Oral Answers to Questions

Debate between Chris Grayling and Graham Stringer

Thursday 22nd November 2018 Commons Chamber

[Chris Grayling]

My right hon. Friend makes an important point and I pay tribute to him for ensuring the investment programme that is currently taking place. The reality is that, in that decade, there were no new trains in the north and no investment: the Labour party let a standstill franchise on the northern rail network. It is this Government who are renewing every single train in the north of England and it is long overdue.

[Graham Stringer (Blackley and Broughton) (Lab)]

The Secretary of State goes back to the timetable changes, but currently one in four Northern trains are delayed or cancelled and nearly one in three TransPennine trains are delayed or cancelled. Is not it time that he took control and took these franchises back, so that we can have a proper rail service in the north of England?

[Chris Grayling]

That is precisely why I say that I am not satisfied with the current performance issues. That is why we have appointed Richard George to understand why the service is not performing adequately. It is of course hampered by the fact that some of the performance issues recently have been caused by the elderly Pacer trains, which are being phased out, starting in the coming weeks. However, we need to do everything we can and we will continue to do everything we can, in partnership with Transport for the North, to identify the ways of getting performance up. It is not simply a question of changing ownership of the franchise or control of the franchise. There is not a magic team down the corridor waiting to step in and make this work better. We have got to make it work better.

Oral Answers to Questions

Debate between Chris Grayling and Graham Stringer

Thursday 5th July 2018 Commons Chamber

[Chris Grayling]

I agree with both those points. Traffic lights play an important part in the management of traffic flows, but if they are synchronised in the wrong way or used in the wrong way, they can make things worse, rather than better. I absolutely join my right hon. Friend in sending to councils the message that they should keep traffic-light usage under constant review.

[Graham Stringer (Blackley and Broughton) (Lab)]

The chaos on Northern rail is apparent, but even had there not been the timetabling problems, the Northern rail and trans-Pennine franchises were let on a no-growth basis. Does the Secretary of State now realise that it was a mistake to let rail franchises on a no-growth basis and that it led to road congestion?

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[Graham Stringer]

Precisely.

[Chris Grayling]

It is simply not true that the Northern franchise was let on a no-growth basis, although it was under the Labour party when it was in power. One reason why we have had the timetable problems, apart from the delay to the electrification—the investment that we are putting into the railway line from Manchester to Blackpool—is that we were in May introducing hundreds of new services, additional services and longer trains throughout the Northern rail region. That is hardly a zero-growth franchise.

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[Graham Stringer (Blackley and Broughton) (Lab)]

T3. In a deregulated bus system, local authorities have no control over routes and fares, and the amount of money for tendered services is being cut by 45%. How can the Prime Minister justify her statement that local authorities should be improving bus services? Will the Secretary of State give the Prime Minister a lesson in how the bus service system works?

[Chris Grayling]

What I will do is give a lesson to Labour Mayors about the reforms that we put in place in the last Parliament, which gave them franchising powers. The hon. Gentleman might like to ask the Mayor of Greater Manchester why his promise on bus franchising is years away from happening—the last estimate I heard was that it might just about be completed by 2023, which is way after his first term of office, and way after he made that commitment.

National Policy Statement: Airports

Debate between Chris Grayling and Graham Stringer

Monday 25th June 2018 Commons Chamber

[Chris Grayling]

I would never criticise any Member for representing the views of his or her constituents. After all, whatever position we may hold in the House, in government or in opposition, we are all ultimately constituency MPs, and it is absolutely right for us to champion the issues that affect our constituents.

I also want to thank people outside the House. It is unusual for me to find myself campaigning on the same side of the argument as Len McCluskey of Unite the Union, but the trade union movement has been a strong supporter of this, as have business groups in all corners of the United Kingdom.

[Graham Stringer (Blackley and Broughton) (Lab)]

I will join the Secretary of State in the Lobby tonight because I think that the third runway is a piece of infrastructure of national importance that will benefit the whole nation. However, what it must not do is increase the disparity of wealth and income between the regions of this country and London and the south-east. Can the Secretary of State tell us what extra funds he will invest in the regional airports to ensure that they can make their contribution? It cannot be right, at a time when this investment will lead to a great deal of public expenditure in the south-east, that Manchester airport is expected to pay for the station for HS2.

[Chris Grayling]

I absolutely take on board the hon. Gentleman’s point. Of course Manchester airport is a great success story, and a great international success story. I have been working with the airport management to help it expand its expertise internationally and will continue to do that.

What I would say to reassure the hon. Gentleman is that, as he will be aware, the Infrastructure and Projects Authority has indicated that the region of the country that will secure the highest proportion of Government spending on transport in the next few years is the north-west. That is right and proper—a sign of our continuing commitment to deliver improvements in the north of this country that are long, long overdue.

Rail Announcement

Debate between Chris Grayling and Graham Stringer

Tuesday 27th March 2018 Commons Chamber

[Chris Grayling]

I am aware of the situation, and the important thing to say is that we are a long way away from detailed timetabling. I share my hon. Friend’s view about terminating at Macclesfield, and I have told HS2 Ltd to do some work on that. We have to get the timetabling and the flow of services right, and I do not want anywhere to be disadvantaged by the transition.

[Graham Stringer (Blackley and Broughton) (Lab)]

As a former chair of Manchester airport, I thank the Secretary of State for his kind words about how it has been run. One reason for the airport’s success is that it has been careful in choosing its private sector partners over the years. Will the Secretary of State therefore explain why he is allowing private companies that have not honoured their contractual obligations in franchises to compete for important lines?

[Chris Grayling]

There are two points to make when talking about potential long-term private partners. First, the arrangements at Manchester airport have worked well. It is still majority-owned by local authorities, but it actually operates as an independent business with private shareholders. It is a good example of a public-private partnership, which may well be the way forward for HS2 Ltd. That does not mean that the organisations that are running franchises are those that might end up as private partners in the future, because we are looking at a different type of model for the future. Secondly, as for future bidding, as I have said before, I will fulfil my legal obligations, but I will also be as careful as possible to protect the interests of the railways and of passengers.

Rail Franchising

Debate between Chris Grayling and Graham Stringer

Wednesday 10th January 2018 Commons Chamber

[Chris Grayling]

I am going to make some progress now, I am afraid, because the shadow Secretary of State asked a variety of questions about the east coast main line and I want to respond.

The reality is that sometimes the private companies get it wrong. The situation on the east coast franchise is a clear example. Virgin and Stagecoach overbid, and they are paying, and will pay, the price. I repeat—they will pay the price.

I have listened with interest to some of the ill-informed comments about the situation on the east coast line in the past few weeks. I have heard some absurd claims from people who do not understand what they are talking about. So let me explain to the House what the position is. I am not agreeing to early termination of a contract in 2020; no one has asked me to. This railway is paying a huge premium to the taxpayer and continues to do so, but the issue is that this franchise is not delivering the profits the operator expected and is at risk of not making it as far as 2020.

[Graham Stringer (Blackley and Broughton) (Lab)]

Will the Secretary of State give way?

[Chris Grayling]

No—forgive me, but I am going to explain this in detail.

Passenger numbers are rising on this railway; customer satisfaction is up; and the line is generating a healthy and growing operating surplus that is providing a much greater return to the taxpayer than when it was in the public sector. It is also worth saying that it is running more services and employing more staff. The money that the franchise pays to the Government is today 20% higher than it was under public ownership. But Virgin and Stagecoach got their numbers wrong. They have been losing money steadily, and have now lost the best part of £200 million in the past three years. Despite that, I am holding them to their full financial obligations, taking every last penny of the £165 million guarantee that we insisted on when they took on the franchise.

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[Graham Stringer]

If I heard the Secretary of State correctly, he was confirming the article in The Sunday Times saying that the full contract, as it was let, was not legally enforceable. If that is the case, will he confirm it, and will he explain to the House why he agreed a contract that was not legally enforceable? If it is not true, why will he not demand the full £2 billion?

[Chris Grayling]

The hon. Gentleman has not understood the finances of the rail industry. The money that the taxpayer receives from the operating profit—the taxpayer receives the lion’s share—will continue to flow into the public coffers whatever happens. The contract that was let between Virgin-Stagecoach and the Government will be fully enforced—I repeat, it will be fully enforced—and I make the absolute commitment to the House that that will happen.

I will now make further progress. We have heard this afternoon, more explicitly than we have previously heard it, that the Opposition’s policy is to return to the days of British Rail. There is somehow the idea that this will bring nirvana, but it actually only takes a moment’s thought to realise how flawed their thinking is, assuming they have done any the first place.

Our network suffers from three main problems. First, the infrastructure, which is already run in the public sector—Labour Members forget that—is often old and unreliable. About two thirds of the problems on our rail network result from issues with the publicly run infrastructure. This is not about who runs it and who owns it, but about investment in the infrastructure. That is why I am pleased to have just announced a further £20 billion renewal programme for infrastructure—concentrating on replacing older points, signals and the rest, and upgrading systems—so that we have a more reliable railway. That is the first problem, and the first solution.

The second issue is that the system is heavily congested. It would not matter who was running the railway, because routes into places such as London Waterloo or Manchester Piccadilly would still be full. What those stations and routes need is longer trains, and that is why the private sector, supported by the Government, is now investing in longer trains all around the country—in Manchester, all around London, in the west country and in the west midlands. That is the next priority. Probably the biggest renewal of rolling stock in modern times is taking place at the moment, and it is certainly by far the biggest in Europe. That is what is necessary. Someone on an eight-coach train that is full in the morning needs a 10-coach train, and that is what we are delivering. It is also why we are expanding capacity routes such as Thameslink, which will make a huge difference through central London, and why we have opened the Ordsall Chord in Manchester, which will provide linkage across the city and create extra capacity on trans-Pennine routes.

Thirdly, the system is organisationally too fragmented—too many people debating with each other, rather than solving problems for passengers—which is why our strategy is to bring back together the day-to-day operation of the track and the trains. Those are the three challenges facing the network today, and they are why passengers are often frustrated. We are working to address those problems with solutions and investment. That is the right strategy for the rail network, and shifting around the organisation, renationalisation and the rest of it will not solve those problems. Let us concentrate on the things that will make the difference for passengers, not on moving the deckchairs, as Labour Members seem to want to do.

Monarch Airlines

Debate between Chris Grayling and Graham Stringer

Monday 9th October 2017 Commons Chamber

[Chris Grayling]

This is definitely one area we need to look at again. We are already legislating to ensure that people who pay for a flight and hotel separately through an internet organisation can be covered through ATOL insurance. This is an area where we have to do more work. There is, however, a fundamental issue: if we were to put a levy on the cost of an air ticket, we would have to do it on every air ticket in the UK, but many of us on the Conservative Benches get regular representations from regional airports, for example, saying they want air passenger duty cut. This would increase APD, and that is why it is not a straightforward decision, but one we must consider very carefully.

[Graham Stringer (Blackley and Broughton) (Lab)]

I agree with the Secretary of State that in future situations like this one the Government should look for an orderly wind down, but is that not pie in the sky given the evidence of a conspiracy between Greybull and Boeing to protect their own capital interests against the pension rights of former employees and the people who bought tickets when it was already clear that the airline was bankrupt?