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Mr. Tim Yeo (South Suffolk) (Con):
I am grateful to the Secretary of State for an advance copy of his statement. The White Paper will be judged by what it does for passengers and for rail freight. Passengers have not had much from this Labour Government so far. After seven years, trains are less reliable, fares have risen
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more than other prices and promised improvements in the rail network have not been delivered. The east coast main line, Crossrail, Thameslink, the East London line were all promised in the 10-year plan or in Labour's election manifesto, but those projects remain stuck in the sidings with no firm dates for completion and conspicuous by their absence from today's statement.
Today, fewer trains run on time than when Labour came to power. Targets are set that have little chance of being met. Will the Secretary of State confirm that the Government's target for increasing passenger rail use has now been dropped? Four years after the Deputy Prime Minister set up the SRA, it is to be abolished. That may be a welcome admission by the Secretary of State of one of his predecessor's mistakes, but it is of little relevance to the customer.
I welcome the decision to move responsibility for safety to the regulator. However, shifting responsibilities around Whitehall and replacing one set of bureaucrats with another will not make trains more reliable, stations more comfortable or fares more affordable. Why does the Secretary of State think that he and his civil servants can run the railways better than the train operators? Why will giving more power to the rail regulator, to Network Rail and the Department for Transport solve the problems of the railways when the all-singing, all-dancing SRA signally failed to do so?
Why on earth does the Secretary of State think that putting Ken Livingstone in charge of trains is a good idea? How will that affect those rail users whose journeys begin and end outside the area for which the Mayor is responsible, none of whom had the chance to vote against him last month? What discussion of that extraordinary proposal has taken place with the train operators? Why cannot they, rather than Whitehall bureaucrats, decide when trains should run, and thus respond to consumer demand?
Is not the best way to encourage extra investment in the rail network to give the train operators longer contracts, subject to strict performance criteria, so that they have the incentive and the stability to invest more money for the benefit of their customers? How will the new system of fewer franchises actually work? Over what period will train operators be able to plan and run their services without interference from politicians or bureaucrats?
During the dying months of the SRA, how will franchises be allocated? Will subsidies, which already cost the taxpayer £14 million a day, go up or down as a result of the White Paper? How will Network Rail be made more accountable to passengers under these proposals? How will the new governance of Network Rail ensure that it operates in the interests of taxpayers and customers?
Why will not the Secretary of State concentrate on the actual experience of the rail user? Commuters catching trains at Colchester or Manningtree experience conditions that have scarcely changed in half a century. No other business could survive by treating its customers in that way. No airport expects its passengers to stand around in the wind and rain, waiting for departures. What will the Secretary of State's structures and processes now do about those simple but important
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and basic challenges? What in the White Paper makes it likely that more freight will be carried on Britain's railways? Will the Secretary of State restore the grants to encourage that, which he withdrew last year?
What the Secretary of State has announced today is another example of fat Government. Instead of slimming down the bureaucracy, as his advance spin promised, bureaucrats will have a bigger role. Instead of the railways being set free, commuter services in the south-east will be burdened with an extra layer of fat and bureaucracy. These proposals give Ministers and bureaucrats a bigger role in running the railways, when what was needed was a smaller one. The winners from this review are the Department of Transport, Ken Livingstone and Network Rail, not the long-suffering railway passengers, who will search the statement in vain for specific proposals to address the reliability, cost and capacity issues that are at the top of their concerns.
Mr. Darling: I appreciate that the Opposition are at a disadvantage when a White Paper is published. It probably was not possible for the hon. Member for South Suffolk (Mr. Yeo) to read it cover to cover, but that is a pity, because about 75 per cent. of the questions he asked would have been answered there. However, I shall attempt to deal with some of them.
It is important that people recognise the distinction between what is properly the province of Governmentdeciding how much money will be spent and setting the high-level objectives for railwaysand what is properly the province of train operating companies, which is whether the 7.42 from Manningtree will run or not. The White Paper proposes the proper distinction. The Government, not the SRA, will deal with the high-level strategy and spending.
I understand why the hon. Gentleman is a little nervous of addressing spending, because the Opposition's policy is to spend £1.8 billion less on transport than we now propose. It is not surprising that he does not want to go into that issue. He must recognise, however, that Government will be responsible for high-level strategy, and day-to-day operations will pass to Network Rail. If he looks at the document, he will see that the structure will be massively streamlined, compared with the one that existed in the past.
The hon. Gentleman asked about London. We are not proposing to give the Mayor power over trains outside the GLA. We are saying that for those railway lines within London, it makes some sense that the Mayor should have some say over them, because they are complementary to tube and bus services.
Mr. Darling:
The North London line is wholly within the GLA and is used by people because there is no tube line or bus service. Surely it makes sense that the Mayor should have some say over the trains that run on that line. If the Mayor decided, for example, that he wanted more stopping trains within the GLA boundary, but the trains in question originated from outside the area, the issue would need to be discussed with people who live outside the boundary. We are not talking about transferring all power over those trains to the Mayor. Why does not the hon. Gentleman look at what is actually being proposed?
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The hon. Gentleman mentioned longer franchises. One of the problems with privatisation was that it was thought at the time that if franchises were awarded for a long period, such as 25 years, there would be more investment. What happened was that the costings in those long-term franchises proved to be hopelessly unrealistic. That is one of the reasons why costs got so out of controlthe botched privatisation for which the hon. Gentleman was responsible.
There will be fewer franchises. In relation to the changes in governance involving Network Rail, it will bring forward proposals in the next few days. We are providing greater streamlining of the organisation of the railways. It will be infinitely better than the dog's breakfast that the Tory party left this country.
John Thurso (Caithness, Sutherland and Easter Ross) (LD): I thank the Secretary of State for his courtesy in sending me both a copy of his statement and a letter in response to the letter I wrote him as a submission to the rail review. I appreciate that he could not reply sooner and I am grateful for his courtesy in replying at the earliest opportunity.
I welcome much that is in the statement. The Secretary of State will know from our recent transport debate and the correspondence to which I have referred that he and I have reached many of the same conclusions. That is largely because common sense and logical analysis of the problems lead to some pretty obvious conclusions.
The travelling public are fed up with politicians bickering over blame. They simply want a safe, reliable, affordable railway on which they can count and, subject to the detail of the White Paper, the conclusions of the review should lay the framework for achieving their desire.
The railways have been dogged by over-complex and competing bureaucraciesI would even go so far as to say adversarial bureaucraciesand I have long argued that they need to be simplified. The review clearly accepts that. I welcome the proposed arrangements for strategic leadership by the Government and for operating responsibilities to lie clearly with Network Rail.
I welcome in particular the devolution to the Scottish Parliament of the SRA's responsibility for Scotland, as well as the proposals for Wales, London and the passenger transport executives in England. However, will the Secretary of State again confirm that the appropriate financial resources will also be transferred with those responsibilities?
It is right that Network Rail should have clear responsibility for delivery, which obviously requires strong governance. When will the Secretary of State be able to tell the House his thoughts about that? Does he anticipate restructuring the stakeholder board? At 120, it must be unwieldy to say the leastif not unworkable.
The suggestions for franchisees seem sound, but does the Secretary of State agree that three of the small franchisesnamely, c2c, Chiltern Railways and Merseyrailare among the best performers and that they will not easily fit into a larger franchise? On this occasion, will he accept that small is actually beautiful?
Strong and independent regulation is essential for the railways. I have argued that there should be one regulator for economic, safety and environmental
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matters, which is also broadly accepted by the review. Does the Secretary of State see the Civil Aviation Authority as a role model that could be adapted for use with the Office of the Rail Regulator? Will that office review the safety regulations so that there is an appropriate balance between the need for safety and economic drivers? I am pleased that the Government have recognised the basic inefficiency of the rolling stock companies and I look forward to studying the Secretary of State's proposals in detail.
Finally, I note that legislation will be required. In the light of the Secretary of State's acceptance of so many of the points that I have put to him, my colleagues in the House and in another place look forward to working constructively with him to help put the necessary legislation in place and, more important, to help deliver a 21st-century rail network for the long-suffering passengers of Britain.
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