§ Mr. Gwilym JonesTo ask the Secretary of State for Transport when he will announce the successful tenderer in the competition to provide a second Severn bridge.
§ Mr. ParkinsonI intend to accept the proposal from the John Laing/GTM Entrepose consortium to design, build, finance and operate the second Severn bridge, in conjunction with taking over the financing and operation of the existing bridge. This privately funded proposal offers the best overall value for money of all those submitted; it will be the most effective means of securing completion of the second crossing at the earliest practicable date. The final decision was between two very strong contenders with good designs, and I am grateful to all the groups which participated.
The consortium's proposal is for a concession to collect tolls on the crossings for up to 30 years, depending on traffic levels. On current forecasts, tolls would be needed for only about 21 years. The consortium's proposal would minimise the impact on traffic by charging tolls in only one 614W direction—westbound—on each crossing. Some increase in tolls would be necessary to cover the cost—some £270 million—of this major improvement in this part of the road network. These rises would be phased in gradually. For car users the initial increase in equivalent single journey tolls in 1992 would be about 20p in 1989 prices, rising ultimately to about 40p from 1995.
The new crossing—which I know is most eagerly awaited on both sides of the Severn—would more than double the road capacity across the estuary. It would relieve for the foreseeable future the traffic congestion already starting to be faced at peak times at the existing bridge. It would also include windshielding to minimise the need for traffic restrictions or closure.
This decision is subject to confirmation of the provision of finance and to a satisfactory conclusion to detailed negotiations on the terms of the concession. I shall make a further announcement when the necessary arrangements are confirmed.
I hope to introduce legislation at the earliest opportunity to seek the necessary powers for the provision of the new bridge and its approach roads. Subject to the necessary parliamentary approvals, construction could start at the beginning of 1992 and be completed in 1995.
This announcement on the Severn bridges demonstrates that the skill and initiative of the private sector can be employed to provide new infrastructure at good value for the public.