HC Deb 16 December 1997 vol 303 c120
28. Ann Clwyd

If he will make a statement about the regulation of fare levels for rail passengers. [19423]

The Minister of Transport (Dr. Gavin Strang)

Fares regulation is a matter for the franchising director. The current requirements are set out in the director's contracts with the train operating companies. We intend to establish a national rail authority which will take over the functions of the franchising director and develop the network as part of our integrated transport policy.

Ann Clwyd

Does my right hon. Friend recognise that with cut-price air fares it is now possible to fly the Atlantic for the same price as going by rail to Pembroke? And why does a train ticket last for only one month when a return air ticket lasts for three months?

Dr. Strang

My hon. Friend raises a number of important points. If we are to get more people to travel by rail, which is our objective, fares are an important factor. The duration of rail tickets is also a matter that should be considered.

Mr. Ottaway

Does the Minister agree that the success of the privatised railways represents the best way of getting passengers off the roads? [Interruption.] Wait for it. Is the Minister aware that the cheapest return ticket to Liverpool is £19? That is half the cost of a car journey. By holding their fares at less than inflation, the railways have seen a 7 per cent. increase in passenger use since privatisation. Is it not ironic that the only bit of railway line that the Government control—London Underground—is the only one which has seen a fare increase above inflation? What does that say to the travelling public?

Dr. Strang

I do not think that the British people will recognise the hon. Gentleman's description of the privatised and fragmented railway that the Labour Government inherited. That is why we are determined to set up a national rail authority and to achieve effective regulation so that the taxpayer gets value for money.

Mr. Pike

Is it not a fact that as a result of the fragmentation of the railway system passengers are very often not offered the cheapest rail ticket for their journey? Do we not need greater regulation to ensure that passengers get the best possible value and are offered the cheapest possible ticket when they go to buy one?

Dr. Strang

My hon. Friend raises an important point. He will be aware that a recent survey showed that as many as one in 10 people are not given accurate information when they seek information about a journey, the best way to travel or the price. We need to address that. It is vital, especially now that we have one telephone number for national rail inquiries, that people are given proper information when they inquire.