House of Commons Welsh Affairs Committee The Provision of Rail Services in Wales Third Report of Session 2003–04 Report, together with formal minutes, oral and written evidence Ordered by The House of Commons to be printed 17 March 2004 HC 458 (including HC 1029-i to v of Session 2002–03) Published on 29 March 2004 by authority of the House of Commons London: The Stationery Office Limited £20.00 The Welsh Affairs Committee The Welsh Affairs Committee is appointed by the House of Commons to examine the expenditure, administration, and policy of the Office of the Secretary of State for Wales (including relations with the National Assembly for Wales.) Current membership Mr Martyn Jones MP (Labour, Clwyd South) (Chairman) Mr Martin Caton MP (Labour, Gower) Mr Huw Edwards MP (Labour, Monmouth) Mr Nigel Evans MP (Conservative, Ribble Valley) Dr Hywel Francis MP (Labour, Aberavon) Julie Morgan MP (Labour, Cardiff North) Albert Owen MP (Labour, Ynys Môn) Mr Mark Prisk MP (Conservative, Hertford and Stortford) Mrs Betty Williams MP (Labour, Conwy) Hywel Williams MP (Plaid Cymru, Caernarfon) Mr Roger Williams MP (Liberal Democrat, Brecon and Radnorshire) The following member was also a member of the committee during the parliament. Mr Adam Price MP (Plaid Cymru, Carmarthen East and Dinefwr) Mr Chris Ruane MP (Labour, Vale of Clwyd) Mr Bill Wiggin MP (Conservative, Leominster) Powers The committee is one of the Departmental select Committees, the powers of which are set out in House of Commons Standing Orders, principally in SO No 152. These are available on the Internet via www.parliament.uk. Publications The Reports and evidence of the Committee are published by The Stationery Office by Order of the House. All publications of the Committee (including press notices) are on the Internet at www.parliament.uk/parliamentary_committees/welsh_affairs_committee.cfm. A list of Reports of the Committee in the present Parliament is at the back of this volume. Committee staff The current staff of the Committee are James Davies (Clerk), Paul Derrett (Committee Assistant) and Sarah Colebrook (Secretary). Contacts All correspondence should be addressed to the Clerks of the Welsh Affairs Committee, House of Commons, 7 Millbank, London SW1P 3JA. The telephone number for general enquiries is 020 7219 6189; the Committee’s email address is [email protected] 1 Contents Report Page Summary 3 INTRODUCTION 5 Background to the Report 5 The current position with regard to railways 5 SERVICES BETWEEN WALES AND LONDON 7 South Wales Main Line 7 First Great Western Services 7 Investment in Track 10 Conclusions 12 The Severn Tunnel 13 North Wales Main Line 14 Virgin Trains Services 14 Investment in Track 15 Classification 16 VIRGIN CROSS COUNTRY SERVICES 18 THE WALES AND BORDERS FRANCHISE 20 Background 20 The Franchise Process 21 The Financial Settlement for the Franchise 24 Wales and Borders Services 24 A Clock Face Timetable 25 Hubs 26 Commuter services on the Valley Lines 27 Proposals for Improvements to Stations 28 Disabled Access 31 Information at Stations 31 POWERS OF THE NATIONAL ASSEMBLY 33 Background 33 Powers of Direction and Guidance over the Strategic Rail Authority 34 Appointment of SRA Members by the National Assembly 35 Regional Transport Boards based on the Existing Consortia 35 Conclusions and recommendations 37 Formal minutes 42 Witnesses 43 2 Optional header List of written evidence 43 List of unprinted written evidence 44 Reports from the Welsh Affairs Committee since 2001 45 3 Summary The Welsh Affairs Committee has had a long-standing interest in the provision of rail services in Wales. This Report revisits those services, concentrating on intercity services, the award and proposals for the new Wales and Borders franchise, and the division of powers between Westminster and Wales. There are many challenges facing the rail industry in respect of the South Wales Main Line. While the Report welcomes the forthcoming route strategy for the Great Western Main Line proposed by the Strategic Rail Authority (SRA), (Para 28), it recommends a new high speed link between England and South Wales and the possibility of a second rail crossing between Wales and England be included in that route strategy (Paras 18 and 35). The current service levels provided by First Great Western are welcomed, but the Report concludes that a later evening service between the capitals of England and Wales should be introduced at the earliest opportunity (Paras 10 and 15). The Report highlights the comparatively slow line speeds on the North Wales Main Line. It recommends that the SRA assess the cost of committing to an increase in the line speed for that line. It also recommends that electrification of the line be part of that costing exercise. The Report argues that should that costing exercise prove value for money line speed increases and electrification should be included as part of the rebuilding of the West Coast Main Line (Paras 45 and 48). The Report also noted that EU funding could be made available for the North Wales Main Line and recommends that the Secretary of State for Wales push for such funding at Westminster and in Europe (Para 53). The Report considers the award of the Wales and Borders franchise to Arriva Trains. It broadly welcomes the franchise process, but concludes that greater transparency in the process could have been achieved (Paras 62 to 71). It welcomes the initiatives proposed by Arriva Trains which have the potential to provide an enhanced rail service for Wales. In particular the Report welcomes the proposals for a clock face time-table, and the use of Shrewsbury and Carmarthen as hubs for their operations.(Paras 77 to 85) However, it is not convinced that the SRA has provided sufficient funds for the franchise and recommends that funding levels be revisited (Paras 72 to 75). The Report also expresses its disappointment that funding has been provided to improve only fifteen stations during the lifetime of the franchise. In the absence of SRA funding it recommends that Arriva explore other avenues to improve the fabric of train stations and expects a commitment from Arriva that those duties would not be ignored in the running of the franchise (Paras 91 to 95). Rail transport is central to an integrated transport policy. The Report welcomes the discussions between the UK Government and the Welsh Assembly Government on a future Transport Bill for Wales. It recommends that powers of guidance and direction over the SRA in relation to the Wales and Borders franchise, and the power to appoint one or more members of the SRA be included in any such Bill. It also recommends that the Department of Transport examine the possibility of conferring on the National Assembly, powers to enable it to appoint statutory consortia of passenger transport boards should that prove to be beneficial to an integrated transport policy for Wales (Paras 107 to 126). 5 INTRODUCTION Background to the Report 1. The Welsh Affairs Committee has had a long-standing interest in the provision of rail services in Wales. It has produced a number of reports on the subject including, Public Transport in Wales in 1985,1 Rail Services in Wales in 1991,2 and The Transport Bill and its impact on Wales in 2000.3 2. In 2002 we began a major inquiry into Transport in Wales, and published our Report in January 2003.4 Rail services represented a significant section of that Report and covered rail transport, station facilities, the powers of the National Assembly, and the pending award of the Wales and Borders Franchise. Our inquiry and the Government’s response5 highlighted many areas that remained unresolved. Therefore, we decided that we would revisit rail services as a separate inquiry. 3. The Report is split into three sections. First, we consider rail links between London and Wales, in particular the Intercity links on the South Wales Main Line and the North Wales Main Line. We then consider the award of the Wales and Borders Franchise and the services to be provided under that franchise, In the final section we consider the division of powers between the National Assembly and Westminster. 4. During this inquiry we took evidence on five occasions between July and November 2003 from the Strategic Rail Authority, First Great Western, Virgin Trains, Arriva Cymru, Network Rail, Rail Passengers Committee Cymru and Dr Kim Howells MP, Minister for Transport. In addition to the oral evidence we received written evidence from a wide variety of interested parties. We thank all who contributed to the inquiry. We also thank Professor Stuart Cole of the Wales Transport Research Centre, University of Glamorgan, who gave us his expert help on this report and has now advised the Welsh Affairs Committee on transport matters for the past twenty years. The current position with regard to railways 5. Since privatisation, responsibility for the railways has been divided up between a number of organisations, the Strategic Rail Authority, Network Rail, the Rail Regulator, and the train operating companies. 6. Network Rail is responsible for investment and renewals on the railways. It is funded through two sources of income: the income from track access agreements with the train operating and freight operating customers, and by grants from the SRA. However, 1 First Report from the Welsh Affairs Committee, Public Transport in Wales, Session 1984-85, HC35. 2 Fourth Report from the Welsh Affairs Committee, Rail Services in Wales, Session 1990-01, HC262. 3 Second Report from the Welsh Affairs Committee, The Transport Committee and its impact on Wales, Session 1999- 2000, HC 287. 4 Second Report from the Welsh Affairs Committee, Transport in Wales, Session 2002-03, HC205. 5 Second Special Report from the Welsh Affairs Committee, Transport in Wales: Response of the Government, Session 2002-03, HC580.