Civil Aviation Bill

Henry Smith Excerpts

Monday 30th January 2012 Commons Chamber

[Maria Eagle]

My hon. Friend makes a good point. There are plenty of people who seek to read coded messages in what the Government do, or do not do, and in how they change their proposals, so in that respect there is a concern that the Government need to address.

If the Government’s green credentials had not already worn so thin, no ulterior motive might have been seen in their decision, but there will be considerable suspicion that it is yet another example of giving in to vested interests, coming on top of the Government’s failure to reassert the aviation emissions targets that we set in government, let alone to listen to the calls to look seriously at the UK’s share of international emissions and to include both in the UK’s carbon budgets. When the obligation on other sectors is to reduce carbon emissions by at least 80% by 2050 compared with 1990 levels, the aviation industry has agreed to work towards achieving the lower target of the same reduction but compared with 2005 levels. However, the industry believes that it can achieve the same reduction compared with 2000 levels. On that basis, we believe that the Committee on Climate Change should advise on the case for a tougher target. It is clear that the Bill sends out completely the wrong signal to industry.

The CAA, airport operators, airlines and National Air Traffic Services have a shared responsibility to achieve those goals. In addition to the original proposed duty on environmental and planning law, which has been deleted, there is surely a case for considering the practicality of using this Bill to reaffirm the shared responsibility on meeting emissions targets that have been agreed. That should be explored during the passage of the Bill.

The public should certainly be better informed about the environmental effects, including through emissions and noise, of civil aviation in the UK and about the measures that are being taken to limit the adverse environmental effects. I want to take this opportunity to welcome the CAA’s decision to open a three-month consultation on its environmental role and performance. The chief executive, Andrew Haines, has said that he is determined to work with the sector to help it manage its environmental footprint and realise its potential growth. He is clear that

“unless the sector faces its environmental impact head-on, it will not be allowed to grow.”

He is right to have set the goals to

“contribute to a cleaner and quieter aviation industry, improve airspace design through new operational measures, influence the environment debate and enhance consumer understanding of the environmental impact of flying.”

[Henry Smith (Crawley) (Con)]

Will the hon. Lady not concede that airport operators, such as the operator of Gatwick airport in my constituency, have for many years done an awful lot to ensure that there are environmental enhancements, such as through the Gatwick area conservation committee, which has made a positive difference locally?

[Maria Eagle]

I do concede that. I do not think that the aviation industry has anything to fear from closer scrutiny of the way in which it deals with these issues. I just want to ensure that this Bill does not send the wrong signals to industry and make it more difficult to do what many operators are starting to do in any event.

In addition to the revision of the statutory purpose of the CAA and its secondary duties, it is right that the Bill aligns the powers of the CAA with those of the Office of Fair Trading. That provides consistency with the approach taken for other regulated industries, including energy, water, telecoms and rail. The Secretary of State will be aware that there are concerns about the impact on competition of the sale of airlines and the slots that transfer ownership as a result. The recently agreed sale of British Midland International by Lufthansa to International Airlines Group has raised considerable worries, particularly in Scotland and Northern Ireland, about the impact on short-haul domestic routes and the price implications for passengers. The Government have to date refused to take those concerns seriously. My hon. Friend the Member for Glasgow East (Margaret Curran), the shadow Secretary of State for Scotland, and I have referred the sale of BMI to the OFT.

--- Later in debate ---

[Henry Smith (Crawley) (Con)]

I am grateful for the opportunity to take part in this important Second Reading. I commend the Government for introducing this much needed Bill in the first Session of this Parliament. I waited with bated breath to find out Labour party policy on the future of aviation in this country. I thought that the hon. Member for Garston and Halewood (Maria Eagle) was about to announce an Eagle island airport, but it seems we will have to wait a little longer for that. As my right hon. Friend the Secretary of State said in her introductory remarks, it has been more than a quarter of a century since legislation in the area has been properly reviewed. During that quarter of a century, the airline and airport industries have changed massively.

In 1986, when the then British Airports Authority was privatised and became BAA plc, BAA nearly dominated the market in airports—certainly in London, the south-east and Scotland. At the time, the mix of airlines was different. At Gatwick, we now see the orange tailfins of easyJet, the largest operator from that airport and indeed the country’s largest airline. The new terminal 5 at Heathrow airport—I say “new”; it is some years old now—is a hub for British Airways. Virgin Atlantic, headquartered in my constituency, has developed significantly and is now a successful British brand representing the country abroad.

Our airport sector has developed considerably. In 2008, the competition authorities said—rightly, in my view—that BAA needed to divest itself of one of its airports. Gatwick was sold to Global Infrastructure Partners in December 2009. Already, in that short period, there has been significant development at Gatwick airport. I pay tribute to the chief executive of Gatwick airport, Stewart Wingate, and his management team, and to the many thousands of my constituents employed by Gatwick airport and the ancillary industries in the aviation sector locally, for the significant contribution that they have made to transforming the airport over those two short years.

More than £1 billion-worth of investment goes into Gatwick airport. I know that my right hon. Friend the Secretary of State went there recently to witness some of the works. They involve not only upgrades to the fabric of the north and south terminals but the introduction of state-of-the-art security facilities that make passenger travel through the airport more efficient and secure. The investment also includes more than £50 million to upgrade the station at Gatwick. Again, that involves not just the fabric but increased signalling and platform capacity, so that more direct trains can run from the airport to central London, and through London to Bedford and down to the south coast. A lot has happened in the aviation and airport sectors over the past quarter of a century. That has been the experience particularly at my local airport, Gatwick.

In the limited time that I have, I will refer to a few questions and clarifications on some of the Bill’s clauses. Clause 5 discusses competition between different parts of an airport. The Bill makes it possible for an airport terminal to be operated by a different company from the one that operates the runway and taxiway—something that we are more familiar with in countries such as the United States. I welcome the possibility of increased competition, which could improve the passenger experience, but I would be grateful if Ministers clarified whether the CAA will have a power to force the sale or lease of parts of an airport, or whether that will remain subject to the competition authorities under the Enterprise Act 2002.

As my right hon. Friend said, clause 6, on the so-called “market power test”, outlines a series of tests that must be met if an airport is to be regulated. To determine whether an airport should be regulated, the substantial market power test is to be applied. If an airport is to be so regulated, what would the dominance test be, and would it come under competition law or be decided by the CAA? I would be grateful for clarification.

Clause 12, on the regulation of possible future market power, gives the CAA the power to decide whether regulation is needed in the light of possible future developments at an airport. Again, that power is fine, but will there be any possibility of a review if those events do not take place? It would be strange to regulate for something that does not happen.

I welcome clause 25, on the scope of the right of appeal, because it is important for the airlines that use Gatwick airport and other airports around the country, but I would be interested to know whether there will be any way of preventing vexatious appeals. Furthermore, how rigorous, transparent and fair will the appeals process be?

Clauses 83 and 84, in chapter 2, part 2 of the Bill, deal with information on performance of services at airports. Again, the provision is welcome and will help to enhance the passenger experience as much as possible, but I wonder whether the power of that performance test should be extended to other organisations and agencies operating within an airport. Mention was made earlier of agencies such as the UK Border Agency and of the transparency and efficiency of the UKBA. That point could be applied to other agencies, such as Her Majesty’s Revenue and Customs.

In what little time I have left, I would like to highlight one concern. I broadly welcome the CAA being given these powers—it is the agency best suited to have them—but being an important public body it, too, should be subject to the rigour of the National Audit Office. We are asking the CAA to regulate the performance of others, and it is important that, as a regulator itself, it should face the rigour of scrutiny as well.

I warmly welcome the Bill. It is overdue, and I am grateful to the Government for introducing it so early on. Most importantly, it will improve the passenger experience, but it will also provide for a fair and transparent system for our airport operators and airlines. As was rightly said earlier, as a trading nation we rely on a strong aviation sector, and the Bill does a lot to enhance that.

Rail Fares

Henry Smith Excerpts

Wednesday 11th January 2012 Commons Chamber

[Heidi Alexander]

Energy was just one of the things that I mentioned. Most people would recognise that the cost of living is going up considerably. However, I agree with the hon. Gentleman when he says that, with fares going up, our constituents—the public—expect to see an improvement in service, getting some bang for their buck. When the trains roll into stations in my constituency, they are rammed full of people. This morning I tried to get on the 8.32 train from Lewisham and had to wait for the next one to come along. The previous Government put in place a number of measures to increase capacity on some of the suburban lines coming into London.

[Henry Smith (Crawley) (Con)]

Will the hon. Lady give way?

[Heidi Alexander]

I am afraid I will not give way; I have limited time. With the railways Minister present, I would like to make the point that that increase in capacity, lengthening trains to 12 cars, is incredibly important. Also, the new rolling stock on the suburban lines is critical. The new rolling stock has much more standing room, which my constituents are calling out for.

My problem with the increase in train fares is that it is making it much more difficult for my constituents to find work. A single man on low pay working in central London came to my surgery recently. He said that he was gravely worried about whether he could afford to get to work. If people are not able to stay in work or have to look for other jobs, that will add to the bill that the Government are paying out in jobseeker’s allowance. I have fundamental concerns about the impact of rising fares on people’s ability to stay in work. The Campaign for Better Transport has estimated that in London, if two parents are working and have two children in child care, that can swallow up 40% of the household’s income. Hundreds of pounds added each year to the cost of getting about in London will make a significant difference to household budgets.

Not only is it important that train fares are affordable so that people can go about their daily lives, get to work and stay in jobs, but everyone in the Chamber would recognise that ultimately we need to do more to get people on to public transport. The environmental benefits of getting people out of their cars, reducing congestion and pollution by getting them on to the trains and buses, are key. If people do not believe that public transport is affordable to them, we will not see the change in behaviour that all of us in the Chamber want.

In the few minutes remaining to me, I shall pick up on some of the remarks made earlier by the Secretary of State about the proposals put forward by Labour’s candidate for Mayor, Ken Livingstone, on fares policy. She suggested that in some way the 7% cut in fares that Ken Livingstone is promising for October this year would fundamentally destabilise Transport for London budgets. TfL has costed the proposal at £215 million. At present TfL works with an operating surplus of £727 million. It is possible and it can be done. That is why it is the right policy for Ken Livingstone to pursue.

I conclude by saying that it has always interested me that we view public money spent on roads as an investment, yet public money spent on railways as a subsidy. For me, the sooner that changes, the better.

Aviation Industry

Henry Smith Excerpts

Tuesday 15th November 2011 Westminster Hall

[Maria Eagle (Garston and Halewood) (Lab)]

I congratulate my hon. Friend the Member for Central Ayrshire (Mr Donohoe), first, on securing this debate on the future of aviation, which has clearly been in demand from other Members—we have had an excellent debate—and, secondly, on the birth of his granddaughter, Rosie, who will think that she is the centre of the universe by the time she is old enough to read Hansard. I also welcome you, Mr Gale; it is a pleasure to serve under your chairmanship.

Our aviation industry is central to our economic prosperity and should be a key driver of the growth without which we have no prospect of emerging from the dangerous economic situation in which we find ourselves. The industry contributes more than £11 billion to the UK’s gross domestic product—more than 1% of the total—and supports up to 200,000 jobs directly and 600,000 indirectly across the UK.

I regret, however, that just as the Government do not have a credible strategy for growth, neither have they yet managed to set out a credible strategy for aviation, let alone set out the role that aviation could play in improving our economic situation. For a crucial sector on which our economy depends, the reaction from business to the Government’s decision not to set out an aviation strategy until the latter part of this Parliament has ranged from incredulity to plain bemusement.

I would much rather that we were not in opposition—it is a deeply frustrating place to be, as the Minister may recall—but the one thing that it provides is the time and space to develop ideas for the future, as well as some detailed plans. However, after 13 years in opposition, it is clear to the industry and to the wider business world that this Government came to office without such plans.

We have had lots of consultations, relentless industry engagement, scoping documents and taskforces. That is all very laudable, yet none of it makes up for the lack of a policy, let alone a strategy. With the economy on the brink, holding out the prospect of a policy late in the latter part of a five-year Parliament is, frankly, not good enough. It represents a total failure to prepare for government, and Members do not have to take my word for that. The chairman of the Airport Operators Association, Ed Anderson, has said that, while the industry knows what the Government are against,

“we are not sure yet what it is in favour of”,

and he went on to describe “better not bigger” as an “election slogan”, saying:

“Better not bigger doesn’t constitute a strategy.”

The Government also face international criticism. The chief executive of the International Air Transport Association, Giovanni Bisignani, has been quoted as saying that the Government seem

“intent on destroying its competitiveness with a policy agenda focused on increasing costs and limiting capacity growth.”

Sir David Rowlands, a former permanent secretary at the Department for Transport, has described the Government’s policy as “mildly extraordinary”, which is damning criticism from somebody from the higher reaches of the mandarinate.

Baroness Valentine, speaking for London First, said in another place earlier this year that

“government seems content for aviation policy to drift.”—[Official Report, House of Lords, 24 March 2011; Vol. 726, c. 872.]

She has also said, most damningly, that

“the Government’s aviation strategy is damaging our economy and enhancing that of our EU rivals.”

We have heard that criticism echoed by some Members who have contributed to today’s debate.

[Henry Smith (Crawley) (Con)]

Will the hon. Lady give way?

[Maria Eagle]

In a moment.

I am sure that the Minister saw the letter in The Times earlier this year signed by 74 senior business leaders. Setting a long-term strategic direction for aviation in London, the wider south-east and across the country is a vital part of delivering the growth and jobs that the country needs, and the letter concluded:

“All options must be considered, short term and long term, to address growing demand.”

We agree with them, which is why earlier this month, in a speech to the Airport Operators Association, I made an offer to the Government, which I am happy to repeat today. We are willing to take the politics out of aviation, put aside party differences and work together on a joint aviation policy for the good of the nation. As I have said, this is a clear, unambiguous offer, with no catch.

Aviation matters to our country—every Member who has spoken in this debate has said so—and to businesses and families throughout the country. It is an industry that needs stability for the long term, and a long-term plan that straddles Parliaments and Governments and that is capable of surviving after fruition.

In addition to the Government’s more immediate work that they must conclude—that is fine—I believe that the best way forward is the establishment of a cross-party commission to set out our long-term aviation strategy for a generation or more. We should not have rows from one Parliament to the next about an element of the strategy, but set out a long-term plan. We must not repeat the party political wrangling that turned the proposed third runway at Heathrow into a political football. We must also agree that we will then stick to that agreed strategy, whatever the outcome of the next election.

Any terms of reference for such a cross-party examination of capacity will inevitably start with an understanding that the answer for the south-east will not be to fall back on the proposed third runway at Heathrow. We have accepted that the local environmental impact means that that is off the agenda. The cross-party body must have the freedom to look at all options for growth, including in the south-east, while prioritising making the best use of existing runways and airports. A bigger prize is available for us all if we put political battles to one side and develop a long-term strategy for aviation to which everybody can sign up. It is time to move on and find an alternative way forward.

I should like the Minister to clarify the Government’s position on two further issues: first, the link between high-speed rail and aviation; and secondly, emissions from aviation. We have offered Ministers our clear, cross-party support for the high-speed rail line that we proposed when in government. I have been clear that we will work with the rest of the House to deliver the legislation needed to take forward that vital project. We fully accept that there is simply no other credible way to tackle the growing capacity issues on our existing main rail lines. We have, however, argued that there is a clear case for connecting the new high-speed rail line directly to Heathrow from the start. The Opposition and the Government agree that the line should connect to Heathrow; the only debate is over whether that happens from the start, or via a costly, multi-billion pound spur, tacked on at a later date.

As we have argued, taking the line via our major hub airport opens up the prospect of private sector funding, potentially saving the taxpayer billions. It would lead to a new route that made better use of existing transport corridors and better protected the area of outstanding natural beauty that the current proposal crosses. It would also open up the opportunity to connect to the Great Western main line, thus bringing the benefits of the high-speed line to the south-west and Wales and increasing connectivity for the south-west to Heathrow.

Creating a major new transport hub to the west of London at Heathrow—rather than several miles away at a site with other, inadequate transport connections—that mirrors the hub in the east at Stratford represents the joined-up thinking that is too often lacking in our transport infrastructure planning. I hope that the Minister will confirm that the Government are looking at that alternative proposal.

Our proposal is one that the Minister herself supported when she was the shadow Secretary of State for Transport, and I suspect that she still sees its merit. I hope that she will indicate a willingness to look again at it. She has our support as she seeks to do better at persuading her new Secretary of State of the merits of the case than was possible with the previous Secretary of State.

On carbon emissions, I hope the Minister agrees that we will simply not achieve the goal set out in the Climate Change Act 2008 to reduce emissions by at least 80% by 2050, compared with 1990 levels, unless aviation does more. That is why we believe that future aviation growth must go hand in hand with a greater cut in aviation emissions than we agreed when we were in government.

The Government have failed even to re-affirm their commitment to the existing emissions target for aviation that we set in government. I hope that the Minister will take the opportunity to do that today and that she will support our call for the Energy and Climate Change Committee to set out what it would mean for aviation to go further and ask it to update accordingly the carbon budgets that have been set.

I hope that the Minister will agree with us that, in principle, international aviation should be included as well, once the Committee produces its advice on accounting methodology. As the Minister will know, the industry’s sustainable aviation road map makes it clear that, by 2050, it is possible to get absolute emissions down to levels seen at the turn of the century, even as passenger numbers are projected to grow by a factor of three, so we all agree that it is possible to do more. Therefore, this should be seen not as a threat but as an opportunity. Fuel efficiency improvements in aircraft engines and air frames, improvements in air operations, both in more fuel-efficient practices and air traffic management, and the use of alternative fuels produced sustainably—all those things can make a contribution. The UK should be at the forefront of developing the new technologies that enable the aviation industry to thrive, while reducing emissions.

I again thank my hon. Friend for securing the debate. I hope that the Minister will feel able to respond positively and make up for the Government’s failure to date to provide an aviation strategy, which this country so badly needs.

[The Minister of State, Department for Transport (Mrs Theresa Villiers)]

I congratulate the hon. Member for Central Ayrshire (Mr Donohoe) on securing the debate, and on Rosie’s arrival. I would also like to associate myself with the comments made about the late Alan Keen and his sad, recent death. He had a long and distinguished record on aviation matters.

I agree wholeheartedly with the importance that hon. Members have attributed to the aviation industry as a strong part of our economy and a vital gateway to the global marketplace for business. Many hon. Members made that point, including the hon. Members for Blackley and Broughton (Graham Stringer) and for Central Ayrshire. I also welcome the emphatic support for the aerospace industry provided by my hon. Friend the Member for Filton and Bradley Stoke (Jack Lopresti). Supporting and providing the right economic climate for manufacturing to flourish is a hugely important part of the Government’s overall economic strategy. It is crucial that aviation in the UK is able to grow and prosper in the future, but I think we are agreed that a dash for major aviation growth regardless of cost is not the right approach. That is why we are developing a new aviation strategy to set out the way forward that will allow the British air transport industry to grow in the years and decades ahead, as well as addressing its environmental and quality of life impacts. No one underestimates the scale of the challenge, because reducing harmful emissions through greener technologies is more complex in aviation than in other transport sectors and will take longer to deliver.

In response to the points made on air passenger duty, we have listened with care to industry concerns, which is why we have made it clear that switching to a flight tax is not viable without wider international support for such a move. We have postponed this year’s inflation-based increase in APD, and proposals for further reform of the tax will be published soon.

In response to the hon. Members for Central Ayrshire and for Blackley and Broughton on the issue of the Thames estuary airport, as the Prime Minister has said, the Government have no plans to build a new airport in the estuary, or in Medway or elsewhere in Kent. The hon. Member for Central Ayrshire outlined some of the practical issues that would have to be surmounted before such a programme could go ahead, including, of course, the very significant airspace capacity issues. Nor do we have plans to redevelop Northolt as a third runway for Heathrow.

I agree with my hon. Friend the Member for Reading East (Mr Wilson) that surface access to airports is a crucial part of making them successful. That is why Crossrail and Thameslink are going ahead—both will improve access. We continue to consider other options for western access to Heathrow, including work that could be co-ordinated with the proposed HS2 spur to Heathrow.

We have made it clear that a key plank of the Government’s approach to aviation is the cancellation of Labour’s misguided plans for a third runway at Heathrow. I find it ironic that the shadow Secretary of State, the hon. Member for Garston and Halewood (Maria Eagle), accuses us of having no policy, when the previous Government spent 13 years on an aviation White Paper that everyone agrees is no longer fit for purpose, and on pursuing a runway that is universally agreed to be absolutely the wrong approach for the UK economy. One of the coalition Government’s first acts was to cancel the third runway at Heathrow. I continue to believe that the price in terms of the environmental impact would have been far too high, given that noise already has a significant impact for thousands of people living with a plane overhead every 90 seconds. At the time, Labour described our position as

“politically opportunistic and economically illiterate”.

It seems that those on the shadow Front Bench have learned the error of their ways—but not all on their Back Benches.

We are clear that we need to protect and enhance the connectivity that is vital for our economy, which is why Heathrow’s success as one of the world’s busiest and most successful international airports is so vital. Our aviation strategy is designed to ensure that the UK maintains and improves the success of this leading international gateway. There is no evidence that Heathrow is about to lose its hub status. It remains an immensely successful airport, with more services to China than any of its European rivals, and a particularly strong connection with Hong Kong as China’s main hub airport. Our immediate priority is to make our airports work better within their existing capacity limits.

[Henry Smith]

I was delighted to welcome the Minister to Gatwick airport last month for the opening of new security gates. Will she congratulate Gatwick airport on the more than £1 billion of investment that it is making in enhancing capacity? Indeed, Sir John Major will open the renewed north terminal on Thursday.

[Mrs Villiers]

I am happy to offer my congratulations on that. Contrary to the allegation that the Government have created a policy vacuum, we have a range of initiatives designed to make our airports better—our priority is to make them better, rather than bigger. We are legislating for a much more passenger-focused system of regulation. We are improving air space management through the Future Airspace Strategy in the Single European Sky programme, which is already delivering real benefits in the UK and Ireland. We are changing the way aviation security is regulated to enable the industry to deliver the same high standards in security, but in a more passenger-focused and more hassle-free way.

Our south-east airport taskforce also included proposals to improve resilience and address delays. As a result, we are trialling the tactical use of greater operational freedoms at Heathrow. This is very sensitive, because those freedoms mean that occasionally there will be some incursions into the respite period, with occasional use of both runways for departures, or, occasionally, use of both runways for arrivals. However, I emphasise that that is not mixed mode and the Government remain committed to runway alternation and the benefits it brings. Very careful consideration will be given to the impact of the trial on local communities. I emphasise that the measures being trialled are to be used only to improve resilience, and prevent or recover from disruption, and not to increase capacity, which remains capped at current levels.

We have published our scoping document, setting out the issues to consider for the future of aviation. We know how crucial it is to have a successful regional airport sector, as hon. Members have highlighted today. We will look at ways to harness spare capacity to support economic growth and help to relieve crowding in the south-east. High-speed rail has strong potential to provide an alternative to thousands of domestic and short-haul flights. HS2 to Manchester and Leeds will deliver a three and a half hour journey time between London and Scottish destinations, providing a viable alternative to thousands of Scottish flights.

Consumer Protection (Private Car Parks) Bill

Henry Smith Excerpts

Friday 13th May 2011 Commons Chamber

[Henry Smith (Crawley) (Con)]

I beg to move, That the Bill be now read a Second time.

I am acutely conscious that we have very little time left before the Adjournment debate, so I shall try to give the abridged version of a Second Reading speech. I am also conscious, while I am talking about time, that it was only just over a year ago that I was elected to this place and I would not have imagined that I would be presenting a private Member’s Bill on the provision of consumer protection and private car parks. Whenever I contribute in the Chamber, I try to bear reference to my experience as a constituency Member of Parliament and, in my time as a Member of Parliament, I have unfortunately come across a rogue car park operator in my constituency that, for the most minor infractions or for no offence at all, regularly issues motorists with apparent fines or at least demands for payment for very dubious reasons.

The operator often claims payment from motorists, saying that they did not purchase a ticket, but when a motorist produces evidence that they did indeed buy a pay-and-display ticket the operator says that it was not properly displayed and demands payment. Many people are, in essence, intimidated into parting with their money; demands are often made for £70 rising to £140 if the amount is not paid within two weeks. Many elderly and vulnerable people have been tricked into making a payment that is not a criminal fine but merely a demand from a private car park operator. Many fear for their credit rating, because they receive threatening letters, often with the claim that the company will send in the bailiffs.

When I raised the issue with the planning and licensing sections of my local authority, I was told that planning legislation does not allow local authorities properly to control the actions of such rogue private car park operators. Their operations are not covered by the licensing regime either.

[Mr David Nuttall (Bury North) (Con)]

Is it not the case that car park operators are required to identify through visible signs the status of the land on which they encourage people to park? The signs must show the terms that apply and any penalties for contravening them. If an individual falls foul of those obligations, in essence, they have only themselves to blame.

[Henry Smith]

I agree. If somebody contravenes the conditions for parking on private land, it is perfectly reasonable for the private operator to seek restitution. However, as I said earlier, operators often claim that people have not purchased a ticket when, in fact, they have, and demand payment. There are many responsible private car park operators, but I regret that a minority let down the industry.

[Adam Afriyie (Windsor) (Con)]

I welcome the Bill, irrespective of the outcome today. In Windsor, we have a car park such as my hon. Friend describes, so I encourage him to make his case as forcefully as possible. It is important that people have a sensible form of redress when they are incorrectly or unfairly treated by private car park operators.

[Henry Smith]

I am grateful to my hon. Friend for his support.

My instincts are not to reach for the statute book and additional regulation, but there is a gap in the legislation and it needs addressing. The provisions of my Bill would do that straightforwardly, at no additional cost to the taxpayer. The Bill would give local authorities a licensing function over the operation of publicly available paid-for car parking. Just as taxi companies or public houses are licensed, so too, through an application fee, could private car parks be licensed, to ensure that rogue operators behave responsibly.

People might say that surely the industry can regulate itself, and there is indeed a body—the British Parking Association—but it supports the Bill, because it recognises that self-regulation has not worked. Other organisations, such as Consumer Focus, the AA and the RAC, also support the Bill.

The Bill offers relief to the motorist, who can fall foul of the somewhat questionable practices of a minority of operators. Liverpool Victoria estimates that motorists are paying apparent fines or penalties of about £60 million a year. They should not be paying those penalties and they should have the right to appeal. With that brief conclusion, I commend the Bill to the House.

Rail Investment

Henry Smith Excerpts

Thursday 25th November 2010 Commons Chamber

[Mr Hammond]

I do not know where the hon. Lady gets the idea about three years’ delay with north-west electrification. As I said, the Manchester to Newton-le-Willows section will be completed in 2013. Work will start next year. The team that is doing the work will then roll on to complete the electrification of the Liverpool-Manchester section and finally the Preston-Blackpool section. It will all be completed by 2016.

Let me explain the time scale. Electrification will allow the electric carriages released by the delivery of the new Thameslink carriages to be deployed. There is no point completing that electrification, except for the section from Manchester to Newton-le-Willows, until those electric carriages are available. The timetabling is perfectly logical and the early completion of Manchester to Newton-le-Willows will allow brand-new electric trains to be operated on the Manchester to Scotland routes.

The hon. Lady asked about capacity. The total announcements on Crossrail, Thameslink and the additional 650 carriages to be delivered before 2015 will amount to a 17% increase in the capacity of the network.

[Henry Smith (Crawley) (Con)]

Commuters in my constituency, particularly those who use Three Bridges and Gatwick stations, will greatly welcome—as do I—the announcement about increased rolling stock through Thameslink. Will my right hon. Friend assure my commuters and constituents that the rolling stock will be of the highest available quality to ensure greater comfort and convenience?

[Mr Hammond]

The trains deployed on the Thameslink route will be brand-new trains with 1,200 brand-new carriages.

Private Car Parks

Henry Smith Excerpts

Tuesday 14th September 2010 Westminster Hall

[Henry Smith (Crawley) (Con)]

Thank you, Mr Walker, for the opportunity to raise the matter of better consumer protection for those using private car parks. Having just walked through Westminster Hall, I am deeply aware that we are close to a place of great significance in our nation’s history, and that the subject of the debate might sound somewhat mundane, but it has been the single greatest issue of concern expressed by constituents since I was elected in May. Indeed, even before I became an MP, when I was the leader of the local county council and a parliamentary candidate, many local people raised the matter with me. It is a concern that has been highlighted recently by the Automobile Association, the Royal Automobile Club and the Consumers Association.

I do not want to give the wrong impression; the majority of private car park operators conduct their business in a reasonable and responsible way that respects the consumer. However, there are all too many examples of private car park operations that use highly questionable methods, and I am afraid that one such operation is located in the heart of my constituency.

What is the problem? Well, more than 60 constituents have contacted me because, having visited a private car park and bought a pay and display ticket, about a week later they received a somewhat threatening letter claiming that they did not purchase a ticket and demanding payment. It is not enough for the constituent to produce evidence that they did purchase a ticket, because the operator then claims that it was not correctly displayed. Interestingly, the operator does not produce an adhesive label with the ticket so that it can be stuck to the window. By contrast, a fine issued in a local authority car park is cancelled when a ticket that has fallen off the dashboard is later produced.

Another concern that many constituents have raised, and which is a problem in private car parks across the country, is that motorists are being issued with tickets for irresponsible parking for the most minor infractions, such as having a wheel only an inch on a white line, even when there is no parking space next to the vehicle. By contrast, much more discretion and explanation is allowed in council-controlled car parks. Indeed, around 60% of appeals relating to council car parks in England and Wales are successful.

Another concern is that the clocks on pay and display meters seem to be deliberately set between five and 10 minutes fast, so when shoppers look at their watches or mobile phones they think that they still have a little more time to get back to their cars, but of course they do not, according to the meter clock, and so are issued with a ticket. By contrast, in council-controlled car parks people are allowed a grace period when returning to their cars and the clocks usually run on time.

The sheer scale of the fines that some rogue private car park operators charge is another cause for concern. The car park in my constituency charges £70 on average when a ticket is issued, which must be paid within a fortnight. If that is not paid, the operators hike up the amount by £30 every fortnight. The letters sent out have a rather threatening tone.

[Mr Mark Williams (Ceredigion) (LD)]

I pay tribute to the hon. Gentleman for securing the debate; I suspect that the issue is as passionate in Ceredigion as in Crawley. As he mentioned, the problem is not just the scale of the fines, but the threatening tone of the letters that demand payment. A constituent of mine, Mrs Yvonne Partington, was issued with a £110 fine and received a letter with the familiar black and white checkerboard pattern of the Dyfed-Powys constabulary, even though it came from the company she had the misfortune of dealing with. She had left the car park in good time but became stuck in a traffic jam. The photographic machine recorded her as staying in the car park, but she had attempted to leave long before her ticket was up. Those are the kind of injustices that the hon. Gentleman’s constituents, and those of many other Members, are experiencing.

[Henry Smith]

The hon. Gentleman is absolutely right. The strange practice of making the demand for payment look like an official ticket and the threatening nature of the letters mean that many elderly constituents become concerned and are essentially intimidated into paying the fines. Other people are worried that their credit rating will be damaged if they do not pay the fine, as that is often used as a threat.

[Anne Marie Morris (Newton Abbot) (Con)]

I thank my hon. Friend for bringing this crucial matter to the House’s attention. I suspect that every Member present has received complaints from constituents on the subject. He is absolutely right that a vehicle need be only a millimetre over a white line for the enforcement to be draconian and rapid. My point, which reinforces what the hon. Member for Ceredigion (Mr Williams) said, is that the fines are pursued very aggressively. The time limits and the rates at which the fines increase are such that the average householder is unable to work out whether the claim is justified and then sort out payment. More interestingly, once a fine is hiked up to the top figure—

[Mr Charles Walker (in the Chair)]

Order. This is an intervention.

[Henry Smith]

My hon. Friend the Member for Newton Abbot (Anne Marie Morris) makes a good point. I have found that there is zero compassion from the car park company in my constituency. In local authority car parks, justifiable reasons, such as a ticket falling off a windscreen, are at least usually heard fairly in an appeal, but no discretion is allowed by the private car park firms that I have been dealing with. I have never come across a case in which they have cancelled a ticket. They are simply interested in seeking the “fine” from the person they wish to charge.

Not only is that worrying for elderly residents and those concerned about their credit records, but it is starting to damage town centre businesses. Such rogue parking firms are bad corporate citizens, and their practices start to have negative effects on other town centre businesses. I have plenty of evidence for that. I was talking to a constituent the other day who told me that he simply would not go into the town centre again because he feared that he would be slapped with a fine, despite doing nothing wrong. The problem is starting to damage business.

[Gareth Johnson (Dartford) (Con)]

Perhaps my hon. Friend will agree that there are wider issues here. He will be aware of the Government’s proposal to ban clamping on private land, which would make ticketing the only available recourse, and that would be a failure unless it was responsible ticketing. Consequently, the Government’s plans rely wholeheartedly on responsible companies ticketing only in appropriate cases. Otherwise, the proposal will fail.

[Henry Smith]

My hon. Friend is absolutely right, and I fully support the Government’s proposal to ban wheel-clamping on private land in England and Wales. That has been successful in Scotland since 1992; the ban has not created any problems there. He is right, however, to highlight the fact that such a change could shift some private parking operators from their usual suspect practices to simply using the Driver and Vehicle Licensing Agency database, which is easy to register with, to continue issuing threatening fines. Although I fully support the proposed legislation, I feel that it might create an unintended consequence elsewhere. A complete picture would be provided by better regulation of the way all private operators issue tickets.

What is the answer to the problem? As an elected representative, I see it as my role to raise this kind of issue in this place, and I am happy to do that. However, as a politician, my instinct is not suddenly to reach for the statute book or create a new quango or agency. We have enough of them in this country—we need to trim back on quangos and agencies—and I do not think that they are necessarily the answer. I certainly do not want to place on our police officers or local authority traffic wardens the extra burden of policing private car parks as well.

I wonder whether it would be worth considering giving a power to license private car parks to the local authority—the elected local government in an area—which would, of course, be responsive through the ballot box. Local councils are used to licensing small, local outlets. Publicans are licensed by the local authority, and if they are caught consistently selling alcohol to under-age individuals, they lose their licence. Taxi drivers are another example: they are licensed by the local authority, and if they fiddle with the meter or are convicted of dangerous driving, they lose their licence to operate.

In a similar way, local councils could simply license local car park operators to operate. This could be self-funding through a small levy on the private operator, which makes considerable sums through the business. The council would be able to respond to complaints that come into the town hall, and to say, “There is clearly a problem with an operator, and the licence conditions need to be reviewed.”

At present, the only way that local authorities can have any real influence over rogue car park operators in their administrative area is through planning permission, but that works only if temporary planning permission has been granted to a site. Once a precedent has been set in planning and plans have been approved, rescinding permission is extraordinarily complex and difficult—I would argue that it is almost impossible. Local authorities really do not have many powers in their armoury that enable them to defend their residents—our constituents—from such practices.

There is another possibility. An agency that I was not aware of until recently, the Security Industry Authority, which I understand sits under the Home Office, has been—and technically still is—responsible for licensing private wheel-clampers and other security companies across the country. Obviously, if the legislation goes through—I am sure that it will—and the ban on private wheel-clamping becomes effective, part of the agency will cease to have a role. There would be a golden opportunity to slim it down, and perhaps its power in that respect could be devolved so that local authorities could have greater influence.

As I said at the beginning of my remarks, this may seem like a mundane issue to discuss, considering the great issues of the day, but I have been struck by the considerable angst and upset the subject has caused constituents, and often those who are most vulnerable.

[Andrew George (St Ives) (LD)]

The hon. Gentleman makes an excellent case. He appears to acknowledge that clamping, which the British Parking Association’s voluntary code says should be used only as the last resort, is in fact often used as the first resort, within nanoseconds of a ticket going over the limit, as we all know from our casework. I assume from what he says that he would welcome further regulation and a body to which people can complain and through which they can get redress.

[Henry Smith]

The hon. Gentleman makes a good point. I spoke earlier about my political instincts, which may not be shared by everyone across the Floor. My instincts are that if an industry can self-regulate, it is probably preferable that it does so. He is right to mention the industry body called the British Parking Association, but from the research that I have done, it seems that it has failed to police its members and look after the consumer. It appears to be there to look after the interests of its members only. I certainly have yet to come across an instance—no doubt there are examples—where it has upheld a complaint by a motorist. Therefore, it seems that self-regulation is failing.

[George Eustice (Camborne and Redruth) (Con)]

My hon. Friend raises an incredibly important point, and we all have to deal with such issues. Rather than introducing a complicated system of licensing or a complaints ombudsman-type procedure, would it not be better just to have clear regulation, and expressly to limit the powers of the parking companies, perhaps by making it clear that they cannot levy fines greater than the prevailing fines of the local authority, and that fines should be waived if a ticket is produced retrospectively? That kind of clear regulation could be included in the Government’s current legislation on car-clamping.

[Henry Smith]

My hon. Friend raises a good point. My instinct is not to increase regulation—I am a fan of increased local accountability and control. I am not claiming today to know the answer. One of the reasons why I asked for this discussion was to have an opportunity to explore how best to address the situation.

Personally, having researched the issue, I think that a local licensing function need not be a burden. Licensing committees often meet for only about 20 minutes at a time, and an extra item on the agenda every so often need not be a problem. As for additional expense, a simple fee for applying for a licence could cover it. However, I certainly would not oppose looking at legislation to set a maximum fine, or legislation similar to that which went through relatively recently to regulate local authority car parks and set clear standards for them. It would be worth considering extending such standards to private operators.

My concern about civil cases is that most people do not have the ability or resources to pursue them, and it seems that rogue car park operators rely on that. Frankly, they scare many people into paying the fine; they think, “I’ll pay the £70 because I just want the problem to go away.” It seems that that accounts for 90% of their business.

The suggestion has merit, and I would ask the Government to consider a broad range of options not only to clamp down on the clampers—no pun intended—as proposed, but to ensure that the other sharp practice of some private car park operators is brought to a halt, so that the industry can be respected again. There needs to be greater clarity between private car park providers and local authority car park providers.

Thank you, Mr Walker, for the opportunity to raise this issue. I am grateful for hon. Members’ contributions.