Shared Prosperity Fund

Catherine McKinnell Excerpts

Tuesday 14th May 2019 Westminster Hall

[Dan Jarvis]

I do, and furthermore there is a real opportunity to place these resources in town halls and in mayoral combined authorities—in people who have their own democratic mandate to take decisions and allocate the resources in the most effective and efficient way.

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

I commend my hon. Friend on securing this debate. He will know that, apart from Cornwall, the north-east and the Tees Valley are the areas that have received the most funding from the European regional development fund and social fund. He will also know that by the Government’s own economic analysis, those areas are also set to suffer most from the impact of any Brexit outcome, however delivered. Is it not incumbent upon the Government to take this opportunity not only to match up to the promises that have been made on that funding, regardless of our departure from the European Union, but to do that in a fair and properly targeted way, so that it gets to the areas that need it most—the areas suffering from poverty and low living standards—regardless of our patchwork of local devolution?

[Dan Jarvis]

My hon. Friend is exactly right; she makes a powerful point. This is a big opportunity for this Government and the next Government to invest money in our regional economies. I said at the outset that I hoped we would see this debate through the eyes of our communities and what is in their best interest, not through the prism of party politics. There will be a range of different views about Brexit and what it may or may not mean for our country, but I hope there is a unanimity of view on wanting to do the best for our country, whatever happens. We want to invest money wisely and effectively in the regions and nations of our country. If we are serious about doing that, the shared prosperity fund is an incredibly important element and ingredient in it, but we have to design it in the right way. We have to get the criteria right. We have to make sure that the formula in place is agreed by the regions and nations. That is why we need to get on with the consultation and make some progress.

Freehold Estate Fees

Catherine McKinnell Excerpts

Tuesday 22nd January 2019 Westminster Hall

[Helen Goodman (Bishop Auckland) (Lab)]

I beg to move,

That this House has considered freehold estate fees.

It is a pleasure to see you in the Chair, Mr Hollobone. The residents of Hazelbank in Canney Hill in my constituency first brought this issue to my attention. I am grateful to them and to homeowners in the Burton Woods, Durham Gate, Grangefields, Merrington Park, Middridge Vale and Moorcroft developments who have shared their experiences with me. I also thank Cathy Priestley and Halima Ali from the national Homeowners Rights Network—HorNet—campaign group.

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

I congratulate my hon. Friend and north-east colleague on securing this important debate and on her Freehold Properties (Management Charges and Shared Facilities) Bill, which I am pleased to co-sponsor. I am also pleased to add my thanks for the work of my Great Park constituent Cathy Priestley, whom my hon. Friend rightly mentions. I commend Cathy, who has worked tirelessly to raise awareness of these issues. Does my hon. Friend agree with me and Cathy that one of the key concerns for private homeowners in such developments is the sheer lack of transparency about what they are paying for?

[Helen Goodman]

My hon. Friend is absolutely right. The lack of transparency is a significant problem across the country. I did a survey, which I thought would be for people in Bishop Auckland, but I got responses from Ulster to Plymouth, which shows what a massive problem this is.

If offered the choice between a leasehold property and a freehold property, most prospective homebuyers would opt for freehold. Who would not want the permanent and absolute tenure of their property, with all the freedom and security that promises? However, the large property developers—Barratt, Bellway, Persimmon and Taylor Wimpey—sell properties that are not free from hold but come with financial obligations and restrictive covenants administered by property management companies such as Greenbelt, Gateway, FirstPort and Trinity Estates, which take ownership of communal spaces once the developer has moved off the site.

--- Later in debate ---

[Mark Tami (Alyn and Deeside) (Lab)]

It is a pleasure to serve under your chairmanship, Mr Hollobone. I congratulate my hon. Friend the Member for Bishop Auckland (Helen Goodman) on securing this debate.

I am old enough to remember when developers would build estates that were brought up to adoptable standards, a bond was put down and the council would adopt and take responsibility for generally doing what we all expect to be done around our homes. A lot has changed. Councils now do not have much money and are probably keen to pass that responsibility on. As my hon. Friend the Member for Bishop Auckland said, developers have found another money-making exercise—a bit like leasehold, really—to squeeze even more money out of their sales.

In my own area, companies such as Persimmon in Buckley, Taylor Wimpey in Penyffordd and Bloor Homes in Broughton have passed that maintenance requirement on to maintenance companies: my hon. Friend has mentioned Greenbelt, and Trinity is another one of the big players. A person needs only to look on the internet and Google those companies to see what the average resident thinks of the service they are providing.

When people move in, perhaps the charge is only £100 a year at first; it does not seem too much and people are not that bothered about it. The lawyers have perhaps not pointed it out because, as my hon. Friend the Member for Bishop Auckland has said, they may well be close to the people selling the properties.

By year two, that charge may have risen to £200, and by year three, it may be £300 and so on. There is very little explanation of exactly what the charge is for, or indeed what the tendering process is for the people supposedly doing the work, when the work is actually done in the first place. These are not luxury London developments that have a swimming pool, a gym, and perhaps someone sitting on the front desk. The charge is for cutting the grass and, in some cases, maintaining a play area and maybe a nature area as well.

On top of the standard charge, there are things that are not covered—a very vague category. Greenbelt, in its nice, glossy little brochure showing happy, smiling people who are no doubt delighted to be paying the fees that the company charges, has a list of services. One of those is fencing, and under “What is covered?” it says “Fences will be checked as part of the routine supervisory inspections. The condition of the fence will be monitored and any repairs instructed as and when required.”

If we move on to things that are not covered but are chargeable, we find “fencing works”, which “will be identified as part of the routine supervisory inspections. The conditions of the fence will be monitored and any works instructed as and when required.” Now, to the ordinary person, those sound very similar, yet people are being charged extra for the work that is not covered.

Indeed, the list of things that can be charged for in these circumstances is a very open one; as I have said, residents in many cases are not aware of what they are being charged for. When people move in, certainly in their first year, there does not appear to be any breakdown of the charges. As my hon. Friend the Member for Bishop Auckland said, when a breakdown is provided, it appears that half of that charge—if not more—is the management fee. In my experience, that management fee is never broken down, and it is never explained exactly how that large sum of money comes about.

[Catherine McKinnell]

I see a lot of similarities in the speech that my hon. Friend is making. Does he agree that there is frustration not only about the charges being levied, but about the fact that the standards being maintained are often not as good as they would be had those estates been adopted? I know of some cases in which children have practically lived in a home, left that home and gone to university before they have the basics, such as pavements, on their estates.

[Mark Tami]

My hon. Friend is right. The issue of how estates are left is a broader one: quite often, the moment the last house is sold, the developer does not want to know. As for the standard of work that is being carried out by the maintenance companies, I have heard from loads of people who say that they go out themselves and cut the grass in the communal areas, because those are left in such a terrible state.

Many people have described the charges as like a second council tax. They are now reaching a level that is not the £100 that people started off with; it is a much higher figure, particularly for something that most people thought was covered by the council tax that they pay in the first place. Freeholders who face those charges are now coming to me and saying they are increasingly worried that they could affect the saleability of their property in the future, just as leaseholders are telling me that sales are falling through because people look at a property and say, “I am not going to buy that.” That is just not acceptable.

At the moment, there are effectively no legal protections for people. Leaseholders have some, but they are very weak. My constituency has a lot of mixed estates where, between two houses next to one another—often both exactly the same—one is leasehold and one is freehold. What they have in common is that they both have to pay management charges.

I will summarise because I know other hon. Members wish to speak. People feel abandoned. They feel that the law does not actually protect them and that they do not have any redress. I welcome what the Government have said about leaseholds. My concern is that that relates only to people building houses, selling them and moving on. What about the people already affected by the arrangements, just as leaseholders are? We need to look after them and ensure that they have fair redress against unfair charges. Residents should have the ability—where they want to—to form their own management companies, run their own maintenance and put out tenders. The council might want to tender for some of that work and could provide it at a considerably cheaper cost. The charges are unfair. We really need to get to grips with the issue because otherwise we will store up huge problems for people in the future.

Draft Newcastle Upon Tyne, North Tyneside and Northumberland Combined Authority (Establishment and Functions) Order 2018

Catherine McKinnell Excerpts

Monday 22nd October 2018 General Committees

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

It is a pleasure to serve under your chairmanship, Sir David. Last week, I held a debate in Westminster Hall on the £3 billion investment required to make the east coast main line fit for purpose and thereby ensure it helps to deliver the economic potential of communities served by the route, including in Newcastle, North Tyneside and Northumberland, which we all want to happen.

During that debate, I touched on the proud and pioneering role that Newcastle and the wider north-east played in the development of Britain’s railways, and therefore our country’s rapid industrial development. I also highlighted our region’s advanced manufacturing future, and the need to look forward to ensure that Newcastle and the wider north-east region can once again be part of a world-leading industrial powerhouse. I therefore broadly welcome the order as an important step in the right direction towards achieving that aim. That is not only because I am firmly in favour of the principle of devolving funding and powers to local areas, but because the combined authority is an important vehicle for delivering the sustainable economic growth that communities in Newcastle, North Tyneside and Northumberland—and, indeed, the wider region—require.

I am very proud of my home city and all it has to offer. A recently published survey by startups.co.uk rated Newcastle as the best place in the country in which to work, from a list of 66. Newcastle and the wider North of Tyne area have so much to offer UK plc if tools, funding and powers are provided to allow them to fulfil their potential. As the Minister noted, the North of Tyne devolution deal is worth £600 million over 30 years. It is forecast to generate £1.1 billion for the local economy, create 10,000 new jobs, and leverage £1.2 billion in private sector investment over that timeframe. I sincerely hope that these changes make a difference to the lives of people in my constituency and beyond. The desire to make young people in Newcastle and the wider north-east feel that they do not need to go elsewhere to get on in life is largely what drove me to come into politics, and for that reason, creating good, skilled, well-paid, long-term job opportunities and meaningful apprenticeships must be central to the combined authority’s work.

I take issue with the Minister’s claim about the level of investment in the region. Significant economic development, funding and spending powers were available to the wider north-east region for some time under the regional development agencies, which were scrapped by the coalition Government in 2012. Like many other colleagues in the region, I fought hard against the abolition of One North East, because I knew how well it supported economic growth and jobs in our area. To put the order in some context, I and many others have campaigned hard against the punitive funding cuts meted out to local authorities in our region since 2010. Alongside the rising cost pressures, those cuts mean that Newcastle City Council alone will lose £283 million by 2020—a situation that we all hope the Chancellor will address in his Budget next week.

The fact is, however, that what is on the table today is what is available now, under this Government. We are ploughing headlong towards Brexit. I very much agree with the analysis of our Front-Bench spokesperson, my hon. Friend the Member for Oldham West and Royton. The Government’s analysis indicates that Brexit will hit the north-east’s economy hardest, even under the Prime Minister’s preferred outcome of a comprehensive trade deal, so the ability to support the creation of good, skilled jobs in our area matters now more than ever. It is disappointing that other local authorities within the North East local enterprise partnership area will not be part of the process. I sincerely hope that the door remains open to them, should they decide to reconsider. Other colleagues on this Committee, and indeed the Minister, may want to comment on that.

I would be grateful to receive confirmation from the Minister that the current devolution deal is part of an ongoing process, with the agreement being approved today simply a first step towards achieving further powers and funding in the coming months and years. It would be particularly helpful to know whether that will include taking control of our allocation of the shared prosperity fund, due to be established by the Government to invest in areas such as the north-east that have benefited so significantly from EU structural funding. I certainly hope it will.

My final ask of the Minister is to review the myriad different organisations that now exist at a sub-national or sub-regional level, with varying geographies, and to consider how that makes it more challenging to achieve the closer partnership working—place-based decision making and spending—that we all want to see between the public and private sectors. In my region, that means that Newcastle and Gateshead are working together on tourism, inward investment and future housing strategy and on some aspects of NHS provision, such as the clinical commissioning group, but not on others. The North East local enterprise partnership incorporates seven local authorities, including Newcastle, North Tyneside and Northumberland. It will operate alongside the North of Tyne combined authority, as well as the newly reconfigured North East combined authority. Public transport decisions will continue to be made across the wider Tyne and Wear area, while our police and crime commissioner naturally serves the communities covered by Northumbria police, namely Tyne and Wear and Northumberland.

Those are just a few examples, but another recent one is the £24 million Opportunity North East fund announced earlier this month by the Education Secretary. I understand that it will cover the whole north-east region—that is, the areas covered by the North East and Tees Valley LEPs. Despite its aims of improving social mobility, opportunities and job prospects for young people and appearing to fit neatly with those of the North of Tyne devolution deal, it remains unclear who will be responsible for managing the funding. Again, it creates more complexity when what we need to see is place-based decision making. If the Minister could provide some clarity on those issues, it would be very welcome.

East Coast Main Line Investment

Catherine McKinnell Excerpts

Wednesday 17th October 2018 Westminster Hall

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

I beg to move,

That this House has considered East Coast Mainline investment.

It is a pleasure to serve under your chairmanship, Mr Owen, not least because I have attempted to secure a debate on this issue for some time in my capacity as chair of the all-party parliamentary group on the east coast main line. I also represent one of the constituencies served by this vital route.

I am grateful to right hon. and hon. Members for attending this debate during an important Opposition day debate in the main Chamber on universal credit and social care funding, to which I would ordinarily want to contribute. Newcastle has been particularly hard hit by the roll-out of universal credit, for which it was a pilot area, and by the social care crisis. Sadly, the reality is that none of us can be in two places at once. I declare an interest: like many hon. Members, I use the east coast main line on a weekly basis, so I can personally testify to the pressing and increasing need for investment in the route.

I am proud of the pivotal role that Newcastle and the wider north-east have played in the development of rail travel through George Stephenson, the father of the railways, who was married at Newburn church in my constituency, and his son Robert and others, who pioneered their world-leading technology from our region through the industrial revolution. Whether it was the Stockton and Darlington railway, the Stephenson gauge, Locomotion No. 1 and the Rocket, which were both built at Stephenson’s Forth Street works in Newcastle or William Hedley’s earlier Puffing Billy, the world’s oldest surviving steam engine that ran between Wylam in Northumberland and Lemington in my constituency, the north-east’s contribution to Britain’s railways has been second to none.

That impressive history was celebrated this summer during the Great Exhibition of the North, which was held across the region and included the sadly temporary return of Stephenson’s Rocket to the region.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

I thank my hon. Friend for securing the debate and for her excellent opening, which focuses on our proud history in transport and particularly in railways. As she said, it is unfortunate that Stephenson’s Rocket apparently had to return to London. Stephenson’s notebooks were recently found in York. Does she agree that there is now an excellent opportunity to bring them back to the city that she proudly celebrates?

[Catherine McKinnell]

That is off-point with regard to the east coast main line, but it is an excellent suggestion that we should pursue. I am sure that there would be a lot of support for bringing home—back to Newcastle and the north-east—more of what is rightly ours when it comes to our contribution to engineering and railway history in Britain.

[Alex Cunningham (Stockton North) (Lab)]

We are extremely proud of our railway heritage, particularly in Stockton, from where the first passenger train left on its journey to Darlington. Across the country, people are bringing heritage lines back into use, but we do not need that on Teesside, because our trains and lines are so decrepit, old and run-down that they ought to be confined to history. Does my hon. Friend agree that, although we desperately need more investment in the north-east line, we also need to cover the branch lines so that the people of Teesside and beyond have proper services to get to the main line?

[Catherine McKinnell]

I absolutely agree. I will make the case that investment is not only about the infrastructure of the vital east coast spine that runs up and down our country, but about the major impact that that would have on all the contributing branch lines and communities that rely on that infrastructure and the infrastructure that connects to it.

[Karen Lee (Lincoln) (Lab)]

I represent Lincoln, which was promised six extra train services. We have one train to London in the morning at half seven, and one train back at six minutes past seven in the evening. Other than that, everybody has to change at Newark—it is a nightmare; I park at Newark.

I have heard through the grapevine—even though I am the MP—that we are not now getting those extra trains. Apparently there is a problem with the trains and the timetables. Does my hon. Friend agree that I should have been properly informed about that, along with other people, and that a formal announcement should be made?

[Catherine McKinnell]

My hon. Friend has put her concerns firmly on the record. The Minister may wish to refer to them at the end of the debate. Otherwise, I am sure that she will make her concerns about the issue known again.

As well as celebrating our railway of the past, this debate is about our railway of the future. The north-east can celebrate its proud role in that too, including through the manufacture of the new Azuma trains at Hitachi’s Newton Aycliffe plant. That is the east coast main line of tomorrow, which is what we must focus on today.

The east coast main line is a critical piece of our national rail infrastructure. It is one of the country’s most strategically important transport routes and enables more than 80 million passenger journeys a year, according to Network Rail. Between Berwick-upon-Tweed and London, the east coast main line carries more than 58 million tonnes of freight annually, equivalent to 6.9 million lorry loads. The Consortium of East Coast Main Line Authorities has estimated that the local area served by the route contributes £300 billion to the UK economy every year—and that figure doubles if London is factored in to the calculation.

[Mr Stephen Hepburn (Jarrow) (Lab)]

I congratulate my hon. Friend on securing this timely and important debate. Does she not think it ironic that we have those new Hitachi trains, but they cannot go at their maximum speed because the lines are decades old? We are getting new trains, but the lines do not match them.

--- Later in debate ---

[Catherine McKinnell]

I would go further than my hon. Friend and say that it is not only ironic but completely unacceptable. That is part of the case that I want to make to the Minister.

The east coast main line is a significant employer in its own right, as more than 3,000 people work for London North Eastern Railway. Trains that use the east coast main line operate as far north as Inverness and as far south as London, and one third of the UK’s population live within 20 minutes of the east coast main line, so the quality of the service and the capacity of the route has a real impact across the country.

The east coast main line is the fastest and most environmentally sustainable way to connect many of those locations, and enables cities in the north of England—or the northern powerhouse, to use the Government’s terminology—to do business elsewhere in the country and with one another. When the railway works, its key city centre to city centre journey times compare favourably with air travel, which allows slots at airports to be reserved for connectivity into international economies. The east coast main line should always win hands down against road travel as an attractive alternative to slow-moving traffic and motorway driving, with all the air quality issues that they bring.

The line does not just facilitate the famous Anglo-Scottish trains of past and present that travel to and from London, but a multiplicity of other journeys that utilise every part of the route, such as Edinburgh to Leeds, Newcastle to Birmingham, Darlington to Bristol, Middlesbrough to Manchester and Stansted airport to Leicester. The east coast main line and this debate are important not just to the grand cathedral stations of King’s Cross, Edinburgh, York and Newcastle, but to the other stations that serve commuter towns and larger villages across the route. When all those connecting lines are taken into account, that includes a far bigger swathe of the country than just those places immediately near the east coast main line.

For all those reasons, the east coast main line is a national asset to be prized and nurtured, not taken for granted. That is why I established the all-party parliamentary group to focus on the issue earlier this year, so hon. Members from both Houses could campaign together to secure investment in the route for an improved passenger experience, for capacity and reliability, and for shorter journey times.

The APPG is also looking at the economic growth that could be unlocked in the areas served by the east coast main line if those improvements are delivered, and at the future operation of the route, which has been beset by significant problems over the past decade. Given that the APPG’s vice chairs are the hon. Members for Stevenage (Stephen McPartland), for Cleethorpes (Martin Vickers) and for Edinburgh West (Christine Jardine), there is clearly strong cross-party and cross-country interest in this issue.

Of course, the Minister here today is well aware of the APPG’s existence, having attended one of our meetings back in June, for which we are grateful, and having corresponded with me since. I am quite sure that we will remain in contact in the months ahead.

I am acutely aware that the performance issues facing east coast main line passengers do not come close to the frankly catastrophic service issues faced by people who had the misfortune of having to use a number of other lines over the summer, including Arriva’s Northern Rail passengers and those on the Thameslink, Southern and Great Northern routes.

However, there are also real problems on the east coast main line. The latest performance measures published by Network Rail indicate that in the year to 15 September, just 75.2% of trains on the east coast main line, under the former franchise and the current operator, arrived within 10 minutes of their scheduled time. That is well short of the national figure of 86% and even further adrift of the target figure, which is 88%.

Over the same period, almost 9% of east coast main line trains were cancelled or classed as being “significantly late”, against an England and Wales performance of 4.6%. Of course, this issue is most serious for those communities not directly served by the line—for them, reliability is absolutely crucial if connections to adjoining routes are actually going to work.

Although passenger satisfaction data for LNER is not yet available, the spring 2018 figures from the independent transport user watchdog, Transport Focus, found an “overall satisfaction with the journey” rating for Virgin Trains East Coast of 87%—the worst score on the east coast main line route for five years. It will be very interesting to see what happens to that figure when Transport Focus publishes its autumn 2018 results, which will incorporate LNER’s performance for the first time.

I am seriously concerned that the quality of the service currently being provided simply does not “sell” the line, or the local communities that it is supposed to serve. Why would anyone from overseas or from elsewhere in the UK want to come back to places they have visited on the route, or do business or invest there, if they have had a poor travel experience, as is far too often the case? Similarly, how can we possibly persuade more people to stop using their cars, to reduce congestion and improve poor air quality, if they simply cannot rely on the railway to get them from A to B on time and at a reasonable price, whether it is for business or leisure?

[Alex Cunningham]

I am grateful to my hon. Friend for giving way to me again. She is championing people along the line. Across the line and the area, there is very poor access for disabled people—particularly at Billingham, where they cannot get on to a train at all. Will she join me in encouraging the Minister to back the application for a grant to give disabled people in the Billingham area proper access to rail services, from Teesside to Darlington and beyond?

[Catherine McKinnell]

My hon. Friend makes a vital point very well. I absolutely support that call—indeed, I support the call for such improvements to be made right up and down the line. That is something we should all focus on.

I am sure that many hon. Members will want to raise such concerns directly with LNER at the drop-in briefing that I will host next month, and that they will wish to update colleagues on their plans. That briefing is also an opportunity to put to LNER the case for some of the improvements that we would like to work together to secure.

It would be wrong to lay all of the problems that I have outlined today at the door of LNER, or indeed that of Virgin, given that the latest performance figures published by Network Rail show that some 58% of the delays and cancellations on the route over the last year were caused by Network Rail itself. Those figures are a clear reflection of the east coast main line’s ageing and unreliable infrastructure. I suggest again to the Minister, as I have done at the APPG meeting that he attended and in writing, that that infrastructure is in urgent need of improvement or replacement, including of track, signalling and overhead power lines on the electrified sections. Also, far greater resilience is required in bad weather, which the rail networks of many other countries that have far more challenging climatic conditions than we do appear able to cope with.

[Julian Sturdy (York Outer) (Con)]

I thank the hon. Lady for giving way. She is making a powerful argument, and I agree about the need to improve the infrastructure. There is a lot of talk about overhead cables and track, but does she agree that, given the new rolling stock, we should also look to invest in new digital technology, such as in-cab signalling? The Government have talked about bringing that forward, but there is no timetable for doing so. Does she agree that we should be looking at a timetable for that digital technology?

[Catherine McKinnell]

Absolutely. The hon. Gentleman has put that clearly on the record, and it would be good if the Minister referred to it in his response to the debate. Indeed, it is also an issue that the APPG can take up as part of the wider call to ensure that on the east coast main line we have the railway for the future and the investment that is required to deliver it.

Of course, the infrastructure-related poor performance on the east coast main line is not really surprising, given that the last significant large-scale improvement on the route was electrification to Edinburgh, which was completed back in 1991. To some of us, that feels like yesterday, but it is almost three decades ago.

In contrast, the west coast main line benefited from a major upgrade in the period between 1998 and 2009, at a cost of £9 billion in today’s prices, accelerating journey times and offering greater passenger and freight capacity. That has resulted in at least 20% more passengers on the west coast main line, which is evidence that investment in existing rail infrastructure works.

So it is clear that the east coast main line, with its creaking infrastructure, is not currently fit for purpose and the demands that are already being made on it, but what about the demands of the future? Even without High Speed 2, forecasts predict that passenger demand on long-distance services will increase dramatically in the coming decades. For example, it has been estimated that between 2012 and 2043 there will be growth in demand of up to 175% for London to Edinburgh journeys, up to 145% for London to Leeds journeys and up to 62% for Leeds to Newcastle journeys. Therefore, increased capacity and, crucially, increased reliability will be vital for the east coast main line in the coming years, requiring short to medium-term investment regardless of any plans for HS2.

However, it is crucial to highlight that HS2 does not remove the need for longer-term investment in the east coast main line, as the benefits of HS2 phase 2b will be fully realised only if there is an associated investment in the east coast main line. Also, as I am sure the Minister is well aware, the northern part of the line needs improvement so that HS2 trains can operate on it at high speeds. The east coast main line needs to be fast, reliable and resilient, day in and day out, as HS2, which aims to achieve Japanese-style timekeeping at a level that the east coast main line does not even aspire to yet, comes into use. Passengers must experience the same service when HS2 runs on the east coast main line as they do on the rest of the HS2 route. Of course, the far northern, central and southern parts of the east coast main line, which will not be served by HS2, also need such longer-term investment, so that they do not become more remote in terms of connectivity and prosperity.

However, the Consortium of East Coast Main Line Authorities has made it very clear to me that the Department for Transport’s current proposals are insufficient to ensure that the east coast main line is HS2-ready by 2033, which is the point when the link between HS2 and the east coast main line is intended to be in place.

I know that on 23 July the Prime Minister made a somewhat unexpected announcement to

“confirm an investment of up to £780 million for major upgrades to the East Coast Main Line from 2019, to be completed in the early 2020s”,

which would give passengers

“more seats and faster, more frequent journeys”.

[Lilian Greenwood (Nottingham South) (Lab)]

My hon. Friend is making a passionate case on behalf of her constituents, and indeed on behalf of all the constituencies that rely on the east coast main line.

Does my hon. Friend agree that part of the problem is that over a long period the Government have not invested sufficiently in the rail infrastructure of the north-east? For example, we know that in 2016-17 transport spending per head in the north-east was just £291 per person, compared with £944 per head in London. However, what is more concerning is that even if we project forward and look at the figures for the future, as the Institute for Public Policy Research North has done, the north-east will remain in second place among the regions and far behind places such as London.

[Catherine McKinnell]

I absolutely agree with my hon. Friend, and I have huge respect for her grasp of detail as Chair of the Select Committee on Transport. I thank her for her support in this debate. She has highlighted some of the issues specific to the north-east, whereas I have been working hard to speak for the whole east coast main line route and make the case for it as national infrastructure, but I agree with what she has said and I am grateful to her for putting on the record some stark figures that need to be addressed by the Government.

Going back to the Government’s surprise announcement of £780 million of investment, somebody considerably more cynical than me might suggest that the timing and content of that pledge was more to do with the Cabinet’s visit to the north-east that day and the pressing need to announce something north-east-friendly. Indeed, they do need more north-east-friendly announcements; my hon. Friend the Member for Nottingham South (Lilian Greenwood) has pointed out the disparity in the investment that goes into the region. That concern is possibly backed up by the fact that it took several days for the Department for Transport to confirm what the funding would be used for. However, as was eventually confirmed in writing following the Minister’s attendance at the all-party parliamentary group on the east coast main line, it is intended that this control period 6 investment will include power supply upgrades between Doncaster and Edinburgh, a new junction near Peterborough, a new platform at Stevenage, and track layout improvements at King’s Cross—improvements that are mainly paid for by necessary maintenance and renewal expenditure.

Let me be clear: any investment in the east coast main line is welcome, given the scale and nature of the improvements required. However, the Minister will also know that Network Rail published its east coast main line route study covering the section from London to Berwick-upon-Tweed, which contained a long list of potential investment projects or investment opportunities that would deliver much-needed improvements to the east coast main line. Most have been known about for some time and have been mooted repeatedly, including some that have not been delivered in Network Rail’s control period 5, 2014 to 2019. The Consortium of East Coast Main Line Authorities estimates that the route requires at least £3 billion of investment to fulfil Network Rail’s proposals, but there is no indication of where the remainder of the funding to pay for these projects will come from, either via Government funding or third-party investment. Meanwhile, Network Rail’s renewal and maintenance fund for control period 6, 2019 to 2024, is barely enough to stand still, replacing items on a like-for-like basis.

I acknowledge that, as is made clear in Network Rail’s route study, “recent rail industry developments” have seen a shift away from the historical model of railway infrastructure improvements being provided and funded centrally, via national Governments and Network Rail raising capital against its asset base. However, as a reclassified publicly funded body, Network Rail can longer finance enhancements through financial markets. A welcome devolution of funding and decision making on transport infrastructure means that more local, regional or sub-national bodies—such as LEPs, combined authorities, and Transport for the North—have been tasked with defining the railway needs in their area and applying for Government funding or attracting third-party investment. However, the Network Rail east coast main line route study states:

“Overall, this means that improvements in rail infrastructure should not be seen as an automatic pipeline of upgrades awaiting delivery; rather, they are choices that may or may not be taken forward depending on whether they meet the needs of rail users, provide a value for money investment, and are affordable.”

I understand that could mean the Treasury taking final decisions on individual rail improvements in England on a case-by-case basis. I fear that does not bode well for the comprehensive, coherent programme of infrastructure improvements that I and others believe is required for the east coast main line route. To that end, it would be helpful to hear what the Minister’s plans are for working with the Scottish Government to secure that investment right across the line.

[Chi Onwurah]

I thank my hon. Friend for being generous with her time, and for the points that she is making. Specifically regarding the way in which the Treasury assesses opportunities for investment in north-east infrastructure, we have heard how discriminated against that region has historically been. Will the Minister look at the definition under which that assessment is made, taking into account the economic value of infrastructure investment in the north-east region and how it contributes to delivering a less unequal society?

[Catherine McKinnell]

Again, I echo my hon. Friend’s comments, and I thank her for putting on record some of the specific requirements of the north-east as part of the wider east coast main line infrastructure demands that we are making.

[Lilian Greenwood]

My hon. Friend is being generous with her time. Is she aware that the Transport Committee’s report into rail infrastructure investment called on the Government to do more to reflect the fact that the way they deal with business cases disadvantages places like the north-east that are in need of economic regeneration? Does she share my disappointment that the Government’s response to that report does not take on board the Committee’s recommendations, which might help to ensure that such places get their fair share of transport funding?

[Catherine McKinnell]

Absolutely, because apart from the other issues that have been raised, businesses need certainty about infrastructure and the quality of any improvements on a route before they will bring new investment and jobs to communities that depend on that line. It is not clear how that will be delivered under the current system, or whether we can expect a series of unexpected announcements from Government Ministers, such as the announcement that was made over the summer. Although that announcement was welcome, I would be interested to hear whether the Minister believes that the issues now arising with the long-awaited Azuma trains, which have been 10 years in the planning, reflect this piecemeal, seemingly un-strategic and ad hoc approach to investment in the east coast main line’s infrastructure. Last month, it was reported that ageing track-side equipment on the line north of York meant that the electro-diesel trains would have to operate only on diesel on that part of the route, travelling much more slowly than their promised speed, with all the air quality issues that would create. In Hitachi’s words,

“There are a number of 30-year old signalling systems on the East Coast line which require modifying to operate with modern electric trains”.

I am acutely aware that there are myriad issues affecting the east coast main line that I have not touched on today, including the never-ending franchising sagas that were covered so well in the Transport Committee’s recent excellent report; the future operation of the route; the Government’s ongoing proposals for a new east coast partnership, which the Transport Committee has described as an experiment; and how any of this fits into the root and branch rail review announced by the Secretary of State last month and re-announced by the Secretary of State last week. However, I hope I have made it clear that the east coast main line, one of the country’s most important transport routes, is in urgent need of a significant, coherent programme of investment for the short, medium and long term if it is to be fit for purpose now and into the future.

Such an investment programme would include improving the resilience and reliability of the east coast main line. It would include improving signalling, power supply and tracks, so that the Azumas can run at their full speed, offering faster train journeys and better connections. It would include improving capacity, particularly between York and Newcastle, for the east coast main line, HS2 and Northern Powerhouse Rail. Ideally, it would ensure that HS2 services can continue north from Newcastle to Edinburgh, both from the start of phase 2b and in the longer term as an upgraded route north of Newcastle. Such an investment programme would deliver real returns for the whole country. Independent research undertaken on behalf of the Consortium of East Coast Main Line Authorities estimates that the scale of investment required and subsequent improvements to passenger services could generate more than £5 billion in extra GDP, or an additional £9 billion per year when combined with HS2 phase 2 and the link to the east coast main line in the York area.

I look forward to the Minister’s response, and to hearing what he believes to be the main issues that the east coast main line faces and, therefore, what his future priorities might be in terms of investment. I would like to hear what additional money for investing in the route could, and will, be made available for devolved bodies to bid for, and at what point the Government will enter into meaningful dialogue involving Network Rail and key stakeholders along the route to develop a series of interventions to ensure that the east coast main line is fit for purpose, both now and in the future. Crucially, I would like to hear how he intends to ensure that a significant, coherent programme of east coast main line investment is delivered.

--- Later in debate ---

[Catherine McKinnell]

I thank the Minister for his response. He has been very good at engaging with the all-party group—let him be in no doubt that we will continue to engage. As much as he tried to present a rosy picture of Government investment in the east coast main line, we all know that it has serious challenges. It needs investment. We need to work together to ensure that we get that investment up and down the line where it is most required, and that the Government get this right. Railway investment is not an end in itself. It is about investing in the communities that rely on it.

Motion lapsed (Standing Order No. 10(6)).

Anti-Semitism

Catherine McKinnell Excerpts

Tuesday 17th April 2018 Commons Chamber

[Luciana Berger]

I thank my hon. Friend for her intervention, and I will never stop speaking out about all forms of racism, including anti-Semitism.

I say that I have spoken out, but it is important to say that I have been able to speak out because I am resilient, but at a later moment my mental health may mean I am not in a place where I have the opportunity to speak out. I am grateful to my family, friends and team of staff, and my constituents and supporters, who serve as a welcome antidote to the bile that gets hurled in my direction. I will not be cowed in using the full force of the law that we have in this country to hold people to account. Having heard victim impact statements read out in court of people who have not been able to speak out—people so negatively impacted that they are now unable to work or to maintain relationships, and who have had their mental health affected—I know that just one instance of racism can have a devastating impact on an individual’s life.

I make no apology for holding my own party to a higher standard. Anti-racism is one of our central values, and there was a time not long ago when the left actively confronted anti-Semitism. The work done by the previous Labour Government to move the equality goalposts in this country was one of the reasons why I joined the Labour party in the first place. One anti-Semitic member of the Labour party is one member too many.

Yet, as I said in Parliament Square outside this place—it pains me to say this as the proud parliamentary chair of the Jewish Labour Movement—in 2018, anti-Semitism is now more commonplace, more conspicuous and more corrosive within the Labour party. That is why I have no words for the people purporting to be both members and supporters of our party and using the hashtag JCforPM who have attacked me in recent weeks for my comments, for speaking at the rally against anti-Semitism, and for questioning the remarks of those endorsing the anti-Semitic mural. They say I should be de-selected, and they have called it all a smear.

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

May I take this opportunity to put on the record my huge respect for my hon. Friend’s dignity in the face of all this, and to pledge my solidarity with her?

[Luciana Berger]

I thank my hon. Friend for her solidarity, and I am grateful to colleagues who have stood by my side and by the side of many others.

There are people who have accused me of having two masters. They have said that I am Tel Aviv’s servant, and called me a paid-up Israeli operative. Essentially, this is anti-Semitism of the worst kind, suggesting that I am a traitor to our country. They have called me Judas, a Zionazi and an absolute parasite, and they have told me to get out of this country and go back to Israel.

I am grateful to the Community Security Trust and to the police for their work to keep me and my family safe, and for all that they do for the British Jewish community to keep our Jewish schools and our places of worship safe, but they should not have to do that. When it comes to what needs to be done about it, I know that many colleagues will be putting forward very practical suggestions of what can be done to contend with this very serious issue, but the hurt and anguish of the Jewish community must be understood and must be taken seriously. This is not the time for games or divisive engagement.

For the Government, there is a massive priority to conclude their work urgently, better to protect everyone in this country online from the comments that are made on a daily basis, and just in response to this debate. I urge the Secretary of State to see some of the comments that are already on Twitter, since we have started this engagement.

And my party. My party urgently needs to address this issue publicly and consistently, and we need to expel from our ranks those people who hold these views, including Ken Livingstone.

We have a duty to the next generation. Denial is not an option. Prevarication is not an option. Being a bystander who turns the other way is not an option. The time for action is now. Enough really is enough.

I want to conclude with the eloquent words of the former Chief Rabbi, Dr Jonathan Sacks, who said that

“an assault upon Jews is an assault upon difference, and a world that has no room for difference has no room for humanity itself”.

[Applause.]

Department for Transport

Catherine McKinnell Excerpts

1st reading: House of Commons
Tuesday 27th February 2018 Commons Chamber

[Diana Johnson (Kingston upon Hull North) (Lab)]

I thank Members from on both sides of the House for their support for this debate, including my hon. Friends the Members for Harrow West (Gareth Thomas) and for Hammersmith (Andy Slaughter), who so ably gave the presentation on the debate before the Backbench Business Committee, as I was not able to attend. The range of support confirms that the Department for Transport’s spending priorities are of national concern across party lines and in every region of the United Kingdom. Whether it is on rail franchising or transport investment, I think that the Department is giving passengers and taxpayers a raw deal.

Given this breadth of interest, I am disappointed that the Transport Secretary has not come to the Chamber to hear this afternoon’s debate. I recall that he was also unable to attend our Back-Bench debate on transport in the north on 6 November. I am, however, very pleased to see the shadow Secretary of State, my hon. Friend the Member for Middlesbrough (Andy McDonald), in the Chamber, and it is also good to see the Minister of State, Department for Transport, the hon. Member for Orpington (Joseph Johnson), who will respond for the Government. As well as representing the London seat of Orpington, he serves as the Minister for London, and I note in passing that not one Minister in the Department represents a northern seat, and not one represents a seat outside England.

I want to highlight the significant, long-standing problems with how we run our transport services and invest in transport infrastructure. I also want to press the case for a bolder, more ambitious approach to transport spending that leaves no citizen, no nation and, crucially, no region behind, and that will boost economic efficiency and growth post Brexit.

The international evidence paints a stark and disappointing picture. Britain’s infrastructure spending is the lowest of any developed country in the OECD. The inequality between our regions, measured according to gross valued added, is the widest in Europe, and our national productivity, as we all know, is low compared with other countries. These problems cannot be solved without better transport investment, and without better north-south and—very importantly—east-west connectivity.

Experts from the Institute for Public Policy Research North to the Centre for Cities, and from the National Infrastructure Commission to the authors of the northern powerhouse independent economic review, are all agreed that we cannot increase productivity and close the gap between our regions unless we dramatically upgrade our transport infrastructure and make up for decades of under-investment. This requires an ambitious investment programme for every corner of the country. In northern England, that means investing in bus services, not cutting them; dramatically reducing rail journey times; increasing rail capacity for passengers and freight; and modernising our rolling stock.

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

I congratulate my hon. Friend on securing this important debate. The north-east received just 2.7% of overall public spending on transport from 2012 to 2017, compared with the 38.3% that London and the south-east received. Does she agree that the north has little chance of fulfilling its true potential if that unacceptable imbalance continues?

[Diana Johnson]

I thank my hon. Friend for that point—I was just about to come to it—and agree absolutely.

If we are serious, such an ambitious investment programme means plugging what IPPR North has calculated to be a £36 billion gap in transport spending between London and the north, and accepting and building on Transport for the North’s plans for our region. Those plans would, by 2050, not only create 850,000 jobs, but partly pay for themselves by reducing the north’s fiscal deficit by 47% compared with business as usual.

A new approach to running transport services is also required. We need an approach on managing transport that works for fare-paying passengers, not dividend-troughing shareholders. Rail operators that mismanage services and threaten to default on their franchises cannot get away with it. Taxpayers’ money and fare revenues should be spent on transport investment, not on bailing out private companies that recklessly over-bid. Regions outside London need statutory, sub-national transport bodies with the same clout and borrowing powers as Transport for London. To be fair, the problems I have just outlined are not all the fault of the Transport Secretary or the Department for Transport, as many relate to the actions of successive Governments of all colours stretching back over many decades. However, the Secretary of State is responsible for what happens on his watch, and we are entitled to hold Ministers to account for the steps they take—or fail to take—to tackle these problems.

I have four questions for the Minister. First, how does he intend to act on auditors’ criticism of the effectiveness of a range of transport bodies and projects? The National Audit Office has been scathing about the performance of Highways England’s 2015 to 2020 road investment strategy, highlighting the fact that many of the promised road investments are considerably behind schedule. Network Rail’s operations have also been subject to long-standing NAO criticism. The NAO has also turned its sights on the Department’s role in a range of projects and franchises, not least the Thames garden bridge in October 2016. What will the Government do about these criticisms?

Secondly, in the wake of the east coast debacle, the Government need to answer pressing questions about the state of our rail franchising system. The recent problems with the Stagecoach-Virgin Trains east coast franchise risk undermining the whole franchising process. The situation sends a message to future bidders that they can get their sums wrong and over-bid, but still get a bail-out to the tune of perhaps more than £1 billion. The Secretary of State’s subsequent decision to extend Virgin Trains’ west coast franchise only reinforces that concern.

Last month, the NAO rightly announced an independent investigation of what had happened. Subsequently, on 5 February, the Transport Secretary came to the House with stern words about Stagecoach, but no concrete assurances that it would not win a future bid. I must say to the Minister that that stands in stark contrast to the swift, decisive action taken by Lord Adonis after National Express threatened to default on the same franchise in 2009.

This debacle also exposes huge problems with the broken franchising system. As has been shown by the answers to parliamentary questions that I have tabled, there have been fewer bids for rail franchises in recent years than was the case at the start of the decade. Since 2012, 13 franchises have been directly awarded without the promised competition.

Thirdly, if the Transport Secretary is so confident about the benefits of his transport upgrade programme and the scrapping of electrification, why will he not spell out the exact benefits it will bring? Last year, when he scrapped all electrification plans—outside the south-east, of course—in favour of bimodal diesel-electric technology, he assured Members in a written ministerial statement that

“we no longer need to electrify every line to achieve the same significant improvements to journeys”.—[Official Report, 20 July 2017; Vol. 627, c. 71WS.]

So why have Transport Ministers proved unable to answer my very specific written questions about the exact travel speed improvements, ongoing financial costs and emissions that passengers can expect from the new bimodal trains?