Refurbishing Trains: Contracts

Lord Tunnicliffe Excerpts

Tuesday 12th December 2023 Lords Chamber

[Lord Tunnicliffe (Lab)]

Alstom’s Litchurch Lane factory in Derby has provided high-skilled jobs for generations, but uncertainty over the UK rail industry and the lack of long-term strategy means that those workers are now in jeopardy. The workers are a national asset. People are one of the scarcest assets in this country; an asset that must be looked after to preserve the capability to lead to long-term growth.

Last Thursday, the Rail Minister in the other place, Huw Merriman, said:

“We will be doing everything we can to assist Alstom in keeping that plant open”.—[Official Report, Commons, 7/12/23; col. 486.]


That is a very hard, precise commitment. Can the Minister tell us what action the Government have taken in the light of that promise?

[The Parliamentary Under-Secretary of State, Department for Transport (Lord Davies of Gower) (Con)]

My Lords, we have been actively involved in discussions with Alstom for several weeks on this matter and have held frequent meetings with the company to look at options around its production gap. We will continue to work with Alstom. A cross-departmental task force has been established and officials are meeting Alstom regularly to discuss how best to support employees at risk of redundancy.

Pedicabs (London) Bill [HL]

Lord Tunnicliffe Excerpts

Monday 11th December 2023 Grand Committee

[Lord Liddle (Lab)]

In principle, I personally do not see why not.

[Lord Tunnicliffe (Lab)]

It is not necessarily our policy though.

[Lord Liddle (Lab)]

Frankly, I have no idea what our policy is on this subject, but I am personally in favour of charges being related to costs.

The noble Lord, Lord Strathcarron, made some valid points about cycle lanes. You clearly cannot have one rule in place for the whole cycle lane network; you would need some restrictions.

On the more controversial points raised, I am very sympathetic to the need to ensure that batteries are of the necessary technical standard. If there are to be battery-powered pedicabs, they would have to meet the best standards.

The only point of disagreement is on the checks on immigration status, criminal records and all that. There has been a sufficient number of cases of abuse in the pedicabs sector, to my mind, to justify the ability to check these things more thoroughly than in other areas.

--- Later in debate ---

[Lord Liddle (Lab)]

We wish to oppose this amendment.

[Lord Tunnicliffe (Lab)]

At page 143, paragraph 8.111 of the Companion says:

“The proceedings and forms of words for amendments and clauses in Grand Committee are identical to those in a Committee of the whole House save that no votes may take place. Normally only one bill per day may be considered in Grand Committee. Amendments, which may be tabled and spoken to by any member, are published and circulated as for Committee of the whole House”.


Paragraph 8.112 says:

“As divisions are not permitted in Grand Committee, decisions to alter the bill may only be made by unanimity. Thus when the Question is put, a single voice against an amendment causes the amendment to be negatived”.


I am that single voice.

[The Deputy Chairman of Committees (Viscount Colville of Culross) (CB)]

Can we adjourn the Committee for a moment, please?

Aviation (Consumers) (Amendment) Regulations 2023

Lord Tunnicliffe Excerpts

Wednesday 6th December 2023 Grand Committee

Some months ago, the Department for Transport undertook a consultation on consumer rights in relation to delays and cancellations of internal flights within the UK. Could the Minister clarify whether the Government intend to take forward any changes to consumer rights in those circumstances? At the time, there were strong rumours in the aviation industry that the consultation was undertaken potentially to reduce passenger rights within the UK. But all has gone quiet, so I rather hope that the Government have dropped that. Maybe the Minister will tell us.

[Lord Tunnicliffe (Lab)]

My Lords, these regulations establish rules relating to compensation and passenger assistance in the event of denied boarding, cancellation or long delays. The instrument maintains the status quo and aims to offer clarity, following multiple legal challenges. We therefore do not oppose its introduction. Indeed, I thank the Government for bringing forward these regulations.

However, why are we debating these regulations today? As the Joint Committee on Statutory Instruments pointed out, the instrument is within the scope of the negative procedure, so Ministers have decided that the alternative is more appropriate. Can the noble Lord elaborate on this?

Turning to the measures contained in the regulations, I note that their main purpose is to remove ambiguity rather than set new policy. Will the Minister explain which cases these clarifications relate to?

Will the Minister elaborate on the issue of extraordinary circumstances a little more? At first I thought the definition in the instrument was pretty clear, but a number of people have since commented that it is not as clear as it looks and anything that he can add will be helpful. On the drafting process, can the Minister explain what informal consultations took place to prepare this instrument? While I understand that no review clause is required as it is made under the REUL Act, will the Minister explain how the department will monitor its implementation? Given that the Minister in the House of Commons was unable to answer this point, will the Minister say whether the tariffs referenced will be subject to inflationary increases?

Somewhat at the last minute, I picked up recent rumours that some airlines have reacted to the requirement to pay this tariff by substituting vouchers—indeed, in some cases vouchers with expiry dates—instead of cash. That does not seem to be within the spirit of the regulations. Given that the essence of this instrument is to clarify the situation, I would value the Minister’s comments on this. Do the Government believe these rumours are true? If they are, does this instrument in any way help? If not, will he address the issue and go to what I think is the implied standard, which has to be pure cash? I hope the Minister can provide clarity on these points.

[Lord Davies of Gower (Con)]

My Lords, I thank noble Lords for their contributions to this debate, in which issues that are to some extent technical have been raised.

I will start by responding to the issues about Cardiff Airport raised by the noble Lord, Lord Jones. I well remember Cardiff Airport being taken under Welsh government control. At the time, I was a member of the then National Assembly for Wales. There were sceptical views about it at the time, but the Welsh Government have taken it on and still own it. Indeed, we all wish it well, but it has gone through some difficulties and has been supported financially by the Welsh Government. In answer to his question on cancellations, consumer feedback and access to the airport, I do not have that information to hand, so I will have to come back to him in writing. The Welsh Government will be responsible for a lot of it.

The Government have strong relationships with Airbus UK, for obvious reasons, but more than that I cannot say at the moment.

I thank my noble friend Lord Jackson for his remarks. The instrument is about maintaining current consumer protection for air passengers. The Act’s powers were not considered the appropriate vehicle to undertake a full review of regulation 261/2004. However, the Department for Transport committed to consult further on compensation and payment frameworks for flight disruption in its response to the aviation consumer policy reform consultation. This is a complicated area of law, and any potential reform requires careful consideration and consultation with the European Union under Article 438 of the trade and co-operation agreement.

It was not considered necessary to codify any other EU case law principles, beyond those identified. The four principles restated in this instrument have been identified as necessary to be codified in order to maintain the status quo for consumer rights in relation to flight disruptions—that is, for denied boarding, flight cancellations and long delay. In interpreting retained consumer aviation EU law in the UK, the courts are likely to adopt a purposive approach. This means that the courts will consider the intended purpose of the regulation, rather than solely relying on the literal meaning of the words.

A question came up on consultation. The department has committed to further consultation on regulation 261. I think another question came up from one noble Lord on air traffic management. That is very fact-specific and I cannot at this moment provide specifics in respect of the legislation.

Going back to the retained EU law Act, its powers operate on assimilated law, while restatements such as those that this instrument makes are not assimilated law. Once the instrument is made, any further amendments to the regulation on these precise topics would therefore require primary legislation. It may be possible for certain retained EU law Act powers to be used to further codify assimilated EU case law, in the event that further principles, separate to those in this instrument, are identified as requiring codification. However, it is not considered necessary at this time to codify any other principles of EU case law relating to regulation 261/2004.

Noble Lords asked about informal consultations. We have had sessions with industry and consumer groups on this.

Perhaps I could just cover the consequences of not making this instrument. If it is not made, there would be a reduction in the protections available to consumers when travelling by air under UK law after the end of 2023. For example, UK courts would be more likely to find that passengers subject to long delays—that is, a delay of three hours or more in reaching their final destination—would not be entitled to compensation. Such a reduction in consumer protections would not only be an unacceptable policy but risk breaching the shared objective under Article 438 of the trade and co-operation agreement to achieve a high level of consumer protections for air travel.

I know that some other more technical questions were asked, which I will certainly look at and write on. The noble Lord, Lord Tunnicliffe, brought up a couple of questions which I am not able to answer at the moment, but I will certainly look at them and write to him.

[Lord Tunnicliffe (Lab)]

I wonder whether the noble Lord could adopt the convention that when he writes to one of us, he copies in everybody who has been part of this debate. I do not know whether he has ever tried to retrieve a document from the Library, but it is an uphill battle.

Merchant Shipping (Counting and Registration of Persons on board Passenger Ships) (Amendment) Regulations 2023

Lord Tunnicliffe Excerpts

Monday 4th December 2023 Lords Chamber

[Baroness Randerson (LD)]

My Lords, I thank the noble Lord, Lord Berkeley, for his assiduous attention to these issues. I need to make it clear to the House that I am a member of the Secondary Legislation Scrutiny Committee, which drew the attention of the House to our concerns at the less than clear responses to our questions on behalf of the Government.

There are two issues that I want to raise. First—and this follows on directly from the comments of the noble Lord, Lord Greenway—these regulations are undoubtedly a casualty of the long-standing backlog that has been built up by the Department for Transport in its international maritime legislation. We in the UK are a maritime nation; we pride ourselves on our maritime traditions and they are an important source of our economic strength. The mess that we have got into in keeping up with the latest legislation on maritime issues, almost all of which is associated with safety, is a source of national embarrassment. The Minister, newly in this role, has my profound sympathies. His predecessor worked to try to deal with this issue, but there is still a long way to go.

In probing behind the official obfuscation of the Government’s explanations, the opaque replies to the SLSC basically lead me to the conclusion that the Government’s new online system is not ready—that they have fallen behind in the work—so the delay is basically nothing to do with giving the industry more time to adapt and so on but is all to do with just not being ready. I am sure the Minister will come back to me on that if I have concluded inappropriately.

My specific question to the Minister is: can he explain exactly how, in technological terms, the numbers on board and personal details are reported now? Surely in this day and age, it already has to be through some form of electronic communication. In the tragic event of a situation where people have to abandon their vessel, surely the ship’s master does not leap over with a paper logbook; it all has to have been done electronically. Are we right to assume that there is an electronic system but that it is not done officially to the right format, in the right scheme of things or on the right computer programme?

The second point I want to make is that this is all about safety, and we must not lose touch with that. This is not about petty bureaucracy but safety, and it is essential that, when an accident occurs—sadly, they do, on a regular basis—rescue services know immediately how many people they are looking for and exactly who those people are. Are there any children, any elderly people or anyone with particular health problems?

I am concerned not only at the delay but—I join the noble Lord, Lord Berkeley, on this—because the Government have introduced new exemptions, where it is impractical for a ship to comply. This apparently includes, potentially, where a voyage involves a deviation from the usual route. Surely this may well involve an unfamiliar route for the crew on board, and it is in just those sorts of circumstances when an accident is more likely to occur. Can the Minister explain why that has been chosen as a potential exemption?

Finally, most international sea voyages from the UK are to, for example, Ireland, France, Spain, the Netherlands and so on. These are EU countries. Can the Minister answer a specific query that I have as to how this will work? Once the vessel enters EU waters, will not the EU countries concerned require full and proper records of who is on board and in the full, proper and up-to-date format? Will not those who are working the vessel have to fulfil that requirement, even though the UK Government do not require them to? I may have got the wrong end of the stick on how this will work, but I cannot see the EU allowing a British ship to adhere to different standards once it is in its own waters.

[Lord Tunnicliffe (Lab)]

My Lords, often described as the lifeboat of the UK economy, the merchant shipping industry plays a pivotal role in ensuring the smooth running of people’s day-to-day lives, aiding the transition of goods and ships while supporting over 180,000 jobs in the UK, according to the Centre for Economics and Business Research. On the global scale, the industry facilitates the economy through the wider supply chain, supporting the running of 680,000 jobs.

According to the Office for National Statistics, looking solely at shipping, the sector contributed £6 billion to the economy in 2020, accounting for 19% of the transport industry. I am pleased to share my support for the merchant shipping industry and the introduction of the necessary regulations, which have been long awaited. This instrument will update and modernise the 2021 regulations, implementing corrections in the light of mistakes existing in the earlier legislation. Further, it postpones the deadline for all ships in UK waters to report data on the persons on board by two years.

Subsequently, from 2025, UK-flagged passenger ships, wherever they are located, and passenger ships within UK waters, will have to use an electronic method to report information regarding passengers on board. Search and rescue authorities will then quickly have access to essential information needed in the event of an emergency. This will reduce the loss of, and the risk to, lives at sea.

I therefore empathise with and support my noble friend’s Motion. Indeed, these highly significant regulations are welcome and long overdue. Further, I understand his concerns relating to the inadequate protection for passengers travelling on non-passenger ships. I am pleased that the House has the opportunity to discuss these protections today.

I would like the Minister to provide clarity on three central concerns. First, how did the Government learn of the mistakes in the 2021 regulations and what would be the consequences if they were not corrected? Secondly, given the postponement, how have the Government calculated that there will be no safety risk? Is the Minister not concerned that prolonging its implementation will only prolong the safety risk? Finally, given that the Explanatory Memorandum notes that the consultation on these changes received only seven responses, can the Minister explain the consultation process a little more? Is he satisfied that the results are credible, given how few responses were received?

To support the UK’s global position as a great trading nation, as well as a healthy and thriving economy, is to support the merchant shipping industry. I am positive that this instrument will play a vital role in the future of the industry by strengthening safety protections, and I therefore welcome its laying before the House.

[The Parliamentary Under-Secretary of State, Department for Transport (Lord Davies of Gower) (Con)]

My Lords, I thank noble Lords for their consideration of these regulations. I will try to respond to the specific points raised. I must confess that I find this quite a technical issue and subject matter. Where I cannot answer questions this evening, I undertake to write on specific points to noble Lords.

The Motion mentions the delay in the introduction of these regulations. They are not part of the maritime backlog and are therefore not late in that context. The regulations were made in 2021 and implemented the latest EU directive on persons data obligations, including a deadline for the electronic reporting of data, and placed additional restrictions on exemption powers. We have progressed the changes requested by the Joint Committee on Statutory Instruments in the 2021 regulations with much urgency. However, for reasons of efficiency, we have used this legislative vehicle to also take forward some post EU exit opportunities, which do not reduce safety standards and go some way to relieving the pressures on operators—namely, a postponement on electronic reporting obligations and the addition of flexibility to the exemption provisions. This allows the Secretary of State, through the Maritime and Coastguard Agency, more discretion to implement the regulations pragmatically.

The noble Lord, Lord Berkeley, raised some interesting issues. He questioned why the person-counting obligations do not also apply to non-passenger vessels. Non-passenger vessels that normally carry only crew are accounted for by their operators, who hold all the necessary detail required for an emergency search-and-rescue operation. The few ships that routinely carry passengers but carry fewer than 13—and therefore are not defined as passenger ships—are generally much smaller, and the application of these obligations would be disproportionate for these small vessels. This approach is the recognised one in the international maritime community.

Disabled Air Passengers

Lord Tunnicliffe Excerpts

Monday 4th December 2023 Lords Chamber

[Lord Davies of Gower (Con)]

I am grateful to the noble Baroness for her Question and congratulate her on the debate that we had last week. I know that my predecessor hosted a round table on aviation accessibility on 28 June this year. The round table was well attended by disability experts and people with lived experiences, and of course staff training was one of the issues that came up. There was a clear indication of issues with the quality of disability awareness training for staff. So, yes, I would be very happy to meet the noble Baroness.

[Lord Tunnicliffe (Lab)]

My Lords, the Government have previously referred to a range of legislative reforms when parliamentary time allows to support disabled air passengers. Will these be introduced before the next general election? If the Minister cannot give that assurance, does that represent the priority that the Government give to this issue?

[Lord Davies of Gower (Con)]

I thank the noble Lord for his question, but I am afraid that I cannot give an answer to that as I stand here. It is above my pay grade to decide what the legislative business will be for the rest of this year.

Battery and Hydrogen-powered Aircraft

Lord Tunnicliffe Excerpts

Thursday 30th November 2023 Lords Chamber

[Lord Davies of Gower (Con)]

My noble friend is absolutely right. Civil aviation and the Royal Air Force are making combined efforts to reduce emissions with technology.

[Lord Tunnicliffe (Lab)]

My Lords, the Hydrogen in Aviation alliance has indicated that Britain is well placed to become a global hydrogen aviation leader, stimulating the economy and providing 100,000 jobs. The alliance announced that this would require a 10-year funding commitment. History shows that the level of continuity required to achieve an entirely new fuel requires state funding as part of any alliance. How much real government money is being put into this project?

[Lord Davies of Gower (Con)]

The Department for Business and Trade supports research and development in UK aerospace manufacturing through the Aerospace Technology Institute. It is a competitive process through which industry can access match funding from government to develop technologies. The programme is set to run until at least 2030, and as part of the advanced manufacturing plan announcement on 17 November, His Majesty’s Treasury confirmed that £975 million of government funding will be provided as part of a £4.5 billion total package for manufacturing between 2025 and 2030. That is in addition to the £685 million from the Government between 2022 and 2025.

Automated Vehicles Bill [HL]

Lord Tunnicliffe Excerpts

2nd reading
Tuesday 28th November 2023 Lords Chamber

[Lord Tunnicliffe (Lab)]

My Lords, I welcome the introduction of this long-awaited Bill to regulate self-driving vehicles. It introduces a legal framework to enable this developing technology in the UK, building on the insurance measures for automated cars in the Automated and Electric Vehicles Act 2018 and policies set out in the August 2022 paper.

Unfortunately, this Bill is not enough to give the public or industry confidence in the emerging technology. Its bare-bones regulations allow driverless cars on our roads, set minimum standards and make manufacturers responsible, but it fails properly to prepare for the transition period when some vehicles will be automated and others not. The Government need to prepare for the transition with a plan to monitor and prepare for the rollout, to give industry the certainty that it needs to invest and the public the confidence that they will be safe on our roads.

I am also concerned that the Bill offers no protection for the jobs that could be lost during the transition, which is why these Benches will call on the Government to engage with trade unions and workers to make sure that automation creates jobs rather than loses them. What assessment have the Government made of how many new jobs could be created in the self-driving vehicle industry? What preliminary discussions has the Minister had with trade unions about the rollout?

There are also missed opportunities in this Bill. Throughout its passage, I hope the House will consider potential loopholes in the legislation. For example, why does it not cover autonomous robots such as personal delivery devices? To turn briefly to the marketing restrictions, can the Minister explain what instances have led to these clauses? Are misleading marketing practices for self-driving vehicles commonplace here in the UK or elsewhere in the world?

I move to the liability clauses. The Bill outlines a provision for an independent inspector who is able to investigate collisions and incidents involving automated vehicles to assess what technology may need to be improved but not to indicate blame or cause. However, given that the Bill outlines specific legal accountability depending on whether the driver or automated vehicle is in control in order to assign cause, does the Minister believe that the inspector should have a similar, though non-legally binding, power to independently report to Parliament on the effect and safety of automated vehicles on Britain’s roads?

I turn to the clauses highlighting the differences between user-in-charge vehicles, which require a legal and fit driver to assume vehicle control for parts of a journey, and non-user-in-charge vehicles, which can operate entirely autonomously for an entire journey. The Minister will know that non-user-in-charge vehicles do not require a legal and fit driver to be in the vehicle at any point during the journey. Will he therefore outline the safety regulations should a non-user-in-charge vehicle suffer a fault during a journey, given that there may be no legal and fit driver present to assume control of the vehicle?

The passage of this Bill will have the support of these Benches, but I hope the Minister will work constructively with Members from across the House to address any deficiencies or shortcomings. Autonomous vehicles present an exciting opportunity, which, if properly utilised and regulated by this Government, could create a safer and more prosperous way of living. Unfortunately, the transition and the rollout of this technology could also pose serious challenges to public safety and jobs.

Only vehicles which are safe for drivers, passengers and pedestrians should be allowed on our roads. Ministers must review all available evidence to ensure this remains the case. I finish by urging the Minister again to take steps to guarantee that the introduction of autonomous vehicles brings decent new jobs here in the UK. Automation has an incredible potential to make our lives simpler and more prosperous. However, if not properly managed and regulated, it could create greater risks than opportunities.

Vehicle Emissions Trading Schemes Order 2023

Lord Tunnicliffe Excerpts

Monday 27th November 2023 Lords Chamber

I realise there are a lot of questions there. I am sure the Minister will not be able to answer all of them here, but I would be grateful if he could in due course write to me about those issues that he is not able to answer now.

[Lord Tunnicliffe (Lab)]

My Lords, the global shift towards zero-emission vehicles presents opportunities and challenges here in the UK. The automotive industry will be at the forefront of each of them, and it will need the support and engagement of the Government to address the challenges and maximise the opportunities. I am therefore pleased that Ministers are turning their attention to new incentive schemes to encourage the production and sale of new ZEVs, and we will not oppose this instrument.

The commitment to ending new sales of ZEVs by 2035 is fast approaching and schemes such as this will play a vital part. Nevertheless, I hope the Minister can provide clarity on a couple of points. First, given that the UK is no longer part of the EU new car and van emissions regulatory framework, how does this compare with similar systems internationally? Secondly, will the Minister explain how many special-purpose vehicles will be exempt?

In the consultation section of the Explanatory Memorandum there is a reference to the Climate Change Committee’s contribution. I am a great fan of that committee and, although this is not personal, the quality of the Government’s decision-making over the recent past leaves me with some discomfort in taking their statements for granted. The Climate Change Committee, under the leadership of the noble Lord, Lord Deben, has established an excellent reputation for carefully thought-out positions, and I therefore wonder why the letter referred to in paragraph 10.2 has not been responded to. There is every possibility, given the volume of paperwork on this, that it has been and I have missed it. Has it been responded to? If not, why not? If it was, why is that not in the EM?

The letter is important. As a generality it is quite supportive, but it makes two important points. Since it is better than my speech, I will read from it. The first point is this:

“The mandate will provide clarity for manufacturers, businesses and motorists on the direction of the UK market and the rate of change required. To build on this and demonstrate consistency to the market, we recommend that your department”—


that is, the Department for Transport—

“also sets targets for the period from 2030-2035, making sure these are ambitious enough to minimise the impact of continuing petrol and diesel vehicle sales on UK emissions”.

A theme that has come from the industry over the last decade is that it wants consistency, as far into the future as possible. The committee makes the good point that the period needs to be stuck on to the end of this instrument somehow so that the industry can plan right through that period.

The committee’s second point is this:

“Another critical element of the proposed legislation are the efficiency standards for new petrol, diesel and hybrid vehicles which will continue to be sold until 2035. Typical new cars remain on the road for around 14 years. Therefore, ICE and hybrid vehicles that continue to be sold alongside the mandate will continue producing emissions for a considerable period. We are concerned that the regulations proposed for this portion of the market, which would require that the average emissions of each manufacturer’s new non-zero-emission car and van sales remain constant at 2021 levels each year, are insufficiently ambitious to deliver the emissions savings required to meet the UK’s Nationally Determined Contribution to the UNFCCC”—


I looked that up, and it is the United Nations Framework Convention on Climate Change—

“and the Sixth Carbon Budget. Our calculations”—

and I have faith in the committee’s calculations—

“show that this policy of maintaining flat emissions intensities will reduce emissions savings by around 3 MtCO₂e per year by 2030 compared to my Committee’s Net Zero Pathway”.

I hope the Government will reconsider this element, because I find both arguments convincing and significant.

Public Service Obligations in Transport Regulations 2023

Lord Tunnicliffe Excerpts

Monday 27th November 2023 Lords Chamber

The Government do not have a shining record on the procurement of anything—from PPE to HS2. Therefore, can the Minister give us an absolute assurance today that nothing in these regulations waters down the principles of transparency and fairness that were enshrined in the EU-based legislation? It may be expressed differently, but is there any intrusion on those basic principles? Can he give us an assurance that this is not, in any way, a second best?

[Lord Tunnicliffe (Lab)]

My Lords, I welcome this instrument. The Government are right to permit the making of direct awards for PSO contracts and to ensure that they are able to meet the obligations under the EU-UK Trade and Cooperation Agreement. I have no intention of opposing the regulations.

I had a number of questions, but the Minister has already answered most of them—although I will not go as far as saying that he did so satisfactorily—and at this late hour, I do not intend to repeat them. Along with the answers he will give to the noble Baroness, Lady Randerson, I think that this will be sufficient debate.

[Lord Davies of Gower (Con)]

I thank the noble Baroness and the noble Lord for their consideration of the draft regulations. I will turn to the points raised.

Regulation 1370 provides a bespoke, flexible procurement and subsidy regime for public service contracts, reflecting the fact that they are vital public services and cannot always be operated on an entirely commercial basis. Now that we have left the EU, we are able to preserve essential flexibilities and simplify the regime where possible, giving contracting authorities a strong basis for providing these key public services. Simply revoking the regime altogether would mean allowing to fall away direct award powers which provide government and franchise authorities such as Transport for London with important flexibilities in awarding rail contracts. That would create significant challenges in ensuring the effective operation of public transport services, particularly rail services.

Following privatisation 25 years ago, passenger numbers had more than doubled before the pandemic, rising more quickly than in most of Europe. The private sector has invested billions in new, modern trains and upgrading our stations—investment that would not have happened under nationalisation.

It is the Government’s intention to return to competition as quickly as possible. The intent of regulation 1370 is to encourage competition, so the default process for the award of a passenger services contract is primarily through competition. However, regulation 1370 recognises that, in certain circumstances, it will be necessary to award a contract without competition by instead making a direct award. The powers to award directly are not new but were due to expire under EU legislation. We feel that it is in the best interests of the railways and passengers in Great Britain to retain them, and leaving the EU has given us the flexibility to do so. We have committed to restart the competition for contracts as soon as possible, which will require stable market conditions and sufficient long-term certainty.

Engagement with the proposed amendments to regulation 1370 has been ongoing since early summer 2022. The key amendments to regulation 1370 were publicly consulted on as part of the plan for rail consultation. Stakeholders were generally supportive of the proposed amendments, and the Government response will be published shortly. We have held targeted engagement with key affected stakeholders on the amendments proposed in addition to those publicly consulted on. In addition to face-to-face meetings to talk stakeholders through the additional amendments and our reasoning, we have sent written detail for further consideration, including to rail partners, franchising authorities and bus and light rail stakeholders. The wide engagement enabled the Department for Transport to work closely with stakeholders affected by the instrument and address issues raised; for example, updating the definition of “rail” in line with survey feedback enabled us to achieve a broad consensus on the change.

The noble Baroness, Lady Randerson, raised the point about engagement and consultation carried out with the devolved Administrations. As a result of close engagement, both Scottish and Welsh Ministers have provided agreement to the regulations. My officials met with each of the devolved Administrations covered by this instrument on a regular basis during the formulation of the policy and the drafting of the instrument. We worked closely with the devolved Administrations to address any concerns, including detailed work on the SI with Transport Scotland, with the result that, following ministerial approval to the instrument, Scottish parliamentary agreement was received. I commend the Motion.

Low-traffic Neighbourhoods

Lord Tunnicliffe Excerpts

Tuesday 21st November 2023 Lords Chamber

[Lord Davies of Gower (Con)]

I thank the noble Baroness for her kind words. Transport is the largest source of greenhouse gases in the UK, with domestic transport accounting for some 26% of all emissions in 2021. Road vehicles produce over 90% of transport’s domestic carbon emissions, so the transition to electric vehicles is a clear priority as well as an opportunity to grow the economy. We will end the sale of all new petrol and diesel cars and vans by 2035. From 2040, all new HGVs will be fully zero-emission.

[Lord Tunnicliffe (Lab)]

My Lords, I welcome the Minister to his new role—this is a blood sport and he is the fox. Local authorities held accountable to residents at elections are best placed to decide how to manage traffic in their communities, yet we are now more than four months into a Whitehall-led review of the implementation of low-traffic neighbourhoods. Can the Minister explain how much this review process is costing, what value added is expected and whether the Government are contemplating primary legislation?

[Lord Davies of Gower (Con)]

The review is focusing on fact-finding to ensure that these schemes work for residents, businesses and emergency services and enable more choice in how people make their journeys. We expect the review to report back in early 2024, after which the Government will consider its findings and any necessary next steps to ensure that the schemes deliver the objectives they set out and take account of communities’ views.