguard Modernisation

Steve Rotheram Excerpts

Thursday 14th July 2011 Commons Chamber

[Mr Hammond]

Yes, of course, that process is already under way.

[Steve Rotheram (Liverpool, Walton) (Lab)]

Well, well, what a surprise! Faced with the choice, a Tory Minister decides to close a facility in Liverpool. I genuinely do not believe for a moment that the closure of the Liverpool coastguard station was agreed for any reason other than political expediency. If it was not, why was Liverpool left out of the original consultation document? The Minister cannot justify his decision. He has just mentioned that Liverpool may well get a cruise liner turnaround facility that will increase traffic along our corridors, but he has taken the easy political way out. He should reconsider his decision, based on the information that he has just presented—that Liverpool could indeed get a cruise liner turnaround facility.

[Mr Hammond]

Perhaps I am guilty of making a rod for my own back, Mr Deputy Speaker. I mentioned the cruise liner turnaround facility simply to demonstrate that my hon. Friend the shipping Minister is leaving no stone unturned in trying to help the maritime community around Liverpool, but the decision has been properly made, after a full assessment. The station at Holyhead will provide proper cover for the maritime areas that were previously covered by Crosby. To suggest that there is some kind of party political advantage—[Hon. Members: “Shameful!”] Frankly, it is not just shameful; it is also illiterate. The hon. Gentleman should look at the map.