HC Deb 19 November 2002 vol 394 cc493-5
6. Mrs. Patsy Calton (Cheadle)

What recent discussions he has had with the Treasury regarding the financing of transport projects in the United Kingdom. [81313]

The Minister for Transport (Mr. John Spellar)

The Secretary of State regularly discusses the financing of UK transport projects with the Treasury.

Mrs. Calton

I thank the Minister for that brief answer. What steps is he taking to ensure the effective monitoring of work and expenditure in projects such as the west coast main line, in order to avoid a future fiasco such as the failure to deliver passenger upgrade 1 and passenger upgrade 2?

Mr. Spellar

The hon. Lady rightly identifies the chronic failure of Railtrack to deliver on the west coast main line. That is why we had to put the company into administration, why Network Rail had to be created and why the work has now been transferred to Network Rail under a much more professional management. I thank her for her tribute to the work that we have undertaken in that regard.

Mrs. Gwyneth Dunwoody (Crewe and Nantwich)

Is my right hon. Friend aware that an 11-strong team in the Treasury is now apparently taking transport decisions? It is suggested that an arrangement is being reached between his Department and the Treasury on several major financing projects. In future, who will be responsible for such transport projects?

Mr. Spellar

It will, of course, be the Department of Transport, as part of collective responsibility. Given the considerable investment that is required by and being put into transport, it would be extraordinary if discussions did not take place between the finance Department and the relevant Department about how to operate the programme. Not least, we will be looking at a number of special-purpose vehicles in the rail industry, as my hon. Friend will be aware. In addition, the ongoing public-private partnerships are significant in financial terms. I am sure that my hon. Friend would agree that such discussions were right and proper, and that the Transport Committee, which she chairs, would be asking questions if we were not involved in them.

Mr. Peter Lilley (Hitchin and Harpenden)

Has the Minister asked the Treasury whether it plans to finance the new runway that he assumes will be built at Luton airport? Is he aware that my constituents will be severely affected by plans to expand Luton airport to the size of Gatwick airport? They are extremely angry that his report on the matter is unique in assuming that there will be a new runway at Luton, whereas all other new runway projects are treated as optional. Will he promise to give my constituents' concerns treatment equal to that given to the concerns of all other people living near airports?

Mr. Spellar

Two issues are involved in that question. One has to do with the options in connection with airports, including Luton airport. The other has to do with the financing of the consequences of any decision. The local community has given the proposed expansion of Luton airport very considerable support. [Interruption.] Perhaps the people of Luton are looking forward to the jobs that will be created, in contrast to the not-in-my-back-yard position adopted by some Opposition Members. Luton residents have shown considerable support for the project.

However, the proposal regarding Luton airport is being put up for consultation in the same way that all the other options are. We wait to hear the views of the constituents of the right hon. Member for Hitchin and Harpenden (Mr. Lilley) and other hon. Members on that option, and the views of the wider community, industry and trade unions. We look forward to receiving the right hon. Gentleman's representations on the matter.

As the right hon. Gentleman also knows—

Mr. Speaker

Order. The Minister's answer is too long.

Mr. George Howarth (Knowsley, North and Sefton, East)

When my right hon. Friend meets Treasury colleagues, will he urge them to speed up their consideration of the Merseytravel proposal for the first phase of a tram scheme that would provide a service to my constituency? Will he impress on them that the objective 1 element of the funding could be lost if they do not hurry up?

Mr. Spellar

My hon. Friend and his Merseyside colleagues have made that point forcibly before, to me and to other transport Ministers, and to Treasury Ministers. We have had some constructive discussions with the Mersey passenger transport executive and authority, and we hope to make an announcement in the near future.

Mr. Archie Norman (Tunbridge Wells)

May I remind the Minister that he was due to meet me and a number of other hon. Members this morning in Tunbridge Wells to discuss improvements to the A21 route to Hastings? Is the £32 million financing for improvements to the Castle Hill stretch in place? Will that scheme be delivered, subject to local consultation, and when will it finally be built?

Mr. Spellar

As the hon. Gentleman is aware, I had to go directly to Hastings today, where I was pleased to announce that work on the Lamberhurst bypass will commence in spring 2003. I also announced the opening of the exhibition showing the options for the route to Lamberhurst that connects the two stretches of dual carriageway, and for the route from Lamberhurst south to Hastings. The options are now out for consultation, and we await feedback from the public. We will then have discussions with the various statutory bodies involved to determine whether any planning inquires will be required. We look forward to the work being undertaken, because as the hon. Gentleman and I both know, the road is dangerous. It is also very important for regeneration in Hastings.