(7 years, 10 months ago)
Commons ChamberI really want to make some progress—I have taken a lot of interventions thus far.
I am concerned that the Government’s unimaginative and ill-thought-out response to the current crisis threatens the taxpayer interest yet further. Following the west coast franchise debacle in 2012, there were numerous reviews and process changes to rail franchising. We were told that nothing like that could ever happen again. In an act of ideological spite, the east coast franchise was forced back out into the private sector by a coalition Government desperate to tie the hands of a possible Labour Government in 2015. Passengers and taxpayers have lived to regret that decision.
Does my hon. Friend agree that there is huge support in the north-east for a directly operated railway in not just the short term, but the long term? The experience in the north-east proved that this was a viable proposition and one that has tremendous support from the public and passengers.
I agree entirely with my hon. Friend. There is great support for a publicly owned railway on the east coast—
(8 years ago)
Commons ChamberAs I have said in this House before, I need to do what is best for passengers and for the taxpayer. The reality is that since the transition, regardless of the fact that Stagecoach clearly got its numbers wrong, passenger satisfaction has risen, more people are being employed by this railway and it is delivering more money to the taxpayer. [Interruption.] That is the reality. Labour Members can say it is not true, but it is; it is a fact that they just have to deal with.
As I have said, I am going to do what is best for the passenger and for the taxpayer. I am sorry that the Labour party does not seem to get this, but the reality is that passenger satisfaction levels are higher today than they were three years ago—that is what the independent research shows. Labour Members may not like it, but it is true.
(8 years, 2 months ago)
Commons ChamberIn my constituency of Blaydon, as elsewhere in the north-east, the future of our railways is of great interest. We have our own experience in our region, with the example of a directly operated railway on the east coast main line. That service was taken under public control following the failure of two contracts in 2009. My constituents and others, including hon. Members in the Chamber, were out there campaigning to retain the east coast main line in public ownership. Not only have the trains provided a good service, but the company has returned £1 billion of premiums to the public purse. That is why it was, and still is, galling for so many people in the north-east that the franchise was re-privatised in 2015 on the basis that that represented “best value” for rail users and taxpayers.
No wonder so many of my constituents expressed disbelief at the Secretary of State again looking to tear up the contract and at the current franchisees—Stagecoach and Virgin, which are known to be struggling to make their anticipated profit—being allowed to walk away from their commitment to make payments worth more than £2 billion under the current contract. It is therefore hardly surprising that folk in the north-east are enthusiastic about Labour’s commitment to take back rail franchises as they expire. Rail franchising has proved ineffective and costly, encouraging bidders to submit over-optimistic and unrealistic bids. It is about time we looked at bringing rail back into public ownership so that we get the best possible value and the best possible service for passengers from their rail services.
I want to refer to the National Audit Office report that was published this morning and the Secretary of State’s response to it—blaming the trade unions. The Government set the contract terms and specifications for franchises. The Government say, “You don’t need a second guard on trains.” They bear responsibility for the problems in the rail industry and the industrial disputes that we face.
(8 years, 4 months ago)
Commons ChamberI can give my hon. Friend that assurance. In fact, we have a substantial investment programme lined up for the east coast main line, upgrading power supplies and improving the tracks, and that will certainly be steered by the new partnership.
We have been ensuring simply that we phase projects to cause the minimum possible disruption to users of the roads, while making sure the rolling programme goes forward. I am very proud of the fact that, as a Conservative Government, we are the ones transforming the A1—a project that is long, long overdue.