HC Deb 30 November 1983 vol 49 cc874-5
10. Mr. Dalyell

asked the Secretary of State for Scotland, pursuant to his answer, Official Report, c. 86.5, to the hon. Member for Glasgow, Garscadden (Mr. Dewar) what consideration he has now given to the problem of section 20 payments and the rate support grant settlement in relation to the railways in Scotland.

Mr. Ancram

The issue for local authorities which support railway services is essentially the same as for the Government: one of making the most of available resources. The local authorities which pay section 20 grant—in Scotland, that is only the Strathclyde region—should benefit from the general improvements in efficiency that British Rail has been asked to achieve. The cost allocation procedures are now under discussion between British Rail and the passenger transport executives.

Mr. Dalyell

Ministers undertook to do something. What have they actually done since the last Scottish Question Time?

Mr. Ancram

During the previous Scottish Question Time my right hon. Friend the Secretary of State said that he was considering the matter. That was only about four weeks ago. If there is any particular aspect about which the hon. Gentleman would like to know more he should write to me and I shall give him an answer.

Mr. Allen Adams

Yesterday I raised the subject of the rate support grant. Will the Minister give the House an assurance that the rate support grant for the passenger transport authorities will not be allowed to fall to a level at which redundancies will occur in the Glasgow and western Scotland areas? Will he further give an assurance that there will be no reduction in staff at Gourock, Ayr, Wemyss bay, Fairlie and Saltcoats and that Ardrosson beach station will not close? Will he also give attention to the future of Ardrosson harbour, which I understand from the National Union of Railwaymen is also threatened?

Mr. Ancram

I understand that the latter part of the question was answered last night by the Under-Secretary of State for Scotland, my hon. Friend the Member for Eastwood (Mr. Stewart), who has responsibility for trade and industry matters. Relevant expenditure to 1984–85 includes about £32 million for section 20 payments, and this is broadly in line with expected demands. This figure is reflected in the overall expenditure guidelines of the Strathclyde regional council, issued on 18 November. Rate support grant is paid in aid of local revenues and is not earmarked for specific purposes. The total rate support grant for 1984–85 and its distribution among authorities are matters that have yet to be settled.

Mr. Dewar

Will the Minister please give much more urgent attention to the real crisis facing the financing of railway services in Strathclyde? Apart from the cost allocation talks, which we welcome, there is a problem for a hard-pressed region that will have to find over £30 million in the coming financial year for section 20 payments. Will the Government do something to help preserve the line for the general travelling public, who deserve a decent and adequate service? I am not asking for Government intervention for particular interest groups. The Minister should not try to wash his hands of the matter and duck out of his responsibilities. Will he give an undertaking that he will take action?

Mr. Ancram

This is a matter for the Strathclyde passenger transport executive and the Strathclyde regional council, which have the statutory power and responsibility to co-ordinate public transport in the area.