Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Tuesday 29th January 2019 Commons Chamber

[Mr Hammond]

The hon. Lady’s statistics are wrong. It is not right to say that every region will be worse off. Every region under every scenario will be better off. The UK economy will continue growing. [Interruption.] The UK economy will continue growing. There is no doubt, as the published cross-Government analysis shows, that leaving with a deal will best protect the UK economy and will be in the interests of all our constituents. I urge the hon. Lady to get behind the deal.

[Derek Twigg (Halton) (Lab)]

Given what the Chancellor has said, why do large numbers of families in my constituency have to go to food banks? Many of them are on universal credit. Working families are having to use food banks in my constituency. What is he doing for them?

[Mr Hammond]

The measures we have taken to increase the national living wage, combined with the increases in the personal tax allowance, mean that a single person on national minimum wage will be £4,500 better off in terms of take-home pay than they would have been in 2010.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Tuesday 16th January 2018 Commons Chamber

[Mr Hammond]

Income inequality is lower than it was in 2010. In fact, it remains lower than at any point under the last Labour Government. The Gini coefficient, which is an internationally recognised measure of income inequality, is now 3% lower than in 2010. Since my autumn statement in 2016, we have increased the tax contributions of the highest earners while those on the lowest incomes have gained overall.

[Derek Twigg (Halton) (Lab)]

The problem is in constituencies like mine, which is one of the most deprived in the country, where more and more people are having to go to food banks. What is the Chancellor doing, in terms of the economic development of the country, to ensure that we get better-paid jobs, especially in places that are severely deprived such as Halton?

[Mr Hammond]

The hon. Gentleman makes an absolutely correct point. In the long run, higher wages can be delivered only through increased productivity. That means investment in infrastructure, investment in skills and training, and investment in research and development—with both public funding and tax incentives for private funding—and it means ensuring that capital is available for businesses to invest in the equipment that will raise the productivity of their workers. The Government’s ambition is for a high-wage, high-skill economy, and we are investing to deliver that.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Tuesday 28th February 2017 Commons Chamber

[Mr Hammond]

We have received the Hendry review report and we are considering the merits of the Swansea Bay tidal lagoon project, including discussions with the Welsh Government.

[Derek Twigg (Halton) (Lab)]

Does the Chancellor believe that the balance of infrastructure spending between the north and the south-east is fair?

[Mr Hammond]

First, I should say that the Government are committed to addressing infrastructure needs across the UK. We will look at how best to use the available infrastructure funds based on the value for money of the projects that are brought forward, and different regions of the country will receive different allocations according to the projects that are available for development. The hon. Gentleman’s constituency has done well out of infrastructure funding.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Tuesday 25th October 2016 Commons Chamber

[Derek Twigg (Halton) (Lab)]

What is the Chancellor’s assessment of the effect of inflationary pressures on the prices of goods and food over the next 12 months?

[Mr Philip Hammond]

Clearly, the decline in the value of sterling will have an inflationary impact. How quickly that passes through into the UK economy is a subject of modelling by all economists who carry out these types of analyses. The Bank of England will very shortly be publishing its next inflation report, and that should give an indication of the forward trajectory.

Libya

Debate between Lord Hammond of Runnymede and Derek Twigg

Tuesday 19th April 2016 Commons Chamber

[Mr Hammond]

My hon. Friend, as so often, asserts as fact that there “can be no doubt” on something that is deeply contentious, and I very much take issue with him. The situation in Libya is very difficult and the situation post-2011 was very messy, but countries in many parts of the world do not function as Britain or Switzerland do, and we have to deal with the real situation on the ground. We should look to the future. We should be positive about this potentially affluent country regaining stability and being able, once again, to function as an effective state, allowing the Libyan people to get on with their business. There is a weariness after five years and a growing sense that, if a properly devolved form of government can be established that co-opts the various militias and regional groupings, this can work.

[Derek Twigg (Halton) (Lab)]

What assessment has the Foreign Secretary made of the size of Daesh in Libya and its capability, and does he have any idea what its plan is? Is it going to sit tight or move outwards to try to expand into the rest of Libya?

[Mr Hammond]

Speaking from memory, I think that our current assessment—the last assessment I have seen—is that there are probably up to about 3,000 Daesh fighters in Libya, of whom a significant number would be foreign fighters. There is a generally accepted view that what Daesh is doing in Libya at the moment is very much a holding operation, seeking to hold an area of ground, possibly as a bolthole if it finds that its freedom of manoeuvre and freedom to operate is coming under intolerable pressure in Syria. There are many pointers to the fact that now is the time to move against Daesh in Libya, while its presence is still relatively thin on the ground and while its operation is very much in a holding phase.

Syria: Russian Redeployment and the Peace Process

Debate between Lord Hammond of Runnymede and Derek Twigg

Tuesday 15th March 2016 Commons Chamber

[Mr Hammond]

The relationship between President Assad and President Putin is a subject of great speculation among colleagues on the International Syria Support Group circuit, but I am clear that the situation is the same as it has always been. I have said this in the House before. President Putin could have ended all this years ago by a single phone call to President Assad, offering him some fraternal advice about his future health and wellbeing.

[Derek Twigg (Halton) (Lab)]

I agree with the Foreign Secretary that we should be cautious about these latest developments, but does he believe that Assad is now in a stronger position than he was six months ago?

[Mr Hammond]

In military terms, certainly. The Russian intervention has prevented the collapse of regime forces, has restored morale among regime forces, has allowed the regime to take ground, consolidate positions, move forces around in a strategically significant way, and has damaged and demoralised opposition groups. There is no doubt at all about that. If there is a genuine withdrawal of Russian air cover, the question is how long that improvement can be sustained, because we know that the Syrian regime forces are fundamentally hollowed out after five years of civil war, and without the Russians there to stiffen their spine it is not clear how long they will be able to maintain the initiative.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Tuesday 23rd February 2016 Commons Chamber

[Mr Hammond]

There is clearly a risk that as Daesh is militarily defeated in Iraq and then in Syria, the embryonic Daesh presence in Libya, particularly around Sirte, could become a new base for operations just 100 miles off the coast of Europe. That is why we are working with our partners and allies to encourage the formation of a Libyan Government of national accord that we can work with to start stabilising the country and pushing back on the Daesh footholds in Libya.

[Derek Twigg (Halton) (Lab)]

Further to the last question, can the Foreign Secretary say how far ahead we are in bringing about that co-ordination and establishing a stable authority in Libya to take on Daesh? We have seen recently an increase in Daesh activity, and there is still a lot of disconnect between the different bodies in Libya. Will he give us a bit more information about what progress is being made?

[Mr Hammond]

There is progress being made among European partners and with the US on preparing the kind of support we could give to a Government of national accord in Libya when and if one is formed. The problem is that several months after we first expected that to happen, the Government have still not been formed. We are working very closely with the parties in Libya and with the regional powers who have influence, particularly Egypt, to encourage Prime Minister Siraj to take the necessary steps to get that Government formed and approved so that we can engage. There is a strong commitment by the European partners to engage once that Government have been created.

Afghanistan

Debate between Lord Hammond of Runnymede and Derek Twigg

Tuesday 9th September 2014 Commons Chamber

[Mr Hammond]

I should first say that Admiral Stavridis’s comments, as my hon. Friend very well knows, were made in the context of a much higher total number that he was then bidding for to the Pentagon and other ISAF partners. The force that we leave behind will be focused around the training force in the Afghan national army officer academy, the life support troops working with them, the force protection element around that, and a detachment of engineers to support the small helicopter lift capability that we will need to retain in order to get people safely in and out of the officer academy. We are confident that that self-contained force will be adequate for the purposes we have set out.

[Derek Twigg (Halton) (Lab)]

The Foreign Secretary is aware of my concern about the early withdrawal of international forces from Afghanistan given the continuing economic, political and security instability. Does he, on reflection, still think it was the right thing to do to withdraw troops this early?

[Mr Hammond]

Yes, I do. When the original announcement of the decision to end the ISAF combat mission in December 2014 was made, lots of people said that the ANSF would never be ready, that we could never build it up to its strength of 350,000, and that we would never be able to maintain stability on the ground. In fact, all those things have been achieved. The ANSF has built up its numbers and has demonstrated capability and commitment on the ground. In a sense, the ISAF draw-down has been a forcing mechanism for the Afghan Government, the Afghan people and the Afghan national security forces, and it leaves them stronger as a consequence.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Monday 14th July 2014 Commons Chamber

[Mr Hammond]

It is important to note that the failure of the Iraqi security forces was a failure of political coherence, not a failure in combat. Where they engaged in combat, they performed adequately. It was where they failed to engage at all that the problem arose. We expect to have far better situational awareness in Afghanistan, because of the continuing engagement through Operation Resolute Support in that country.

[Derek Twigg (Halton) (Lab)]

The Secretary of State will be aware of recent reports that areas such as Sangin, Now Zad and Musa Qala have fallen into the hands of the Taliban or the insurgents. Are those reports correct?

[Mr Hammond]

I think I said to the hon. Gentleman the other day that there has been combat in that area of northern Helmand and that the Taliban did take some ground from the Afghan national security forces. However, the ANSF rapidly regrouped, and almost without any support from the international security assistance force retook the towns in question. The ANSF are now in effective control of those towns on the ground. The Taliban attack has been defeated. That is not to say that the ANSF are not prepared for a further assault by the Taliban. This area of Helmand is by far the most kinetic in Afghanistan. It is a very dangerous area still, and it will be for the foreseeable future.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Monday 12th May 2014 Commons Chamber

[Mr Hammond]

Once the UK forces have drawn down from the combat role in Helmand, we will still have a small security team, largely composed of civilian contractors, based in Kabul. We will work closely with the Foreign Office and DFID to ensure that their officials and the civilian contractors whom they employ in the ongoing aid effort, are properly protected.

[Derek Twigg (Halton) (Lab)]

On Pakistan, will the Secretary of State tell the House what discussions he has had recently with the Americans and other allies about how we can provide ongoing support to Pakistan to ensure a secure and safe border and that it is able to deal with insurgents and Taliban on its side of the border?

[Mr Hammond]

The UK has a close military-to-military relationship with Pakistan. When I met Prime Minister Sharif recently, I was able to reassure him about our intentions to continue in particular the excellent counter-IED work that we are doing with the Pakistan army and the Pakistan civil defence and police authorities. IEDs claim a huge toll in Pakistan, and that work is seen by the Pakistanis and ourselves, and by the Americans and the Danes—both of which countries intend, I understand, to contribute to our future programme—as key to Pakistan’s future.

Afghanistan

Debate between Lord Hammond of Runnymede and Derek Twigg

Monday 10th February 2014 Commons Chamber

[Mr Hammond]

As I have made clear, we are very committed to protecting that heritage, but we can do so only with the co-operation of the Afghans in the form of a status of forces agreement, which will allow us to have a continuing presence and to make the continued financial contribution we have agreed to support the Afghan state in future.

I am happy to join my right hon. Friend in his tribute to all three services, and in his welcome tribute to those who labour behind the scenes in the incredibly complex logistics operation. Many Members of the House will, in one guise or another, have had the opportunity to see the scale of the operation at Camp Bastion. Anyone who has seen it will understand how integral the ability to take tens of thousands of tonnes of matériel that far away and sustain it in a war theatre is to our military capability.

[Derek Twigg (Halton) (Lab)]

It is worrying that, as the Secretary of State has made clear, senior commanders did not have the situation under control in Sangin to such an extent that joint patrols took place with the Taliban. Are the Taliban and/or the insurgency network pushing out or defeating the Afghan security forces in any other parts of Afghanistan?

[Mr Hammond]

I should make it clear to the hon. Gentleman that I am not sure whether it has been established that there was anything that could be called a joint patrol. The reality in Afghanistan is that some areas are not controlled by the Government and are under the control of the Taliban. Where there is such an interface, either it can be dynamic, with continuous fighting, or there can be some kind of understanding that allows it to be stable and for the boundary to be recognised. My interaction with senior Afghan commanders and political leaders reassures me that they do not recognise any arrangements such as those he describes, and that they have taken steps to ensure that nothing that could be misinterpreted as a joint arrangement on the ground will happen in future.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Monday 3rd February 2014 Commons Chamber

[Mr Hammond]

I am glad to tell my hon. Friend that we have been able to advance the Crowsnest airborne early-warning capability project as a result of prudent management of the MOD’s equipment programme, so that we will have the full operating capability available when the aircraft carriers go into service.

[Derek Twigg (Halton) (Lab)]

May I refer the Secretary of State back to his Munich speech? He has used the term “time-limited”. Will he tell us what he means by that? He must be aware of the military maxim that no plan survives contact with the enemy.

[Mr Hammond]

The hon. Gentleman is absolutely right. Let me tell him what I had in mind. The French have recently conducted a limited operation in Mali; it was limited in time and in scope, and they have been able to carry public opinion with them on that. We are going to have to recognise, in the face of sceptical public opinion about engagement, that some of the engagements we might wish to propose will need to be quite specifically limited in time and scale in order to gain public assent.

IT Systems (Army Recruitment)

Debate between Lord Hammond of Runnymede and Derek Twigg

Tuesday 14th January 2014 Commons Chamber

[Mr Hammond]

No, I did not. It is Atlas that has failed to deliver an IT platform that Capita can utilise effectively.

To answer the question of the hon. Member for Colchester (Sir Bob Russell), just under 1,000 personnel are involved. Some of them have been surged into front-end recruiting and are acting as military recruiters on the ground, and others are providing manual support for administrative tasks that should be, and ultimately will be, carried out by the IT platform.

[Derek Twigg (Halton) (Lab)]

Not long after the Secretary of State visited Upavon, it was visited by a number of members of the Defence Committee, including me. It was clear that there had been problems for quite some time. The Capita representatives said that there was no reality in what they were being asked to deliver. When did he and his Ministers first become aware that there was a serious problem with the project?

[Mr Hammond]

As I said earlier, in early summer last year, it became clear that there were problems in integrating the Capita processes with the Atlas IT platform. It was when I visited Upavon in October that I formed the conclusion that there was no way of resolving the Atlas problem, and that we had to revert to the Capita option and place the integration challenge back with Capita to deliver a platform and a process.

Reserve Forces

Debate between Lord Hammond of Runnymede and Derek Twigg

Wednesday 3rd July 2013 Commons Chamber

[Mr Hammond]

I am grateful to my hon. Friend and repeat the congratulations expressed by my right hon. Friend the Member for North East Hampshire (Mr Arbuthnot) on his work in this area as a member of the independent commission, a tireless advocate of the reserves and a giver of good advice over a long period on a complex issue. I am grateful to him for his endorsement, as he is one of the significant number of people in this place who understand the reserves and what the debate is all about.

[Derek Twigg (Halton) (Lab)]

I would be grateful to know why the Secretary of State proposes to close the Widnes site in my constituency. Halton has 125,000 people and I would love to know the logic behind that decision. However, my question is as follows. Is not the Secretary of State missing the point? He tells us that he wants massively to increase the recruitment of reservists, but at the same time he is closing down a number of centres around the country. How is that logical and how does it make any sense whatsoever? He particularly makes the point that he wants to recruit ex-members of the armed forces. Halton is one of the best recruiting areas for the armed forces in the country, so why would he want to close down the TA centre?

[Mr Hammond]

Even in conurbation where there are numbers of TA bases, in some cases it has been necessary to consolidate them to reach critical mass and to provide the training offer that we have committed to deliver to reservists. I should explain to the House that the TA, as structured by the previous Government’s review in 2007, had an established strength of 36,500. It never resourced that and never recruited up to that strength. We are doing two things today. We are setting out a structure and basing laydown that will work for Future Force 2020 with a force of 30,000, but we are also dealing with the overhang of a hugely over-ambitious and underfunded proposition that the previous Government put in place in 2007.

Operation Herrick

Debate between Lord Hammond of Runnymede and Derek Twigg

Tuesday 14th May 2013 Commons Chamber

[Mr Hammond]

I am grateful to my right hon. and learned Friend and should emphasise that our intention and objective is still to compete the draw-down by the end of 2014 if we can. We will certainly make every effort to do so that is consistent with proper force protection and the good order of our forces. However, today’s announcement gives us the flexibility to keep small numbers, primarily of logisticians, in Camp Bastion beyond the end of 2014 if they are needed to complete that draw-down.

[Derek Twigg (Halton) (Lab)]

There is obviously a difference between those who serve in the rear echelon at Camp Bastion and so on, who are important to the whole operation, and those who go outside the operating bases on to the front line. Does the Secretary of State envisage that personnel will be continually asked to do that throughout the whole of their deployment? In particular, what will happen to the medical teams that are sent out to Camp Bastion?

[Mr Hammond]

It is not our expectation that we will continue routinely to patrol outside the main operating bases beyond the end of this year. By then, we expect to be operating from only four main operating bases, and troops will routinely be operating within those bases. Of course, they will have to retain the ability to go out in support of the Afghans if that is necessary. We intend to maintain the role 3 hospital at Camp Bastion right through to the end of the operation.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Monday 25th February 2013 Commons Chamber

[Derek Twigg (Halton) (Lab)]

15. What assessment he has made of the likely defence budget post-2015.

[The Secretary of State for Defence (Mr Philip Hammond)]

The defence budget for the financial year 2015-16 will be set in the current spending round, which is expected to conclude in the summer. The budget for subsequent years will be set in the next spending review. The Ministry of Defence has an agreement with Her Majesty’s Treasury that we may plan on the assumption of a 1% real-terms annual increase in the equipment budget—about 40% of the current defence budget, rising to 45%—from 2015-16 to 2020-21. Our equipment plan, which we recently published, is based on that assumption.

--- Later in debate ---

[Mr Speaker]

Order. Both the question and the answer are hopelessly long-winded; we need to get better.

[Derek Twigg]

The Prime Minister promised real-terms growth in the post-2015 budget. Can the Secretary of State confirm that that will still be the case for the equipment budget and the non-equipment budget?

[Mr Hammond]

The Prime Minister has made it clear that he stands by his view that the equipment plan budget needs to increase in real terms, and we have a pledge from Her Majesty’s Treasury that we may plan on the assumption of a 1% real-terms increase. Our planning assumption is flat real-terms growth for the remainder of the budget.

Afghanistan

Debate between Lord Hammond of Runnymede and Derek Twigg

Wednesday 19th December 2012 Commons Chamber

[Mr Hammond]

Of course, we retain flexibility in our plans, but I would not wish to mislead my hon. Friend: our clear intention is to end our combat operations by the end of 2014, along with the rest of our ISAF partners. By setting that clear target, we have set the Afghans a target and all the evidence is that they are stepping up to the plate with alacrity and delivering on—indeed, exceeding—our expectations of their ability to respond to that challenge.

[Derek Twigg (Halton) (Lab)]

As Pakistan has a key role to play in any peaceful solution for Afghanistan and the Secretary of State has mentioned increased engagement, what evidence does he have of reduced involvement from certain sources in Pakistan, particularly the security services, in helping and sheltering insurgents and the Taliban?

[Mr Hammond]

As the hon. Gentleman knows and as we have discussed in this House before, the situation in Pakistan, particularly in the federally administered tribal areas, is extremely complex, as is the engagement of the Pakistani intelligence agency in activities there. We are seeing a clear political direction from the Pakistani civilian Government towards engagement and constructive working with the international community and Afghan partners, but we are also seeing a clear indication that the military are now thinking hard about where Pakistan’s long-term interests lie. They know that there are only two years left of ISAF combat presence in which to sort this out and they are engaging with international partners and the Afghans in a much more constructive way than we have seen for many years.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Monday 26th November 2012 Commons Chamber

[Mr Hammond]

Our intention is to extract all equipment whose value to the armed forces is greater than the cost of extraction and recuperation. We hope to be able to use the southern route overland via Pakistan and we are also negotiating northern lines of communication through Uzbekistan, Kazakhstan and Russia, but in extremis we have the capacity to bring equipment out by air.

[Derek Twigg (Halton) (Lab)]

One of the key factors in ensuring a secure Afghanistan is, of course, the position of Pakistan, whose security services have given help to the insurgents and the Taliban over recent years. Will the Secretary of State update the House on what he thinks the latest position is with regard to the help and support given to the Taliban and insurgents by Pakistan’s intelligence services?

[Mr Hammond]

I am glad to say that relationships between Afghanistan and Pakistan are improving significantly. The recent visit of the High Peace Council to Islamabad marked an important step forward in building collaborative relationships in the region. Both countries understand the threat that the Taliban and other insurgent organisations pose to their security, as well as the benefits of collaboration in dealing with that threat. We are making significant progress, but the hon. Gentleman will know that Pakistan is not a simple country, that the situation is complex and that the issue will require a lot of effort for many years to come.

Afghanistan (NATO Strategy)

Debate between Lord Hammond of Runnymede and Derek Twigg

Tuesday 18th September 2012 Commons Chamber

[Mr Hammond]

Of course my right hon. Friend is absolutely right: this is the crucial message that needs to be sent to the insurgents. As I said yesterday, the stepping up of these insider attacks is, in fact, a reflection of the success of partnering and mentoring operations. The insurgents’ key fear is that as we withdraw from combat operations we leave behind competent and capable Afghan national security forces who will continue to contain their ambitions. That is what they fear, and that is what they seek to attack in mounting those types of attack, and that is what we will continue to resist.

[Derek Twigg (Halton) (Lab)]

I am afraid that the muddled response to this fits in with the muddled strategy on Afghanistan. May I ask the Secretary of State a clear question? What advice has he received from commanders on the ground and in this country about whether the level of partnering should be reviewed, reduced or kept the same?

[Mr Hammond]

As I said in my statement, the amount of partnering will steadily reduce with the transition to Afghan lead, then Afghan sole control. As a matter of fact, it has been reducing. [Interruption.] I can tell the hon. Gentleman that over the past few days, before that ISAF order was issued on Sunday, UK commanders had already reviewed—I discussed this with them when I was in theatre on Thursday—the activities of British forces to make sure that any unnecessary contact with Afghans was withdrawn during this sensitive period. We are flexible and cognisant of the broader atmosphere. We will take all steps necessary to minimise the risk to our forces consistent with maintaining the key strategy of partnering and mentoring to build up ANSF capability.

Afghanistan (Force Protection)

Debate between Lord Hammond of Runnymede and Derek Twigg

Monday 17th September 2012 Commons Chamber

[Mr Hammond]

My right hon. Friend is ignoring the realities of the situation on the ground. UK trainers and mentors have a dual role with Afghan forces. Not only do they enhance the preparedness of those forces, they act as a bridge to enablers such as indirect fire, and helicopter and medical support, which are still necessarily provided by ISAF forces. We have a clear plan to draw down our engagement over two years, and we are steadily withdrawing from combat. To give my right hon. Friend an example, at the beginning of the current six-month tour, we operated 81 separate patrol bases, checkpoints and forward operating bases in Helmand province. That number is now down to 34. We are withdrawing quite quickly from the combat role, but we have a job to do and we will carry on doing it.

[Derek Twigg (Halton) (Lab)]

Is this not an example of the folly of giving the enemy notice of when we are going to withdraw before reaching a political solution? I have a specific question for the Secretary of State: was there any evidence of inside help for the insurgents who attacked Camp Bastion, particularly from Afghan nationals?

[Mr Hammond]

There is no evidence of inside support, but the insurgents clearly had knowledge of the lay-out of Camp Bastion and its flight line area, and that will be one of the key issues that the inquiry under General Bradshaw will be pursuing.

West Coast Main Line

Debate between Lord Hammond of Runnymede and Derek Twigg

Monday 17th September 2012 Westminster Hall

[Mr Hammond]

The hon. Lady comments from a sedentary position. She is quite right; she did not suggest that, but a number of her colleagues did. It is not a new way of doing things, provided that as soon as Ministers return to the House, they make a written ministerial statement. Following the announcement on 15 August, on the first possible date thereafter—3 September—my right hon. Friend the Member for Chipping Barnet took the opportunity to make a written ministerial statement to the House.

After the announcement, the Department received a legal challenge to the procurement from Virgin Trains Ltd, which had bid unsuccessfully. I intend to try to answer as many questions as possible, but I do not need to be reminded—I am sure that hon. Members do not either—that in cases where there is a legal challenge, it is difficult to answer all the questions that may be asked. As I said earlier, if I appear reticent, it is not any wish not to be transparent, but simply that when matters are subject to the judicial process, it is impossible to make broader comment.

It is right and proper, and the Department believes so, that our choices regarding new franchises and value for money for the taxpayer are subject to scrutiny by Parliament. However, there is a right and proper time for that to take place.

Many hon. Members paid tributes, quite rightly, to Virgin Group. Sir Richard Branson and Virgin have made an undeniable and tremendous contribution to UK rail. Let me try to assure hon. Members that the winning bid offers significant benefits to passengers. First West Coast Ltd has contracted to introduce 11 new electric trains of six carriages from December 2016. That will mean an extra 12,000 seats a day for passengers. First has also committed to retaining and fully refurbishing the trains already in the fleet.

In the speech by the hon. Member for Halton, his colleague the hon. Member for St Helens North (Mr Watts), who is not currently in his place, made a point about the leasing of trains. The short answer to his question is that commitment to lease trains is in the franchise agreement. To remove any part of the train fleet, the Secretary of State’s consent is required. I hope that that clears up that issue.

Subject to the approval of the Office of Rail Regulation, First will take advantage of the increased flexibility in the contract to introduce a number of new services from London Euston to Blackpool, Bolton, Telford Central and Shrewsbury. It will also introduce ITSO-based smart ticketing, which will benefit users across the country, bringing the sort of freedom that we have already seen in London with the Oyster system. It will not have escaped the attention of hon. Members that in its bid, alongside that investment, First West Coast Ltd has committed to reduce standard anytime fares by on average about 15% over the first two years.

There have been a number of questions on staff and morale. I reassure hon. Members that, as with previous franchise transfers, existing employees, including drivers, guards and back-office staff assigned to the part of the organisation transferred to First West Coast Ltd, will be protected by TUPE regulations. FirstGroup has also given a commitment to continued investment in front-line staff.

I reassure the hon. Member for Ynys Môn that all bids were assessed independently for deliverability, and all bids were assessed as deliverable. The Department believes that the winning bid is deliverable, provides value for money for taxpayers and passengers, and capitalises on the £9 billion already invested in the west coast main line and the £18 billion the Government are continuing to invest.

None the less, as the hon. Member for Garston and Halewood said, the Government can learn lessons from the mistakes of previous Governments on handing back keys and the failure of certain people on the east coast main line to deliver. There have been several comments on the procurement process, and we are acutely aware that we need to ensure we learn lessons from past franchise failures. In designing the franchise, some of those comments and recommendations, particularly the Public Accounts Committee’s recommendations, following the failure of the east coast main line have been taken into account. We therefore required First West Coast Ltd to provide a third party-backed guarantee, the largest guarantee ever required.

We have also removed the cap and collar system that was in place for the east coast franchise and introduced a GDP support mechanism—a question was asked about that. Indeed, the mechanism supports the Government because there is protection whether GDP goes up or down. I will happily write to the hon. Member for Halton with the full details of that mechanism when I am able to do so.

[Derek Twigg]

I do not want to pursue the matter for too long, because time is short. If the Government’s projections for GDP, which the bids were based on, is low—the Minister has not said whether one bidder put in a lower projection, despite the Government’s figures—will the Government have to give money back to the successful bidder?

Army 2020

Debate between Lord Hammond of Runnymede and Derek Twigg

Thursday 5th July 2012 Commons Chamber

[Mr Hammond]

General Sir Nick Houghton, who headed the reserves review and is managing the ongoing work, has consulted SaBRE and all other interested parties, and continues to do so, but I will be frank with my hon. Friend: it will be hardest to recruit from among small and medium-sized employers, because public sector and large corporate employers are much better able to offer the flexibility that reservists need, and much better able to see the benefits of having reservists in their employment. There is also considerable potential among the self-employed—people who perhaps carry out consultancy work—with the offer of much more predictable periods of training and deployment, which would enable them to plan for those deployments as part of their self-employed career. We will seek to recruit from SMEs but it will be the most difficult part of the ask.

[Derek Twigg (Halton) (Lab)]

Today is a dark day for the Army and the country’s ability to project sufficient force around the world in its national interests. I wish to ask the Defence Secretary a specific question about the reservists. He said that we will have enough in place by 2020—30,000, according to his written statement—but what if we do not? Has his Department done a risk assessment, and if so will he publish it?

[Mr Hammond]

The intention is to have a 30,000-strong trained reserve in place by 2018, but clearly much of what we do, including building up a trained reserve to 30,000, has risks attached. However, the management of risk is the everyday business of the Department and the Army, so of course we will have considered the risks and how to manage them. I am not sure whether I will publish the risk assessment.

[Derek Twigg]

Why not?

[Mr Hammond]

Because risk assessments and registers are useful business tools, provided they can be used internally as business tools—as soon as they become public documents, they no longer serve their essential purpose. But I will consider the hon. Gentleman’s question and write to him with a fuller answer.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Monday 11th June 2012 Commons Chamber

[Mr Hammond]

As my hon. Friend says, we live in a very uncertain world and the threats are changing, and technology also is changing very rapidly. Precisely for that reason, we have kept £8 billion-worth of headroom in the equipment programme, rather than allocating every last penny of it, as was the practice in the past. Too often in the past, we have had to cancel or abandon expensive commitments in order to respond to changes in technology or threat. We should not be in that position in future.

[Derek Twigg (Halton) (Lab)]

In terms of the budget and the impact on armed forces personnel, what is the Secretary of State’s policy on service personnel who have lost a limb or have other disabilities staying in the armed forces? Has an across-the-board decision been taken that anyone who has lost a limb will have to leave, or is it down to individual circumstances or commanding officers?

Carrier Strike Capability

Debate between Lord Hammond of Runnymede and Derek Twigg

Thursday 10th May 2012 Commons Chamber

[Mr Hammond]

I knew my right hon. and learned Friend would get that in somewhere, but I thank him for his question. In the interest of tri-service harmony, I should make it clear that responsibility for the aircraft will be a combined responsibility of the Royal Navy and the RAF.

My right hon. and learned Friend refers to the Harrier question. Perhaps I need to remind him that it was the previous Government who sealed the fate of the Harrier in 2006, when they scrapped the Navy’s FA2 Sea Harriers, leaving only the ground attack version; and then in 2009 cut the size of that fleet, so that by the time of the SDSR in 2010 the fleet was simply too small to sustain operations in Afghanistan, never mind in Libya as well. We therefore had to take the difficult decision to end the Harrier’s service with the Royal Navy in order to sustain the Tornado, which continues to serve in Afghanistan and which acquitted itself so well in Libya.

[Derek Twigg (Halton) (Lab)]

I agree that the Secretary of State has made the right decision, particularly given the current financial climate, but I want him to clarify a comment he made. He said that the option of cancelling the carrier programme was not open to him. If it had been open to him, would he have cancelled it?

[Mr Hammond]

The SDSR in 2010 considered the possibility of cancelling the second carrier, to deal with the huge budget challenges we inherited, but the terms of business agreement was such that cancelling the carrier at that point would have cost more than delivering it.

Afghanistan (Troop Levels)

Debate between Lord Hammond of Runnymede and Derek Twigg

Thursday 26th April 2012 Commons Chamber

[Mr Hammond]

There is good news on the Kajaki dam project. I am trying to find the exact details in rapid time, but I am afraid that I cannot. Further equipment has been installed at Kajaki—I was briefed on the project during my visit to Afghanistan a couple of weeks ago—but I will write to my hon. Friend and place a copy of the letter in the Library.

[Derek Twigg (Halton) (Lab)]

If the Secretary of State receives advice by 2014 that the security situation has not improved to the extent that is envisaged or has deteriorated, or that the Afghan Government do not believe that their security forces can take on the security role that is envisaged, will the combat role continue after 2014?

[Mr Hammond]

We are very clear that United Kingdom forces will not be in a combat role after 2014. We have to bring this engagement to a close. It was a measured decision to fix December 2014 as the end of combat operations. We are highly confident about the level of development of the ANSF.

I say to the hon. Gentleman that there is no example in history of an insurgency being effectively and sustainably defeated by foreign troops. It has to be local forces that sustainably defeat an insurgency. That is the path on which we are embarked in Afghanistan.

Afghanistan

Debate between Lord Hammond of Runnymede and Derek Twigg

Tuesday 18th October 2011 Commons Chamber

[Mr Hammond]

I completely agree with my hon. Friend. It is important that all Afghanistan’s neighbours are engaged in the process and that none of them should feel threatened by it.

[Derek Twigg (Halton) (Lab)]

To follow on from the excellent question asked by the Chairman of the Select Committee on Defence, if the Government are to meet their deadline of coming out by 2014—in other words, if we assume that the insurgency will be well under control and that the Afghan national army and police can deal with it—it will be crucial for the Pakistani security services to be in a much better position in terms of the co-operation that they give than they are now. I know that the Secretary of State has been in the job only a short time and that he may want to write to me, but can he give an assessment of whether the situation of the Pakistani security services helping the Taliban and other extremists has got better or worse in the past six months?

[Mr Hammond]

The hon. Gentleman will, I hope, forgive me if I say that from what I have seen so far, this is an incredibly complex and sensitive area. I would rather study it a little further before writing to him, if he does not mind.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Thursday 5th May 2011 Commons Chamber

[Mr Hammond]

As my hon. Friend will have anticipated, I specifically had passengers in Wiltshire in mind when we designed our franchising proposals. The key thing is to drive down the cost of our railways. We have to make them more efficient, and we have to close the productivity gap between them and competitive railways in Europe to relieve the pressure on both the taxpayer and the fare payer. The changed franchise specifications will give train operators incentives to drive down costs—something that, frankly, they have not been incentivised to do under the current system.

[Derek Twigg (Halton) (Lab)]

The Secretary of State made a point about less prescriptive service requirements, but will he give a guarantee that stations such as Runcorn mainline station and Widnes station in my constituency, which have seen a significant increase in passengers in the past five years, will not, as a result of his reform of franchising, have a reduction in the number of stopping trains?

[Mr Hammond]

I understand the hon. Gentleman’s point, and our intention is to maintain services while creating sufficient flexibility at the margin to allow franchisees to operate their businesses in a way that makes them more efficient. That is a complex balancing act. Nobody wants train services to be reduced as a consequence, but if we are absolutely prescriptive about the timetable, down to officials detailing the precise time of every train stop at every station, the scope for improving the efficiency of our railways will be severely limited. It is a balancing act, and we are determined to get it right.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Thursday 28th October 2010 Commons Chamber

[Mr Hammond]

As I said when I made my statement on Tuesday, we have sought to take some hard decisions, and some of the schemes that were being taken forward by the Highways Agency had no realistic prospect of being funded in this spending review period or the next one. In those circumstances, I have taken the view that it would be wrong to continue to spend money on development of a scheme which is unlikely to be built in the foreseeable future, and therefore the scheme had to be cancelled. I am sorry to have to disappoint my hon. Friend.

[Derek Twigg (Halton) (Lab)]

I am grateful to the Secretary of State and the Chancellor for their support for the Mersey Gateway. However, construction can start only if funding is in place and we know when that will be released. May I ask the right hon. Gentleman the same question that I asked him on Tuesday? Subject to agreement on funding in January, as per his report, can he tell us if construction will begin before 2015? In other words, will the money be released to allow construction to begin before 2015?

[Mr Hammond]

I can tell the hon. Gentleman that the money will be released for construction to begin before 2015. Of course, this is a local authority-led project, so the local authority will ultimately determine how quickly the project can proceed, but both the capital allocation sum that we have made available and the private finance initiative credits will be released for use before 2015.

Transport (Investment)

Debate between Lord Hammond of Runnymede and Derek Twigg

Tuesday 26th October 2010 Commons Chamber

[Mr Hammond]

The Department uses a set of criteria wider than simply measuring the benefit-cost ratios—monetisable benefits currently add up to exactly 50% of the weight in the multi-criteria analysis that we perform. We also look at wider network benefits, regional balance, the impact on economic development over a wide area, and landscape impacts and wider environmental benefits and disbenefits, so it is quite a wide-ranging scheme. Details are available on the Department for Transport website.

[Derek Twigg (Halton) (Lab)]

My question is on the funding of the Mersey Gateway between Runcorn and Widnes. It would be useful if the Secretary of State said whether he has determined the planning application, because the project depends on that as well, but my specific question is about the fact that he said in the statement that funding would be agreed in January. Does that mean that Halton borough council will be given funding to start work before 2015, and what savings is he looking for? A crucial element of this is tolls, which clearly must be at an acceptable level. We must remember that the current bridge is untolled and is a local road, so there is no scope for further income from tolls. There must be support from the Government through the funding arrangements.

[Mr Hammond]

I welcome the hon. Gentleman’s comments. I have followed the scheme with particularly close interest, because it is a very innovative proposal by a local authority. It is a very big scheme for a local authority to propose, and it proposes to toll an existing road—never an easy thing to do in terms of local public opinion, so I commend it for being prepared to take difficult decisions. But with all the schemes that we have said today we will support, it is only appropriate that we sit down with local authorities, go through the numbers, go through the specifications and see whether there is any more cost to be driven out. Some schemes are sitting in the Department’s books with an estimate of costs that was made in 2007. A lot has changed in the contracting market since then, and we want to ensure that right the way down the supply chain everyone is feeling the pressure that we are feeling as public spending is constrained—that we get the very best value for every pound of taxpayers’ money. We will work with the local authority to ensure that that is the case.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Derek Twigg

Thursday 17th June 2010 Commons Chamber

[Mr Hammond]

I can tell my hon. Friend that we will be happy to consider proposals from local authorities and the Highways Agency for improvements, but he will understand that they will be affordable only once the deficit has been eliminated.

[Derek Twigg (Halton) (Lab)]

A few moments ago, the Secretary of State said that one of the key priorities was supporting economic growth. How does suspending the decision on the Mersey Gateway project help economic growth in Merseyside and Cheshire, particularly given the support from the Conservative councils in Cheshire? And he should not give us that nonsense about a black hole in the finances.

[Mr Hammond]

If the hon. Gentleman thinks that the black hole in the finances is nonsense, he needs to go back and do a little more homework. It is the most serious problem facing our country today and the most urgent challenge for this Government. However, let us be clear about the Mersey Gateway project. All we have done is suspend the progress of the scheme until after the current spending review is completed. We believe that it would be wrong to encourage or allow local authorities to incur significant additional expenditure on a large number of projects when some of them clearly may not be able to proceed on the original timetable.