(2 years, 9 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
On the question of growth, East West Rail should be a real opportunity for growth, but real problems will arise if the surrounding infrastructure is not there, which will put pressure on people. Does the hon. Gentleman agree that, together with East West Rail, the Government really need to work with local communities to create additional infrastructure, such as bus services and GP services, so that people see the benefits of that growth?
The hon. Lady is absolutely right, and that is why I circulated a letter, which all parties have signed, calling for exactly that: a greener alternative that focuses on sustainable growth and the work-life patterns that people want, not a 19th-century solution that is supposed to unlock growth on an unproven model.
One could sense the political support ebbing away from East West Rail as the announcement was made. The truth is that it has brought no relief to those most affected. I understand that, in a rearguard action today, Beth West, the chief executive of East West Rail, has said that she will approach Government to enable the purchase of houses that are currently planned to be demolished. That would help people who are already two or three years into uncertainty. As an additional ask, will the Minister instruct East West Rail to send an advice note to people whose homes or properties are within the proposed corridor and, included in that, the expected distance from the rail route itself? That will provide clarity to more people, particularly in the villages affected.
The Minister will know that we had elections recently, and that they have brought political change. I am not sure that the election results around the country were good for the Conservative party, but in Bedford borough, the Conservatives won the directly elected mayoralty for the first time ever. That was a repudiation of the Liberal Democrat Mayor, who had strongly supported East West Rail and such an environmentally destructive route across north Bedfordshire, with its phoney economic benefits for the town. Now with Tom Wootton as the Mayor, we have someone who is clear and determined in his opposition to the proposals presented by East West Rail. Conversely, in central Bedfordshire we also have a new leader—an independent, whose ward encompasses Tempsford, the site of a station that may herald substantial housing development, measured in the tens of thousands. Does the Minister appreciate the current scale of interest in alternatives to the project, given these political changes?
I have been contacted, without solicitation, by many sources and experts decrying the performance of the East West Rail Company. One constituent with expertise wrote to me to say:
“From my experience and observations the insincerity of the process pursued by EWR has been its most glaring weakness. In equal measure, however, any such criticism must also lie at the door of the Department for Transport who appear to be an acquiescing partner in the woefully inadequate activities of EWR. Unfortunately, the Government as a whole cannot escape association with the feeling of disillusionment generated through continuous stonewalling, lack of logical business planning, flouting of the law (freedom of information) and insincerity of approach.”
The route chosen by East West Rail is so full of twists and turns, and ups and downs, that it surely competes with what is probably our country’s bendiest road, the B3081 at Cann Common in Dorset—I am not sure whether the Minister knew that—which
“twists and turns more than many an Alpine climb.”
Those words could be applied to the route chosen by East West Rail. Back in the Victorian age, when Governments and others knew how to build railways, they chose a straighter, less hilly route. I encourage the Minister to watch the video from Alison, a constituent of the hon. Member for Bedford, who clearly outlines East West Rail’s irrationality in choosing a route with such topography.
One of the principals behind the campaign, BFARe, Bedford For a Re Consultation, wrote to tell me:
“The crux of the issue stems from the fact that the NSIP process contains a ratchet mechanism whereby the narrowing down of options precludes a fundamental review/rethink of alternatives when better evidence comes to light about previously discarded options. The starting premise for growth in the Arc was flawed and the initial public consultation into the scheme in 2019 was so badly handled that it shut out a lot of people and communities who stood to be most impacted by the scheme”.
Another constituent wrote to me expressing the view of many in my constituency:
“To get to Cambridge I personally would drive to the park and ride and get on a bus to the centre of the city; not drive to Bedford station, pay to park, buy an expensive train ticket to get a train which would not take me to the centre.”
I will spend some time on the cost-benefit analysis, because I think it is an open secret that nobody thinks that East West Rail is financially viable. Less than a year ago, the former Secretary of State for Transport, my right hon. Friend the Member for Welwyn Hatfield (Grant Shapps), when on the LBC radio show of Mr Iain Dale, had the following interaction. Mr Dale: “What would you cut from your Transport budget?” The former Secretary of State: “I would take East West Rail and I would remove.” Iain Dale: “Why haven’t you done it already?” The former Secretary of State: “Well, I haven’t had the opportunity.” Iain Dale: “You are the Transport Secretary. You could easily have done it already. You could have gone to the Chancellor and said, ‘I know you want to cut spending; here is one way you could do that.’” The former Secretary of State: “I have done that in other ways, but you have just asked what I would do as Prime Minister, and I am telling you I would cut East West Rail on what is called two and three, so there’s the second and third tranches of it, and save £3 billion to £5 billion straight away.” I therefore ask the Minister what he would do if he was Prime Minister?
A constituent wrote to me on the cost-benefit analysis and said:
“As someone who has had the ‘we intend to drive a railway line through your property’ notice recently I'd really like to get two questions answered, as this document failed entirely to do so. Where is an up to date business case? No-one has seen one, no-one affected believes a valid business case now exists…When will EWR engage directly with home owners on the route to purchase land?”
I have mentioned that second point already. East West Rail states in its documents:
“While the Business Case is still in development and won’t be completed until we’ve obtained the required consent for the Project...In the final weeks before publication, the proposals are subject to a cross-Government approval process.”
So it will get consent and then tell us what the business case is.
Appendix 5 to the economic and technical report discusses the “economic appraisal”. The report states that it will:
“compare benefits against costs over the life of a project or for a defined period of time. As is typical for infrastructure projects, the monetised impacts of EWR are projected to a point 60 years from entry into service. Both the benefits and costs are discounted and presented in 2010 prices and values in line with TAG guidance”—
transport analysis guidance. The report continues:
“The 60-year value is known as the Present Value (PV).”
It concludes:
“Standard approach to modelling and forecasting results showed us that, in conventional appraisal terms, the BCRs were ‘poor’ across all options”.
What does “poor” mean? It means benefit-cost ratios of 0.26 to 0.42—and that is based on the high-growth option. The high-growth option means that the best benefit-to-cost ratio is less than half the amount taxpayers will be asked to put into the railway. What does that mean in terms of cost to the taxpayer? It means £1.5 billion to £2.4 billion thrown away on a railway.
East West Rail seeks an escape route from such a common-sense economic appraisal. It states:
“These early estimates of costs were a key driver of the BCRs, which did not account for the transformational and strategic benefits considered later as part of the application of our Theory of Change.”
Over two chapters, East West Rail attempts to draw in every possible justification for its project. It talks about east-west connectivity, but it does not mention the cancellation of the expressway. It talks about housing costs, but it does not notice that the highest costs are where railways exist. Thus its proposals are as likely to increase house prices in areas where they are lower than in Cambridge than they are to lower house prices in Cambridge itself. It ignores the power of the market, with private companies already making decisions about where to locate if Cambridgeshire is too expensive. For example, Marshall Aerospace is very sensibly relocating to Cranfield Airport.
Before I entered Parliament, I was a partner in a strategy consulting firm, advising large businesses and utilities on investment decisions. I was also a partner in a venture capital fund, investing in the high-growth businesses of tomorrow. I am also a graduate of Havard Business School, and I can use all that life experience and those qualifications to assess the theory of change exercise by East West Rail as complete nonsense. What is the Department for Transport metaphorically smoking if it continues to go along with this economic illiteracy? I may have missed the financial conclusion of the theory of change exercise, but perhaps the Minister can advise us whether he will release the full financial case, together with all the assumptions and sources. Today, I issue a challenge to the chief executive of East West Rail to attend a public debate with me to argue the economic case for and against this project—openly, transparently and honestly.
We all know the real reason behind all of this: it is about housing. A constituent wrote to me saying:
“From the economic and technical report, it is clear that Bedford is viewed as simply a cheaper housing estate separate from where all the jobs are expected to be—in and around Cambridge. So what’s in this for Bedford?”
The real reason for East West Rail is the concreting over of north Bedfordshire. We have the issue of the Tempsford interchange section, with reports of up to 40,000 new homes in a village that currently has 400 residents. There is also Stewartby, in the Mid Bedfordshire constituency, where pages 92 and 93 of the economic and technical report suggest the railway will open up 70,000 jobs to households. In my estimation, that amounts to about 35,000 houses.
I am not a nimby on housing—we should all do our fair share—but as the MP for North East Bedfordshire I have to point out that there is considerable pressure on GPs, dentists and school places. Without investment in that soft infrastructure, it is very unwise to support additional housing growth.
Does the hon. Member agree that it is unfair to call people such as those in Mid Bedfordshire who are raising these absolutely real concerns nimbys? People need those services to go with the growth and the increased railway line.
I do, but I would not do what I understand the Liberal Democrats are doing in Mid Bedfordshire, which is to ask people which housing estate they do not like so that they can oppose it—that is not the right way to do it. However, as regards very large-scale developments, the hon. Lady is absolutely right, and we should have that consideration. In 2019 I stood on a manifesto calling for infrastructure first on these large-scale developments. I do not know whether the Minister can give me an update on that—it is not his remit, so I do not expect him to, but it is important, and he stood on the same manifesto as I did.
We should all do our fair share. I looked at the census data on the growth in households between the 2011 and 2021 censuses. The national average increase in households over that period was 6%, and I think we all feel that rapid growth in our constituencies. Perhaps unwisely, I then decided to look at specific constituencies. I looked at the Chancellor’s constituency, and he is doing his bit, with 6% growth. I looked at the Secretary of State for Transport’s constituency, and there was a 9% increase in households over that period, which is a substantial amount above the national average. The Minister, who is responsible for rail, had only 5% growth, but we will forgive him that 1%. In North East Bedfordshire from 2011 to 2021, there was 21% growth, which is already three and a half times the national average of growth in households. That is already putting pressure on GP services, dentists and school places. How on earth can I, as the MP for North East Bedfordshire, allow further pressure through an increase in housing growth until those problems are dealt with?
I want to turn to the environmental impact. I had an interaction today with Councillor Tracey Wye, who represents the ward that includes Potton. She wrote to me to say she would like to see a commitment that this project would be in harmony with the environment—something so future-proof, leading-edge and creative that we would be at the leading edge of sustainability and climate resilience. I could not agree more; she is absolutely right.
We have been a bit misled, I would say—perhaps that is unfair—about the electrification of this line. Originally, in the Railways Act 2005, it was going to be electrified as part of the electric spine. In the high-level output specification of July 2012, the line was listed as a new electric railway line. It was then dropped by East West Rail Company, but the company’s latest document now says that it may come back. Minister, which is it? Are we electrified or are we not? Is it battery powered or not? The announcement was supposed to clarify the form of traction, but it has done nothing of the sort.
I believe that Ministers know that the original plans by Lord Adonis in the 2017 “Partnership for Prosperity” report were bogus, and they have not kept pace with changes in working patterns and our greater focus on environmental issues. A previous Secretary of State cancelled the Oxford-to-Cambridge expressway in 2021, stating that
“analysis shows that the benefits the road would deliver are outweighed by the costs”.
Precisely that charge can be laid today against East West Rail, so why is the current Secretary of State not taking the same action?
A constituent wrote to tell me:
“From a net-zero perspective, how could they possibly introduce a new transport link, with the intention of running diesel trains on it until 2040 at the earliest? Hardly what you’d describe as inspirational or forward thinking.”
Another constituent wrote:
“As someone with long standing involvement in the biotech industry and academic community, I would question the whole rationale for the railway in the first place. Of course we all want to consolidate Cambridge’s position as a technology hub, but if science and industry in Oxford and Cambridge want to collaborate they’d do it remotely. East West Rail is a 19th century response to a problem for which we in the 21st century have solutions that are cheaper, better and less environmentally destructive.”
I call on the Minister to consider those solutions.
It is a pleasure to serve with you in the Chair, Sir Mark, and I congratulate the hon. Member for North East Bedfordshire (Richard Fuller) on securing the debate. We have had many animated discussions about this subject in the past, and it will probably not surprise him to know that I take a slightly different view, but I commend him for the powerful way in which he has represented his constituents. I suspect others will do the same, because infrastructure projects of this type always cause problems for local constituents, and I have every sympathy with them.
This debate about East West Rail, the Cambridge to Milton Keynes to Oxford link or the arc—call it what you will—has been going on for a long, long time. I have been involved in discussions and debates about it for many years, and frankly I want to move beyond the debates and get the railway done.
I pay tribute to the many people who have campaigned tirelessly on these issues, including those noble councillors who set it all in motion many years ago and the East West Main Line Partnership. I am grateful for the work of the National Infrastructure Commission, which the hon. Gentleman mentioned, and the all-party group for the east of England, which I co-chair with the hon. Member for Waveney (Peter Aldous). I wish to make three main points relating to the history and the purpose of the project, and the economic and environmental value of getting it delivered.
It has been a long-running goal of rail enthusiasts to restore the lost line between Cambridge and Oxford, which has been made harder by the loss of some of the old Varsity line route. I remember conversations some 20 years ago at least, when some foresighted people were talking about it, and over time the issue came to be picked up by local authorities, which could see the broader benefits. By the time I came into this place in 2015, that campaign was picking up pace. In the subsequent eight years, I can barely recall all the conferences, party groups, business tsars and leaders who have come and gone, some of whom were never appointed in the first place —“announcements and then steps back”, as it has been described. I fear that is all part of the rather hopeless way we go about building infrastructure in this country.
I remember that, at one Budget, the then Chancellor invited Members to show up at a surgery-style session with the Minister in one of those gloomy ministerial offices down the corridor. The then Minister, who shall remain nameless, looked absolutely astonished that anyone had actually shown up. We then had a rather civilised conversation—I think that is when the business tsar came and went—and I put to him the questions that I have been putting for a number of years: what is this line for, and will it be electrified? Predictably, answer came there none.
I put exactly the same question—what is the line for?—to one of the senior civil servants who had been working on the project at one of the many annual conferences about the arc. I was absolutely flabbergasted to get the reply that they were planning to consult on exactly that issue, which seems to be rather the wrong way around.
Back in 2017, at another one of those conferences, I challenged the then chair of the East West Rail Company over electrification, and he publicly promised that not a litre of diesel would be bought. As we have heard, that issue remains unresolved—although given that we are still quite a long way off seeing any trains, I suppose that pledge has been honoured so far.
At that time, the Government were planning to build not only a new rail line but, as we also heard, a major new road. Considerable time and effort were spent on that. I must say that I always opposed the road on the same line that has been mentioned: it is a 19th-century solution to a 21st-century problem. It was absolutely the wrong thing to do when we were trying to encourage a modal shift, and I am glad that it was finally abandoned.
I might be testing the Minister slightly, but can he tell us how much was spent on that abortive project, how many civil servants are still working on the arc project—including beyond the Department for Transport, in other Departments—and how long that project team has been going? I seem to have been aware of it for a number of years, and we really need to see some output from all that work.
That brings me to my main point. As I have said, I understand the concerns about the route. First, I am glad that the southern route has been settled on near Cambridge, because overall that seems to be the most sensible. However, the reason for my unswerving support for the project is that I believe that the environmental and economic benefits will be significant. Environmentally, we know that we have to move people off roads. It may be that the world is changing, but I think—and the evidence is rising on this—that people will want to get back to face-to-face contact.
We are in a climate emergency. If people want to really see the benefits of a new infrastructure, they need to see the benefits to both the environment and their health. The Government are not making electrification the main priority. Is that not really what this line should be about—electrification?
I served on the Transport Committee with the Minister for a number of years, and I appreciate that these issues are not straightforward or simple, but the hon. Lady is absolutely right. In the end, electrification is obviously the way we should be going.
Let us also look at the time savings for people. In the early-morning rush, it can take almost an hour to get the nine miles from Cambourne into the centre of Cambridge by car. By rail, that would be reduced to 15 minutes. Bedford to Cambridge by car is 75 minutes—as I discovered to my cost a few weeks ago—and 90 by bus; but, I am told, it takes 35 minutes by train. That is transformational.
I fully accept that this is partly about the future success of Cambridge, because we are struggling hugely to find housing for the people we need to maintain Cambridge’s position driving the UK economy. It is not an unimportant point, although I accept that the location of that housing will not always necessarily appeal to everyone. Cambridge housing is hugely expensive; we all know the figures. Development pressures on my city are intense, and we have an acute shortage of people. Ironically, those are not necessarily the world-leading people but all the people we need to run the basic services. Even the best scientists in the world require their lunches, and offices that are cleaned and maintained, and we are struggling to find those people for lower-paid jobs. We therefore need affordable housing.
I accept the point that house prices do not necessarily always conform to the economic models that some people would like to propose, but we need housing that is available via quick, reliable and environmentally sustainable transport links. Those points have long been made by the leaders of Cambridge City Council, Lewis Herbert and Anna Smith.
In addition, the project would begin to open up prospects for more jobs in high-quality, environmentally sustainable communities along the arc. That is an important point. If we are building these new communities, it must not be about just a developer’s charter; they have to be the kind of communities that will attract the people who will be part of our future—a success in both Cambridge and Oxford.
I accept that there will always be debates about the economic theories of how development works and what the drivers are, but I am pretty convinced that this must be the way forward, and not just along the arc. As others, including Eastern Powerhouse, have outlined, it potentially unlocks further opportunities to the east as well.
I will conclude by making some points about the economic significance of and for Cambridge. The region already adds more than £110 billion to the UK economy every year, and the Cambridge sub-region is a major contributor to the Treasury. Frankly, reinvesting some of that to improve the local quality of life is hardly a unreasonable demand. Cambridge and Oxford are world leaders in venture capital investment, with hugely important research and development sites.
I believe that East West Rail can help to unlock the physical constraints that are currently a real challenge, and help us to get the people we need to remain in our world leadership position. There is strong support for the line from the local authorities and the business community; indeed, I was struck by a recent briefing from the business-led organisation Cambridge Ahead, because this was one of its top priorities. I know that when Government support seemed to be wobbling a while ago—I think we heard a characterisation of that earlier—the University of Cambridge was among the organisations that were particularly concerned about the prospect of the line not going ahead. I am glad that the wobbling seems to have settled, that we have a Minister who is firm in his intentions, and that the current version of this Government seem to understand the significance of the project.
I end where I began: there will always be arguments over routes and local impact, but I urge people to step back, look at the bigger picture and get this electrified railway in place.
(2 years, 9 months ago)
Commons ChamberAs the House will know, active travel is at the heart of the Government’s agenda and we are investing about £3 billion to support it—that is more than any previous Government. The Government report regularly to Parliament on progress towards meeting their active travel goals, and the next report will be published alongside the third statutory cycling and walking investment strategy in due course.
I congratulate my hon. Friend, who is a fantastic campaigner for active travel. She rightly says that it is great that North Devon has been able to benefit, along with the rest of Devon, from £1.8 million through active travel fund 4. Active Travel England plans to run a further capital funding round later this year and will work with local authorities, including those in rural areas, to encourage bids for schemes that have high potential to increase walking, wheeling and cycling trips.
People walking, wheeling and cycling saved 2.5 million tonnes of greenhouse gas emissions and avoided more than 29,000 early deaths in 2021. However, only a fifth of total active travel spending comes from dedicated funding, with the rest coming from various funding pots that are not guaranteed. With such a low proportion of ringfenced funding, how can the Government guarantee that this money is really spent on active travel, which is good for our health, economy and environment?
The hon. Lady is absolutely right that active travel—cycling, walking and wheeling—is probably the single biggest health intervention a human being can make in their lives as a choice of habit. She is right to highlight the importance of supporting it, as the Government have—more so than any previous Government. There are a range of pots, including city region sustainable transport settlements, the road investment strategy 2 and levelling-up fund moneys, into which authorities can bid. Many have done so and will continue to do so highly successfully. That provides a continuing opportunity for them to benefit from these levels of increased funding.
(2 years, 10 months ago)
Commons ChamberMy hon. and learned Friend is absolutely right. We need to look at the needs of buses, and the needs of the communities he serves, particularly rural communities. When bus service improvement plans were brought forward they went to specific areas, but they also ensured that somebody within the Department for Transport was working with local authorities in those areas to ensure a viable plan. I am obviously happy to continue to work with my hon. and learned Friend, especially with the extra money allocated, potentially to consider further interesting and innovative schemes, such as the demand-responsive buses he mentioned.
The Liberal Democrats welcome the extension of the bus fare cap, but it will not resolve the fundamental issues. Between 2021 and 2022, 1,100 bus services were cut, including 51 in the south-west, which will badly affect residents in my Bath constituency. Will the Minister remove the ban on local authorities running their own bus services, and give councils more powers over local bus services for local people?
We are always prepared to consider different proposals, and I welcome the hon. Lady’s comments about extending the £2 bus fare across England. It is great to get Opposition support for that. I would also point to some of the positives that are happening across the West of England Combined Authority area, such as the £570 million of long-term funding to help improve services. There have been huge upgrades there, and coming over the next few years. A recent £7 million package of improvements in Bath means that buses run every 15 minutes, but we are always happy to look at further developments in the future.
(2 years, 10 months ago)
Commons ChamberI thank my hon. Friend for that comment. Again, he is a colleague who has been raising these issues on a regular basis. It is important to recognise that this is an opportunity for people to respond accordingly. He referred to the opportunity for the unions to agree a new rest-day working contract. What is disappointing is the cynical way in which they behaved. ASLEF agreed that rest-day working contract and then immediately said it would take action short of a strike and withdrew any co-operation at all. I hope that they will respond to the decision in the right way. It is an opportunity to reset those relationships and do what we are all supposed to do, which is to deliver a better railway for the passengers who use it. I hope that they take that opportunity. If they do, they will find a willing partner in me.
Rail companies across the country are failing rail customers with fare hikes, cancellations and delays. Great Western Railway, whose line I use between Bath and London, is no better. Between July and October 2022, it saw an increase of 179% in delay compensation claims compared with the previous year. The Government have promised to fix the system and create Great British Railways in law. When will they?
I am familiar with the GWR service as I use it frequently. There have been a number of problems on the western route, which, to be fair, are often caused not by GWR but by Network Rail. However, I accept that that inconveniences passengers just the same. That is partly why we are bringing track and train together under GBR. I will continue having that focus on performance. In fact, I am seeing Network Rail’s leadership team this afternoon, and one thing we will be talking about is its performance on the western route. I will raise the hon. Lady’s specific concerns with it.
(2 years, 11 months ago)
Commons ChamberI will certainly look at that. Of the 300 extra driving instructors we have recruited, 87 are in London and the south-east. We have made hundreds of thousands of new slots available in the region over the last couple of years, but we continue to take great ideas from both sides of the House to see what more we can do to ensure people can take their test at the appropriate time.
HS2 is a transformational project, and the Government remain fully committed to building the line from Euston to Manchester. HS2 is being delivered in stages, with cost estimates published for each phase of the programme. We remain transparent on the emerging cost position of HS2, and we publish six-monthly reports to Parliament. The recent announcement will clearly require us to work through adjustments for certain phases, and we will provide updated estimates in due course, including through those six-monthly reports.
Tens of thousands of jobs and billions of pounds in economic growth depend on building HS2. The National Audit Office has noted that the decision to delay HS2 by another two years will increase the costs of the project yet again. The Institution of Civil Engineers says that delaying HS2 could make the building process
“more difficult as construction firms shift their focus to other countries.”
Is it not time that the Government came clean with the public that HS2 is happening, and stopped the dither and delay that will only cost the taxpayer more money?
(3 years, 1 month ago)
Commons ChamberThe good news for the hon. Gentleman is that we have made progress on that, and we are hoping to set out what will happen on that publicly in the very near future. He does not have too long to wait and I hope he will have news that he will welcome.
Network Rail has said that 278 miles of track must be electrified every year to reach net zero. Last year, the Government added only 1.4 miles of newly electrified track, including Bath, and we are still waiting for electrification. To meet our net zero targets, will the Secretary of State commit to electrifying all new railway lines?
The hon. Lady will know that we have electrified 1,200 miles of the rail network in Great Britain since 2010, and that work continues. We clearly think that electrifying the rail network is important for our net zero commitments, and we will continue to make progress. I hope she will welcome that.
(3 years, 1 month ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
I agree with that point. I would expect the hon. Member for Luton South (Rachel Hopkins) to raise van production for obvious reasons. The mandate is a fine idea, but we need the response to the consultation on the mandate. I suspect the companies that the hon. Lady talks to in her constituency want to know the rules of the game before they can work with those rules. I am sure she is looking forward to that point being raised.
The transition to electric vehicles brings into question fuel and excise duty. It is well known that the Treasury is set to lose a lot of money and a new source of revenue will be required. Fuel duty revenues pre-pandemic were about £28 billion per year, and vehicle excise revenues were approximately £6 billion. I cannot believe this has not been discussed in the hallowed halls of the Treasury, but does that mean that road pricing is a serious possibility? There has been no mention of that as a solution from the Government. Does the Minister concur?
It is interesting to hear the hon. Member talk about road pricing. Does he actually support something like “pay as you drive”, in order to charge people for the miles that they drive rather than anything else?
No, and before the Liberal Democrats try to produce another attack leaflet to say that is what I was saying, the hon. Lady can strike that from the record. That is certainly not what I was saying, but I am asking the Minister whether the Government are considering it. Surely the Treasury are considering that loss of revenue. From his previous role as Chair of the Transport Committee, the Minister will know that that was laid down as a challenge to the Government. I know that the Committee is still waiting for a response to that. I am rather cheekily asking the Minister whether he has yet to respond to himself. Could he do so today?
I will raise some more concerns about the availability of electric vehicles. Certainly in my constituency, consumers are embracing the change to electric vehicles as people are understandably more and more concerned about the environment. However, we have already heard about the supply available to buyers. The current average waiting time for an EV is seven months, according to the Library. Companies such as Volkswagen have at least a 10-month wait from the time the car is bought to its delivery. I would suggest that that is a barrier to purchase. It is concerning, because forcing people to make the change to EVs will once again increase the waiting times as demand increases. People cannot be expected to bear a cost that is due to factors out of their control.
There is a current fall in demand for EVs because of the dip in the economy and the spike in inflation. I asked a previous Minister in the Department about this. What conversations are the Government having with industry to try to help them meet demand? I realise that the pandemic has hugely got in the way of that, but what conversations are the Government having with industry to try to stimulate demand?
Tesla has recently smashed the cost of EVs by a reported £7,000. There has been an expansion of EVs, but only 24 models are priced under £32,000 due to the cost of the battery technology. Even the UK boss at Kia, Paul Philpott, has said that car makers are finding it “economically difficult” to bring affordable smaller vehicles to market due to the high cost of batteries, despite the ban on the sale of all new petrol and diesel cars looming in 2035.
I will gently remind the Minister about the up-front cost and a serious lack of a second-hand market for electric vehicles. That is a whole other subject, with only 3% of used car transactions involving EVs in 2021. I hope that that market will start to emerge as we make the transition, so that many lower-income families will not be priced out of even having a conversation about switching to an EV. It is hugely unfair that they want to do the right thing, but they know they cannot.
In closing, I support the move to electric vehicles, and I know that my constituents do. I see more and more EVs on the streets of my constituency. The phasing-out of all new petrol and diesel cars by 2035 has my support, but it is clear that the infrastructure is far from fully developed, with many complaining about teething problems. It is obvious that to meet the target, and seriously increase the rate at which the infrastructure is being implemented, especially the distribution of charging points, we need to see a step change to meet the current ambition.
Owning a car is a lifeline for many people. We need to encourage people to use their cars less and public transport more, but I am not blind to the need for cars. Car journeys are here to stay, but they need to become net zero. The transition from petrol and diesel to electric vehicles is at the heart of this effort, and it is an important step towards decarbonising the transport system and getting to net zero.
The Government’s pledge to end the sale of all petrol and diesel cars by 2030, and hybrids by 2035, has acted as a powerful signal to the car industry and the markets, but the failure to prepare the ground for the transition to EV charging infrastructure is now threatening that target and, indeed, our net zero targets. Like the hon. Member for Winchester (Steve Brine), I am absolutely in favour of the transition to EVs, but we need to prepare the ground. We cannot say, “The target cannot be achieved, so let’s just throw it out altogether.”
Until now, drivers have charged at home around three quarters of the time. However, as we shift from early adopters to the mass market, policy needs to support people who do not have the space for their own charge points. We have already heard about the regional disparities: there are many more charging points in London compared with the rest of the country, and yet two thirds of the new infrastructure is proposed for London. The lack of EV chargers is a concern for more than half of motorists. Volkswagen has noticed that, apart from the cost, the key concern for buyers today remains charging anxiety.
The lack of charging infrastructure is leading people towards do-it-yourself charging, and I want to throw that in. Electrical Safety First has found that 90% of EV owners have used domestic multi-socket extension leads and three quarters have daisy-chained extension leads. That is highly dangerous, because daisy-chaining, whereby multiple extension leads are used together, can increase the risk of socket overload and electric shock, so we are putting people at risk. Don’t do it, guys! It is really dangerous, and we need to make sure that this is not happening.
In last year’s EV infrastructure strategy, the Government made no firm commitment to ensure that EV infrastructure roll-out is in line with EV market uptake. The main problem is grid capacity. The Liberal Democrat council in Bath has worked hard to build more charging infrastructure, but it is constrained by the weak grid in the region. National Grid wants to upgrade the grid in the west of England, but Ofgem has not accepted the funding proposals. The Government need to encourage Ofgem to be part of the solution and not the problem. We need a reform of Ofgem’s remit to allow for pre-emptive investment in grid infrastructure.
A publicly funded network needs to prioritise fairly priced and equitable access. If we simply prioritise capacity over the number of locations and usefulness, we risk locking lower-income drivers, who rely on public chargers, into the most expensive rapid charging options. The Government must stop penalising people who are not able to charge their EVs at home. These people currently have to pay 20% VAT to charge their vehicles at a public charge point, compared with the 5% VAT for people charging at home. The Government must end this unjustifiable discrepancy and equalise the VAT rate at 5% for all electric vehicle charging.
Transport is responsible for nearly a third of the UK’s carbon emissions, with more than half of emissions from domestic transport coming from private cars and taxis. The quicker we get people using EVs, the closer we get to meeting our net zero targets. The benefits of owning an electric vehicle must outweigh the costs. From infrastructure to incentives, the Government need to meet words with actions and drive the electric vehicle revolution forward.
I am very grateful to Members; you have been very good. I will now call Gavin Newlands, the SNP spokesman, who will also be very good.
It is a pleasure to serve under your chairmanship, Mr Bone. I thank my hon. Friend the Member for Winchester (Steve Brine) for securing this important debate, and I thank every participant for their words. It may not be possible to answer all their questions, but I hope we can cover the bulk of them.
The Government are committed to decarbonising transport and to phasing out the sale of new petrol and diesel cars and vans by 2030, becoming the first G7 country to do so. The benefits of zero-emission motoring are there to be won: improved air quality in our towns and cities, economic growth through our automotive industry, and ultimately cheaper and cleaner driving for all. Getting to that point will require Government and industry to furnish this country with an accessible, affordable and secure charging infrastructure network.
Perhaps I can give you some reasons to be cheerful, Mr Bone; I fear the hon. Member for Slough (Mr Dhesi) also needs cheering up. Industry data shows that in December 2022, 32.9% of new cars sold were fully electric. That was the best ever month for new battery electric car registrations, with more sales than in all of 2019 combined. The UK had the second highest battery electric car sales in Europe in 2022, with Germany being first and France third. A survey by Zap-Map found that only 1% of EV drivers want to switch back to a petrol or diesel vehicle. One in five public charge points in the UK are rapid or ultra-rapid, and under our plans, new homes and non-residential premises undergoing renovation will have to install charging infrastructure at the point of construction. That should lead to 145,000 further charge points across England every year. Those are some reasons to be cheerful.
Last March, we published our strategy and set out our plans to accelerate the roll-out of the network. To answer one of the questions posed by my hon. Friend the Member for Winchester, the Government expect at least 300,000 public charge points to be installed across the UK by 2030. We do not regard that with the same cynicism as my good friend from the SNP, the hon. Member for Paisley and Renfrewshire North (Gavin Newlands). A recent industry report by New AutoMotive, “On the Road to 2030”, found that the charge point roll-out is
“progressing at an adequate pace, growing by a third every 12 months, and the UK is on track”
to meet the expected 300,000 public chargers by the end of 2030. So do not just take my word for it.
That will all be achieved thanks to billions of pounds of investment by industry. There are more than 37,000 open access public chargers already on UK roads, hundreds of thousands of charge points in homes and workplaces, and more than 600,000 new chargers added to our road network each month on average. In fact, public charging devices have more than tripled in the last four years. We are on track to meet expectations.
On electric vehicle uptake, Government grants have supported drivers to buy plug-in vehicles for over a decade, with more than £1.4 billion already having been invested in the early market. Colleagues at the Treasury are committed to ensuring that motoring tax revenues keep pace with the changes brought about by the switch to electric vehicles, while keeping the transition affordable to consumers.
I will touch on local charging infrastructure, which has been raised. This debate is a timely one. Lack of access to off-street parking should not be a barrier to owning a plug-in electric vehicle. We are working with local authorities to ensure local provision meets local needs. Just yesterday, as my hon. Friend the Member for Winchester mentioned, we announced that drivers across the UK will benefit from a further £56 million of public and industry funding to support the roll-out of electric vehicle charge points across the country.
(3 years, 4 months ago)
Commons ChamberI am grateful to my right hon. Friend for her question and for her work when she was Home Secretary to strengthen the law to enable us to deal with those who cause disruption on our transport network. I would be delighted to meet her and the leader of Essex County Council to talk about those important road projects.
Research from the Campaign for Better Transport suggests that the Government are so far behind on their electrification plans that rolling stock leasing companies are being forced to destroy electric units that they cannot use. At the same time, the Government continue to introduce new diesel trains—more not zero than net zero. Will the Government ensure that they order no more diesel trains and get on with electrification?
The Government are committed to phasing out all diesel trains by 2040. That remains our aim and our ambition. There is electrification going on at the moment along the west midlands line, and we are certainly committed to ensuring that we can roll out more electrification, and indeed use hydrogen and battery power where appropriate, in the years to come.
(3 years, 4 months ago)
Commons ChamberI thank my neighbour, the hon. Member for Richmond Park, for securing this debate. The overflying flights into Heathrow go over her constituency before mine. Does she not agree that we need to be concerned not just about Heathrow expansion meaning a third runway, but the possibility that the airport will try to get more flights on the existing two runways in breach of the 480,000 cap? It could of course do that if it did away with alternation, which provides respite to our residents, and had more flights during the night-time period.
The hon. Member for Brentford and Isleworth (Ruth Cadbury) makes an excellent point, and she and I share views on this issue.
I apologise to my hon. Friend.
Many of my Bath constituents have expressed concerns about the increasing number of flights taking off from Bristol airport late at night. Does she not also agree that the climate emergency compels us to look at an overall reduction in flights, particularly internal short flights where rail is available as an alternative?
I thank my hon. Friend for that comment. She is precisely right. Our concern relates not only to night flights, but very much to the fact that Heathrow expansion would lead to increased noise levels and around 6 million additional tonnes of carbon being pumped into the atmosphere each year. The UK cannot properly tackle the climate crisis if we continue to expand our airports, especially when we should be promoting greener transport.
(3 years, 6 months ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
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Again, it is common sense. That is already happening, which is why I am not calling for it. It needs to continue, and a solution needs to be found to provide an effective rail service—that is absolute common sense.
Is it not absurd that the Government are pouring billions of pounds into companies owned by other countries’ Governments? Whatever the ownership of the companies, they are failing to deliver services but have been awarded multi-million-pound contracts by the Government. Avanti is supposed to run HS2. Should that really happen in the light of the catastrophic delivery failures, and will the Government look at a new operator for HS2?
I repeat that all options are on the table. The decisions on HS2 are a bit further away. As HS2 Minister, I can say that we are having those conversations. I am certainly speaking with Avanti and visiting all phases of HS2, both in development and in construction. Those conversations are live.