Oral Answers to Questions

Valerie Vaz Excerpts

Thursday 30th June 2016 Commons Chamber

[Mr Nigel Evans (Ribble Valley) (Con)]

8. What plans he has to expand airport capacity.

[Valerie Vaz (Walsall South) (Lab)]

10. When he plans to make a decision on the construction of an additional runway in south-east England.

[The Secretary of State for Transport (Mr Patrick McLoughlin)]

I had hoped that we would be able to announce a decision on airport capacity this summer. Clearly, any announcement on airport capacity would have to be made when the House was in session. Being realistic, given recent events, I cannot now foresee that there will be an announcement until at least October. We aim to publish the further analysis on air quality soon. Separately, promoters have announced undertakings that would increase the compensation available for residents living near the airports and the connectivity between other UK airports. The Government are fully committed to delivering the important infrastructure projects that they have set out, including the delivery of runway capacity on the timetable set out by the Davies report.

[Mr McLoughlin]

I would have liked to be in the position of asking the House to make a decision, and endorsing a decision. We are not going to be in that position, and we have to be realistic. My hon. Friend may regard it as a boring day in the House of Commons, but it is certainly not a boring day in Westminster.

[Valerie Vaz]

The Secretary of State will know that I am going to make the case for Birmingham airport. Is there still time, whenever the report comes out, for Birmingham airport to make the case for the 250,000 jobs that could flow from a second runway there?

[Mr McLoughlin]

Looking at the hon. Lady’s question, I did not realise that she was going to mention Birmingham, because her question specifically talks about south-east England. To the best of my knowledge, Birmingham has not moved since I knew it as a boy, 20 miles away from where I lived. Birmingham airport is a fantastic airport, which serves an important role as far as Birmingham and the midlands are concerned, and it has just had a runway extension.

Regional Airports

Valerie Vaz Excerpts

Tuesday 2nd February 2016 Westminster Hall

[Valerie Vaz (in the Chair)]

Quite a number of hon. Members are present and wish to speak. I am sure that at some stage I will have to impose a limit of approximately four to five minutes.

[Catherine McKinnell (Newcastle upon Tyne North) (Lab)]

I beg to move,

That this House has considered regional airports and UK airports capacity.

It is a pleasure to serve under your chairmanship, Ms Vaz. I am delighted to have secured this debate, which could not be more timely in a year when I hope that the Government will face up to some of the most significant decisions in the aviation sector for decades. That could not be more important for regional airports, such as Newcastle international airport in my constituency and countless others around the UK, which are the backbone of regional economies and, therefore, the economy as a whole. The interest in and concern about the issue is demonstrated by the number of hon. Members present.

Newcastle international airport celebrated its 80th anniversary last year. As the Minister knows because he came to visit, it is the largest airport in the north-east and the 10th largest in the UK. It also happens to be the single largest employer in my constituency and is proud of its public-private partnership model, with ownership between the seven local authorities and AMP Capital. Indeed, it served a record 4.56 million passengers in 2014 and supported 3,200 jobs directly on site and 12,200 indirectly. It contributes over £581 million in gross value added to the north-east economy, including £181 million in tourism impact and 1,750 tourism jobs.

Newcastle airport exports well over £300 million of goods every year. The vast majority are carried by Emirates on its long-haul service to Dubai and last year saw the first ever trans-Atlantic service from Newcastle by United Airlines to Newark, which is set to return this summer. Newcastle international airport makes an invaluable contribution to the north-east’s proud claim to be the only consistently net exporting region in the UK, just as other regional airports make an invaluable contribution to their local economies.

This is when we come to the purpose of today’s debate. The Government are facing critical decisions that will determine the future of the UK’s aviation sector, which in turn will have a major impact on regional economies. Those decisions are not new and include where to build the new runway to provide the capacity we need for the future and how properly to support regional airports during a time of considerable upheaval with devolution.

Time and again, the Prime Minister has kicked the can down the road rather than face up to the challenges. It is not just Heathrow or Gatwick that loses out from this chronic indecision. The future growth and sustainability of the UK’s regional airports and, by extension, the growth of our regional economies, are equally put at risk.

--- Later in debate ---

[Catherine McKinnell]

It is almost a year and a half since the Smith commission’s proposals were published and accepted by the Government, yet we are still no closer to understanding how the Government intend to protect regional airports that are set to be adversely affected by the changes. In last summer’s Budget, the Treasury belatedly published a discussion paper on options for supporting regional airports through the changes. The document outlined three options: devolving APD in England; varying APD rates in England; and providing aid to regional airports in England. Unsurprisingly, those proposals begged more questions than they answered.

For instance, which bodies in England would APD be devolved to—local authorities, combined authorities or local enterprise partnerships? If APD was left as it is, and the Government provided financial support instead, how would they ensure that adequate aid reached airports acutely affected by lower APD rates across the border in Scotland or Wales? There are stringent EU guidelines on state aid support, particularly in the aviation sector, and we have previously heard the Government promise compensation to sectors impacted by one policy or another, but they have often under-delivered. How will this be any different? Will airports such as Newcastle be left to plug the gap?

Those and many more questions remain regarding the Government’s proposals, yet, six months on from the publication of the paper, there is near total silence from Ministers. I hope that the Minister will break that silence and provide us with some much-needed detail. When will the Government publish a response to the discussion paper that they published last summer? Are all three options still on the table or have some been ruled out? Most importantly, will the Minister tell airports such as Newcastle, Bristol and others how they will be supported by the Government when APD rates are devolved to Scotland and, potentially, to Wales? At the very least, will he tell us when airports can expect to hear about the plans?

The Airport Operators Association has made clear its very strong preference for any future reduction in APD in Scotland to be

“matched, immediately, by a cut everywhere”

so that no part of the UK is “disadvantaged in any way.” It is clear that the continued uncertainty on the issue is very damaging, and it is already having an impact on regional airports when it comes to airlines planning future routes and commitments. It is not good enough to wait and see what happens in Scotland. Action and certainty are required for England’s regional airports now.

A further concern I want to raise briefly this morning is the effect of regulatory charges—including, for example, the cost of a 24-hour police presence and all the security borne by airports—on regional airports such as Newcastle International. I understand that very large airports, with airlines queuing up to use their runways, are easily able to pass on those costs on to airline operators. However, it is much less easy for regional airports to do so, and the impact of the shift in costs is therefore having a disproportionately adverse effect on them. Regional airports are understandably extremely concerned about proposals that they should bear the costs of Border Force operating on their sites. Given that the agency is responsible for national security, I would have thought that responsibility lay squarely with the Government.

The decision on airport capacity and expansion has been kicked into the long grass far too many times, even after a £20 million independent commission made the decision on the Government’s behalf, as it was asked to do. The Government must make a decision in the national interest, but it should be a decision that respects our international commitments and the concerns of local communities. The Airports Commission has set out a plan that can achieve those twin aims, but the Government do not seem to accept it.

It is time to end the dither, delay and prevarication that has prevailed for far too long under this Prime Minister and Chancellor because it is not just London and the south-east but Newcastle, the north-east and many other regions will lose out most. Heathrow is, after all, not a London airport; it is the national hub. Airports across the country are looking for answers and long-term certainty from the Government, whether it is on airport capacity or the tax regime for aviation in the UK. I really hope that the Minister will be able to provide that certainty for them today.

[Valerie Vaz (in the Chair)]

The wind-ups will begin at 10.30 am, so it would be helpful if Members would stick to a four-minute time limit. We will see how it goes from there.

--- Later in debate ---

[Valerie Vaz (in the Chair)]

If Members reduce their interventions, everyone will be able to get in.

--- Later in debate ---

[Dr Whitford]

I thank the right hon. Gentleman for that intervention.

We tend to talk about the business flyer coming into London, and there are certainly plenty of business flyers in my region who would welcome a flight from Prestwick into London, but we also need to start thinking the other way around, as a previous speaker said, about tourism coming in. I would like us to think about the smaller regional airports, which are often in areas of great attractiveness and beauty that are tourism hotspots. For someone sitting in the middle of Europe deciding whether to go for their holidays to southern Ireland, Northern Ireland or Scotland, it is a no-brainer. With 9% VAT and no air passenger duty in the Republic of Ireland, the difference in the cost of a fortnight’s holiday is vast. Unless people are coming to visit family, they will always go to southern Ireland instead of any of us. It is not just Northern Ireland that loses; it is other picturesque areas such as the lakes, Scotland and the mountains in Wales.

It is important that we have some kind of strategy for developing the smaller regional airports. APD is one of the biggest barriers; that is what all the smaller regional airports feed back. Instead of just saying, “It’s not fair if Scotland gets to change it,” we must campaign to cut or remove APD across the country. The PricewaterhouseCoopers report suggested that the growth in GDP would compensate. I know that there would be a time lag, but it would bring jobs into areas where there are often no other jobs.

Although we suffer from the 60-minute rule for being close to Glasgow, being on the south-west coast of Scotland, we can sell ourselves as a golf area—we have the Open this year—and a coastal area. Sailing is one of our biggest tourist industries. People can fly straight into the area that they want to visit. I am sure that there are other small airports in the UK that would like to offer the same.

While we discuss Heathrow versus Gatwick and business coming into and out of London, it is important that the Government have a strategy to support the development of tourism and the smaller regional airports. Another block to that is our 20% VAT rate on hospitality and tourism, versus 9% in southern Ireland. The areas that are strongest in tourism often do not have other industries; that applies right across the UK. There are Members from all parties who live in more rural areas where tourism is being held back by VAT and APD. They are taxes to raise funds, but they are stultifying the local economy. I call for a tourism strategy for the United Kingdom, and it should include smaller and larger regional airports.

[Valerie Vaz (in the Chair)]

In order to accommodate all Members, I must reduce the time limit to three minutes. Bear in mind that for every intervention, a minute is added to the speaker’s time.

--- Later in debate ---

[Karin Smyth (Bristol South) (Lab)]

It is a pleasure, Ms Vaz, to be involved in this debate; I have learned a lot.

The west of England economy is growing—it is worth about £26 billion annually— and we are a net contributor to the Treasury. Aviation has long been a part of that success story. The British and Colonial Aeroplane Company opened in Filton in 1910, which was the beginning of 100 years of continuous development, design and manufacture, with all the job opportunities and wealth that that development has created. Of course, Filton was later famously home to Concorde and it is currently home to Airbus, GKN Aerospace and Rolls-Royce, among other leading players in the global aerospace industry.

Airport capacity is central to that local growth. Our first airport opened in Whitchurch in 1930, which is now located in my constituency of Bristol South. After the war, a new site was finally opened at the current airport site, outside the city boundaries in Lulsgate. By 1988, 100,000 passengers were being served and in 2000 a new terminal and other infrastructure improvement led to more than 2 million passengers being served.

Last year, Bristol Airport handled nearly 7 million passengers, making it the ninth busiest airport in the UK and a major regional resource for Bristol, the west of England, the south-west and indeed south Wales. It has generated more than 11,000 jobs, many of which are located in my constituency of Bristol South.

Bristol airport’s performance is good; despite being the ninth largest airport in the UK, it has been the most punctual airport in the UK two years running and it is the 10th most punctual airport in the world, which we are very proud of. In 2011, planning permission was given for it to handle 10 million passengers. There is an ambition not only to bring more business travel but to open up tourism to the west of England and the whole of the south-west, which includes the fantastic city of Bristol, neighbouring Bath, which is a unique world heritage site, and traditional seaside and rural areas across the whole of the south-west, including Devon and Cornwall, and Wales.

However, as many Members have already said, two things are crucial to the continued success of Bristol airport and its contribution to the wider economy. First, a decision about Heathrow is needed as soon as possible. Secondly, the devolution of airport passenger duty to Wales, which would effectively result in a redistribution of traffic away from Bristol and into south Wales, has been raised by many hon. Members. Even limited devolution of the duty for long-haul flights would have a detrimental impact. Bristol airport wants to continue to invest in facilities and create jobs, but APD would remove the level playing field on which we currently operate. I am keen to see a western powerhouse built on our tremendous industrial past and our current and future business and leisure offer, and the continued success of Bristol airport is key to that. The Government should better acknowledge and support our regional airports, and provide them with greater certainty about the rules under which they now operate.

[Valerie Vaz (in the Chair)]

The Minister has kindly indicated that he will reduce his speaking time, and if the other Front-Bench spokespersons reduce theirs, to about six minutes, we can get the final three Members in.

--- Later in debate ---

[Gavin Robinson]

The hon. Lady is entirely correct. We have as much transport among all our planes in Northern Ireland as we do in the capital, and regional aviation links are crucial for exports.

When something is going wrong or when someone is suffering an injustice or is unwell, we often say, “You would not wish it on your friends, never mind your enemies.” I am quite pleased that there is a threat for the north of England. I am quite pleased that there could be a disparity between APD in Scotland and APD in the north of England, because that would focus minds and attention on the issue. I do not wish to see that disparity, but I do wish to see greater recognition in the United Kingdom of the issues that for many years have been constraining us with the foreign border in Northern Ireland. If the danger that we have faced over decades is now facing those in the north-east of England and across the United Kingdom, that can only be a good thing, because there will be recognition of the dangers, damage and constraints of this pernicious tax on aviation. I hope we find a solution.

[Valerie Vaz (in the Chair)]

If the two Front-Bench spokespersons on the Opposition side take five minutes each, the Minister can have between seven and eight minutes, and I can then allow Catherine McKinnell to respond.

--- Later in debate ---

[The Minister of State, Department for Transport (Mr Robert Goodwill)]

It is a great pleasure to serve under your chairmanship, Ms Vaz. First, I congratulate the hon. Member for Newcastle upon Tyne North (Catherine McKinnell) on securing this important debate on regional airports and UK airports’ capacity. She has set out a strong case that regional airports are essential, not only for maintaining the UK’s air connectivity, but for jobs and economic regeneration across the country. I understand her frustration that the Government are having to take time to make important decisions, but it is vital that the process is robust, and that all environmental and economic factors are fully considered. I welcome the broad agreement that exists across the political spectrum on the importance of maintaining the UK’s position as a leading global aviation nation, which is vital to the UK economy. This is a timely debate, given the Government’s announcement last December on airport expansion in the south-east.

The Airports Commission set out a convincing case for new runway capacity in the south-east by 2030, which the Government have accepted. The Government also accepted the commission’s final shortlist of three schemes. It is important to get the decision right, so that it will benefit generations to come. That is why we will further consider the environmental impacts and continue to develop the best possible package of measures to mitigate the impacts on local people and the environment. We expect the package of further work to be concluded by summer 2016. Importantly, the timetable set out by the Airports Commission for delivering additional capacity in the south-east by 2030 will not alter.

It is important to remember that the UK continues to have excellent aviation connectivity, both on a point-to-point basis and through the London hub. After all, we have the third largest aviation network in the world after the United States and China. The Civil Aviation Authority’s statistics show that the UK’s regional airports handled around 39% of the UK’s air passenger total in 2014: around 92 million passengers. Services from UK regional airports operated to more than 100 domestic and international destinations, providing convenience and travel opportunities, and helping to reduce the need for air passengers and freight to travel long distances to reach larger airports.

It is heartening to see that many of the airports that were impacted by the economic downturn a few years ago are now, like the economy, seeing real growth again. Manchester airport, as mentioned by the hon. Member for Wythenshawe and Sale East (Mike Kane), is now the UK’s third largest, handling more than 20 million passengers a year. It has the only regular A380 service from a UK airport outside London and its routes are expanding further—Cathay Pacific is operating direct flights to Hong Kong and, starting this June, Hainan Airlines will operate four flights a week to Beijing. Those are the first direct scheduled flights between mainland China and a UK airport outside of London, worth at least £250 million in economic benefits to the UK. Indeed, my big new shiny railway will be coming to Manchester as well as Birmingham airports.

My hon. Friend the Member for Solihull (Julian Knight) mentioned Birmingham airport, which completed its runway extension in 2014, enabling larger aircraft to fly to more long-haul destinations. That has allowed greater capacity to destinations such as Dubai, Delhi and Amritsar, and some successful charter operations to Beijing. The airport celebrated its most successful year in 2015, handling more than 10 million passengers for the first time. That is not all. Ongoing investment programmes are also under way at other airports such as Edinburgh; Belfast City, which saw 2.7 million passengers last year, an increase of 5.4%; and Belfast International airport, which saw 4.4 million passengers, an increase of 8.9%.

I welcome last month’s announcement that Ryanair is to begin operating a new base at Belfast International from March with flights to Gatwick, and five other routes will follow. In December, I was very happy to announce successful routes under the regional air connectivity fund that allow routes between Carlisle and Belfast City and Londonderry and Dublin.

Like me, the hon. Member for Newcastle upon Tyne North was able to see at first hand the newly completed redevelopment at Newcastle International airport’s departure lounge when I had the honour to open it formally shortly before Christmas. It is worth mentioning two more bits of good news for the airport: United Airlines has announced it will repeat its non-stop Newcastle to New York Newark service next summer; and Newcastle has been named the UK’s top large airport in a nationwide poll of Which? magazine readers for the third year running.

Within the UK, airlines operate in a competitive commercial environment, and we consider that they are best placed to determine which routes they operate, and from which airports. We know that the commercial aviation market brings many benefits to air passengers. However, the Government also recognise that, because aviation plays an important role in connecting regions, there may be occasions when aid is necessary to protect certain existing air services that may be discontinued or to develop other services to airports where local economic conditions prove unattractive to airlines.

We are conscious of the possible risk of distortion to competition that could be created by Government intervention in the commercial airline market. That is why we have been careful in balancing the commercial imperative with the need to provide support for existing services and for new air routes from some of our smaller airports. Last November, the Chancellor announced that 11 new air routes from smaller UK airports would be supported with around £7 million of start-up aid over the next three financial years. Those routes, one of which will be operated by Links Air between Newcastle and Norwich, will begin operating this spring and will provide domestic links between England, Scotland and Northern Ireland, as well as international connectivity to France, Germany, the Netherlands and Ireland.

The Government have been asked why we cannot acquire or reserve slots at busy UK airports such as Heathrow for domestic services from regional airports, such as those in Northern Ireland. The allocation of slots at EU airports is governed by regulations agreed at European Union level and by associated UK slot regulations. Under the regulations, the process of slot allocation at Heathrow, Gatwick, Manchester and other slot co-ordinated airports in the UK is undertaken by an independent slot co-ordinator independently of the Government, the Civil Aviation Authority or other interested parties. The UK Government therefore play no part in the slot allocation process at Heathrow or other co-ordinated airports, and under EU regulations we are legally prevented from intervening in that process.

Unfortunately, time is pressing. I wanted to say a few words about air passenger duty, but no doubt there will be an opportunity in future. Indeed, it is a matter for the Chancellor, so I will come to a conclusion and allow the hon. Member for Newcastle upon Tyne North a chance to get the final word.

The Government believe that maintaining the UK’s status as a leading global aviation hub is fundamental to our long-term international competitiveness. We are clear about the economic and connectivity benefits that our regional airports bring to regions, communities and businesses. We have established the right foundations to move forward, gain consensus and secure the benefits that aviation brings for the whole nation.

[Valerie Vaz (in the Chair)]

I thank Front Benchers for their timely speeches.

Davies Commission Report

Valerie Vaz Excerpts

Wednesday 1st July 2015 Commons Chamber

[Mr McLoughlin]

I am sorry that my hon. Friend so easily dismisses page 34, which I would have thought gives him and the people who run Birmingham airport, which he has spoken about in the House on occasion, some encouragement. Those airports—Birmingham, Manchester, and Tees, just to ensure I get them all right and do not upset anybody—are all incredibly important for people around those areas and we want more flights from them.

[Valerie Vaz (Walsall South) (Lab)]

I echo what my hon. Friend the Member for Barnsley East (Michael Dugher) says, but Birmingham international stands ready for expansion with international flights to JFK in New York and Beijing that are cheaper than from Heathrow. Will the Secretary of State seriously take into account the fact that Birmingham has a strategic position in the UK and its connectivity to HS2?

[Mr McLoughlin]

Yes, I will certainly take that seriously. The hon. Lady will know that the recent runway expansion at Birmingham has been very important in trying to attract more business and offer more opportunities to fly to other destinations. She is absolutely right about how important HS2 will be for that airport.

Oral Answers to Questions

Valerie Vaz Excerpts

Thursday 27th June 2013 Commons Chamber

[Mr McLoughlin]

My right hon. Friend is right. As he knows, I was at Stansted last week and saw at first hand the subject of his representation and his call for greater investment in Stansted airport. I would like to discuss that with him and think about it with Network Rail.

[Valerie Vaz (Walsall South) (Lab)]

T10. Stafford road and Stanhope way in my constituency are in a state of chaos owing to unco-ordinated bus services using narrow residential roads. What plans does the Minister have to look at the strategic co-ordination of bus services outside London?

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

We think that these decisions are best made locally. It is therefore a matter for the relevant local authorities to engage with the main bus operators to drive that forward. We have incentivised partnership working through the creation of Better Bus Areas. That is putting £70 million more into the bus network, so there is a financial incentive for local authorities and bus companies to work together. If they are not doing so, I suggest the hon. Lady contact both of them in her area.

Oral Answers to Questions

Valerie Vaz Excerpts

Thursday 18th October 2012 Commons Chamber

[Jo Swinson]

The Government’s approach is showing that encouraging businesses to take the issue seriously is paying dividends. Indeed, more than a third of new appointments to boards over the last 12 months have been women. There is certainly more to do, but that shows that the approach we are taking is the right one. In fact, we are doing well on this matter compared with many other countries. They have been looking at our approach in the Lord Davies review, often to see how they might be able to take on board some of the best practice that we have already developed, and our officials have been sharing that with officials in other countries.

[Valerie Vaz (Walsall South) (Lab)]

The Minister is incorrect: this 1% rate of progress means that the girls are not yet born who will benefit from it. Will she look at the Australian model—both at what the Australian Prime Minister has said and at the federal Government target of 40% men, 40% women and 20% of either gender?

[Jo Swinson]

I thank the hon. Lady for her question, and I certainly think that many across the House would do well to look at what the Australian Prime Minister says and at her rather excellent recent speech on the issue of equality. I disagree that quotas are the right way to proceed, and I do not recognise the figure of 1% that she mentioned. The percentage of women on boards has increased to 17% from 12% since the election, and as I have said, a third of new appointments in the last year have been women.

Walsall-Rugeley Line (Electrification)

Valerie Vaz Excerpts

Thursday 14th June 2012 Commons Chamber

[Mr Burley]

Excellent.

Given the history of this scheme, it is astonishing that this small 15-mile section of track has not already been electrified. The scheme originally had a high-profile inclusion in the former Railtrack network management statement in 1999, including a detailed pre-feasibility study showing it was deliverable. It was again identified in Network Rail’s electrification strategy 2009, and in its west midlands route utilisation strategy in 2011, as a scheme that should be fully considered in more detail as part of the west midlands and Chilterns route utilisation strategy.

Although Centro and other local stakeholders feel that the west midlands and Chilterns route utilisation strategy process did not consider the case for electrifying the route as effectively as it could have, recent work by Network Rail demonstrates that the electrification scheme has a positive business case and a benefit-cost ratio of 1:2, even without the inclusion of the wider strategic benefits that will arise from creating an alternative electrified rail connection between the west midlands and the west coast main line, which links the region to the north-west and Scotland.

The Minister may not be aware that recent work undertaken by KPMG for Centro has also identified significant further regional economic benefits from the electrification of this route, which, again, are not included in Network Rail’s business case. KPMG’s analysis indicated that electrification would generate an additional £113 million of gross value added benefit per annum and support the creation of 1,370 additional jobs, as has been mentioned. That is why Centro and others locally are so passionate about seeing the Government confirm the Walsall to Rugeley electrification as a high priority scheme for 2014 to 2019 in the Secretary of State’s forthcoming high-level output statement on rail investment. That is also why both Centro and the West Midlands Regional Rail Forum have now identified the scheme as the No.1 electrification priority for the whole of the west midlands region.

[Valerie Vaz (Walsall South) (Lab)]

I congratulate the hon. Gentleman on securing this debate. It may seem to be a bit geeky and for train-spotters, but this subject is very important for our constituents. I am pleased that Walsall is not being ignored, because it usually is. Will he say whether any of this is part of the High Speed 2 bid? Will we be able to have a bit of slippage in that bid in order to see this scheme come to fruition?

[Mr Burley]

I thank the hon. Lady for her intervention, and I will come on to deal with HS2 and the way it connects up a little later in my speech, when I believe I will address her question. I also thank her for signing the letter to the Secretary of State, which I should also mention, from just about all the MPs along the line in support of the scheme; as has been said, this is a cross-party effort, as we all want to see this happen.

Although Centro and other regional stakeholders strongly support the electrification of the Walsall to Rugeley route, the train operator, London Midland, also believes that electrification would deliver ongoing operational cost savings, improved journey times and reduced crowding. Electrification work will make it easier to create a larger loading gauge, allowing the increasingly common W10 containers to be transported. In the longer term, electrification could allow services such as the Birmingham to Liverpool service to run via Walsall, significantly improving Walsall’s connectivity to Stafford and the north-west, and giving new commercial opportunities to serve a town that is now larger than Wolverhampton, as I learned yesterday.

The Minister will be aware that the electrification strategy as part of the network route utilisation strategy identified the following gaps as driving whether a route should be considered for electrification:

“Type A—Electrification to enable efficient operation of passenger services…Type B—Electrification to enable efficient operation of freight services…Type C— Electrification to increase the availability of diversionary routes…Type D—Electrification to enable new patterns of service to operate”.

The Minister can take comfort that the Walsall to Rugeley line electrification would cover all those gap types.

The Minister will also be aware that Network Rail has identified a number of criteria to be considered when looking at whether to develop a project for CP5. Again, we in the west midlands strongly believe that all these criteria, as set down by Network Rail, are met. Tonight, I just want to highlight three key criteria, the first of which is affordability. Railtrack commissioned Atkins in 1999 to undertake a pre-feasibility study into the electrification of the route, and, with the exception of clearance issues in the Walsall station area, the route appears to be straightforward to electrify. It must be remembered that the line was earmarked for electrification in the 1960s as part of the west coast electrification scheme, and that all the bridges and other structures were rebuilt with electrification clearances. Atkins assessed the cost of electrification as approximately £32.6 million, plus an extra £6 million to achieve W10 gauge clearance. However, it is worth noting that the recent work by Centro reduces that to just £30 million, or £1 million per mile of track—15 miles in each direction.

The second criterion I want to draw to the Minister’s attention is value for money. There should be a financially positive benefit-cost ratio of more than two. We believe that the multiple benefits that the route drives have already resulted in a positive BCR of 1:2. That will be further enhanced by the KPMG work, which will push it over two. Network Rail’s business case assessment is narrowly defined and has been superseded by the Centro-commissioned KPMG work that takes into account the wider benefits such as job creation and economic development. As has been mentioned, it would mean more than 1,300 new jobs and a gross value added of £113 million, which are not reflected in Network Rail’s more tightly defined business case, which still gives a positive BCR. We therefore urge the Minister to take that into account as part of her decision process for named schemes in CP5 as part of the HLOS next month. This is a capital scheme that will trigger economic development and job creation across the west midlands.

The third criterion for Network Rail that I want to draw to the Minister’s attention is the extent to which economic growth is driven. As I hope we are showing tonight, the service improvements arising from the scheme would drive significant economic growth in the Walsall and Cannock areas, which are badly affected by the economic downturn. The freed-up capacity elsewhere on the network would also support wider economic growth in the west midlands. There would also be the ability to redeploy diesel capacity on the busy Snow Hill network, which would help the economy of Birmingham city centre to develop further. Without the electrification the current service on the line could worsen, leading to economic growth constraint.

I believe the scheme meets all the key criteria for electrification set down by Network Rail and that is why all our local stakeholders believe that Walsall to Rugeley electrification strongly meets Network Rail’s criteria for CP5 named schemes for 2014 to 2019. As a result of all this, on 18 May I sent a letter to my right hon. Friend the Secretary of State for Transport signed by 20 key stakeholders, including the chairs of the Greater Birmingham and Solihull, Black Country and Staffordshire, and Stoke local enterprise partnerships, the leaders of all the metropolitan, county and district local authorities on the route, private sector business leaders, the chamber of commerce and six MPs with constituencies along the route, some of whom are in their places tonight, all giving their unequivocal support for Walsall to Rugeley Chase line electrification. As can be seen from the number of MPs from both sides of the House who signed the letter to the Secretary of State and who are here tonight, this scheme has the support of the region.

The scheme has the strong support of my hon. Friend the Member for Lichfield (Michael Fabricant), who has already written to the Minister about this matter but cannot take part in this debate because he is a Whip, even though he is sitting in front of me on the Treasury Bench tonight. It also has the strong support of my hon. Friend the Member for Stafford (Jeremy Lefroy), who has publicly given his firm support, saying:

“Electrification of this line is a vital, not simply for local and regional transport, but for the national network as it provides alternative routes for electric only trains.”

It also has the support my hon. Friend the Member for Aldershot (Mr Howarth), who was the former Member for Cannock and Burntwood and is now the Under-Secretary of State for Defence, He cannot speak in the debate as he is a Defence Minister, but he wanted me to inform the house that when he was the Member for Cannock and Burntwood in 1983 to 1992, he tried to get the line to be upgraded, saying then:

“It would provide an invaluable alternative for occasions when the West Coast mainline between Rugeley and Birmingham International is out of action for repairs.”

It is even supported by the Government Chief Whip, himself a user of the Chase line in his former life as a councillor on Cannock Chase district council and as a coal miner in my own constituency. It also has the cross-party support of all the MPs along the route, including the hon. Members for Walsall South (Valerie Vaz) and for Walsall North (Mr Winnick) and my hon. Friends the Members for Aldridge-Brownhills (Mr Shepherd), for South Staffordshire (Gavin Williamson), for Stafford and for Lichfield.

I know that the Minister, quite rightly, will not be persuaded simply by pleas from MPs. I am aware that such schemes require more than just special pleading; they require cold hard facts and benefit-cost ratios, and that is what I have tried to convey to the Minister tonight. As I have said, recent work by Network Rail this year has already established that this £30 million scheme has a positive business case with a BCR of 1:2 and the further research by KPMG commissioned by Centro shows that that can easily increase to more than two when the wider economic benefits are taken into account. An investment of £30 million will give the west midlands a regional gross value added benefit of £113 million and the regional employment impact will create nearly 1,400 jobs. That seems like a good return to me and one that meets the Network Rail investment criteria.

I am conscious that this bid would be in competition with other bids for electrification and must therefore be competitive. Before this debate, I listened to a recent Adjournment debate secured by my hon. Friend the Member for Loughborough (Nicky Morgan) to ask for electrification of the midland main line at a capital cost of a rather whopping £530 million, with more than 50 bridges needing to be rebuilt. The Minister, who is also replying to this debate, said then that

“we will need to strike a balance”

between different types of project and that what gets funding depends on a

“fair assessment of competing priorities elsewhere on the rail network.”—[Official Report, 16 April 2012; Vol. 543, c. 148-49.]

Given that this project would cost only £30 million and would need only two bridges to be slightly modified, I hope the Minister can recognise it as an easy win—a piece of low-hanging fruit that she can grasp. It is one of those different types of project that should be considered on its own merits next to the big boys.

In conclusion, if ever there were a time for this scheme to be delivered by the “greenest Government ever”, it is now. It has been in the planning stage since the early 1960s—20 years before I was born—and it has been pursued by former MPs for Cannock Chase of both political colours as well as by local councils and regional authorities. The local enterprise partnerships see it as essential to the commercial interests along the routes. They also think it essential to connecting the benefits of HS2 to the area and driving job creation and economic growth. KPMG’s analysis has demonstrated that this electrification and consequent passenger service improvements would dramatically improve accessibility to labour and goods markets, stimulating economic growth and job creation and increasing productivity for the west midlands as a whole.

The electrification of this 15-mile strategic missing link in the electrified rail network of the west midlands would create an alternative route to the north-west for passenger and freight services, relieving the existing congested Birmingham to Stafford main line, so this is not just a local rail scheme. It would offer regional and national benefits, but it is essential, if those benefits are to be realised, that these outputs form a key part of the Government’s July announcement on the high-level output specification. I therefore ask the Minister to reflect positively on the strong business case for this project. When she does, I hope she will reach the same conclusion as we have—that the electrification of the Walsall to Rugeley Chase line should be included as a named scheme for CP5 as part of the high-level output specification due to be published by her Department next month.

Oral Answers to Questions

Valerie Vaz Excerpts

Thursday 10th November 2011 Commons Chamber

[Mrs May]

My hon. Friend makes an extremely important point. There has been progress. We know that there are now only 12 all-male boards within the FTSE 100, down from 21 in 2010. We know that women have made up an increasing percentage of the directors appointed to FTSE 100 companies since Lord Davies’s report. The point she makes is absolutely right: having women on boards is not just a women’s issue; it is about the state of the economy, and it makes good business sense.

[Valerie Vaz (Walsall South) (Lab)]

But is the Minister for Women and Equalities aware that of the last 93 appointments only 21 were women, and that the Cranfield school of management has said that two thirds of companies have ignored what the Government have said. Do we not need more than a nudge and wink, and to have some more positive action?

[Mrs May]

I am sorry that the hon. Lady could not bring herself to welcome the progress made on this issue since Lord Davies’s report. We are adopting the approach of encouragement and working with businesses. I think that is the best way to change attitudes in the longer term. We have already seen from the work done in Australia that the significant increase in the number of women on boards can be achieved without having to go down the route of quotas.

Oral Answers to Questions

Valerie Vaz Excerpts

Thursday 15th September 2011 Commons Chamber

[Lynne Featherstone]

I thank my hon. Friend for that helpful suggestion. It is a really important point, because I am sure that much could be learned from the real progress that has been made in investigating and prosecuting child sexual abuse cases. Where appropriate, prosecutors should make links with experts in other areas in order to build a stronger case.

[Valerie Vaz (Walsall South) (Lab)]

I thank the Minister for her response. One midwife, Alison Hughes, is organising a conference on 21 September in Birmingham, because the situation is getting serious. She now treats up to five cases a week of women giving birth who have been mutilated, and it causes huge problems. If the Minister cannot give me an answer now, will she write to tell me whether any cases that are going to be prosecuted are in the pipeline?

[Lynne Featherstone]

This is an important issue, and I am aware of the hon. Lady’s interest and involvement in it. On the conference and cases in progress, the police investigated 58 cases in 2009-10, but none so far has come to prosecution. I do not know, as I stand here, whether there is anything in the pipeline, but the legal guidance is one of the main hopes behind making prosecutors more aware of how to take cases forward, and I am very happy to deal with her directly.

Oral Answers to Questions

Valerie Vaz Excerpts

Thursday 2nd December 2010 Commons Chamber

[Lynne Featherstone]

This is an opportunity for the EHRC to focus on its core functions. Unfortunately, when it was originally conceived and set up the previous Government seemed to lump together the previous three commissions with no real direction, no analysis of the skills that were needed and no focus. The EHRC has to become a respected national institution that focuses on its core functions, which are to ensure that people understand equalities discrimination and encourage them to use equalities legislation, and to hold to account those who do not.

[Valerie Vaz (Walsall South) (Lab)]

One of the EHRC’s roles is to nudge us towards a more equal society, so will the Minister say what she is doing to encourage more women apprentices, as they make up only 1% of those in manufacturing industry?

[Lynne Featherstone]

I will confer with the EHRC, as the hon. Lady said that this was about it nudging people. We are working with the science, engineering and technology sectors, and with all trades, to improve that representation level, as 1% is not acceptable.