Lord Berkeleyasked Her Majesty's Government:
Why grants for sustainable transport by rail and water for 2007–08 have been reduced from a total of £60 million, as set out in the European Commission's State Aids Clearance document of December 2003, to some £25 million as stated in the Government's sustainable transport press release on 1 February. [HL1225]
§ Lord Davies of OldhamThe figures quoted by the commission described the ceiling on annual support for modal shift schemes in England, Scotland and Wales. Support within this ceiling received state aid clearance; the figures did not represent a commitment by government to provide a particular level of support. The indicative allocation for the sustainable distribution fund in 2007–08 reflects in part the fact that the Government's current commitments on rail freight spending will be complete by the end of the preceding financial year. We start again with a new pot of money in April 2007, and new state aid clearances will be needed to continue some of the schemes funded through the pot. Spending levels beyond this will be set in SR2006.
198WA
Lord Berkeleyasked Her Majesty's Government:
What ongoing support for Channel Tunnel rail freight is budgeted for in the £25 million budget for sustainable transport support as stated in the Department for Transport's press release of 1 February. [HL1226]
§ Lord Davies of OldhamWe are negotiating with EWS(1) to extend our agreement with them until the expiry of the minimum usage charge commitment on 30 November 2006. The minimum usage charge commitment is not included in the budget for the sustainable distribution fund. No decision has been taken about support for Channel Tunnel rail freight beyond the expiry of the minimum usage charge commitment.