Oral Answers to Questions Debate

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Department: Department for Transport

Oral Answers to Questions

Stephen Hammond Excerpts
Thursday 10th July 2014

(9 years, 9 months ago)

Commons Chamber
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Charlie Elphicke Portrait Charlie Elphicke (Dover) (Con)
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3. What assessment he has made of the economic effect of high-speed rail services to Kent.

Stephen Hammond Portrait The Parliamentary Under-Secretary of State for Transport (Stephen Hammond)
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The Department for Transport is currently undertaking an economic evaluation of High Speed 1, covering transport user benefits, wider economic impacts, regeneration, and Government shareholdings and assets. That evaluation is planned to be completed this summer.

Charlie Elphicke Portrait Charlie Elphicke
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I thank the Minister for that answer, and I welcome the announcement of the full extension of HS1 to Deal, Walmer and Martin Mill in my constituency, and the benefits that that will bring to the local economy. Will he give an idea of the similar benefits that might be provided by HS2?

Stephen Hammond Portrait Stephen Hammond
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It is only fair for me to recognise the extraordinary efforts of my hon. Friend in ensuring that high-speed rail comes to Deal. I also recognise the extraordinary efforts of my hon. Friend the Member for Hastings and Rye (Amber Rudd), who is making the same case. HS2 will make an important contribution to securing prosperity across the country. It will generate jobs and rebalance the economy, and our estimates suggest that there will be more than £70 billion of benefits, including £53 billion of benefits to business.

Barry Sheerman Portrait Mr Sheerman
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That’s £80 billion of wasted taxpayers’ money.

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Tom Greatrex Portrait Tom Greatrex (Rutherglen and Hamilton West) (Lab/Co-op)
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5. When he last used the Caledonian sleeper service for travel in an official capacity.

Stephen Hammond Portrait The Parliamentary Under-Secretary of State for Transport (Stephen Hammond)
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My right hon. Friend the Secretary of State for Transport has not yet used the service in an official capacity, but plans to do so shortly. My noble Friend the Minister of State, Baroness Kramer, used the Caledonian sleeper service on the evening of 31 October on a visit to Scotland. The Caledonian sleeper service is part of the ScotRail franchise, which is the responsibility of the Scottish Government.

Tom Greatrex Portrait Tom Greatrex
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By my reckoning, there are at least four Members in their place this morning who are regular users of the sleeper service. When the Minister’s right hon. Friend the Secretary of State has the opportunity to use the sleeper service soon, he will, I am sure, discover that although it is not particularly high speed and he might not necessarily get that much sleep, it is a useful service. Given that the UK Government, along with the Scottish Government, are part-funding significant upgrade of the rolling stock, what is the Department doing to ensure that as much of the supply chain work for the upgrade goes to UK companies?

Stephen Hammond Portrait Stephen Hammond
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As the hon. Gentleman will be aware, the Scottish Government announced in May that the winning bid for the franchise will commence next year. We want to ensure a service that not only he, but all Members, can sleep on. The rolling stock competition will lead to an upgraded rolling stock. The competition will of course be open to British companies, which are currently very successful at winning contracts across the panoply of rolling stock contracts let by this Government.

Charles Kennedy Portrait Mr Charles Kennedy (Ross, Skye and Lochaber) (LD)
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Mr Speaker, may I make it abundantly clear that those of us with a clear political conscience sleep very well indeed on the sleeper service?

Will the Minister reflect on the fact that 15-plus years ago the then passenger franchise director was seeking to get rid of sleeper services, saying that they had no commercial future? In their wisdom, the Government—I support them on this one, for once—are providing match funding of £50 million at each end, with the Scottish Government, for a massive expansion to secure the future under Serco’s new 15-year franchise. This is a vote of confidence, the like of which has not happened in the lifetime of anyone in this Parliament. Will he welcome that fact and sleep well himself?

Stephen Hammond Portrait Stephen Hammond
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I sleep well most nights, but nothing my right hon. Friend says ever fails to surprise me, either about his conscience or other matters. I am delighted to have his support on this matter. He is of course right: the sleeper service offers a unique, valued and high-profile service between Scotland and London. He is also right to say that the Government are committing to these services. The House will have noted the Prime Minister’s remarks in Cornwall last week on the Cornish sleeper service.

Tony Baldry Portrait Sir Tony Baldry (Banbury) (Con)
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May I, on my birthday, reflect that the passage of time and progress are not always the same thing? Nothing will ever equal the excitement of a child at King’s Cross station taking the night sleeper steam train to Inverness and the highlands, and waking up at Aviemore to have kippers in the restaurant car. That is one of the many joys, like all-night sittings, that younger Members will never enjoy.

John Bercow Portrait Mr Speaker
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We are always pleased to be informed of the source of the right hon. Gentleman’s excitements, whether current or historic.

Stephen Hammond Portrait Stephen Hammond
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May I wish my right hon. Friend—and my sister—a happy birthday?

I think progress will be appreciated by all younger Members. The rolling stock will ensure that they get a good night’s sleep as they are whisked swiftly to Scotland to enjoy the many benefits of that country, which must of course stay in the Union with the rest of this country.

Diana Johnson Portrait Diana Johnson (Kingston upon Hull North) (Lab)
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6. What recent progress his Department has made on provision of rolling stock in the north of England.

Stephen Hammond Portrait The Parliamentary Under-Secretary of State for Transport (Stephen Hammond)
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The Department for Transport reached agreement with Northern Rail in April 2014 to introduce four-coach electric trains that will begin operating in passenger service between Liverpool and Manchester from December 2014.

TransPennine Express also received 10 new four-coach class 350 electric trains, which will now operate between Manchester and Scotland. Since May, TransPennine Express has used the displaced diesel trains to provide an additional service every hour across the Pennines and additional capacity across the network. In relation to the TransPennine Express diesel class 170 trains that Chiltern will lease from April 2015, the Department is continuing to explore options with industry partners and is in commercial negotiations. The Department will be outlining its proposed solution later in the year.

Diana Johnson Portrait Diana Johnson
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Perhaps the Minister missed the fact that I am a Hull MP, because he did not actually mention any of the services that go to Hull. Last week there was a lot of spin about HS3 for the north, which obviously will not happen until years after 2030, so let me press the Minister on the fact that we still do not have a resolution to the rolling stock being moved from TransPennine to Chiltern Railways. Again, is it not the case that, for the north, it is jam tomorrow, but today it continues to be jams for local people on the railways?

Stephen Hammond Portrait Stephen Hammond
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The hon. Lady is wrong: the Department has identified a potential solution. We hope to be able to make a formal announcement later this summer. The decision to move the nine TransPennine Express class 170s was made by their owner. To address that, the Department is in commercial negotiations to develop a solution that is likely to see the introduction of more electric trains into the north, in addition to the 14 class 319s we have already announced, to release even more diesel units.

Martin Vickers Portrait Martin Vickers (Cleethorpes) (Con)
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The improved rolling stock that was introduced by TransPennine for Cleethorpes to Manchester services a few years ago increased patronage considerably. Will the Minister give an assurance that when the new franchise documents—the invitation to tender—are published later this year, he will specify that the highest quality of rolling stock be maintained on services out of Cleethorpes and that it will be at least the quality of the 185 units in use at present?

Stephen Hammond Portrait Stephen Hammond
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My hon. Friend is an absolute campaigner for his constituents, and he has spoken to me a number of times on this issue and on the consultation. I should say that the consultation is just that. We are viewing a number of proposals at the moment, including the remapping of certain services, but I am sure that he will wish to continue to make those points during the consultation period. When the consultation finishes, we will consider all the points made and look to specify the necessary rolling stock requirements in the invitation to tender to ensure that the best services are provided for people across the north.

Louise Ellman Portrait Mrs Louise Ellman (Liverpool, Riverside) (Lab/Co-op)
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When the Department agreed to move rolling stock from the north to Chiltern Railways, the Secretary of State said that he could not have “unreasonably” withheld his consent. As it is clear that no solution to the problem has yet been identified, under what circumstances would it have been reasonable for him to refuse to allow that move from north to south?

Stephen Hammond Portrait Stephen Hammond
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It is not often that I would dare to correct the hon. Lady, who chairs the Select Committee on Transport, but she clearly was not listening to my two previous answers. A solution has been identified. We are in commercial discussions and we will be making a formal announcement this summer.

Philip Hollobone Portrait Mr Philip Hollobone (Kettering) (Con)
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Four trains an hour leave St Pancras destined for the north of England, with rolling stock through Kettering, but only one an hour stops at Kettering, so we have only an hourly service northbound, whereas we used to have a twice-hourly service northbound. Will the Minister speak with East Midlands Trains to give us our old service back?

Stephen Hammond Portrait Stephen Hammond
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I thank my hon. Friend for his campaign on behalf of his constituents. Not only will I speak to East Midlands Trains about the issue, to ensure that his point is heard, but I am sure that he will want to catch me later to stress the point further.

Lilian Greenwood Portrait Lilian Greenwood (Nottingham South) (Lab)
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The Government’s consultation on rail services in the north proposes a number of route level changes to TransPennine Express, but is silent on Ministers’ plans for Northern Rail, even though it is clear that wide-ranging changes are envisaged. Will the Minister come clean with passengers, rule out a backroom deal and let people know what is planned for their area?

Stephen Hammond Portrait Stephen Hammond
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There is a live consultation on Northern and TransPennine at the moment, which invites views across the region on a number of proposals, including the remapping of some franchise services between the two franchises. It involves both Northern and TransPennine, and I should stress that it is a consultation, which does not finish until mid August. When it does so, we will consider all those responses. There is no question of any backroom deal.

Andrew Percy Portrait Andrew Percy (Brigg and Goole) (Con)
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Can the Minister assure us that in the consultation on the new rail franchises, he will take account of the strong campaign being run by the Scunthorpe Telegraph and the Grimsby Telegraph in respect of our desire and requirement to maintain our services through to Manchester? Can he assure us, too, that whatever changes come, we will not be condemned to the Pacer units that I have to use every week on the train back to Goole?

Stephen Hammond Portrait Stephen Hammond
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Let me give my hon. Friend two pieces of good news. First, I know he will have read the consultation document from cover to cover, so he will have noted paragraph 7.7, which states that the

“bidders will be required to include plans, either in their core proposition or as an option, which would enable the withdrawal of all Pacer units from Northern services.”

I obviously recognise the campaign of the two newspapers he mentioned, and I am aware of the campaign he has rightly put forward on behalf of his constituents. I would say to my hon. Friend, as I have said to those newspapers, which faithfully reported my words, that this is a consultation and no decision has yet been made.

John Bercow Portrait Mr Speaker
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I call Jack Dromey. Not here.

David Mowat Portrait David Mowat (Warrington South) (Con)
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8. What the estimated cost-benefit ratio is for the High Speed 2 Wigan spur.

Stephen Hammond Portrait The Parliamentary Under-Secretary of State for Transport (Stephen Hammond)
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The Department has not estimated the case for the western leg of the Y-shaped route for High Speed 2 without the Wigan spur. However, preliminary analysis undertaken by HS2 Ltd suggested that this section of the line is likely to provide benefits in the order of £1.2 billion, revenue of about £600 million, and is likely to offer very high value for money.

David Mowat Portrait David Mowat
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I have been, and remain, a strong supporter of HS2 because I believe in the transformational benefits that will occur. However, none of these transformational benefits occurs because of the line north of Manchester—it is not in the published business or in the published economic case—and the cost of this line is the better part of £1 billion, including allocated contingencies. Will the Minister confirm that he will look hard at this issue during the current consultation?

Stephen Hammond Portrait Stephen Hammond
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I welcome my hon. Friend’s support for High Speed 2, and I welcome the opportunity to lay on the line yet again that the mischievous remarks of the hon. Member for Huddersfield (Mr Sheerman), suggesting a figure of £80 billion, are completely false. I will, of course, look through the consultation, but I am sure my hon. Friend will recognise that having the Wigan spur will ensure that we can deliver some of the benefits to the west coast main line, which is why the Government believe at this stage that it offers high value for money.

None Portrait Several hon. Members
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rose

Cheryl Gillan Portrait Mrs Cheryl Gillan (Chesham and Amersham) (Con)
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Thank you, Mr Speaker. This morning, I heard of the death of Mrs Shirley Judges, one of my firm campaigners against HS2—and she was probably against the HS2 Wigan spur. She had put up a robust defence of our local environment in the Chilterns and throughout the country. The cost-benefit analyses of this Government have always been questionable, but I would like the Ministers to look very seriously at the benefits for those people who are forced to move house because of HS2 or indeed those who may be forced to move house in future because of the Wigan spur. Would it be possible to give these people a stamp duty holiday on the sale of their properties because they are being so badly affected? Finally, let me say that without people such as Mrs Judges, we would not have the strong voices that will make this project either go away or become a better project in the future.

Stephen Hammond Portrait Stephen Hammond
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I never cease to be supportive of my right hon. Friend’s support for her constituents, and on this occasion she has managed to alter this country’s geography so that the Wigan spur is somewhere close to Chesham. I am sorry to hear of her constituent’s death and our condolences go to her family. She will, of course, recognise that the Government are already paying the stamp duty on properties within the 60-metre boundary. If she writes to my right hon. Friend the Secretary of State, I am sure he will consider her proposition for a further extension as part of the consultation.

Laurence Robertson Portrait Mr Laurence Robertson (Tewkesbury) (Con)
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10. What recent progress he has made on improving the A417-A419 at Nettleton Bottom and Crickley Hill in Gloucestershire; and if he will make a statement.

--- Later in debate ---
Frank Doran Portrait Mr Frank Doran (Aberdeen North) (Lab)
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11. What recent assessment he has made of the safety of passengers in the offshore oil and gas helicopter transport system.

Stephen Hammond Portrait The Parliamentary Under-Secretary of State for Transport (Stephen Hammond)
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The Civil Aviation Authority published its review of offshore helicopter safety on 20 February this year. The United Kingdom has a good helicopter safety record, and there is no evidence to suggest that travelling to oil and gas installations by helicopter is any less safe than travelling by any other helicopter operated in the UK. However—like the hon. Gentleman, I am sure—I am pleased that the CAA review has proposed a number of recommendations for further examination of the overall safety for passengers in the offshore oil and gas helicopter transport system. I note that the oil and gas industry has accepted the recommendations. It is working closely with the CAA to implement them and introduce safety improvement measures, and the Department is carefully monitoring the effectiveness of the CAA and the industry in doing so.

Frank Doran Portrait Mr Doran
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I am sorry that the Minister did not mention the Transport Committee’s report on the serious problem of helicopter transport in the offshore industry, which was published on Tuesday this week. I hope that, when the Secretary of State sees the report, he will focus on the part that deals with the survivors of the last fatal crash in August last year, so that he can fully understand what the work force in the North sea have to put up with every day, and why those workers and their families support the demand for a full public inquiry into helicopter safety.

Tom Greatrex Portrait Tom Greatrex (Rutherglen and Hamilton West) (Lab/Co-op)
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T1. If he will make a statement on his departmental responsibilities.

Stephen Hammond Portrait The Parliamentary Under-Secretary of State for Transport (Stephen Hammond)
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May I update the House on a few matters my Department has been involved in since the last Topical Questions? The announcement of the first £6 billion of growth deal projects on Monday included a raft of transport schemes across the country, with money being spent on schemes determined by local priorities to boost local economic growth. This landmark investment comes after our allocation in June of an extra £200 million to local authorities to fix potholes. Since the last Transport questions, the Department has also signed a contract with Virgin Trains for rail services on the west coast main line providing an extra 1,000 seats, and at the beginning of the week we announced £53 million to be spent on improving wi-fi access on trains, enabling passengers to receive seamless mobile broadband connections.

Tom Greatrex Portrait Tom Greatrex
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I thank the Minister for that reply. I am sure he will be aware that it is very important, particularly cross-border, that we maximise the use of rail freight in this country, but I note that the east coast invitation to tender document states that

“there is no requirement to protect capacity for freight”

on what is a key section of that line. Will he confirm that that is the case and that, as part of this rushed privatisation of the east coast main line, he is making it much harder for freight to access this network?

Stephen Hammond Portrait Stephen Hammond
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The hon. Gentleman has unfortunately failed to mention the upgrades on the other part of the freight line, which will ensure that all of those freight services still operate and there will be no diminution of service for freight operators north-south.

Mark Harper Portrait Mr Mark Harper (Forest of Dean) (Con)
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T5. I thank my hon. Friend for the significant investment benefiting both Lydney and Cinderford in my constituency that was announced at the beginning of this week as part of the growth deal. It is a part of our long-term economic plan, showing joined-up Government, which is welcomed by my constituents and will make a real difference to their everyday lives.

Stephen Hammond Portrait Stephen Hammond
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I thank my hon. Friend for mentioning both those schemes. The Cinderford north quarter link road and the Lydney transport strategy will be of benefit to his constituents, and he has been a real campaigner for them. I am delighted he welcomes them, and I am sure he will have noticed the remarks of the chairman of the Gloucestershire First—now GFirst—local enterprise partnership, Dr Diane Savory, who said:

“I’m absolutely thrilled that the Government has recognised the huge economic potential in Gloucestershire”.

Indeed, we have.

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Andrew Turner Portrait Mr Andrew Turner (Isle of Wight) (Con)
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T6. Governments sometimes help with one Department but take away with another—on this occasion the non-ministerial Her Majesty’s Revenue and Customs. Will my hon. Friend make an assessment of the Isle of Wight’s connectivity and the impact on the Solent growth deal of HMRC removing the island’s ferry services from the tonnage tax regime? HMRC says it is not going to sea, which sounds a bit odd.

Stephen Hammond Portrait Stephen Hammond
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My hon. Friend has lobbied me on a number of occasions about the island’s ferries. In this particular regard, qualification for the tonnage tax is a matter for HMRC. It is our understanding that since 1 July 2005 ferries have had to be operating at sea to qualify for tonnage tax. The cross-Solent ferries are regarded as operating within an estuary, as opposed to the sea, and therefore do not qualify, so there is no impact on the Solent growth deal in respect of these services.

Nicholas Brown Portrait Mr Nicholas Brown (Newcastle upon Tyne East) (Lab)
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T2. What study has the Minister made of the potential for open access operators to reduce journey times between Newcastle and London on the east coast main line? What competition policy is he operating with regard to that matter?

Stephen Hammond Portrait Stephen Hammond
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The right hon. Gentleman will know from the prospectus that we have welcomed the possibility of open access operators opening up new markets on the east coast main line. There is scope for that within the proposals, and we are looking at the bids very carefully. We recognise the benefits that open access has already brought for a number of people in a number of markets from the north of England, and I look forward to any other costed proposals.

Dominic Raab Portrait Mr Dominic Raab (Esher and Walton) (Con)
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T7. Under the previous Government’s franchise, South West Trains passengers are the single biggest subsidisers of other train lines in Britain, yet their services were rated as third worst value for money in 2014, mainly because of overcrowding. Does the Minister recognise that my constituents using South West Trains deserve a fairer deal when Labour’s franchise is renegotiated in 2017?

Stephen Hammond Portrait Stephen Hammond
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My hon. Friend has rightly consistently raised this matter on behalf of his constituents. He will recognise that the level of overall satisfaction with South West Trains in a recent survey was at about the sector average, but I recognise, as he does, that overcrowding on South West Trains in the peak hours is a well-known issue and it affects the perception of value for money. My Department is working closely with South West Trains to address that.

John Bercow Portrait Mr Speaker
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Roberta Blackman-Woods. Not here. I call Grahame M. Morris.

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Duncan Hames Portrait Duncan Hames (Chippenham) (LD)
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The consultation on the Great Western franchise, which has recently closed, covers a period that includes electrification and the first phase of the east-west rail project. What scope does the Minister see for introducing in the latter phase of that franchise additional services between Bristol and Oxford and beyond?

Stephen Hammond Portrait Stephen Hammond
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My hon. Friend is right in what he says. He will have seen that consultation and the fact that we have invited initiatives from operators and franchise bidders in that regard. The possibility of extra services is being opened up by this Government’s commitment to electrification; by 2019 we will have put in place more than 870 miles of electrification whereas Labour managed less than 8 miles.

Jim Fitzpatrick Portrait Jim Fitzpatrick (Poplar and Limehouse) (Lab)
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Will the Minister with responsibility for shipping support the Mission to Seafarers, the Apostleship of the Sea and Seafarers UK and the excellent work those important charities do? Will he look at what support the Department gives and whether it can be increased for those very important charities?

Stephen Hammond Portrait Stephen Hammond
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The hon. Gentleman is right. I support those charities, and I am delighted to have attended a number of their events with him. I will look at that and see whether there is any more that the Department can do.

Philip Davies Portrait Philip Davies (Shipley) (Con)
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Aldi is ready to go ahead with the development of a new supermarket in Bingley that commands great public support. To go ahead, the development needs a land transfer from the Highways Agency via Bradford metropolitan district council. Will the Minister ensure that the Highways Agency pulls its finger out as soon as possible to make that happen so that that essential regeneration can take place in Bingley?