Category: Transportation

Kelly Tolhurst – 2020 Speech on Manchester Airport

Below is the text of the speech made by Kelly Tolhurst, the Parliamentary Under-Secretary of State for Transport, in the House of Commons on 2 July 2020.

I congratulate the hon. Member for Stockport (Navendu Mishra) on securing this debate about Manchester airport and the local economy, and I thank my hon. Friend the Member for Warrington South (Andy Carter) for his contribution. I know that the hon. Member for Wythenshawe and Sale East (Mike Kane) has a keen interest in Manchester airport but is unable to speak in the debate. I have listened carefully to the points that the hon. Member for Stockport has made and will endeavour to address as many of them as I am able to.

As Members across the House will be well aware, these are incredibly challenging times for the aviation sector. Covid-19 has presented unprecedented difficulties for the industry, but we must not forget that the aviation and aerospace industry is a British success story. Before the impact of covid-19, the UK aviation sector contributed at least £22 billion to the UK economy each year and directly supported around 230,000 jobs spread across the UK. Around 12% of those jobs are in the north-west, so I am mindful of the impact that covid-19 is having on communities across the region.

Aviation is one of the sectors worst affected by covid-19, and areas such as Manchester, with its large airport and supply chain, are particularly affected. Having held regular discussions with the whole sector since the pandemic began, I met again with senior management from Manchester airport earlier this week. I want to thank them for their constructive engagement throughout this period, as we continue to work collaboratively with the sector to ensure its recovery. I was very encouraged, as I am sure the hon. Member for Stockport was, to hear this week that Manchester airport plans to reopen terminal 2 from 15 July, following the opening of terminal 3 this week. I know that we still have a long way to go, but this shows the beginning of the sector’s recovery, as flights once again take to the skies.

The restart comes on the back of the unprecedented package of measures that the Chancellor put in place to protect the economy and jobs. The hon. Member spoke about support for this particular sector, and I am afraid that this is where we disagree. The support provided was unprecedented and has enabled airlines, airports and ground handlers to benefit from a significant amount of taxpayer support during the most critical time. It did not end there. The Chancellor and the Secretary of State for Transport were incredibly clear that any business needing further support, having exhausted all the economic measures that were put in place, will have the ability to talk to us about further support. We stand ready to speak to any business that is in that situation and has used all that support.

Mr William Wragg (Hazel Grove) (Con)

I apologise to you, Madam Deputy Speaker, for arriving late, and I congratulate the hon. Member for Stockport (Navendu Mishra) on securing the debate. Have there been any approaches from the likes of Manchester airport to take the Minister up on the offer that she appears to be making?

Kelly Tolhurst

Obviously, commercial discussions are not for discussion in the Chamber, but I reassure my hon. Friend that I am in regular communication with all the airports in the United Kingdom, and officials in the Department are in weekly contact with them.

The measures put in place include the Bank of England’s covid corporate financing facility, which provides funding to businesses to pay wages and suppliers; the coronavirus job retention scheme, which helps firms to keep people in employment by allowing businesses to put workers on temporary leave; and the business interruption loan scheme. All those measures have been designed to ensure that companies of any size receive the help they need to get through this difficult time, including airports, airlines and the wider supply chain.

Beyond that package, many firms are getting support from established market mechanisms such as existing shareholders—the hon. Member for Stockport mentioned the support that has been provided by local authorities—and bank lending and commercial finance. We have been looking at other flexibilities to give the sector. The Civil Aviation Authority is working with airlines, airports and ground handlers to provide flexibility within the regulatory framework to help them manage the impacts of covid. We also welcome the response by the European Commission, which relaxed the 80:20 rule on slots, and we continue to engage with organisations across the sector on that issue. Nevertheless, I would not want to underestimate the challenges to the sector and to airports such as Manchester, because despite the measures that we have put in place to protect the economy, there remain serious challenges for the aviation sector.

I want to turn to the announcements of redundancies by a number of companies, which the hon. Gentleman has mentioned. As he said, these are distressing announcements for employees and their families. While they are commercial decisions, they are decisions that I profoundly regret as Aviation Minister. Redundancies are not something that should be considered lightly, and if organisations find themselves having to consider these measures, I hope that they will do so sensitively. I hope that they will take into account the dedication and professionalism that their employees have shown, and that they will act within and, where possible, beyond the requirements and the spirit of all relevant legislation.

The hon. Member for Stockport and my hon. Friend the Member for Warrington South mentioned British Airways in particular. I have spoken directly to BA and to the IAG chief executive, Willie Walsh, to discuss the organisation’s plans and its engagement with staff and union representations. I have offered to support these engagement efforts where possible, and where it is appropriate to do so. I am also in regular communication with the unions that are particularly affected by those redundancies. I encourage BA and the unions to engage constructively with each other, and to strive to provide employees with as much certainty as possible during this challenging time.

I would now like to turn to the sector’s restart and the next stage of our plan to help it to recover. We need aviation. It is vital to our future as a global trading nation and plays a critical role in local economies, whether in Manchester or elsewhere. We have established the restart and recovery team, with an expert steering group to ensure a truly collaborative approach between Government and industry. Last month, we published the aviation health guidance for operators, as well as the safer air travel guidance for passengers. This forms a vital first pillar as we seek to ensure that our aviation sector returns to its full strength as soon as possible.

Andy Carter

The Minister has mentioned the Manchester economy, but does she agree that Manchester airport affects not just the Manchester economy but the north-west economy—particularly Warrington, Cheshire and across to Merseyside? The size of Manchester airport means that it is a much bigger operation and affects much more than just the Manchester economy.

Kelly Tolhurst

My hon. Friend is correct. Major infrastructure such as airports always have a wider impact than the activity that they directly partake in. The success of Manchester airport has been a big contributor to the wider local economy and the supply chain, and that is something that we are very mindful of within the Department for Transport. We are working with our colleagues across Government to ensure that we understand the full impact of the difficulties within the aviation sector.

I would like to point out that the Manchester Airports Group—MAG—and Manchester airport were among the leading members of the expert steering group working with us to devise that health and passenger guidance, and I thank them very much for that. We have built on progress, and on Monday we announced that the Government would shortly begin to ease the health measures at UK borders, allowing passengers to be exempt from self-isolation requirements in certain circumstances on arrival in the UK. The joint biosecurity centre, in close consultation with public health and the chief medical officer, has developed a categorisation of countries and territories that present a lower risk, so that passengers entering the UK from those places will not require 14 days of self-isolation. This has been informed by factors including the level of covid within a country, the number of new cases and the expected trajectory in the coming weeks. Further details, including a full list of those countries from which arriving passengers will be exempt from self-isolation, will be announced shortly.

Throughout this process, public safety has been at the heart of our decision making. We have worked closely with health and policy experts from across Government to ensure that the steps we are taking are gradual and minimise the risk of new covid-19 cases, while helping to open up our travel and tourism sectors. We want the aviation sector to return to normal operations as soon as possible. However, even with this week’s announcements, there is a great deal of uncertainty around how long this will take, given the truly international nature of the sector. We want to ensure a safe customer journey in the UK and abroad. We also want aviation to be as sustainable and environmentally friendly as possible. The aviation sector must be a green one that creates high-quality, high-skilled jobs.

Navendu Mishra

Will the Minister commit to looking at the proposals put forward by the French Government to support the sector, and the conditions that they have introduced with regard to using cleaner fuel, reducing emissions and supporting the wider economy with a sectoral package?

Kelly Tolhurst

The hon. Gentleman will have heard, and maybe seen, the Secretary of State announce last week the formulation of the Jet Zero Council, which has been supported by the industry and will bring together the Government with aviation and environmental groups to make net-zero-emissions flights possible. I have spoken with Manchester airport and others across the industry this week, and there is a real determination from the sector to make this a vital pillar of the recovery. We have an industry that wants to deliver on this agenda and are working with the industry, with or without that bespoke support. It is important that we understand the profound impact that covid-19 will have on the way that people’s lives, work and travel will change. It is clearly sensible that our plans to reduce emissions understand that and take it into account.

I thank the hon. Gentleman for securing this debate. Manchester airport is the only British airport other than Heathrow to operate two full-length parallel runways. It handled its first scheduled flight in 1938—a KLM Douglas DC-2 to Amsterdam—and in 2010 it became the first airport of its size in the world to have a daily A380 service. As Aviation Minister, I have been given the opportunity by this debate to address concerns. I am mindful of and take on board the concerns he raised around slots, the green recovery and the particular strain that local authorities may feel as a result of supporting their local airports.

As I have highlighted to the hon. Gentleman, the Department for Transport is committed to staying close to our airports and working with them in the best way possible. We are all aware of the scale of the challenge facing the aviation sector and the economy as a result of covid. The efforts that we are making in partnership with the sector are intended to ensure that UK aviation can recover, and that airports such as Manchester and the communities they serve can recover and prosper in the future, just as they have done in the past.

03/07/2020
Navendu Mishra – 2020 Speech on Manchester Airport

Below is the text of the speech made by Navendu Mishra, the Labour MP for Stockport, in the House of Commons on 2 July 2020.

I refer hon. Members to my entry in the Register of Members’ Financial Interests in relation to Unite the union, of which I am a member. Unite represents thousands of workers in the aviation industry and has been campaigning for Government support for the sector throughout the covid-19 pandemic. I also pay tribute to my hon. Friend the Member for Wythenshawe and Sale East (Mike Kane), who has been a tireless campaigner for workers at Manchester airport.

Manchester airport is a core part of Greater Manchester’s economy. It employs 25,000 people directly on site and 76,000 indirectly, generating £4.5 billion for the local economy. It has links to 210 destinations—more than any other UK airport—and is an international gateway for trade and travel, acting as a major draw for investment and development in Greater Manchester, giving our region a huge competitive advantage. For example, in the past two years its direct route to China has helped to grow export values in the north by 41%, bringing with it £250 million to the visitor economy.

The whole supply chain relies on a successful Manchester airport. Catering companies such as Newrest and hotel chains such as Hilton have been affected by the lack of footfall during lockdown and have been forced to make cuts. Furthermore, an Independent Transport Commission report revealed that 55% of the workforce in the area surrounding Manchester airport are employed by aviation businesses. As a result, Manchester airport is central to everything we do in the north-west and will be a major catalyst for kick-starting the regional economy as we emerge from the first phase of the coronavirus crisis.

The fallout from covid-19 has been catastrophic, with passenger levels and revenue dropping to historic lows of between 1% and 4% of those seen in the same period last year. Thousands of workers face redundancy if the Government do not intervene to save the airport, its airlines and the businesses that rely on it as a key hub. More than 1,500 redundancies have been proposed to date, with well over half of them at Swissport. Widespread losses have already been reported for airlines including Virgin, Ryanair, Jet2, TUI and—just this week—easyJet, with more to follow in the coming weeks.

Manchester Airports group, which also operates London Stansted and East Midlands airports, faces a difficult restructuring programme with 25% of its leadership and management positions being cut and the remaining 75% subject to restructuring. All of that will take place before the end of the furlough scheme, when further redundancies are almost certain to follow. While the furlough scheme has been of some help, the money is little more than a drop in the ocean, accounting for just 5% of the airport’s fixed costs.

The situation will not simply end with a resumption in air travel. Even with an increased number of air bridges and an end to quarantine, the aviation industry has warned that it may not return to anything like normality until the second half of 2021, and even then the numbers are expected to be at only about 90% of pre-crisis levels. The Government must therefore consider a sectoral support package that ensures the industry has the backing and confidence it needs to recover as quickly as possible, mitigate job losses and protect skilled jobs.

Rachel Hopkins (Luton South) (Lab)

Thank you for giving way in this important debate. Would you agree that while airports in our regions provide many direct jobs, as you outlined, they also have an important role—

Madam Deputy Speaker (Dame Eleanor Laing)

Order. Would the hon. Lady mind saying that again, but, instead of saying “would you agree,” please say “would he agree”?

Rachel Hopkins

I apologise.

Madam Deputy Speaker

No, no. Everyone makes a mistake now and then. It is not terrible, but it is time that we managed to grasp this and get it right. I would be grateful if the hon. Lady would set an example, please.

Rachel Hopkins

Thank you, Madam Deputy Speaker. I appreciate that as a newer Member I am practising the ways, and I will get it right. Does my hon. Friend agree that regional airports have an important role to play, not only for all the direct jobs they provide in our areas, but for the wider jobs and services they can support, such as at Luton airport? It is in my constituency and it is the fifth largest airport in the UK. It provides £20 million a year in direct dividend to Luton Borough Council, which provides jobs and services, and £10 million a year direct to the voluntary and community charitable organisations. Does he agree on the importance of that role, too?

Navendu Mishra

Absolutely, I agree. In the past few years, especially in the past decade, councils have faced a lot of cuts as a result of the austerity regime, including my local Stockport Metropolitan Borough Council and the Greater Manchester Combined Authority. They depend on income generated by the airport, and I thank my hon. Friend for raising that issue.

If the Government do not step in, businesses will continue to collapse and tens of thousands of workers will lose their jobs. In the north-west, it is crucial that we do not see a repeat of what happened to Thomas Cook last year, which had a huge impact on the 3,000 employees who lived and worked across Greater Manchester, including those who worked at five branches across the borough of Stockport, including the one at Merseyway, in my constituency, as well as the 900 cabin crew who operated out of the airport.

In his Budget on 17 March, the Chancellor promised a financial support package for the aviation sector. That is almost four months ago, but we are still waiting. It is completely unacceptable, given how precarious the current situation is for the industry, that we are still waiting. The Government urgently need to consider sector-specific furlough support, such as an extension to the coronavirus job retention scheme, which is scheduled to end on 31 October. Such an extension should also come with a warning that no company is allowed to accept public funds from the scheme and use them to cover the cost of making staff redundant. The Government must also consider prioritising loans or taking a stake in companies, and ensure that when that happens businesses that agree to such support should be prohibited from paying dividends, from undertaking share buy-back or from capital contributions, with a cap on executive pay until 12 months after the loan is fully repaid.

Business rates make up a significant proportion of our airport’s fixed costs, at a time when the revenue is close to zero. In recognition of that, business rates relief has already been provided to airports in Scotland and Northern Ireland, and the UK Government should correct that anomaly for airports in England, too. They should also support local authorities so that they do not face further financial strain. Temporary measures should also be considered, such as a reduction in air passenger duty, which makes up a significant proportion of the cost of tickets and limits the profits that airlines can make. In addition, support is needed for the temporary funding of the Civil Aviation Authority.

Many businesses have rightly been praised for the efforts they have made during the crisis to support and retain their workers, utilising Government loans, where needed, to retain staff on full pay or opting to furlough staff rather than lay them off. Those that have gone down the route of Government support have done so in good faith, in the hope that this will be no more than a short-term measure. The flip side is companies that take advantage of the system, using taxpayers’ money to prioritise the protection of shareholder dividends ahead of the protection of their own workers.

One such company is British Airways, whose chief executive, Willie Walsh, was hauled before the Select Committee on Transport in May. It branded Mr Walsh’s company a “national disgrace”. Despite having a parent company, International Airlines Group, with total assets of £10.7 billion and profits last year alone of £2.6 billion, at the very first opportunity Mr Walsh furloughed 22,626 of his employees. In doing so, it was claimed that the measures were

“to protect jobs and ensure that BA comes out the other side of this crisis in the best possible shape”.

What is clear now, just weeks later, is that the protection of jobs was never his priority, beyond those of BA’s top executives.

Despite the fact that IAG was in a position to retain its entire workforce on full pay for more than a year, even without Government support, Mr Walsh announced that all 42,000 of British Airways’ workforce would be made redundant, with 30,000 fired and rehired on inferior contracts, with worse pay, terms and conditions. That means that 12,000 people were made redundant. Furthermore, failure by employees to sign the paperwork that contains a clause allowing the company to temporarily lay off workers will result in instant dismissal.

As part of its plans, British Airways’ contact centre in Didsbury, Manchester, is set to be affected, with 350 workers being faced with redundancies. That is completely unacceptable, and I urge the Minister to look at measures for holding British Airways to account, including reviewing the lucrative slot allocations that it is given as a legacy carrier, which, in the case of London Heathrow, in the constituency of my right hon. Friend the Member for Hayes and Harlington (John McDonnell), amounts to more than 50% of all spaces at the airport. The question must be, if BA is targeting the legacy staff, many of whom have spent decades of loyal service building BA’s brand, why should it be rewarded with legacy slots? It cannot pick and choose which legacies it keeps.

It is also incredibly important that our efforts to tackle climate change are not lost as we revive and rebuild our aviation sector. Indeed, this can and should be an opportunity to explore new technologies further and green the economy with well-paid, unionised jobs. That means inserting clauses into the financial support that the Government provide for businesses to set out a clear programme of transitioning to more efficient and environmentally friendly operations, including cleaner fuel options. There should also be consideration of publicly financing smaller airports and air traffic control as well as specific routes within the UK aviation network to retain much-needed connectivity.

There are many examples around the world of Governments backing the aviation sector. The US, for example, has injected $45 billion into the sector. Another good example, closer to home, is France, where Emmanuel Macron’s Government have unveiled a series of historic rescue packages, including one of almost £7 billion for Air France, which included £4 billion in bank loans guaranteed by the state and £3 billion in loans direct from the Government, all of which has helped to safeguard Air France’s 84,000 employees. As part of the rescue package, France’s Finance Minister was clear that airline bosses needed to bring forward a plan for reducing carbon dioxide emissions and transforming their fleet to be less polluting. Similar steps would be very welcome in Britain.

Ultimately, as lockdown measures are eased, people’s health must remain a priority ahead of profits. That means that companies must be compelled to take all possible steps to ensure that appropriate action is taken, such as providing proper PPE for all staff and enforcing the Government’s social distancing guidelines. That is why, last month, the Mayor of Greater Manchester, Andy Burnham, launched a “Safely Reopening Greater Manchester” campaign, which is an initiative to ensure that the region’s economy can reopen safely from the covid-19 lockdown.

The Greater Manchester Combined Authority, led by Mayor Burnham, is also looking at initiatives such as the regional brokering scheme, to match people at risk of being made redundant when the furlough scheme ends with parts of the economy where there are opportunities, as well as exploring initiatives such as the future jobs fund.

In conclusion, it is time for the Government to act. All 10 local authorities in Greater Manchester have already intervened to support Manchester Airport Group, providing a combined package of more than £250 million to protect long-term investments and safeguard tens of thousands of jobs that rely on the airport as a major engine of the local economy. I urge the Minister to consider all the measures that I have set out in this speech and ensure that our aviation sector can build back better and be the economic catalyst that our country desperately needs if it is to emerge stronger from this crisis.

03/07/2020
Tim Farron – 2020 Speech on Bus Fare Data

Below is the text of the speech made by Tim Farron, the Liberal Democrat MP for Westmorland and Lonsdale, in the House of Commons on 16 June 2020.

I am very grateful, Madam Deputy Speaker.

I support the spirit of these regulations. We must have equity of access to public transport across the country, and the collection of data to build an accurate picture of services is an essential part of that. However, I must warn the Minister that she will have a hard task collecting data on bus services in many towns and villages in Cumbria, because on most days there aren’t any, or at least it is so far that it will be a very short job and hardly worth the journey—which, in case I have not already made myself clear, she would not be able to make by bus.

I acknowledge that the Government have gone some way towards recognising the crisis in bus services, such as by laying these regulations, and indeed earlier this year there was an announcement of additional funding and the unveiling of a national bus strategy, of which I am sure this forms a key part. But the new funding turned out to be peanuts, and while having a strategy is definitely better than not having a strategy, it was still a far cry from the claims of the press release and light years off providing the solutions needed in communities like ours, where we would like these regulations to apply in practice.

So, to be clear, the whole of Cumbria received a total of £383,887, which, split roughly six ways between six constituencies, means about £65,000 for my constituency. My constituency could contain geographically every single one of the 73 constituencies in Greater London, and London—where these regulations will definitely apply —sees an annual subsidy to its public transport of around £700 million a year. And we must not forget that our £65,000—just less than a thousandth of 1% of the London subsidy—is just a one-off, and a one-off will not do.

Ministers surely know that research shows that in order for a community to trust a bus service enough to rely on it as part of their regular routines—enough to use it, basically—that service needs to be functioning reliably and affordably for two to three years. I am sure that the data collected as a consequence of this regulation will show that and prove it, but we know it already.

So this short-term puddle of cash does not even wet the feet of the problem. We will find a way of spending it wisely, and we are not ungrateful, but as we dare to hope for a time beyond the covid crisis, people in my communities want to believe that we have not sacrificed so much, endured such hardship and suffered such shattering loss just to go back to how things were beforehand.

The mission must be to build back better, and that must include a refusal to leave communities behind. Rural, more isolated communities such as ours in Cumbria are at risk. Those communities are also often older, and while the majority of people, even in their 80s and beyond, will make some use of the technology we are talking about here, a higher proportion than in other age groups will not, and they are the people I am most concerned about in terms of the application of these regulations.

The average age of the population in South Lakeland is 10 years above the national average. It cannot be right that we forget the generation that has borne the brunt of this virus, yet we will do that if we acquiesce over the isolation that so many of them endure. Many I know have found themselves alone and disconnected in their later years, with the loss of bus services leaving them stranded in places that are utterly beautiful but utterly isolated. Many in these towns and villages rely on buses for the basic tasks of daily life—shopping, going to the doctors, making appointments, seeing friends or getting to work. Buses, when they exist, provide those people with the ability to look after themselves, be independent, protect their physical and mental health, and stave off the loneliness that isolation can bring. Technology can help to underpin that, but only if there is a service that it can be underpinned by.

There is no doubt that more of us have become acquainted with isolation over the last few months, but what is someone who lives in a small village and is unable to drive supposed to do if their one transport link is removed? At the same time, they witness the closure of accessible services as a consequence of the technology that is available in other parts of the economy. With few neighbours and fewer local services, the loss of buses constitutes the loss of connection, which risks leaving many more people even more isolated and vulnerable.

Building back better must mean that we learn from the improvement in air quality and the reduction in greenhouse gas emissions throughout this time, and public transport is key to preventing a return to pre-covid carbon emissions. Bus services will be central to that, as part of an integrated public transport system. That is why I continue to urge the Minister to double the capacity of the Lakes line by introducing a passing loop, as well as electrifying the line to significantly reduce its carbon footprint.

Many of us are excited for a time when lockdown has eased and we are able to see friends and family and visit the shops without unnecessary restrictions and caution. But the Government must recognise that the end of the lockdown will not bring that relief to everyone. In fact, for many isolated people in Cumbria, the official lockdown has not looked very different from the growing isolation that they have suffered due to a lack of services and transport links. In the 10 years between 2008 and 2018, the north-west lost 888 separate, distinct services, and that does not include the services we have lost in the last couple of years. We have not taken this lying down. We would love those services to be traced by an app and part of a technological solution, but as I say, there is no point having the technological solution if there is no bus service to underpin it.

It is not only the elderly in our communities who suffer from reduced bus services. Young people’s access to public transport is also under threat. Free school transport is provided for young people up to sixth-form age, but after that, the support is not available. It makes no sense for the Government to demand that young people carry on in education until 18 and then deny them the ability to afford to do so—a generation that clearly is technologically competent and able to make use of the apps we are talking about. In places like Sedbergh and Coniston, it is often impossible to gain access to sixth-form provision at schools or colleges by public transport. That is why, alongside these regulations, there needs to be a statutory responsibility for local authorities to guarantee home-to-school transport for 16 to 18-year-old students, in the same way there is for under-16s.

There must also be buses available to deliver that transport in the first place. In many of our towns and villages, if the Minister did agree to subsidise sixth-form bus travel alongside this technological innovation, there just are not any services to be subsidised. That has been emphasised during the covid crisis, as many families with free school meal vouchers have not been able to use them because the vouchers are not for the local supermarket in their town—

Madam Deputy Speaker (Dame Rosie Winterton)

Order. The hon. Gentleman is going way off the scope of the regulations. If we are discussing regulations, that is what we are discussing. We cannot not have a general speech about everything that is happening in his constituency, as important as that is. This debate is about the regulations, and I urge him to return to them ASAP.

Tim Farron

I will do so instantly. I make the point, though, that the whole point of having the technology that is rightly rolled out through this statutory instrument is that it should apply to services that exist, not imaginary ones that we wish existed. My community is suffering under covid like anywhere else, but the hospitality and tourism industry is vital to us. We are the second biggest visitor destination after London, and yet our public transport infrastructure means that this instrument may as well not exist for many of the communities that I represent. While I support the regulations and will not oppose them, I want to send the Government the message that they should ensure that there are sufficient services in rural communities like mine, so that these applications actually have some application in a county like Cumbria.

22/06/2020
Matt Rodda – 2020 Speech on Bus Fare Data

Below is the text of the speech made by Matt Rodda, the Labour MP for Reading East, in the House of Commons on 16 June 2020.

It is a pleasure to respond in this debate on behalf of the Opposition. I am grateful to the Minister for the detailed technical briefing she offered me from the Department. We will not be calling for a vote on these proposals. I will respond to the specific measures and new powers set out in the SI, but I also want to comment on how the proposals help to address the wider issue of how we can improve our bus services, which outside of London and a handful of other areas have faced deep cuts in recent years.

Before I respond, I put on record my support for our bus services and the workforce who have been on the frontline during the coronavirus crisis. I pay tribute to our bus drivers and other transport workers. They are key workers who have kept vital public services running during the most serious and sustained crisis this country has faced since the second world war. The public are immensely proud of our key workers, and I hope the House will agree that it is important that bus workers are recognised as key workers and receive the support that they deserve.

It is also important to remember that a number of bus workers and other transport workers have sadly died during the pandemic. I offer my deepest condolences to their families, and I hope Members from all parts of the House will join me in support of those and other key workers who have paid the ultimate price in our struggle with the coronavirus. I urge the Government to look again at health and safety on bus services and the financial support available for the families of those workers who have lost their lives. That is vital in the coming weeks.

I am pleased that the Government have listened to calls from Labour and the unions for passengers to have to wear masks on public transport. I should say I was one of those passengers today. There is more to do to improve health and safety, such as tackling the risk of infection from drivers having to handle cash on buses and providing improved facilities for hand washing, which I know the Minister’s colleague in the Lords, Baroness Vere, is interested in supporting. I am also pleased that at a time of national crisis, we have been able, as the official Opposition, to work with the Government, trade unions and bus operators to consider these important problems, and I look forward to Ministers coming forward with further urgent improvements to health and safety.

Before turning to the regulations, I will mention the significant economic effects of the crisis on bus operators and workers. We welcome the Government’s financial support for bus services during the coronavirus crisis and as lockdown eases. However, I underline the importance of that being applied fairly. Support needs to be maintained while demand for bus travel returns to normal, which could take some months.

The current funding package is welcome, but it is offered to bus companies on a flat rate per mile, which is then multiplied by the distance of the routes that they travel. That inadvertently favours some rural routes and areas with lower wage costs, while disadvantaging urban or suburban operators, particularly those in areas where housing costs and costs of living are higher. I hope Ministers will look again at that and offer a fair deal to the whole country. Will the Minister meet me and MPs from all parts of the House who have concerns about this important issue? I note that she is nodding, and I am grateful for her support.

It is also important that the Government review the length of time that support is available to reassure operators about the future of their businesses, as we have seen for other sectors of the economy, and to help them to plan for a gradual increase in passenger numbers. I understand that some operators are now experiencing around 20% of normal demand, up from just 10% during the height of the crisis. However, it is unclear how long it will take for passenger numbers to return to normal, and the current funding package ends during the summer. A further guarantee of funding would be welcome for the industry.

Turning to the substance of the regulations, which are intended to help the bus sector, it is positive to see the Government’s interest in our bus services. That has not always been the case in recent years, despite buses being the most common mode of transport for commuters and, indeed, a lifeline for older and vulnerable people. Since 2010, Government funding for bus services has fallen by 45% and hundreds of routes have been lost, largely because of Government cuts to subsidies for socially vital services, as many Members will know. This policy has led to a steep decline in bus use and, I am afraid, increasing isolation, other social problems and, indeed, greater damage to the environment. I should add that things have got so bad that two major bus operators have thought about selling off large parts of their business.

Ian Paisley (North Antrim) (DUP)

Does the hon. Gentleman agree that the best way for the Government to address those matters is urgently to introduce a national bus strategy, which would put in place a hydrogen technology programme that would allow the development of a new bus building programme that would be totally free of a carbon footprint?

Madam Deputy Speaker (Dame Rosie Winterton)

Order. I am anxious that we stick to the substance of the regulations. Matt Rodda.

Matt Rodda

Thank you, Madam Deputy Speaker. I thank the hon. Gentleman for his intervention. I am going to try to cover the environment and other forms of innovation later in my speech.

Ministers are now trying to find ways to address the need to grow bus use, and the regulations address one small aspect of that, which is to allow greater sharing of bus data on timetables, fares, reliability and, indeed, the location of buses in real time. The Department hopes that making more information available to app developers will lead to more information about bus services being made available to the public, which in turn will increase passenger numbers. There are hopes that those measures could lead to a growth of about 2% in bus use, based on the effect of the policy in London.

I would, however, add a note of caution. First, I would ask the Minister to reassure the House that the Government’s intention is not to allow disruptive businesses like Uber to try unfairly to entice passengers away from bus services, which could risk undermining some routes, including those that are a lifeline for older people and many who are vulnerable. I hope that she will address that point when she sums up and offer specific reassurance. Secondly, I urge her to regard the measure as one in a series which, I hope, will support our bus services and allow them to grow, both now and in future.

Going forward, I hope that the Government will offer the same level of interest and support for a series of measures that have been shown to increase bus use and improve services. One of the best known is allowing councils to regulate services, which has been associated with much greater bus use in London, where there is a dramatically different picture of bus patronage. Will the Minister look at that again and allow all councils to explore that option, not just those with elected Mayors?

Another measure that is strongly associated with growing bus use is allowing councils to run their own bus companies, which used to be common in both Labour and Conservative-controlled local authorities. Council-owned companies in my own town of Reading and in Nottingham have experienced strong growth in bus use for many years—something that, outside London, is almost unique in England. Municipal buses offer low fares, frequent services and modern vehicles that are popular in those communities, and I invite the Minister to come to Reading. [Interruption.] I understand, Madam Deputy Speaker, and I will proceed rapidly through the rest of my speech.

Madam Deputy Speaker (Dame Rosie Winterton)

Order. I simply want to make sure that the hon. Gentleman is addressing the regulations.

Matt Rodda

I will come back to them. This is part of the wider picture of the need for investment as a whole.

There are a range of other measures that I hope Ministers will reconsider, along with the regulations. For example, that could include more bus lanes and other bus priority measures to ensure more reliable services on busy roads and smarter support for innovation, which the hon. Member for North Antrim (Ian Paisley) mentioned, including electrification of buses. The Government’s current scheme is welcome, but it could be improved, and I look forward to speaking to the Minister about that.

I hope that Ministers will look at the link between transport and new housing, and do more to develop brownfield sites and other ways of bringing housing close to public transport routes, which will increase bus patronage and protect the environment. Allowing more investment and such innovation measures would offer the prospect of significant growth in bus use, leading to real environmental and social benefits, far beyond the potential benefits of the app.

To sum up, we are not calling for a vote on these regulations for the reasons I stated earlier. I thank colleagues across the House for their support for bus workers and bus services. I hope the Minister will respond to the risk that these measures could be misused and that the Government will now carry out a wider review of their support for buses, to allow councils more powers to regulate and to provide better services, which have the potential to allow far greater bus use in the future.

22/06/2020
Rachel Maclean – 2020 Statement on Bus Fare Data

Below is the text of the statement made by Rachel Maclean, the Parliamentary Under-Secretary of State for Transport, in the House of Commons on 16 June 2020.

I beg to move,

That the draft Public Service Vehicles (Open Data) (England) Regulations 2020, which were laid before this House on 13 May, be approved.

The draft regulations are being made in order to provide new legislation to require bus operators of local bus services across England outside London, including cross-border services, to openly publish data electronically about their services, including timetables, fares and location data.

This is open data that is published electronically. It is publicly discoverable and can be used by those who wish to do so without restrictions on its use and disclosure. Open data has transformed other sectors—for example, rail—with open data feeding customer-facing apps, such as Trainline and National Rail Enquiries, simplifying journey planning and ticket purchase. Bus open data will allow app developers to create applications, products and services for passengers so that they can plan journeys, find best-value tickets and receive real-time service updates. That is absolutely essential if we are to encourage the travelling public to use their local bus services and make the switch to public transport, which is vital to reducing congestion and improving air quality.

Since 2007, Transport for London has made all its bus and transport network data freely available through the London data store. Currently, more than half of these journeys—51%—are in London, with the remaining 49% across the rest of the country. Apps such as Citymapper and Bus Times are together found to be delivering economic benefits of between £90 million and £130 million a year.

Transport for West Midlands has also invested heavily to improve its public transport data in recent years and is one of the few areas to report year-on-year growth— of 7.8 million journeys—against a continuing backdrop of decline in bus passenger journeys elsewhere. Those statistics show that we can change how buses are perceived and attract new customers.

Currently, Citymapper only operates in Birmingham and London, but we need to enable the provision of such apps and services up and down the country. For example, the rules will mean that any operator of a local bus service across England must publish their timetable, fares and location data to the bus open data service before that service comes into operation. The rules will be enforced by the Driver and Vehicle Standards Agency, which will be able to conduct checks to ensure that the operator is complying.

In domestic law, where a local bus service is being operated across England, operators will be legally required to make the information freely available to comply with the Public Service Vehicles (Open Data) (England) Regulations 2020. Punctuality data will also be legally required and local transport authorities will be legally responsible for maintaining data about bus stops and stations.

It is a civil offence for any operator of a service to be in breach of the requirements in the regulations and the regulations will be commenced in a phased manner, with timetables and stop data requirements being enforceable from 31 December 2020. Basic fares and location data will be enforceable from 7 January 2021, with complex fares being added from 7 January 2023. Breaches of the requirements by operators can be enforced under existing provisions in section 155 of the Transport Act 2000. The draft instrument ensures that those operators who breach the new requirements may be faced with financial penalties or the removal of their licence. The fines can be up to £550, and that sum might be multiplied by the number of vehicles operating under all the PSV operator licences held. The policy area of public service vehicles open data is devolved, but Scotland and Wales are currently preparing equivalent legislation.

In summary, the regulations are essential for ensuring that the operators of local bus services are compelled to make essential information freely available to help passengers plan their journeys. The rules are at the heart of improving the public transport experience, digitally transforming the bus sector and the levelling-up agenda. I am sure that Members share my desire to ensure the rules can be fully enforced as soon as possible. I commend the regulations to the House.

22/06/2020
Mike Kane – 2020 Comments on the Government and the Aviation Industry

Below is the text of the comments made by Mike Kane, the Shadow Aviation Minister, on 13 June 2020.

This cross party report lays out in stark detail that the Government has failed in its fundamental duty to protect jobs and livelihoods in response to the covid-19 crisis.

Labour has consistently called for a sectoral deal that supports the whole aviation industry including the supply chain based on our six conditions. Tory Ministers have failed to act and workers are paying the price.

14/06/2020
Jim Shannon – 2020 Speech on Brexit and Civil Aviation

Below is the text of the speech made by Jim Shannon, the DUP MP for Strangford, in the House of Commons on 10 June 2020.

First, I wish the Minister every success in her new role; we look forward to watching her progress. It is also nice to see the shadow Minister, the hon. Member for Bristol East (Kerry McCarthy), in her place. I am sure a long career beckons for both—perhaps in different roles, but it is none the less important to say that.

I thank the Government, and the Minister in particular, for bringing forward the regulations to ensure that the removal of what would be onerous European legislation is complete. The very nature of aviation means that we travel large distances into different countries and uphold their aviation rules, but the fact is that we must be the ones who set our own standards, and they must be safe and appropriate and give the cover that is needed, as the Minister indicated.

Regulation (EC) 785/2004 established minimum insurance requirements for air carriers and aircraft operators in respect of passengers, baggage, cargo and third parties. It also required air carriers and aircraft operators to have insurance that covers specific risks, including all things that could possibly take place—acts of war, terrorism, hijacking, acts of sabotage, the unlawful seizure of aviation and civil commotion. Such protections obviously need to be in place, yet the point of the matter is that if anything is to change in our aviation, it is imperative that although we will in all likelihood align with basic regulations, the decision lies where it should: with Ministers of our Government.

Our aviation sector is in unprecedented times. The regulations before the House remind the industry that we have a role to play in the industry going forward, as other Members have said. Whether that is by supporting the industry through production in the Bombardier factory in Newtownards in my constituency, similarly to the situation mentioned by the hon. Member for Arundel and South Downs (Andrew Griffith); by supporting our airports to enable them to maintain connectivity across the whole of the United Kingdom of Great Britain and Northern Ireland, and globally; by supporting airline staff and their baggage handlers; or by supporting individual airlines—for instance, British Airways, to which the hon. Member for Arundel and South Downs referred, and in respect of which a number of my constituents, some with 30-plus years of loyal commitment to British Airways, are very concerned about their future—the pandemic will mean change for our aviation sector. Hard times are ahead, but tomorrow can be a better day if we have the commitment that the Minister and our Government are showing for the aviation sector.

We have a role to play, and this statutory instrument clearly shows that we are determined to leave Europe and stand alone at that date, regardless of coronavirus and European determination to exploit an awful time not just for the global economy, but for all the families directly involved with the aviation sector in the UK. This small wording and legislative change shows not only that are we prepared to leave, but that we are mindful of the needs of the industry and are equipped to deal with those needs. It is such a small change, which may seem meaningless to some, yet the message is clear: the aviation industry is a priority for Members of this House. I, for one, will look into anything that affects the strength of the industry. With that in mind, I support this instrument, which brings power back to the House.

11/06/2020
Andrew Griffith – 2020 Speech on Brexit and Civil Aviation

Below is the text of the speech made by Andrew Griffith, the Conservative MP for Arundel and South Downs, in the House of Commons on 10 June 2020.

This is my first chance to welcome the Minister and the hon. Member for Bristol East (Kerry McCarthy) to their places. I congratulate them both on securing such an important brief at such a critical time.

I am pleased to support the Government on the Bill. As we leave the European Union and become a sovereign state once again, we should feel capable of regulating our own affairs, and to set our own level of insurance requirements in aviation. Just as it makes sense to control our own fisheries and protect our own marine environment, so it makes sense to do so for the sky above our heads. The acid test of a regulatory structure, however, must be whether it supports the aviation and aerospace sectors.

Having taken back control, we must be generous and collaborative with our international partners. I encourage the Minister, therefore, to seek bilateral aviation safety agreement with both the US Federal Aviation Authority and the European Union Aviation Safety Agency and ensure that where there are opportunities to deregulate further than either, we remain in alignment with both in respect of matters such as type certification, personnel licensing and trading standards.

While I am on the subject of regulation, I should like to congratulate Sir Stephen Hillier on his appointment as the new chair of the Civil Aviation Authority. My constituency, as well as being one of the most beautiful from the ground, is even more spectacular from the air. It is home to the excellent South Down gliding club, formed in 1930 and one of the oldest in the United Kingdom. Sir Stephen has a distinguished aviation career, and I ask him to consider making one of his priorities during his term in office the protection of airspace for recreational general aviation, such as gliding, which is so critical to providing affordable access to the skies and thereby inspiring future generations.

Going into this pandemic, our aviation sector was world leading in growth, jobs and competitiveness, but that is now at real risk. Aviation has taken the full force of the economic impact of the covid-19 crisis, devastated by border closures and the drop in passenger demand. Many of my constituents work for British Airways, Virgin, TUI and other airlines, or for businesses that are part of the extended Gatwick supply chain. I know of constituents such as Antonello and Grainne Patteri, who have served British Airways loyally for 24 years but whose loyalty sadly is not being reciprocated. I share their worry and frustration at how they are being treated, and it is right that I raise it with the Minister today.

While other industries are beginning their recovery, the downturn for aviation has only been exacerbated by the imposition of blanket quarantine, which hangs the “closed” sign on Britain just as our competitors reopen for business. I believe that the Minister fully understands, having previously worked in the financial sector, that if planes full of passengers from Iceland, whose last death from covid was in April, or from covid-free New Zealand were landing in the UK this afternoon, it would actually lower our average infection rate. I am reassured by the Government’s undertakings to implement air bridges as a matter of urgency, as well as to look again at testing on arrival—something I first raised in April—but could she be so kind as to provide an update in her winding-up speech?

My final point relates to future opportunities. Together with quantum computing, artificial intelligence, fintech and the life sciences, aviation and aerospace is one of the key industrial sectors where UK businesses have a global competitive advantage in a growing and high-value industry.

11/06/2020
Kerry McCarthy – 2020 Speech on Brexit and Civil Aviation

Below is the text of the speech made by Kerry McCarthy, the Labour MP for Bristol East, in the House of Commons on 10 June 2020.

It has been some four years since I stood at this Dispatch Box, so it is a pleasure to be back. I took part in Transport orals a few weeks ago, but that was on one of the screens above us. I am very pleased to be here shadowing the Minister today. We have already established a constructive relationship. We debated our first statutory instrument together yesterday in Committee. As I said to her, I will be writing to her and scrutinising what she does, but in a spirit of constructive working. We have the decarbonisation of transport brief and the EU transition brief, both of which are incredibly important in the current circumstances.

The statutory instrument that we are discussing today is uncontroversial in that we accept that, now that Britain has left the European Union and the end of the transition period is in sight, we need to transfer relevant powers away from the European Commission and to the Secretary of State for Transport as smoothly as possible. I understand, a number of statutory instruments will be issuing forth from the Minister in the coming months, and that could be seen as a mechanistic process to ensure continuity. That does not mean to say, however, that we will not scrutinise and challenge if we have concerns about the way that the Government are doing things.

As the Minister said, the function of the measure is to ensure that there are minimum insurance requirements for air carriers and aircraft operators in respect of passengers’ baggage, cargo and third parties. My understanding is that that stems from the 1999 Montreal convention, whereby airlines are responsible for compensation in the case of death and injury to passengers, and are required to be adequately insured to cover any liabilities. The EU civil aviation insurance regulation sets out the minimum level required.

I have one question, which the Minister may have answered in her opening remarks. Given that the statutory instrument transfers power from the European Commission to the Secretary of State to set those minimum requirements, and that he—or she in future—can do so by regulation, is there potentially a risk that the minimum insurance levels will not be the same as they would be if we were still part of the EU scheme? I think that is quite an important point to note.

The statutory instrument is one of many that the Government are having to rush through Parliament as a result of what I would say is an unnecessary focus on an arbitrary date in our exit from the transition period. Given the limitations on parliamentary scrutiny at the moment because of the need for social distancing and the fact that not as many Members can take part in proceedings, as well as the delay that we have had over the past few months, there is a danger that we could be rushing delegated legislation rather than giving it the proper attention that it deserves. Given the need for certainty for the people who will be affected by such legislation, we do not want a logjam towards the end of the year, giving rise to uncertainty about whether arrangements will be put in place or not.

The fact that we have now got started, and that we have dealt with two of the statutory instruments this week, is a good start. I do not think, however, that fixing in law the end date for the transition period has been beneficial to the legislative process, and I am uneasy about the apparent lack of progress in ongoing negotiations with the European Union. The concerns about a damaging exit at the end of the year are very real. That is particularly important for the aviation industry, given that we are in a time of unprecedented economic upheaval for the sector.

The aviation sector’s need for certainty has never been greater. Brexit will inevitably have an impact on a business that is, by its very nature, about crossing borders and relationships with other countries, and the global pandemic has hit aviation especially hard. There has been a devastating collapse in air traffic of approximately 90%, which is putting at risk an economically vital industry that supports 230,000 jobs.

We need clarity from the Government on three major policy areas. The first is the one that we are discussing today—the legislation related to the European Union and the transition period. We also need clarity on the financial support for the industry, and on the nature of the measures that the industry must implement to avoid further spread of covid-19.

I am pleased that today we are establishing a degree of clarity on one aspect, as it relates to the EU transition period, but confusion still reigns over the Government’s quarantine for new arrivals, and we continue to wait for a specific conditional support package for the aviation industry. I and my colleagues in the shadow Transport team are very happy to work with Ministers to try to ensure that the aviation industry is given the certainty, the clarity, the direction and the support that it needs.

11/06/2020
Rachel Maclean – 2020 Statement on Brexit and Civil Aviation

Below is the text of the statement made by Rachel Maclean, the Parliamentary Under-Secretary of State for Transport, in the House of Commons on 10 June 2020.

I beg to move,

That the draft Civil Aviation (Insurance) (Amendment) (EU Exit) Regulations 2020, which were laid before this House on 5 March, be approved.

It is a great pleasure to debate this statutory instrument. It is my first SI debate on the Floor of the House, and I had my first ever SI debate only yesterday.

This draft instrument will be made under the powers conferred by the European Union (Withdrawal) Act 2018 and will be needed at the end of the transition period. As hon. Members are aware, the Government are committed to ensuring that the UK has a functioning statute book at the end of the transition period, while we continue to work to achieve a positive future relationship with the EU. Although the Government will seek to reach the best outcome for the UK and the EU, it is our duty to make reasonable preparations for all scenarios, including by ensuring that there is a functioning statute book, irrespective of the outcome of the negotiations. To that extent, we have conducted intensive work to ensure that there continues to be a well-functioning legislative and regulatory regime for aviation, including for insurance.

This instrument is made under section 8 of the European Union (Withdrawal) Act 2018. It is subject to the affirmative procedure because it transfers an EU legislative function to a public authority in the UK. This procedure also enables the right level of parliamentary scrutiny for the proposed changes.

EU regulation 785/2004 requires air carriers and aircraft operators to be insured in respect of passengers, baggage, cargo and third parties, and against other risks, such as acts of war, terrorism, hijacking, sabotage, unlawful seizure of aircraft and civil commotion.

The amounts for which carriers and operators are required to be insured are measured in special drawing rights, an international reserve asset created by the International Monetary Fund.

The EU regulation also requires air carriers and aircraft operators to demonstrate their compliance with the minimum insurance requirements set out in the regulation. Elements of the regulation were developed in the aftermath of the 9/11 terrorist attacks in the US. They make provision for exceptional situations where a failure of the insurance market means that carriers are not able to demonstrate that they are adequately insured in respect of all the risks specified in the regulation.

The withdrawal Act will retain regulation 785/2004 in UK law in its entirety at the end of the transition period. The draft regulations we are considering make further changes that are necessary so that the EU regulation continues to function correctly after the end of the transition period. The withdrawal Act will ensure that the same minimum insurance requirements for air carriers and aircraft operators that apply today continue to apply after the transition period.

The Civil Aviation (Insurance) (Amendment) (EU Exit) Regulations 2018, which were debated in Committee in October 2018, made changes to the retained regulation so that it continues to function correctly after EU exit. The need for this additional statutory instrument arose due to the EU adopting regulation 2019/1243, which amended regulation 785/2004, after the 2018 regulations were made. The purpose of this SI is to fixed further deficiencies introduced by those amendments.

The amendments made by this SI are technical in nature. Regulation 785/2004 includes powers for the Commission to adjust minimum required levels of insurance where international treaties make that necessary. The 2018 regulations converted those powers into powers for the Secretary of State to do the same via regulations. However, since the 2018 regulations were made, the EU’s amendments to regulation 785/2004 have replaced the Commission powers with new versions more closely aligned to the legal framework established by the treaty of Lisbon.

To ensure that UK legislation continues to function correctly after the end of the transition period, these regulations take the same approach used in the 2018 regulations for the previous versions of the Commission powers. They replace them with powers for the Secretary of State to amend the minimum insurance requirements by regulations. That is what the SI is for. In summary, no change in policy is made by these regulations; they make only minor technical and consequential changes to ensure that UK legislation on aviation insurance continues to function effectively after the end of the transition period.

As I said in my opening remarks, we continue to work to achieve a positive future relationship with the EU. However, this instrument is an essential element in ensuring that we have a functioning statute book at the end of the transition period. It makes technical changes to ensure that UK legislation on aviation insurance continues to function. I hope colleagues will join me in supporting the regulations, which I commend to the House.

11/06/2020