Transport and the economy - Transport Committee Contents


Examination of Witnesses (Questions 144-165)

Q144  Chair: Good afternoon gentlemen. Could I ask you please to give your name and the organisation that you represent for our records and to help identify you on our recording?

James Adeshiyan: James Adeshiyan from First Hull Trains.

Professor Mackie: Peter Mackie from the Institute for Transport Studies, University of Leeds.

Adam Fowler: Adam Fowler, from the City of Hull and Humber Environment Forum.

Peter Shipp: Peter Shipp, Chairman and Chief Executive of EYMS Group, which is a private, independent bus company. I think it is the largest of its type in the country.

Q145  Chair: Thank you very much. What types of transport investment should we prioritise or would you like to see prioritised here? Who would like to start?

Professor Mackie: I would like to see urban transport investment prioritised. I believe we have a significant deficit in urban transport infrastructure; that inevitably means public transport, things aiming at reliability and service quality improvements in our big cities. I believe that the cities are the engines of the future economy, and poor quality supporting infrastructure—in the transport sector among others—is a constraint on economic performance. In the north of England we have these big conurbations 40 miles apart. The connectivity between those conurbations and the opportunity to create what Professor Robson from Manchester University used to call the Hanseatic League of the North is a very important opportunity for the UK.

Chair:> So urban transport and connectivity.

Q146  Kwasi Kwarteng: On that specific point you gave a very full answer, but it was a very general answer. "Connectivity" is a very general word; I am very interested in what modes you would be promoting. Regarding this Hanseatic League, will there be a rail link? Will there be a road link or bus services? What sort of specifics could you give us on that?

Professor Mackie: Obviously that is where assessment comes into the picture. If you ask me my knowledge of the relative merits of electrification and higher speeds on a trans-Pennine line versus improved capacity on the M62 and the M60, then I'd say you're not asking the right person. I say evidence base is crucial, and you need a lot of information from a lot of sources in order to be able to be in a position to make those choices.

Q147  Kwasi Kwarteng: With respect, you can understand that, from the point of view of a Minister or of Government, saying, "We need better connectivity," isn't particularly helpful. We all agree that we need better connectivity, but I think for the purposes of the Committee, we have to try and really get some sort of specificity and focus on what the nature of those connections will be.

Q148  Chair: Would anyone like to join in and be more specific on what's required or perhaps have a different view? In terms of priorities, we all want everything. We're trying to identify what you see as your priorities.

Peter Shipp: I'm pleased to note that you and one or two of your colleagues have mentioned bus services. They tend to be the forgotten things sometimes. I accept that bus services aren't an end to everything and I agree with a lot of what my colleagues earlier this morning have said about the Humber bridge tolls and about Castle street, because Castle street is important to us as well. We don't particularly use it, but of course what happens when Castle street gets blocked is that traffic overflows into the city centre and then causes all sorts of problems. You did mention specifically BSOG and concessionary fares. My take on all this would be that every aspect, in a sense, needs some investment, but I do question the need for some of the very expensive capital schemes, in whatever mode. Some of them are very justifiable but I question some others.

My view would be, certainly, that one of the priorities ought to be to maintain what we have and improve it. I think that's a point Professor Mackie made in his paper, which I've only had a brief chance to look at this morning. It seems to me that we're in danger of losing some of what we have, and surely our first priority should be to maintain what we have and improve it, so long as it's good, rather than necessarily go for great schemes that cost an awful lot of money. I can bring you one particular specific action plan that I think you wanted, Mr Harris, and that was to maintain the level of concessionary fares reimbursement and BSOG, because for about £5 million a year we can maintain the level of bus services in this area. The issues are the same in the rest of the country, but they seem to be somewhat exaggerated in this area because East Riding is largely a rural authority, which, as a lot of people seem to forget, is one of the largest rural areas in the country and is very difficult to serve.

What concerns me is that buses as a whole throughout the UK carry about 64 million passengers a year, according to my latest figures from 2008; that's three times the entire rail and underground network. Even if you exclude leisure from that figure, it's still about 51 million passengers a year, which is still over twice the number on the entire rail and underground network. In Hull, for example, we know from figures that the council has produced that nearly half of people who come in to Hull to shop, come in by bus. What concerns me is that proposed BSOG cuts, even at 20% and not until 2012—but 2012 is only 18 months away—will lose my company £600,000 a year. At the moment the proposal for concessionary fares risks losing us £2.25 million a year, and that's going to mean, inevitably, however hard we try, major cuts in bus services and a large increase in bus fares. My concern is that's going to stifle investment and stifle existing employment. As Ian Kelly mentioned, the bosses don't tend to use buses, but the employees certainly do.

Q149  Chair: Do smaller local schemes or wider strategic schemes matter most? How are you going to get connectivity, if you don't have the wider strategic schemes?

Adam Fowler: I think that's an important point. Just to come back to the context of rail investment, mention has been made of connectivity with London. Often, Hull and the Humber area looks westwards in the wider regional context, and certainly one of our problems has been—and I think our friends in West Yorkshire and South Yorkshire have faced this as well—congestion issues in the Leeds-Manchester corridor. I certainly think that the Humber sub-region is somewhat divorced from its natural centre, which should be looking west. London is important and Hull Trains has done a fantastic job, and not just in terms of connectivity. I think the issue here is what transport can do for the perception of an area like Hull. It hasn't just created more direct trains, for example, between Hull and London, it has spread the word of what Hull and the sub-region has to offer. It's important to see transport in a wider social and economic role as well. Coming back to your specific question earlier about investment in the rail infrastructure, let's look west. There are certainly signalling issues and infrastructure issues. It is logical to look at how Hull and the East Riding area and indeed, to some extent, the south bank in the south Humber region are connected to the west.

Q150  Chair: Any specific schemes in the pipeline or perhaps being rejected or deferred that you think should be instigated?

Adam Fowler: There is one that continually gets pushed back, and that is signalling issues. Hull is a major port city, of course—as you've heard from ABP—and yet the last train into Hull on an evening from the West is 11 o'clock at night, because of Victorian signal boxes. Now certainly my colleagues at Hull and East Riding councils and Yorkshire Forward have been pushing for a long time to get major investments to automate the crossings between Hull and the connection with the mainline west. So from a business and even a prestige point of view, it's absurd that you can't leave London later than half past eight at night with First Hull Trains or even later than 10 o'clock at night from Leeds or Manchester. That's been going on now for 20 or so years.

Q151  Chair: So you see looking at those things as very important and—

Adam Fowler: Yes, and it would be relatively small-scale investment as well with signalling and crossing improvements.

Q152  Paul Maynard: We do seem to be retreating somewhat from our consensus about tolls on the bridges being the big issue. We've heard several different answers now. With particular regard to perhaps Mr Adeshiyan, I'm interested in what involvement you all have in terms of trying to set an agreed transport agenda for the sub-region. Where do you all come together to discuss these issues and thrash out what you think is important? Where you have a pot of money, how do you apportion it? Is there any body that exists where these issues are discussed and conclusions are reached that can then be presented upwards to Government?

Q153  Chair: Is there any way in the new proposed arrangements that you think you will be able to come together to identify priorities? Mr Adeshiyan, do you want to comment on that?

James Adeshiyan: From a First Hull Trains perspective, I think what the individuals on the Panel have actually said is that sometimes there are no straightforward answers in terms of some of the actual challenges that Hull and the Humber face. From a First Hull Trains perspective, we've always seen that the through service to London would unlock some of the economic potential of this particular region. In as far as the wider strategic issues within Hull and the Humber and coming together to discuss what the actual real key drivers are for wider transport solutions, I have to say, from my perspective, that it has been pretty focused on rail and rail alone, in a sense. Some of the bigger challenges around the more urban issues, as opposed to the direct link from London to Hull, also need to be looked at, as Adam said. That's something that I would concur with. I think where I do agree with him is that some of the more localised schemes, such as the branch line that you came up on today, for example, between Selby and Hull, are the areas which do need ongoing investment. Bearing in mind, back in 1999 we only had one direct service from London to Hull and around 3% growth at that particular time. By 2005, after the introduction of our service in 2000, that had risen to something like a 61% growth level in traffic to London. Obviously, there was a need for that particular direct link. I would say that investment on that particular line hasn't especially followed, but then again, why would it with some of the bigger challenges in the wider community?

 From my perspective, anything that can be done by Network Rail to improve some of the signalling challenges that we have would be beneficial. On that particular line we have seven signal boxes, for example. As Adam has said, those signal boxes will close at a particular time because those individuals are on 12-hour shifts, so it does restrict the ongoing growth of direct services to London for First Hull Trains. For us, that would need to be an area of any scheme that we were to look at. It would be around the infrastructure on that branch line going on to the east coast mainline, which is a more strategic issue and one that is currently being looked at.

Q154  Chair: Professor Mackie, could you give us an idea of how it's going to be possible for people to come together to decide what their priorities are under the new regime, whether it's local government, business or others with an interest in an area wider than their locality?

Professor Mackie: No, I have absolutely no idea of how this is going to work, and I am extremely worried that there is going to be an institutional deficit. We are seeing several things happening simultaneously: a reduction in the capacity of the Department for Transport at central level; a reduction in the significance of the RDA tier; a change in the planning system; an abolition of the Regional Spatial Strategies; and the creation of the LEPs. I could go on, but let me say just one thing. I think transport is a particularly difficult area in planning terms, because you have the local interest, or the regional interest, interfaced with the national interest. You need both parties to come together and it is not at all clear how that is going to play out in this new environment. If your Committee can help to address the question of how it's going to play out, and to put your views, I feel that will be one big win from your inquiry.

Q155  Chair: Mr Shipp, do you have any different views on how people will be able to come together to be able to indentify priorities?

Peter Shipp: Not really a different view, but I think at the moment it is a disappointment. I'm not too knowledgeable about them, but from what I hear it is a disappointment that we haven't managed to get together to get a LEP sorted out for this area. It does seem disappointing, because to me that would seem to be a major way forward. I hope that can be solved soon. In the meantime—and I'm no spokesman for it although we've been a member for a long time—the Hull and Humber Chamber of Commerce is a major chamber in the country. It spans the Humber and it embraces private business and the public sector very well, I think. We are involved in it very closely and in the absence of anything else, and, as Professor Mackie says, the disappearance of some of the bodies that might do that function at the moment, I think there is a function there for the Chamber, which works very well and could work even better if given more support and more involvement from business and the public sector.

Adam Fowler: Chair, I share the concerns that there is a danger here that we will become almost parochial. The one thing we did have with organisations such as the RDAs was a big regional strategic view. I think that some of the evidence that has been presented just previous to us, about how the future of the Humber is the Humber and about some of the investment we can capture, is very important. If we get too localised and don't see that Yorkshire and Humber view, transport will suffer. Unfortunately, if we are not careful, we are going to see that fragmentation. For some of the big issues, it should not just be the Hull and East Riding or the North Lincolnshire authorities on their own. We need to see the bigger picture from a transport perspective.

The other point I would make is that transport has to be sustainable and responsive. It's there for freight, but it's also there for movement of people in one way or another. To echo one of Peter's points earlier, one thing I'm concerned about, depending on whether you are in an urban or a rural context, but particularly in the rural context, is sustaining that network with Bus Service Operators Grant, concessionary fare reimbursement, and the pressure local authorities are coming under to support fragile marginal service.

We are quite lucky in this area that we do have a local operator willing to put more back into the region than in other similar areas. We don't get into a situation like North Yorkshire, where there are proposals for large-scale cuts. Only last week I ran a surgery with members of the public, and already I am hearing from people who are having difficulties getting into work. So in an economic context, young people living in rural areas and trying to find work in the urban context are finding it increasingly difficult to maintain that fragile sustainable network, which is generally to do with bus services.

Q156  Iain Stewart: Thank you. Two questions from me. The first is specifically to Mr Adeshiyan. First Hull Trains has clearly been a success story in increasing services and increasing passenger volumes. I'm just wondering what evidence you have to show whether you have grown the market—have you increased the total number of people travelling between those destinations, or have you been successful in replacing journeys by people who maybe would have driven all the way to London or driven to Doncaster to connect to a train from there? My second question to the panel more generally: I'm trying to get a steer on what barriers there are to developing the LEPs in this area as a cohesive voice. Is there a historical rivalry between the north and the south? I know the Humberside area was much derided from the '70s onwards. Is it a cultural and historical barrier or is there something else that we should be looking at?

James Adeshiyan: I'll answer the first question as best I can. I think from a First Hull Trains perspective, what we have done is not only grown the overall pot of rail travel from this particular part of the country, we've also continually grown it over the last 10 years. I think what comes out of that—

Q157  Chair: Mr Adeshiyan, the question is not about the undoubted success of First Hull Trains, which we all acknowledge; we're looking at the cohesiveness, or otherwise, of the area, in terms of moving forward with new priorities. That's simply what we want to explore at the moment.

James Adeshiyan: All I would say really is that the aim of First Hull Trains was to increase travel to London. We've done that successfully and I think it is important to note that it has been very good for the local community to be connected to London, and as a result of that the number of journeys taken to London has increased massively over the last 10 years.

Q158  Iain Stewart: Is that total journeys, looking at all modes of transport?

James Adeshiyan: Total journeys, basically. I think what we've been successful in doing, which is important as well, is moving people from cars into trains, especially on routes such as Selby and Brough, but also from Hull directly.

Q159  Chair: Professor Mackie, what can you tell us about the cohesiveness of the area?

Professor Mackie: I wanted just to comment on the second question, if I may. I'm just an academic so I'm an outsider in how these circles really work, but I do think the Northern Way has been an extremely useful space. It has enabled interested parties from different parts of the three regions to come together and begin to interface, if you like, with technical discussions about schemes, and form views about strategic questions like the high-speed line. To my mind, as an outsider, it's been quite a revelation in terms of the success of getting people with different local interests in a room together to engage with the big questions. Going back to one of the discussions from a previous session, I will be sorry if that space is a casualty of what is going on at the moment.

Adam Fowler: If I may answer the second part of your question, there are different levels. First Hull Trains is one example of big strategic schemes, but also the work with First Trans Pennine Express to create a half-hourly service between Hull, Leeds and Manchester is another priority we all see. The Chamber of Commerce and the local authorities have worked together on it and I hope it will become an option, and possibly there will be electrification of the rail line to Hull once the infrastructure has been upgraded. I think there is general partnership working on that, and Yorkshire Forward and the Northern Ways helped with that. Having recently sat on a scrutiny commission for one of the local authorities round here, I agree that there is still some local parochialism and it stops at the boundary. We can't have that; it has to be the bigger picture. Potentially there is parochialism on the north bank with the two local authorities, but also on the south bank as well. Often there is very little synergy beyond the big schemes, whether it be freight or passenger, and the link between the north and south bank. The recurrent theme we hear today is that the Humber is one product socially, culturally and economically. As Peter said, often it is the small-scale interventions that make sure things connect; if there is public sector investment, sustaining what we have and that responsive network. Particularly from an economic perspective, if the new jobs are to come to the rural areas, even some of the outer urban areas, we have to provide a responsive, sustainable transport network, not just think immediately of the private car but train, dial-a-ride and community transport. The bus network, particularly round here, is a major impact. I would stick my neck out here and say that certainly at a local level we need more joint working about what we are trying to achieve and to recognise the importance of the best way to get people from A to B and therefore what those needs are.

Q160  Mr Harris: At the risk of provoking gales of laughter, what do you think of the Local Enterprise Partnerships? Would your own organisations get involved in them?

Peter Shipp: I do not know enough about them to be specific, but from what I hear we would certainly wish to get involved. I see them as a major influence on transport infrastructure and projects, and transport generally. That is my business and that is what I am passionate about. I would certainly get involved, as I try to do in more or less everything else that goes on. In answering the question why we have not come up with a particular proposal for one and there are conflicting ones, I agree with Adam that to some extent perhaps there is local parochialism, but when we were asked by consultants what we would suggest personally, it actually embraced both. It might have been too big for what the Government are proposing. I am not quite sure, but that would be the south bank and would include the Scarborough area. The trouble is, in my view, in the southern part of the north bank there is a definite linkage with the south bank; clearly, ports and everything else go together. However, towards the north of the old Humberside region—I use that word carefully, as you have said—there is a definite linkage with Scarborough and that part of North Yorkshire. It might be too big, but, not knowing the details of how the Government wish these things to happen, I can see some merit in it being a rather larger one. Certainly, we would very much wish to take part in whatever happens there.

Q161  Chair: Professor Mackie, do you want to add anything?

Professor Mackie: Briefly, I think Peter Shipp has posed a key question. Even in a relatively self-contained part of the world the question arises as to what boundaries these things should have in order to deliver effective transport planning and prioritisation throughout their areas, and what powers and funding they should have in order to help determine the relative priority of transport against all other sectors of local authority expenditure. I would reiterate that the 28% cut in the CLG revenue budget is potentially very important for transport.

Mr Harris:> Is it right to get the impression that at this stage, as far as the Local Enterprise Partnerships are concerned, no one is quite clear about how they will operate or how effective they will be? Have you had any role at all in early discussions about them?

Q162  Chair: I think you are saying "No". We can't record nods of the head.

Professor Mackie: No.

Peter Shipp: I speak from my own point of view. We have a little knowledge. I am aware of others, particularly the chamber, who have a lot more knowledge than I do. I think there has been quite a lot of discussion, and it is important now that we try to get acts together and put a proper proposal to the Government, one that I hope could be accepted. I know that the first tranche has been agreed. That is very important because I see it as having a major influence on the transport side, apart from anything else.

Q163  Kwasi Kwarteng: Having asked specific questions in earlier testimonies, I want to ask a very general question. I appreciate that all of you have specific hats—academia, trains, the environment forum and so forth—but you know the area. What do people out there—the consumers who use your products—think about transport in the area? What do you hear? What is your sense of consumer or customer satisfaction in terms of transport in this area?

Peter Shipp: Generally, the impression is quite good. I am an advocate for bus services but I readily acknowledge the importance to many businesses of cars and trains. No doubt First Hull Trains has developed the market; it has taken quite a bit off coach services to London. Be that as it may, you are catering for a slightly different market. I think the overall impression is very good. People complain about the road network and the traffic particularly on Castle street; they say the traffic is terrible. I know from experience elsewhere that it is not quite as bad as some other places, but it is a major issue for Hull. Castle street in particular and the Humber bridge tolls constantly come up as a public issue as well.

Adam Fowler: It is relative. Generally, if you are looking at road issues and congestion in the Humber region, it is nothing like what I am sure many Members here face in the South and South East. It is relative, isn't it?

Q164  Kwasi Kwarteng: What do people talk about?

Adam Fowler: I do not think it is that. It is a mixed view. Certainly, First Hull Trains and Trans Pennine have benefited; there are certain gaps in other parts of the local rail structure with Northern and the perception of rail travel there. For bus travel, in the urban area, certainly in Hull, Grimsby and Scunthorpe to some extent, we run surgeries as well. In all those areas we speak to thousands of people every year. Generally, in the more urban areas it is a pretty stable, responsive bus network. As you get out, as I did this morning—I left a surgery in the rural East Riding towards Spurn point—the perception of bus travel is much less because, as Peter mentioned, they are very rural areas.

Professor Mackie: I have to answer for Leeds because I do not know about this area. For Leeds, the issues are queuing on the motorway, unreliability, poor resilience and the wires down at Retford on the east coast main line. There is a set of issues of that kind. Reliability and resilience of the network are crucial.

Q165  Chair: Mr Adeshiyan, is there anything? Apart from First Hull Trains, which we know about.

James Adeshiyan: To be fair, I do not have much to add. The big issue that people mention is the resilience of our infrastructure.

Chair:> Gentlemen, thank you very much for coming to answer our questions.



 
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