Severn Bridges Debate

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Department: Department for Transport

Severn Bridges

Chris Elmore Excerpts
Tuesday 31st January 2017

(7 years, 2 months ago)

Westminster Hall
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Jessica Morden Portrait Jessica Morden
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I absolutely agree, and I will come to the issue of free flow later. The fastest transaction at the moment is the TAG, which takes six seconds, but there is further scope for helping with congestion.

Will the Minister tell us where the figure quoted in the public consultation of a 17% traffic increase over 10 years has come from? How much of that will be in the first year? In fact, it would be particularly helpful if he could publish all the research that the Government have commissioned on traffic modelling in relation to the end of the concessions and the traffic flows. I know that all hon. Members would be grateful for that.

If, as the consultation indicates, the Government decide to continue tolling, the toll level should not exceed the cost of operating the two bridges. Severn River Crossing collects about £90 million-plus each year, and that is going up. Maintenance and operation costs are between £13 million and £15 million. Based on a rough, back-of-the-envelope calculation, that requires a toll of about £1, which means the Government will still be charging three times more for cars and 10 times more for lorries. The Government argue that they will have to recoup a £60 million debt for fixing defects but, as the Welsh Affairs Committee has documented, they have done very well out of the bridges so far: the Treasury has received £154 million-plus since 2003 in unexpected VAT—more than enough to cover the debt and undertake the resurfacing work, which the Government value at £12 million, with a lot left over.

On the point made by the hon. Member for Ceredigion (Mr Williams), why do we have to pay for resurfacing on this stretch of road out of bridge tolls, when for any other stretch of road the cost is taken out of general taxation?

Chris Elmore Portrait Chris Elmore (Ogmore) (Lab/Co-op)
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I congratulate my hon. Friend on securing this debate. On that point, if one of the many other bridges in the UK failed—God forbid—it would be repaired by the Department for Transport. Does she agree that the Government should be responsible for repairing both Severn bridges?

--- Later in debate ---
Paul Flynn Portrait Paul Flynn
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Mr Waters takes a view that is very much on the side of the environment and so on, but the vote in the Assembly to get rid of the tolls was unanimous. I do not know what Mr Waters has said, but it is the unanimous view of the Welsh Assembly that the tolls should disappear altogether. We want to hear from the Minister how the £3 figure is made up. How much of it is the cost of running the tolls? How much of it would disappear? We need the answers today. We have been far too tolerant for so many years in putting up with double taxation in south Wales.

Chris Elmore Portrait Chris Elmore
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I am grateful to my hon. Friend for his quick canter through the history of the Rebecca riots, which are a fascinating part of our proud Welsh history. He is talking eloquently, as usual, about the impact on people—our constituents—but there is also a massive impact on business. My hon. Friend the Member for Newport East (Jessica Morden) talked about businesses in the city that they both represent. In my constituency, there are large-scale companies such as Rockwool and Northwood & WEPA Ltd. The latter produces toilet roll—we are a proud toilet roll-producing constituency—and travels right across the United Kingdom. The toll is a double tax on business. Does my hon. Friend the Member for Newport West agree that that has a negative impact on bringing new start-up businesses to Wales?

Paul Flynn Portrait Paul Flynn
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Absolutely. It is a mega-disincentive to all forms of activity and commercial life. It is seen as a problem at the docks in Newport and in every other industry. Take the leisure trade: do people go on holiday in Cornwall or face the obstacle of the bridge and possible hold-ups there? I am sure that it is a disincentive to all commercial activity in Wales.

I was part of agreeing the deal in ’92, and I think the only person who objected to it was a Member who wanted to bring the toll up from £4.90 to an even fiver. Other than that, there was unanimity in Parliament at the time that we had to face the issue, we needed another bridge and we would put up with the misery of paying tolls for it until a specified time. That time will be up this year. The debt that we owed to the Severn bridges company will be discharged. It has made its money. The bridges are ours. Let us treat them in the same way as every other piece of road in the motorway system.