Memorandum submitted by the National Association
of Boat Owners (NABO) (BW 14)
1. NABO
(i) NABO is the "consumer group" for private
owners and owner/operators of all types of vessels on Britain's
inland waterways.
2. WATERWAYS
FOR TOMORROW?
(i) British Waterways is in a cleft stick. On one hand
it must must herald its own achievements, but on the other hand
it must admit its vulnerability to the whims of Government sponsorship.
DEFRA claims that Grant-in-Aid cuts will not reverse the progress
being made to improve our waterways. As an instrument of DEFRA,
BW is not in a position to challenge this in public. The waterways
community can, and the National Association of Boat Owners represents
a part of that community with the most to lose, as explained later.
(ii) With the insecure resources it has,
BW is making a valiant effort to ensure there will be Waterways
for Tomorrow and promoting the aspirations of the document of
that name.
Since October 2006 there have been 135 notifications
from the Waterscape website informing users of changes to the
stoppage schedules as the navigation authorities strive to maintain
the nation's heritage. Most of these postings come from BW and
reflect its attempts to adapt to reduced and unpredictable funding.
(iii) The maxim: "A STITCH IN TIME
SAVES NINE" is very pertinent, bearing in mind the age of
the infrastructure and the unprecedented use it is getting. Some
stitches to be dropped this winter due to funding cuts include:
Ashby Canal: Piling works to the Shenton Embankment.
Birmingham Canal Navigations: Tividale Aqueduct
repairs; work probably needed to prevent closure of the Netherton
Tunnel.
Birmingham & Fazeley Canal: Aston Locks 9
and 11 repairs.
Grand Union Canal: Footbridge 177a; stop gates
in the London area; Rowington Embankment.
Kennet & Avon Canal: Burghfield Lock repairs.
Leeds & Liverpool Canal: Coates Lane retaining
wall; leakage through Roddlesworth Embankment; Calverley Wood
embankment repairs.
Peak Forest Canal: A section of towpath wall
at Cloughside Farm.
Ribble Link: By-wash repairs.
Severn: Upper Partings dredging.
Weaver Navigation: Vale Royal Lock repairs.
General dredging work (there is also scope here
for Government to reduce the financial burden of silt disposal).
(iv) We believe:
— DEFRA cannot categorically predict
the effects that a funding reduction will have on the infrastructure.
— With only a handful of staff responsible
for many kilometres of waterway, BW's position isn't ideal either.
(v) We know better than anybody how fragile
the network is—we have more people out there per day per
kilometre than BW and certainly DEFRA. BW is well aware of the
potential of this. As an example of this, NABO is working with
BW and other navigation authorities on an internet based fault
reporting forum, however, due to office staff shortages, BW is
unable to take proper advantage of this initiative. This is just
one example of where forced "economies" are short sighted
and not cost effective in the long run.
3. CURRENT USERS
OF THE
WATERWAY NETWORK
AND THEIR
RELATIONSHIPS WITH
BRITISH WATERWAYS
The relationship between BW and its network's
current users is very varied over both time and involvement.
(i) Pedestrians
In terms of BW's figures for the number of visits
by various categories of user, the pedestrian visitor tops the
list with about 260 million visits per year, gaining benefit from
a combination of heritage, scenic beauty enhanced by water, boats
and boating activity, the slow and relaxed pace of life and, in
90 million of those cases, somewhere safe to walk the dog. For
these privileges no direct payment is made, recompense to BW is
by way of the public purse.
Representation of their interests in the BW
consultation process is weak. Officially the Inland Waterways
Association champions their cause, along with the Rambling Association
and the Towpath Action Group, but percentage-wise, very few casual
visitors are members of such organisations. Their views are usually
sought through market surveys.
(ii) Riders
Cyclists (25 million) and a few horse riders
also make use of certain BW towpaths for no charge. Such use is
promoted by SUSTRANS and the British Horse Society and towpath
improvements to suit these users is sometimes funded by third
parties and local authorities, however, if current government
policies are to promote low pollution transport and outdoor exercise,
it should commit sustained national public spending to make the
towpaths suitable for this mixed usage.
(iii) Anglers
Coarse fishing is said to be the largest participant
sport in this country. Waterways have served anglers since they
were built but increasing competition from other waterway users
is driving them to quieter waters. Their payment to BW and representation
is mainly through angling clubs.
(iv) Navigators
The waterways were built for navigation and
boaters are the most enthusiastic group of users, or more accurately,
customers. The number of licensed craft is close to 30,000. Private
boat owners make up the lion's share of BW's individual paying
customers and pay BW anywhere from £300 to over £5,000
per annum each through craft licence and mooring fees providing
about 13% of BW's total income. However boaters, including hirers,
only account for only 3% of visits to the waterways. Boaters also
contribute a lot indirectly through the trade, eg via marina connection
fees.
On the other hand, as a rough estimate, the
collective capital value of privately owned boats on BW waters
is probably twice that of BW's entire property portfolio and should
be considered as a vital ingredient to the quality of experience
for all waterway users. Few of the owners of these boats are from
the rich classes—those would be more likely to boat abroad.
Many private owners are retired on pensions, a fair number have
created the value by fitting out boats for themselves, and some
have even sold their houses to buy boats to live on. The value
of this combined investment, both in terms of money and usefulness,
is at the mercy of the general state of the waterways, which may
explain why boaters are so passionate about any threat to the
network's well-being.
There are over a dozen boating interest groups
in regular dialogue with BW and, compared with other user categories,
the membership proportions are high.
(v) BW/Customer relationships
British Waterways has made a lot of effort over
the past few years to answer criticism of its openness and accountability.
Since the threat to its GiA, it appears that this progress is
one of the first casualties of its office staff cut-backs.
4. THE FINANCIAL
FRAMEWORK OF
BRITISH WATERWAYS
AND THE
IMPACT OF
CHANGES IN
DEFRA'S
BUDGET
(i) BW cannot sustain itself on navigation user funding
alone. Any attempt to increase charging by rates much in excess
of the accepted indexes to offset the DEFRA cuts would have an
adverse effect on the market and may even be counter productive,
especially when boating costs are already set to rise dramatically
due to the fuel duty changes. Alternative income streams are essential
to BW.
(ii) It is right and proper for the public
purse to be used to maintain the waterways as part of the nation's
heritage, especially as the majority of those who benefit do not
pay directly. Politically decided Grant-in-Aid is now being proved
not to be stable enough for BW to use efficiently. The level of
funding should either be set according to costs, based on the
value of the nation's assets in the custody of BW and their repairs
and renewals, or by a contract whereby BW charges the public purse
for the benefits that its waterways provide for the nation, or
both. Funds to preserve the nation's heritage should not be vulnerable
to political vagaries.
(iii) It might help BW to plan its budgets
if central government gave BW access to contingency funds when
faced with the catastrophic failures and unpredictable expenses
that are inevitable when maintaining a valuable part of Britain's
heritage and a key tourism asset.
5. RECENT DEVELOPMENTS
IN THE
STEWARDSHIP WORK
AND COMMERCIAL
ACTIVITIES OF
BRITISH WATERWAYS,
INCLUDING ITS
PROPERTY PORTFOLIO
(i) A third but more risky income stream can be generated
through property. BW already gains funds this way and was aiming
to rely on this to substitute for GiA by 2012. Progress towards
this goal has been hampered the reduction in third party confidence
resulting from the recent grant cuts. On the other hand it could
be accelerated by endowing BW with a bigger portfolio.
(ii) However our organisation feels BW's
commercial activities (including regeneration, development, leases
of existing property and sacrificing water space for "business
barges") should be pursued in a more open and measured way,
ensuring that individual schemes demonstrate tangible benefits
to the core purpose of the waterway. There should be an active
and open process (from the outset, not after the event!) of testing
of whether expected outcomes satisfy the local and wider community
of waterway users. A NABO representative is involved with BW's
property development plans in Leeds and this sort of involvement
should be extended to all parts of the country.
(iii) Where existing facilities (especially
moorings of all types and other boating facilities, from a water-point
through to wharves and boatyards) have to be lost to redevelop
a given site, there should be a duty on BW to replace them with
equivalent facilities or better. If such issues are merely subservient
to the financial bottom line, then BW simply becomes just another
property speculator.
(iv) Our organisation is prepared to endorse
property income as a partial solution to fund raising, provided
BW's core activity, maintaining the waterway system, is not prejudiced
by the extra business resources required to make money through
property.
6. POTENTIAL
FOR GROWTH
IN LEISURE
AND FREIGHT
USE OF
THE WATERWAYS
NETWORK
(i) There is potential growth in both uses of the network,
although there are capacity limits on parts of the system in peak
periods. The supply of moorings is not keeping up with the supply
of new boats and BW was just a bit late in seeing it as its problem.
The boat hire industry is fragile at present but, if environmental
taxes increase the prices of air travel, then the waterways need
to be prepared for extra demand. The Government needs to ensure
they are funded to supply this need for the citizens of this country.
(ii) The Government also needs to keep in
mind the environmental advantages of water freight on the waterways
designed for modern shipping and continue to invest to expand
it.
7. RELATIONSHIPS
BETWEEN BRITISH
WATERWAYS AND
CENTRAL GOVERNMENT
DEPARTMENTS, REGIONAL
DEVELOPMENT AGENCIES
AND LOCAL
AUTHORITIES
(i) One might well ask why BW is sponsored by DEFRA when
it has perhaps closer links with the activities of other departments.
The wording of this very sub-topic almost implies sponsorship
by the DCLG instead, as the waterways are of great benefit to
regeneration, planning and regional development. However one could
also see motives for a return to the Transport department or involvement
with leisure and tourism. or a cross-department sponsorship.
(ii) If a change in Government leadership
results in a re-allocation of remits amongst government departments,
it would seem a heaven-sent opportunity to address this issue.
(iii) The waterways qualify as one of DEFRA's
few success stories. If the Department wants to keep it that way
then it needs to nurture them, and take into account the fact
that they are cherished by the voting as well as the boating public.
8. SUMMARY
(a) "A Stitch in time saves nine". The
government's investment in the nation's waterway heritage (over
£450 million since 2000) should be protected with adequate
and predictable funding for maintenance.
(b) Over 90% of the 300 million visits to
the waterways are made by people who only pay by way of the public
purse. Boaters, who only account for 3% of visits, feel that contributing
13% to the coffers (as well as paying through taxes and the trade)
is quite enough. We challenge the Committee to compare public
spending per visit to the waterways with corresponding figures
for other amenities.
(c) Boats, the "rolling stock"
of the waterways "train set", account for over 60% of
its total capital value and contribute greatly to its attraction.
This collective investment by ordinary people is at the mercy
of the condition of the "track".
(d) Property speculation and regeneration
should be subservient in all respects to maintaining a functional
waterway network and the needs of BW's paying customers.
(e) There is room for expansion in use of
waterways to provide low carbon-footprint, healthy recreation
in Britain as an alternative to flying abroad and also to provide
environmentally sound transport of freight and passengers.
(f) The waterways network is DEFRA's golden
egg. If they want to keep the goose that laid it, they should
ensure it stays alive.
The National Association of Boat Owners (NABO)
January 2007
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