Transport and the economy - Transport Committee Contents


Further written evidence from the Transport Planning Society (TE 44a)

1.  The TPS has now considered the details of transport's contribution to the Comprehensive Spending Review (CSR). We wish to give the Committee an immediate response, but clearly the DfT process of finally selecting individual major schemes will take until the end of next year. However, we feel that there are important issues raised at this stage to which we wish to draw the Committee's attention.

POSITIVE ASPECTS OF THE TRANSPORT REVIEW

2.  First we welcome the Local Sustainable Transport Fund (LSTF), in particular the revenue content. Block grant is being reduced but the LSTF will help to protect high value low cost work, such as Smarter Choices, which requires a committed long term revenue stream. In this sense, the emphasis on capital spending elsewhere in the transport statement might be, at first sight, a cause for concern. Revenue expenditure can be extremely effective in reducing congestion and enabling, for example through workplace travel planning, patterns of commuting which are both sustainable and attractive to employers and employees alike. The evidence of this is now extensive and well documented.

3.  We also welcome the clarity of the major scheme timetable and three pool approach. It is often the case that it is politically easier to include or leave a major scheme, which may be financially unrealistic or otherwise past its sell by date, in a capital programme rather than to remove it. However, this can be very damaging. Sometimes schemes need to be dropped for areas to "move on" to devising more cost effective and realistic solutions to their transport problems.

4.  We welcome the fact that highway maintenance has been cut less than average - 4.5% reduction over the period for the HA and similar for local authority capital maintenance. This is to be achieved through savings in the cost of delivery and spread of best practice. Our members are very concerned to protect existing assets and we encourage the Government to assist local authorities further than the £3 million set aside for 2011-12 and 12/13 in delivering these savings, for example where transition costs to a co-operative approach with other authorities are needed. In this area, and others, we welcome the proposal for a Green Investment Bank and wish transport to be fully represented in its programme.

5.  We have yet to gather a full response from our regional and national branches and this will reflect the final outcomes of the Pool and LSTF decisions. We are still assessing the potentially damaging impact on bus services of the CSR and welcome the Committee's decision to hold a separate Inquiry into this issue.

APPRAISAL AND PRIORITIES FOR THE FUNDING PROCESS

6.  Given the profession's strong criticisms of the current transport appraisal methods, we support the confirmation that it will be reviewed. Transport requires a robust process but one which is proportionate to the scheme being appraised. We support transparency in the approach itself, but also in how it is reformed. Thus we are concerned that the progress made to engage with the profession, for example through the NATA Refresh informal advisory group, appears to be on hold.

7.  As well as detailed comments on the Highways Agency (HA) evaluation criteria in paragraph 12 below, we suggest that, in relation to the specific schemes in the three pools, overall priority for major schemes should be given to:

  1. ¾  public transport in city centres and links to the wider city regions; and
  2. ¾  management of the strategic network.

We note many schemes of this type in the list and would wish to see these progress. London is benefitting from major public transport investment and its system of integrated planning and ticketing. The economies of major cities outside London have a wider impact in their city regions and need to be supported. Motorway management is an extremely cost effective approach with early delivery and potential for further development.

8.  We also note that there are a few schemes in the Pools which were part of the general RFA inter-authority scheme "bargaining" which led to some criticism (clear in our member survey) of the regional arrangements and their failure to produce a genuinely strategic view. In this sense it would be helpful to clear the decks for the new approach.

9.  While having no strong favourite, most members also concluded that a strategic view was needed, to sit between local and national agendas. This must be a concern and two examples spring immediately to mind.

10.  The first is the lack of consistency in parking standards between neighbouring authorities. Parking control is still one of the key tools in demand management and greatly enhances the cost effectiveness of Smarter Choice schemes. The two are natural partners. There is a real fear among planners and transport planners of a "race to the bottom" in terms of relaxing such controls. PPG13 originally called for Regional Transport Strategies to ensure that this did not occur. Local economies can be harmed by such a lack of strategy, and national objectives on reducing congestion and avoiding climate change, to give two important examples, will be undermined. In the development of corridor studies and Nationally Significant Infrastructure Projects (NSIPs) we consider that a consistent approach to parking across regions will be required.

11.  The second example is the lack of an obvious champion for regional rail schemes in England between local authorities and the national RUS process. This is compounded by the fact that even the PTEs, representing the major city regions, no longer co-sign franchise agreements. Our members showed strong support for local rail improvements, contrasting with their modest support for High Speed Rail (HS2).

12.  In relation to the HA Major Scheme four criteria:

Value for money—we are concerned by the emphasis on time savings, rather than reliability, and that there is no caution over justifying schemes through the use of very large numbers of small savings (for which there is little evidence of any value). Major schemes should by definition be expected to create significant absolute savings (for which there is some evidence of value) on individual journeys. Freight operators in particular usually call for reliability as their key requirement.

Strategic value—the use of the term "bottlenecks" does not seem to fit with the idea of strategic approach. It is important that removing one does not simply create a new one. We appreciate this may have been used for the rapid CSR process, but would not wish to see it gain future currency. In the NSIP process a corridor approach will be essential and congestion needs to be managed and reduced comprehensively. The principle is that strategic projects should sit within a strategic policy framework.

Deliverability—we agree that uncertain costs and benefits should count for less in any appraisal. For example, schemes which depend upon benefits in the second half of the appraisal period (30-60 years from opening) should be clearly identified and removed from the pool.

Non-monetised aspects—the recognition that there are likely to be significant factors of this type is welcomed. We support a proper and comprehensible description of such factors, which is as numerate as possible even if there is no monetisation. This is far preferable to the inclusion of more speculative money values in the formal analysis.

13.  We note that in one instance (A14) a major scheme is to be removed from the programme and multi-modal study of alternatives is to be pursued. Our view is that such alternatives need to be based on assessing all the elements of transport demand and how they can be met or managed. There will be local areas which will have to finally relinquish a particular scheme which has tended to dominate their thinking for a number of years. They will require resources to develop and design smaller scale and more cost effective packages and we would like to see the Government make financial provision for them to do so. It should be made clear that this will only be used for genuinely new work, for example leading to a bid to the LSTF.

MAINTAINING PROFESSIONAL RESOURCES

14.  This naturally leads to a final concern in relation to the CSR, the future of the profession itself. Promoting best practice, developing skills and sponsoring debate is at the heart of the TPS.

15.  There are two aspects to the maintaining of transport's professional resources. The first is the need for continuing research on a diverse but robust basis. It must be a concern that two bodies have already been affected by Government cuts. One is CfIT, which was not wholly a research body but commissioned a significant number of studies which tended to cover topical concerns. A more recent casualty of great concern to the TPS is the withdrawal of funding by DfT and ESRC from the UK Transport Research Centre, an organisation just launched after several years of tortuous and resource intensive negotiations between DfT, ESRC and academia.

16.  While learned societies, including TPS, will feel an extra responsibility to maintain standards and promote debate in the "age of austerity", this cannot substitute for properly funded research. This is especially true for understanding why people and goods travel, for personal or business reasons, and what influences their decisions. To give an example highly relevant for this Inquiry - economic impacts - analysts need to fully understand the two way nature of the effects of infrastructure building. Transport planners are well aware that decreasing the travel cost between a well off area and a less well off area may overheat the well off area rather than cause an exodus from it. This is as true for HS2 as major trunk roads. Do we really know how this works in the UK economy? In terms of congestion, travel planning still needs more research and development but also monitoring to provide the data we need. We know it works, but could it provide even greater benefits?

17.  Cuts in such programmes may seem easier because they are less visible but we contend that lack of such understanding could lead to the wrong sort of investment and thus inhibit the recovery and future growth. They tend to be very low cost compared to infrastructure spending itself and we strongly oppose cutting them without putting alternatives in place.

18.  In our first submission we pointed to the low priority given to HS2 in our member survey. This needs a robust assessment in terms of how it will really impact on the UK economy (see paragraph 16 above) and whether it will divert resources away from more cost effective (often demand management) schemes, essential research and innovation, or the need to maintain our skills base as well as physical infrastructure.

19.  Thus our final point is that the profession must be able to continue to both retain and develop the skilled human resources required for recovery. It is no secret that transport planning companies have been hit very hard by both the recession and public expenditure reductions. While there have been substantial job losses in the sector, many consultants have sought to cushion the extent of these by introducing part time working and other strategies. Although many have continued to invest in training the staff they are retaining, the TPS annual survey of UK students on transport Masters courses has shown a two thirds reduction in part time students sponsored by their employers. Experience from past recessions in the industry has shown that few of those who leave the profession in a downturn return. Having led the Transport Planning Skills Initiative to address the severe skills shortage that occurred in the early 2000s, and subsequently done much to improve the standing of the profession, including the provision of a professional qualification and a professional development scheme, TPS is very concerned that a skills shortage will re-emerge as we move out of recession and financial austerity. It considers it essential that the Government recognises the need for adequate skilled professional resources to plan for efficient and sustainable transport policies, systems and services, and its key role in ensuring they are available now and in the future.

November 2010



 
previous page contents next page

House of Commons home page Parliament home page House of Lords home page search page enquiries index

© Parliamentary copyright 2011
Prepared 2 March 2011