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Severn Crossings Toll

It is a pleasure to serve under your chairmanship, Mr Davies, in this ground-breaking debate. I wish I had been the first ground-breaker this afternoon, but the Under-Secretary of State for Wales got in first. It is a pleasure to be here, and to respond to the Select Committee's genuinely excellent report. I had the honour and privilege to give evidence to it early in my time as Minister. When I looked at the history of Ministers in my Department, I wondered whether I would be here today. The average life expectancy of a Transport Minister is eight months, and I have been in the post for a year and a day. I am either doing something very wrong, or the Prime Minister has forgotten about me. To be honest, I was pleased with the report in many ways, not least because it removed some of the myths to which my hon. Friend the Member for Monmouth (David T. C. Davies), the Committee Chairman, alluded. I will try as best I can to respond to the debate, instead of reading out a speech that was written for me, and I will do that as a Minister for the United Kingdom. The two bridges are national assets, and owned by no one, except that the second one is temporarily owned by the company that was set up to facilitate it. The freehold land that it sits on is the responsibility of the Secretary of State for Transport, and the toll booths in Wales are also his responsibility. The analogy is interesting. I have a map that shows the boundary between England and Wales. The original bridge is solely in England, and the new bridge, as it is still called, is predominantly on English soil and water. That is unimportant, because the bridges are national assets, and I fully respect the concern of the Welsh community, particularly in south Wales, about the importance of the bridge and its efficient working. I also respect the concern about the contract that was entered into when I was still a fireman; most of us here, although not me, were very young in the early days of the private finance initiative, to which my hon. Friend the Member for Monmouth alluded. With hindsight, would we be in such a position today? Of course we would not, whether or not the previous Government were still in place. As colleagues who know me are aware, I am not hugely party political. Nevertheless, I could not help thinking that we have had 13 years of a Labour Government and although 2015 is approaching, we are only one year along from when the previous Administration were in place; the hon. Member for Swansea West (Geraint Davies) alluded to point from a sedentary position. What work did the previous Administration do to bring in some of the technology that I will talk about in a moment, and what is going to happen at a later date, possibly in 2017? I will touch on some of those points in a moment, but the issue depends on the funding that the users put into the bridge as we go forward. The Chair of the Welsh Affairs Committee is a good friend of mine, but he alluded to a tax on Wales. In reality, it is a tax on anybody who uses the bridge. There is an extensive haulier community in my constituency, and I am the Minister responsible for roads, freight and so on. Hauliers from England, Scotland and Ireland, and those from continental Europe, who also pay the tolls, might take issue—although perhaps only fractionally —with the comments made by the Chair of the Welsh Affairs Committee. I understand, however, how emotive the subject is. Let me touch on some of the points raised. I will not repeat the brilliant history lesson provided by my hon. Friend the Member for Monmouth—again, I am praising the Chair of the Welsh Affairs Committee—because there is no point going over it again. We all know where we are, and many hon. Members know the situation better than I, despite what I have learned over the past year since taking this position. I, too, sat in queues at the tolls for many years when Wembley stadium was being rebuilt and the wonderful Cardiff stadium was used. I sat in that stadium on many occasions, supporting the England rugby team. I will leave the results for others to comment on. For me the key questions are where we are now, what we can do in the short term and what is the long-term proposal for the bridge. I listened to earlier comments about technology. It is ludicrous that in the 21st century, technology is only just arriving at the toll booths on the crossing. However, some of the comments made during the debate about what can and cannot be used at the tolls were not factually correct; if my officials are wrong, I apologise. The hon. Member for Newport East (Jessica Morden)—I apologise if I pronounce some of the constituency names wrongly; my Welsh is not brilliant and as a cockney lad I was not taught it at school. I mean no offence. [Interruption.] I admit that I picked the easy name first. A debit or credit can be used at a manned toll booth. It can be used at any time, but it depends on whether the booth is manned. The Chamber will be pleased to know that according to information that I received today, it will be possible in July to use non-PIN card technology at the booths. That is crucial because the use of PIN technology creates delays. I will come on to further technology later in the debate, but my information suggests that that will happen in July—I was told it would happen in the summer, and ““July”” is written in brackets behind that. The company has an agreement with the banks, but we have had to assist with that to obtain that sort of technology. As hon. Members will imagine, banks prefer PIN technology because of the risk of fraud. We have resolved that issue, however, although there was some surprise about that, not least because we had to get through European legislation. Nevertheless, we succeeded in doing so and in July people will be able to cross using non-PIN card technology, which will help enormously—I am sure hon. Members will hold me to that, and I will hold the company to account should it not happen. The removal of the 30 seconds that would be added to a transaction through the use of a PIN will help speed through the just under 4,000 vehicles per hour with which the booths are capable of dealing. Interestingly, the capacity of the M4 is greater than that when everything goes correctly. I hope that in five hours' time when the right hon. Member for Torfaen (Paul Murphy) makes that journey, the severe tailbacks that were reported to me earlier will have gone—I am joking; as I understand it, the road is clear although information comes in regularly. The other day, I was pleased to announce a huge investment of £100 million in the M4/M5 managed motorway network. That money comes from the central fund, and will dramatically change the traffic situation on that side of the bridge. As hon. Members know, my background is in the fire service, and I was very sceptical about managed motorways when I first looked at the technology; to me, hard shoulders are dangerous areas that were designed for a reason. Nevertheless, when the managed motorways system was piloted on the M42 under the previous Administration, it was massively over-engineered at the time, but it worked. We have since moved the engineering down, and rolled the system out around the country. A £100 million investment is being provided in difficult times to the M4 and M5 around the Bristol area. Colleagues will know how difficult the bottleneck on those two major arteries can be, and that will be alleviated once the roadworks are finished. That is always a problem—it is no pain, no gain when it comes to roadworks. While we are talking about pain, most colleagues will receive a letter from me tomorrow stating that we intend to start work on the road surface of the new bridge. Work will start—I can give the exact date—on 9 June and run until 14 July on the eastbound carriageways, and between 6 September and 11 October on the westbound carriageways. That is due mostly to the fact that the inside lane in both directions is severely worn and will have to be completely replaced. We looked carefully at how to manage the obvious disruption that will take place. Options included a contraflow system and shutting the bridge while work is carried out. The option that we went for will extend the work—overall it will take about five weeks to put a new waterproof membrane on the bridge and surface the road—but it will leave at least one lane open each way. We made the decision not to shut the bridge or use a contraflow system that would have caused more expense and extensive delays. There will be delays, for which I apologise, but investment must be put into the bridge because of its age, and that will be done. It is a reflection of the amount of traffic that the bridge carries. The only party political point that I will make during my speech will be to touch on the recent elections and my Welsh colleagues' proposals to fund the costs of the toll increases through the Welsh Assembly. It is entirely up to the Welsh Assembly whether or not it wishes to use its funds in that way. If the Conservative party had been elected, it would have been its decision how to run the economy in Wales, just as today's Administration make those decisions. If the Conservative party—or any other party as the hon. Member for Pontypridd (Owen Smith) said earlier—decided that it wanted to fund the cost of the difference between the toll today and the proposed increases under the contract agreement, that could be negotiated with the United Kingdom Government. My door is open to the Welsh Assembly, under the respect agenda to say the least. I wrote to my counterpart in that Assembly—I must now write again because the holder of that position has changed—and offered my assistance. I am speaking on behalf of the Department rather than the Treasury, but if that money were used to offset the difference, the contract would not be affected and would remain in place. The only difference would be that money would be recouped from the Welsh Assembly rather than directly from the tolls. It is a complicated legal issue. It sounds simple, but it is quite complicated. Did I know about this? I have to be perfectly honest: the answer is no. However, that does not mean that we would not get into negotiations or provide every assistance for that to happen. All the discussions that we have had to date, including in the Select Committee, have been based on whether there could be a reduction in the toll at night or a reduction in the toll for local residents. I must admit that the position is much more complicated in this case than it is in the case of the two other major bridges that are often cited. Could there be no increases whatever? Everything comes down to the fact that a contract is in place that says that the company is allowed, after costs, to recoup x amount of money before the bridge is handed back into the full ownership of the Secretary of State. If I were the company, would I want to negotiate any changes to the present contract? Probably not. So what we are talking about is an increase in the time that the tolls would be there. At every stage when I talk about the tolls and the bridge and we have these discussions, it is a question of a balance between the length of time that the bridge is out of our ownership, based on the contractual agreement that we have, and when it could come back into our ownership and decisions could be made. It would be wrong of me to say that we are not thinking about what will happen at the end of the concession agreement. Of course, we are thinking about what will happen. However, as I have said, this is a national piece of infrastructure and a cross-departmental matter. It is a national asset. I am sure that the Welsh Assembly and the Welsh people will understand that we will have to consider what happens to the bridge in the context of the investment going into our networks. However, no decision has been made.