Select Committee on Transport Written Evidence


Memorandum from P G Rayner (TPT 44)

The Position as at Early March 2008.

A Personal View: P G Rayner.

  Having been actively involved now for over 10 years I am mindful that in some senses "I know too much" and have as a consequence tried to restrict this comment to essentials.

  Firstly as the recent history is important if one is to understand the development of concessionary travel it should be noted for more than 20 years some communities have provided free or reduced rate travel for their older citizens and for those with mobility difficulties. However it was not until the Transport Act 2000 that the half price bus fares were made mandatory and some of the funding was provided centrally. This was received with mixed feelings and immediately one could see that only those authorities who believed in the value of such schemes implemented the system without political back biting and resistance. This has its roots in party politics but the pattern has never revealed that to be too much of an influence for many places out of sympathy with national government of the day have good and generous schemes.

  So the Transport Act 2000 made some money available but because that was a long time ago and the money was, and is, mingled in with the general grants and not ring fenced it exists but is frequently forgotten when the debates rage on how much money this or that authority gets.

  Next in 2002 the EU ruled that men should not be discriminated against and be eligible aged 60 same as women and money was also provided in the general grant and again not ring fenced for that purpose. That equalising of gender had some disbenefits for a considerable number of men were still at work and used the pass to go to and fro, quite legally but it brought forward the statement that the pass was essentially for leisure and pleasure, provided for persons on a pensionable income. That was the start of the "Perk" rather than "Freedom Pass" as an essential right debate which I shall come back to later.

  In his Budget speech of 2005 the then Chancellor announced free bus travel for pensioners to commence in April 2006 which is the scheme in operation as I sit here on a sunny Sunday morning boring you all with this. Whilst it was well intentioned and it would be churlish to complain the scheme did cause considerable confusion. The key words "Bus Only" and "Local" meant that different authorities interpreted it in different ways. Some improved on that minimum, others restricted existing schemes of value to pensioners to pay for the mandatory bus free pass which they were obliged to provide. I have over 50 examples of anomalies with regard to application covering many aspects of the scheme but to list them would be of little value.

  £212 million was the figure Central Government put towards this and on funding again many arguments took place about how fair or unfair the allocation was. Again I could quote many examples, over 20 at least. Sufficient to say the money was not ring fenced and it was used in different ways.

  These problems are still ongoing but as it will change yet again in a few weeks time I will move to the 2008 position. In doing so may I remind you that NPC in the Pensioner Charter says: "Free nationwide travel on ALL public and local Transport".

  Again in his Budget speech of 2006 the then Chancellor announced free travel nationwide from April 2008. This fundamental change required an Act of Parliament. We therefore examined the Bill as it passed through both Houses of Parliament and proposed for The Bus Concessionary Travel Bill (England) several amendments to improve what we saw as shortcomings. One needs to note the words "Bus" and "England" in the title. We essentially wished to broaden the definition from Bus to Public Service Vehicle but our efforts were in vain. We had a number of other amendments and concerns but again space prevents my listing them.

  When it was clear we would get no change to the Act I along with our President Frank Cooper was able to see the Minister Rosie Winterton MP and leave with her and her advisers a detailed document. Part of that document is given below so you should see that we have tried to cover everything we can reasonably cover without appearing too unappreciative of the intention.

  There will still be no equality across the country, and even across England. The exclusion of train, tram, Metro and Underground means confusion and uncertainty when people with the new Nationwide Bus Pass travel within large conurbations.

  The potential exclusion of Dial-a-Ride/Taxi Card from the concession remains a genuine concern, not withstanding Clause 8 which suggests a future Secretary of State could add entitlements and modes of transport. Many older and disabled people are unable to use the buses for obvious reasons.

  It is also unclear how the Government can agree with another EU State (Republic of Ireland) on the issue of cross border bus, train and tram travel for older persons, when the arrangements with Wales and Scotland are unclear for bus only.

  Likewise, the anomaly that enables a Northern Ireland pensioner to cross into southern Ireland, but prevents them from travelling within the rest of the UK, also needs to be addressed.

  Local authorities in tourist areas have claimed they will receive insufficient additional funding for the new scheme, because it ignores the extra demand that will be generated by older tourists visiting the area. Teignmouth for example claim they will receive £1.1 million, but need double. Is this genuine concern part of the overall funding formula? NPC believes local businesses in such resorts benefit from the influx of Pensioners and this cross benefit should be recognised.

  The NPC continues to have difficulty in reconciling the claims of the former Secretary of State during debate that free travel would be allowed, "...for example from Cornwall to Cambridgeshire or from Durham to Dorset" with the fact that coaches will only be obliged to provide the National Concession where their routes have stops less than 15 miles apart.

  It is also unclear whether Park and Ride or Tour Buses are included in the concession.

  The financial formula is clearly complicated and open to different interpretations; which has lead to many councils already using the pensioner travel issue as a reason for possible Council Tax rises. However, evidence from Wales suggests that there has been a 10% increase in paid for travel since the introduction of free travel. Such cross benefits must therefore be used more often to challenge costs.

  The NPC also notes that pensioner free travel on trains on the Heart of Wales's line and on the Conwy Valley has doubled the passengers using the routes and some trains have had to be increased in length. The Heart of Wales Forum stated: "We are seeing over a 1,000 extra journeys a week and by encouraging people to use Public Transport we achieve a number of benefits. Firstly we provide mobility to the many that do not have access to a car, and secondly we are bringing business to the many small communities along the line who depend on tourism and doing this without adding to road congestion". (Source: Western Mail). The NPC is therefore concerned that more prominence should be given to these multi modal benefits.

  Travel to get to early GP and hospital appointments (before 9.30 am) do need separate funding and separate finance. Since the health of the nation's older people would improve with the inclusion that free travel allows, then the health services must either give later appointments or separately fund the travel.

  There are a number of key issues upon which the Act is unclear. For example Bus travel where there is more than 15 miles between fare stage stops are not local travel. The position on Dial a Ride and Taxi Card is unclear. Wales Scotland and Ireland are excluded and yet enjoy themselves other benefits. So from 1April 2008, three weeks time there will still be some areas of uncertainty.

  What is clear however is that the Act states Nationwide (England) Bus only and after 9.30 am. In essence that is what the government is funding and all the Act guarantees. Another £250 million pounds is being allocated for this extra pensioner movement outside their home localities. I know of course that we all get something different, many of us because there is no peak travel have no time restrictions, and others get Train, Tram and Underground. Everywhere we look it is different.

  What to me is the easiest way to describe the position from April 2008 is to say that what you get in your home location you are not entitled to when you travel away. Your local Bus pass when you get say to London or Birmingham or Manchester will still only get you on the buses and after 9.30 am. Likewise the large conurbation pensioner when leaving London etc will only get Bus only and after 9.30 am away from home.

  Let's consider the funding since it is such a contentious issue and the background to all the bad press and misunderstandings. Remember the 2000 Act money is still in there somewhere and along with the extra built into the grants for the 2002 "men equality of age eligibility" is also still there somewhere. Add to that the £212 million for the existing concessions and the £250 million extra for this April, some ring fenced but not entirely and you have a right old muddle allowing any politician, however straight and fair, to pray in aid shortages. It is a melange of formulae and they do not know in my view where they are. In addition there has always been some local money for most council's value to some degree the older people in the community. So that enables Government to say over a £1 billion is put towards pensioner travel.

  By querying and questions in an attempt to get clarification we are in danger of being seen as ungrateful.

  It is clear to me that there will be many places where older people will be unsure of their entitlements at home and away on 1 April. NPC will issue a clarification document and this paper is a first attempt to get the factors down in one document.

  Next the Bus Companies themselves are causing a great deal of the problem. The Act intends that they should break even and it says they should be "No Better No Worse" as a consequence. But by the very way they calculate their fares, by the different ways they issue their tickets and by the way they have been able to alter routes and manipulate the market under the deregulated structure that exists has meant they are making money, and at the same time complaining they are not getting enough. Almost impossible for us to prove our many examples are valid for scrutiny.

  Bus Companies have Public Affairs Managers and Press officers and they can and do brief journalists, who will happily run with scare stories. "Granny get your Coat" etc etc. Our attempts to engage national press has been not very successful and in any case it is mostly the local papers that do the damage. Councils who mistrust or dislike national government and who either do not understand the detail of the finance, or do not want to, also brief the press against us. So it is a problem.

  It is best tackled locally so where it comes to notice in your local area of buses altering services, claiming for longer journeys than actual travel. Bring it to the notice of your council and importantly the press, write letters, get petitions but be sure of your facts. Where NPC can help we will back you up with quotes.

  Let me list a few of the sensation seeking items that the press has used. Public Toilets to shut to fund pensioner travel. Pensioners joyride means people cannot get to work as the buses are full. Council Tax to go up, other groups in receipt of concessionary fares will lose their entitlement. Many and varied are the stories.

  Seaside towns, and other tourist centres despite spending millions on advertising their facilities to get people to visit, have the cheek to say the funding for visitors is insufficient.

  So we are up against it. It's a dog's breakfast and no other large organisation is fighting. Help the Aged and Age Concern and others are all relatively non critical. Some even encourage taking £37 of Tokens rather than the Pass, which may suit some very restricted people but is of far less value if one travels away from home. How therefore do we proceed? My stance is not that we have a "Right to Free Travel" because we are old, but that we contribute to society and we therefore have a "Case for Free Travel" to make.

  We need to be able to list those benefits so that our travel cannot be dismissed as a perk. It is easy to see Pensions, Health, Carers, Carer's Allowances as rights. But free travel can be less easily justified.

  A sample list of advantages to society to make our case are:

    —  Transport has a major part to play in enabling older people to continue to live in their own homes and participate fully in the life of their local community.

    —  The presence of pensioners in the town centres is good for local business.

    —  Older people travelling out of peak times can improve the marginal costs of services and thus retain services to the good of the community as a whole.

    —  The need for transport increases with age. The use of cars for short journeys is a high pollution factor and an accessible free transport system would solve both problems.

    —  There is a proven link between improved health and the ability to be included in the community rather than isolated at home.

    —  The administrative cost of the many different schemes, which takes up several hundreds of administrators and revenue protection people issuing tickets and tokens, could for the most part be saved by a central scheme.

    —  Older people could provide unpaid, well informed persons to contribute to committees on services, mobility and other older peoples' issues. By this we do not mean more attendance at "Stakeholder Groups", but real inclusion, involvement and participation.

    —  In Wales it has been proved that "paid for" travel has increased by as much as 10%.

    —  Marginal costs on some routes can be improved and the service retained for all.

  We should stress we do not believe we are asking for an uneconomic alternative. Older people do not want charity and something for nothing. Older people for the most part have contributed to society and in their retirement if they are "included" will feel they are still able to contribute by that inclusion.

  Apart from the contribution to the debate on travel arrangements, ie access to vehicles and premises, vehicle design, staff training, location of pick up points etc, there are many other subjects on which Older Persons and Disabled people could contribute. To my personal knowledge there are many older people on voluntary work—Samaritans being one such example, or another case where an older person is passing on his skills by teaching woodwork to blind people.

  There is a vast untapped resource out there and if the Government recognised the cross departmental benefits that accrue from the Freedom Pass—to health, to increased economic activity, to voluntary work and had the political will to achieve those desirable things—Mobility is the key.

  Best of luck in your local campaigns. Sorry for the length of this document but it is produced so we can get out a brief and Press Release for the 1 April 2008 launch.

March 2008





 
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