Board Meeting 12th September 2018 10.00pm to 12.00pm Leicestershire County Council County Hall. Glenfield
AGENDA
1. Introductions and Apologies
2. Minutes of Board Meeting 30th May 2018*
3. East Midlands Priorities* • Feedback from the meeting with the Secretary of State 11th July 2018 • Discussion of Next Steps • Proposed 2nd East Midlands Infrastructure Summit 2018
4. Rail Issues* • East Midlands Franchise Update • Presentation by Bombardier on bi-mode train proposal • Cross Country Franchise Consultation Response • East Coast Mainline Line
5. Midlands Connect* • Routes to Growth Report • Sub-National Transport Body Update Presentation • Midlands Road Network Update
6. Items for Future meetings • Discussion
7. Date of Next Meeting • 21st November 2018 10.00-12.00 Leicestershire CC
TfEM Terms of Reference
• To provide collective leadership on strategic transport issues for the East Midlands.
• To develop and agree strategic transport investment priorities.
• To provide collective East Midlands input into Midlands Connect (and other relevant sub- national bodies), the Department for Transport and its delivery bodies, and the work of the National Infrastructure Commission.
• To monitor the delivery of strategic transport investment within the East Midlands, and to highlight any concerns to the relevant delivery bodies, the Department for Transport and where necessary the EMC Executive Board.
• To provide regular activity updates to Leaders through the EMC Executive Board.
TfEM Membership
TfEM will comprise elected members nominated by the LTAs - to be determined by each authority but with an expectation it would the relevant portfolio holder. Senior representatives of the Department for Transport, Highways England and Network Rail will be invited to attend as ex-officio members
Item 2
BOARD MEETING 30TH MAY 2018 LEICESTERSHIRE COUNTY COUNCIL
MINUTES Present: Sir Peter Soulsby Leicester City Council (Chair) Cllr Nick Rushton Leicestershire County Council Cllr Jon Collins Nottingham City Council Cllr Simon Spencer Derbyshire County Council Cllr Kay Cutts Nottinghamshire County Council Cllr Mick Barker Derby City Council Cllr Roger Blaney Newark & Sherwood DC (EMC Franchise Lead)
In attendance: Andy Gutherson Lincolnshire County Council Mike Ashworth Derbyshire County Council Adrian Smith Nottinghamshire County Council David Gartside Derby City Council Ian Vears Leicestershire County Council Steve Ingram Rutland County Council Andrew L Smith Leicester City Council Chris Carter Nottingham City Council Louise Clair DfT Ben Willis DfT Ben Smith DfT Simon Statham Midlands Connect Stephen Pauling Midlands Connect Andrew Pritchard East Midlands Councils
Apologies: Cllr Richard Davies Lincolnshire County Council (Vice Chair) Cllr Ian Morris Northamptonshire County Council Cllr Tony Mathias Rutland County Council Jeremy Dixon Highways England Richard Bates Network Rail
Item 2
ACTION 1. Apologies and Introductions
1.1 Apologies noted as above.
2. Minutes of Meeting held 26th January 2018
2.1 The minutes were agreed as a true and accurate note of the meeting.
2.2 Matters arising were covered on the agenda.
3. Presentation on the A46 Growth Corridor
3.1 Simon Statham, Head of Technical Programmes for Midlands Connect made a presentation on the emerging conclusions of the A46 Study. The study highlighted the economic importance of the A46 corridor stretching from the south west to the Humber Ports to a number of sectors relevant to the Government’s Industrial Strategy.
3.2 In terms of next steps, the report will be recommending further work on options for improving the sections north of Lincoln and around Leicester. It was also proposed that further work should be undertaken to make the strategic case for the Newark Northern Bypass – as whilst Highways England is committed to examining the case for the scheme, there is no firm commitment to delivery.
3.3 Members welcomed the presentation and asked that the slides be circulated, and endorsed EMC/MC the proposed priorities for further work.
4. TfEM Priorities
4.1 A draft joint TfEM/EMC document setting out shared strategic priorities was discussed at the meeting held on 26th January 2018.
4.2 The amended document was presented to the Secretary of State at a meeting held on the th 5 March 2018 by Sir John Peace. The Secretary of State welcomed the document but wanted further detail on schemes that could be progressed immediately – and a further submission was made.
4.3 As yet a formal response has not been received from the Secretary of State, although officials from across the DfT have provided a comprehensive briefing to support the submission.
4.4 Members noted the progress to implement TfEM priorities and looked forward to DfT receiving the Secretary of State’s response.
Item 2
ACTION 5. East Midlands Rail Franchise – Emerging ITT and next steps
5.1 Andrew Pritchard and Cllr Roger Blaney presented this report.
5.2 TfEM has been working in partnership with DfT over the last two years to influence the franchise specification, and through Cllr Roger Blaney to influence the prospective
franchise bidders.
5.3 The Invitation to Tender (ITT) for the franchise is likely to be issued in early June 2018 after Parliamentary recess. It will provide the framework against which the three remaining interested parties (Stagecoach, Arriva and Abellio) will make their bids.
5.4 It will be for the bidders to respond to the ITT by the beginning of September 2018. Cllr Blaney and Stuart Young have met all three bidders based on the comprehensive bidders
pack enclosed with the report, and further connect is likely over the coming weeks.
5.5 Members noted progress on the East Midlands Franchise competition. EMC
6. An Incremental Approach to the Electrification of the Midland Main Line
6.1 Andrew Pritchard presented this item to the Board.
6.2 The joint TfEM/Midlands Connect priorities document previously discussed already highlights a willingness to explore an incremental approach to electrification of the Midland Main Line.
6.3 Members agreed that the approach described in the report represented a practical and pragmatic way forward given the circumstances, and should provide the basis for a positive engagement with Government and Network Rail.
6.4 Members endorsed the approach to incremental electrification of the Midland Main Line All set out in the report.
7. East Coast Main Line Update
7.1 The East Coast Main Line (ECML) franchise includes the main long-distance services to/from London King’s Cross, serving Peterborough, Grantham, Newark, Doncaster, Leeds, York, Newcastle and Edinburgh. In addition to this core network of regular trains each hour, services also operate through to Lincoln, Hull, Harrogate, Bradford, Sunderland, Glasgow,
Inverness and Aberdeen, most in the form of a single train to/from London each day.
7.2 Following an initial announcement in February that the VTEC franchise was financially struggling and would run out of money within months, the Secretary of State confirmed on the 16th May 2018 that the current VTEC franchise would be terminated on the 24th June 2018. In the short term the franchise will be brought back, but from 2020 onwards it will be run by a new public/private partnership which may provide the model for future franchising
arrangements elsewhere.
Item 2
ACTION
7.3 Members highlighted the importance of the East Coast Main line to the East Midlands economy and endorsed TfEM involvement in East Coast Mainline Authorities (ECMA) grouping and the East Coast Main Line APPG. EMC
8 Midlands Connect
8.1 Andrew Pritchard confirmed that the initial STB consultation was ongoing and that the Midlands Connect Strategic Board would meet in early June to consider emerging responses.
8.2 The importance of Midlands Connect being able to have real influence over Government investment programmes under any future arrangements was emphasised.
8.3 Whilst the Government has yet to formally respond to the earlier consultation on the shape of the proposed Major Road Network for the midlands, a request has been made for Midlands Connect to identify a small number (2-3) of MRN improvement schemes that could be ‘shovel’ ready by 2020.
8.4 Following discussion, two candidate schemes from the East Midlands were identified: • A511 (Leicestershire) • A614 (Nottinghamshire)
8.5 Whilst there is an opportunity for other schemes to come forward, Members agreed to
recommend both the A511 and the A614 to Midlands Connect. MC
8.6 Finally, attention was drawn to the launch the Midlands Connect Annual Report on the 9th July 2018, with key speakers including the Secretary of State for Transport and the Chair of TfEM Sir Peter Soulsby. As the event would be in Birmingham, the importance of ensuring All a strong East Midlands presence was emphasised.
9. Dates of Future Meetings : All meetings taking place at Leicestershire County Council
12th September 2018 10.00-12.00 21st November 2018 10.00-12.00
Transport for East Midlands 12th September 2018
Item 3: East Midlands Priorities
1. Introduction
1.1 The most recent treasury statistics published in July 20181 confirmed that the East Midlands continues to miss out on public investment. Of particular concern is the low level of investment in economic affairs in the East Midlands, including:
. The lowest level of public expenditure on transport, in total and per head. . The lowest level of public expenditure on rail per head.
1.2 Following the East Midlands Infrastructure Summit held in November 2017 in Leicester, TfEM and Midlands Connect agreed a document (contained in Appendix 1) highlighting six joint priorities as a basis for renewed lobbying.
1.3 The document was presented to the Secretary of State by Sir John Peace at a meeting held on the 5th March 2018 – the latest in a regular schedule of biannual meetings. The discussion did not go exactly as expected. The Secretary of State welcomed the joint document, but wanted further detail on schemes that could be progressed immediately.
1.4 The Annex subsequently supplied to the Secretary of State in Appendix 2 was based squarely on the Joint MC/TfEM priorities document and the East Midlands HS2 Growth Strategy, and also reflected other decisions made by the TfEM Board on the 26th January 2018 - in particular the agreed TfEM response to the RIS 2 consultation and the proposition for a TfEM role in the management of the East Midlands Rail Franchise. The Annex was reported to the EMC Executive Board on the 23rd March 2018.
2. Further meeting with the Secretary of State 11th July 2018.
2.1 It had been expected that the Secretary of State would make a written response to the Annex, but despite numerous assurances from officials, none was forthcoming. Instead, the Secretary of State invited the Chair of TfEM Sir Peter Soulsby and the Chair of Midlands Connect Sir John Peace to a further meeting, which took place on the 11th July 2018 in London.
2.2 At the meeting Sir Peter emphasised that the East Midlands had agreed a clear set of strategic priorities and was speaking as one voice. Sir Peter and Sir John together presented a unified TfEM/Midlands Connect position. 2.3 In response the Secretary of State appeared supportive of TfEM’s agenda. In particular, the Secretary of State:
• Recognised the strategic importance of the A46 to the East Midlands and gave an undertaking to deliver the Newark Bypass at the earliest opportunity. He was also positive about the Leicester southern/eastern bypass scheme, particularly the potential to open up land for housing and economic development.
1https://www.gov.uk/government/statistics/public-expenditure-statistical-analyses-2018 • Expressed support for measures to get road and public transport links into the HS2 Hub Station at Toton, and to continue working to secure early delivery growth and of the station itself. • Expressed support (following some further explanation) of the partnership approach to managing the East Midlands Franchise proposed by TfEM. • Recognised the economic importance of the A5, particularly for freight but was cautious about making any specific commitments ahead of the outcome of the Midlands Connect strategic study due start next year (although at a subsequent meeting with representatives of the A5 Partnership on the 20th July 2018, he was apparently more positive) .
2.4 The discussion also touched on the importance of the Midland Rail Hub for improving East- West rail connectivity, the need to reinstate direct rail services between Leicester and Coventry and the potential for a fixed public transport link to East Midlands Airport.
3. Next Steps
3.1 The second meeting with the Secretary of State was much more positive than the first and the recent confirmation of an additional £1.8 million to support the development of the HS2 proposition around Toton represents a vote of confidence in the East Midlands.
3.2 However, the challenge of turning positive discussions into formal investment decisions remains. As a result, it will be important to keep up the pressure on Government to deliver against the joint priorities document and to address historic patterns of under investment in the East Midlands.
3.3 The latest Treasury public spending figures were highlighted by Alex Norris MP (Co-chair of the East Midlands APPG) in a Westminster Hall debate on the 23rd July 2018 - details available on the Hansard web-site. It will be important to make full use of the Region’s MPs to make the case for investment direct to Ministers over the coming months.
3.4 There is also the potential to hold a second East Midlands Infrastructure Summit before the end of 2018 to review progress and reinforce wider stakeholder support.
3.5 Members are asked to consider what further collective action may be required to maintain momentum in the current political climate.
4. Recommendation
4.1 Members consider progress on implementing TfEM priorities and direct officers accordingly
Key Contact
Andrew Prichard, East Midlands Councils: [email protected]
Item 3, Appendix 2a
Rt Hon Chris Grayling MP Midlands Connect Secretary of State for Transport 16 Summer Lane Great Minster House Birmingham 33 Horseferry Road B19 3SD London SW1P 4DR [email protected] 0121 214 7119
14th March 2018
Dear Chris
EAST MIDLANDS PRIORITES
Thank you for seeing us again last week, your support for Midlands Connect is greatly appreciated. Andy tells me your visit to Birmingham last Thursday also went very well.
At our meeting you asked me to send you information on road and rail schemes in the East Midlands which, in parallel to our ongoing Midlands Connect programme, could make a real difference in the short term. Enclosed or your consideration is a summary of schemes identified by the East Midlands Councils which have the potential to be progressed by the end of the current Parliament.
I trust this provides you with the information requested, and once again a very big thank you for all the support you are giving us in the Midlands.
Best wishes
Sir John Peace Chairman, Midlands Connect and Midlands Engine
www.MidlandsConnect.uk Item 3, Appendix 2b
ANNEX 1 EAST MIDLANDS EARLY PRIORITES
A46 Growth Corridor
RIS 2 Development/Delivery - Newark: improvements to the A46 corridor are of paramount importance to the East Midlands. Our immediate priority is to deliver the A46 Newark Bypass by the end of RIS2 (2025) – your support for early delivery of the Newark Bypass would relieve a major congestion on the corridor for road users and businesses, and unlock substantial local development opportunities.
RIS 2 Development - Leicester: Your support to progress an A46 southern/eastern bypass around Leicester could unlock up to 4,000 hectares of land for housing and employment uses and deliver a key element of Leicester & Leicestershire’s ambitious Strategic Growth Plan.
Making the Most of HS2
HS2 Growth Strategy Funding: D2N2 LEP & East Midlands Councils have bid for an additional £1.8 million over 2 years to accelerate growth proposals around the East Midlands HS2 Hub station, including enabling the relocation of DB Cargo. The HS2 Growth Strategy aims to deliver 74,000 jobs and £4bn of GVA by 2043. Your support for the funding bid would help to kick start early delivery of the Growth Strategy and demonstrate confidence in work of the East Midlands HS2 partnership.
Housing Infrastructure Fund (HIF): Nottinghamshire County Council has submitted a bid with partners totalling £99million to unlock early phases of the Toton Innovation Campus and Garden Villages, including supporting growth in and around Chesterfield. Your support for the bid with MHCLG would demonstrate the potential of HS2 to drive local growth and investment in the East Midlands.
RIS 2 Development - A52 (Derby-Nottingham): TfEM has made representations to the RIS2 consultation for development funding to progress a joint Highways England/HS2 Ltd package that will combine a direct link to the Hub Station Growth Zone at Toton with measures to relieve congestion on the A52 Corridor between Derby and Nottingham. Your support for an integrated scheme will demonstrate ‘joined up thinking’ within the Department and result in a cheaper and less disruptive outcome for road users.
Transforming Cities Fund – Nottingham Express Transit Extension: Nottingham City Council are planning to submit a bid for development and capital funding to extend the Nottingham Express Transit (NET) from the Toton Park & Ride to the Hub Station (linking key locations such as the Queens Medical Centre, University Campus and the Enterprise Zone). Your support for delivering the NET extension early (by 2025, prior to HS2 works) will help to de-risk construction of the Hub Station and ensure that tram services linking HS2 with key employment sites can operate from ‘day one’. Item 4, Appendix (d)
ANNEX 1 East Midlands Rail Franchise
Rail Devolution: TfEM has submitted a proposal to DfT to establish a bespoke form of rail devolution for the next East Midlands Rail Franchise that will add value to the existing management arrangements at minimal cost. Supporting TfEM’s role explicitly in the franchise ITT due later this year would demonstrate the benefits of devolved franchises to local communities and businesses outside metropolitan areas.
“Rail Sector Deal”: supporting rail innovation in the UK’s rail manufacturing heart of the East Midlands. The proposals include a sub-national element focussed in the East Midlands to drive forward innovation in new technology. Although this is being considered by BEIS, your help in shaping a positive announcement by the summer would highlight your commitment to driving rail innovation in the East Midlands.
A5 Growth Corridor
RIS 1/2 A5: Completion of the delayed A5 Longshoot-Dodwells improvement and development funding in RIS2 for a longer term package of strategic improvements for the A5 corridor spanning Northamptonshire, Leicestershire and Staffordshire. Your support would help to relieve congestion on an increasingly important freight route and help to unlock substantial housing and employment growth in key locations along the corridor.
Transforming East-West Connectivity
RIS 1/RIS 2: Delivery of the delayed A14 Kettering bypass. Your support would reduce congestion for local road users and help to facilitate major housing growth.
Rail Freight/Passenger conflicts: Leicester and Newark: Planned schemes to address capacity issues in Leicester and Newark have been shelved following the Hendy Review. Whilst the original proposals may now be unaffordable, your support to explore lower cost solutions would benefit both passengers and the freight industry and give confidence to local communities that long standing concerns can be addressed.
Transport for the East Midlands 12th September 2018
Item 4: Rail Issues
1. Introduction
1.2 This report updates members on a number of rail issues which impact on the East Midlands. In particular:
• East Midlands Franchise • Bi-Mode Train Proposal from Bombardier • Cross Country Franchise Consultation Officer Response • East Coast Main Line
2. East Midlands Rail Franchise
1.1 The Invitation to Tender (ITT) for the franchise was issued on the 7th June 2018 and provides the framework against which the three remaining interested parties (Stagecoach, Arriva and Abellio) will make their bids and is available at: https://www.gov.uk/government/speeches/east-midlands-rail-franchise-invitation-to- tender
1.2 The Government’s approach to rail franchising is to incentivise outcomes rather than specify details. The ITT therefore contains minimum requirements that all bidders must meet, plus a list of incentivised enhancements to encourage innovation and to provide a choice for the Government based on quality as well as price.
1.3 Through David Young of SCP Transport Ltd, EMC/TfEM has been embedded in the Franchise team with DfT and has been able to influence the ITT. This engagement has been based on the Strategic Statement and Social Value Statement previously agreed by EMC/TfEM available at: http://www.emcouncils.gov.uk/East-Midlands-Rail-Franchise
1.4 It will be for the bidders to respond to the ITT by the 5th September 2018. Whilst the precise outcome will be dependent on the level of competition, it is reasonable to assume that the new franchise will result in a substantial improvement compared to existing services.
1.5 EMC/TfEM through Cllr Roger Blaney and Stuart Young have met with all the bidders prior to the submission deadline. A verbal update on the process will be given at the meeting.
2. Bi-mode Train Proposal from Bombardier
2.1 The Government has decided to cancel the electrification of the Midland Main Line between Kettering and Sheffield and to require the new East Midlands franchise holder to procure a fleet of bi-mode trains. However, as discussed at the last meeting of TfEM, with bi-mode trains there remains a strong case for incremental electrification if capital costs can be controlled.
2.2 From a TfEM perspective, it will be important for any bi-mode train solution to be capable of operating at 125 mph in both diesel and electric modes, and to have the capability to be converted to full electric (or electric/battery) mode by the time HS2 Phase 2b becomes operational – currently expected in 2033.
2.3 The Derby based train manufacturer Bombardier made a presentation on its proposed bi- mode solution to a meeting of the East Midlands APPG on the 18th July 2018 in Westminster. David Atkinson from Bombardier has agreed to make an updated presentation to the TfEM Board on the 12th September 2018, and to take any questions from Members.
3. Cross Country Franchise Consultation
3.1 On the 7th June 2018 the Government launched a 12 week public consultation on the Cross Country Franchise which closed on the 31st August 2018. The consultation document is available at https://www.gov.uk/government/consultations/cross-country-rail-franchise
3.2 The Cross County Franchise includes a number of services important to the East Midlands, In particular services between Leicester and Birmingham, between Nottingham/Derby and Birmingham and some services to the north of England.
3.3 As the consultation period look place over the summer months and between meetings of TfEM, an officer response was submitted based on existing TfEM/EMC Strategic Statement, set out in Appendix 1. The response covers:
• Proposals for re-mapping some cross country services to other franchises – in particular to West Midlands Rail; • Connectivity to the North of England; • Inconsistencies in Rail Fares; • Community Rail Partnerships.
3.4 Members are asked to endorse the response drafted or to highlight any further issues that could form a supplementary response.
4. East Coast Main line Update
4.1 Following the termination of the VTEC franchise, a new publically owned operator LNER took over the East Coast Main Line services in June 2018, pending the establishment of a new public private partnership comprising both track and rolling stock in 2020.
4.2 Separately to these developments, there has been a concerted effort to re-invigorate the East Coast Main Line Authorities (ECMA) and to more closely align activity with the HS2 East Partnership. Cllr Ian Gillies, the Leader of York City Council has taken over as Chair of ECMA, with the secretariat role moving to officers based with the North East Combined Authority. The next meeting will take place on the 14th November 2018 in Edinburgh.
4.3 In addition, an East Coast Main Line APPG has been formed, chaired by Catherine McKinnell, MP for Newcastle North – and has so far met twice including once with the Rail Minister Jo Johnson MP. The next meeting will take place on the 17th October 2018. 4.4 To date, TfEM representation on both groups has been at officer level. There is an opportunity for TfEM to play a more active political role. A verbal update will be given at the meeting.
3. Recommendation
3.1 Members are asked to consider the issues raised in this report and to direct officers accordingly
Key Contact
Andrew Pritchard, East Midlands Councils: [email protected]
31st August 2018
Cross Country Consultation Team Floor 4/16 Department for Transport Great Minster House 33 Horseferry Road, London SW1P 4DR
Dear Sir/Madam
CROSS COUNTRY FRANCHISE CONSULTATION: RESPONSE FROM TfEM
Transport for the East Midlands (TfEM) brings together the nine transport authorities in the East Midlands under the auspices of East Midlands Councils, providing collective leadership on strategic transport issues for the region.
TfEM has been working in partnership with DfT on the development of the East Midlands Franchise for the last two years, including seconding an officer to work as part of the Department’s franchise team.
The East Midlands has consistently been one of the fastest growing regional economies in recent years. With huge potential for further export-led growth (already accounting for 20% of GVA) and is well placed to thrive in a post-Brexit economy. The region also has a strong academic network, with a number of high performing universities and colleges that can support the development of a strong knowledge based economy. But this is dependent upon having excellent intercity connectivity and to regional business markets elsewhere, and a rail offer that makes it attractive for people to travel by train.
Projections from the Office of National Statistics suggest the population of the East Midlands will rise by half a million people to 5.1 million by 2030 – the fastest growth outside London and the wider south east. Key hot spots include Derby, Leicester, Nottingham and Lincoln which all have young, dynamic and well educated populations.
The East Midlands has consistently delivered a higher proportionate share of the nation’s housing supply. Councils remain committed to the delivery of new housing to meet local needs and future economic prospects, with plans to deliver an additional 400,000 new homes over the next 20 years.
TfEM has made comprehensive response to the East Midlands Franchise consultation last year, and this response is also based upon the principles set out in our Strategic Statement and Social Value Statement available at: http://www.emcouncils.gov.uk/East-Midlands-Rail-Franchise.
The Strategic Statement explains that the ability to unlock economic growth across the region is tied to improving connectivity for the key cities of the East Midlands (Derby, Leicester, Lincoln and Nottingham) to the key cities of other regions including the West Midlands, South West and Wales, as well as Manchester and the North East/Scotland.
East Midlands Councils, First Floor Office, South Annexe, Pera Business Park, Nottingham Road, Melton Mowbray, Leicestershire LE13 0PB T: 01664 502 620 E: [email protected] W: www.emcouncils.gov.uk
It is also important to improve connectivity between East Midland Cities and surrounding towns and villages - especially those expected to see expansion as part of locally owned growth proposals, such as of the draft Leicester and Leicestershire Strategic Growth Plan.
Services within the Cross Country franchise play a vital role in facilitating east west connectivity across the Midlands and providing links to strategic locations described above.
In particular, the services perform two main functions for the East Midlands:
Facilitating commuter movements, particularly into Birmingham Securing regional connectivity, particularly to Wales and the East of England and North to the North East and Scotland.
Remapping Q4 (Please note the question numbers used in this letter refer to the question numbers used in the consultation document and not the consultation response template)
Leicester – Birmingham - TfEM believe that there are essentially two options for this service:
Option 1 – extend the Leicester to Birmingham service to destinations in the East Midlands beyond Leicester, to improve regional connectivity within the East Midlands and potentially elsewhere. Work undertaken by consultants acting for Leicestershire County Council and Leicester City Council has shown that extended services would contribute towards improved economic growth. Under this option the service functions more as a regional connectivity service, and as such is best placed in the East Midlands Franchise - or if this is not possible, retained in the Cross Country franchise. The issue of high fares will need to be addressed under either scenario – which is discussed under Q14 below.
Option 2 - maintain the service as a local commuter based service into both Leicester and Birmingham and the communities between. If this option is progressed we would recommend transferring the service to be run by West Midlands Rail. This will require the current governance arrangements of West Midlands Rail to be amended to reflect the wider geography. It is also important that as part of this option, commuter fares from the East Midlands into Birmingham are reduced to align with those seen on other routes into Birmingham (see Q14 below).
TfEM recommends Option 1 as this will contribute most to economic growth within the East Midlands.
However, it is strongly felt that the decision is not taken until after bidders have tendered. In particular, pre- selection of Option 2 would fetter bidder flexibility to deliver something more strategic. If it transpires that bidders do not wish to provide a service extended across the East Midlands, then Option 2 is preferred above the status quo. Under all options, the issue of high fares will need to be addressed.
Nottingham – Birmingham/Cardiff - From an East Midlands perspective, Nottingham – Derby – Birmingham services fulfil a more regional function, and are closely linked to Nottingham – Birmingham/Cardiff services. As a result we believe that both services should be run by the same TOC. In fact, given the importance of these services to the East Midlands, we believe there is a case for both to transfer to the East Midlands Franchise.
East Midlands Councils, First Floor Office, South Annexe, Pera Business Park, Nottingham Road, Melton Mowbray, Leicestershire LE13 0PB T: 01664 502 620 E: [email protected] W: www.emcouncils.gov.uk
However, if the Nottingham – Birmingham Service is to be re-mapped into West Midlands Rail, TfEM would want assurances that the current inter-working of call patterns with the Nottingham – Birmingham/Cardiff service would be maintained, and that flexible ticketing arrangements would be established to prevent passengers using both services to make a return journey being financially penalised. We would also want to explore the potential for extending the service to Newark and Lincoln.
Birmingham - Leicester – Stansted - As the majority of the Birmingham - Leicester - Stansted service runs through the East Midlands, again there is a strong case for transferring this service to the East Midlands Franchise.
Connectivity to the North East Q5
TfEM does not support the truncating of services to Tees Valley at Northallerton. It is already difficult for Towns and Cities located on the Midland Main Line to access the North West, but to terminate one Cross Country service at Northallerton would limit access to the Tees Valley, North East Combined Authority area and potentially even Scotland, with trips only made with the time penalty associated with interchange.
Fare Structure Q14
There is considerable fare inequality for many rail passengers in the East Midlands, resulting in higher fares for rail users than found elsewhere. It should be a requirement that the Cross Country operator is obliged to provide day- return as well as open (30 day) return tickets.
The Annex to this letter highlights stations where there are currently no day-return fares - meaning customers on these routes are paying nearly a third more for their trips measured by cost/mile travelled. This results in split ticketing and other solutions. For example day return travel from Melton Mowbray to Birmingham costs £41.60, but by splitting tickets at Leicester the cost falls to £29.40, a comparable saving to a day ticket but at considerably less transparency and convenience for the passenger.
Community Rail Partnerships Q25-27
A point of detail, The Derwent Valley Line CRP serves Derby station but is not mentioned in the Consultation. Cross Country franchise should be obliged to engage and support this CRP too.
If you require any further information about these comments, please do not hesitate to contact myself, or my colleague David Young
Yours sincerely
Andrew Pritchard Director of Policy & Infrastructure East Midlands Councils [email protected] 01664 502641
East Midlands Councils, Pera Business Park, Nottingham Road, Melton Mowbray, Leicestershire, LE13 0PB East Midlands Councils, First Floor Office, South Annexe, Pera Business Park, Nottingham Road, Melton Mowbray, Leicestershire LE13 0PB T: 01664 502620 E: [email protected] W: www.emcouncils.gov.uk T: 01664 502 620 E: [email protected] W: www.emcouncils.gov.uk
Annex – Comparison of return rail fares into Birmingham
Day Day/open Line Operator(s) Miles Return return Cost* cost/mile Offered? (sample) Melton Mowbray XC 54.5 No £ 41.60 £ 0.76 Leicester XC 39.75 yes £ 36.50 £ 19.90 £ 0.50 Nuneaton XC 21.25 yes £ 11.15 £ 0.52 Nottingham XC 57.25 No £ 40.90 £ 0.71 Derby XC 41.25 yes £ 32.00 £ 16.50 £ 0.40 Tamworth XC 14.75 yes £ 8.35 £ 0.57 Linchfield Trent Valley WMR 17.5 yes £ 8.30 £ 0.47 Stoke on Trent VWC, XC, LNW 45.25 yes £ 29.90 £ 24.20 £ 0.53 Rugeley Trent Valley WMR 26.25 yes £ 13.70 £ 11.40 £ 0.43 Crewe VWC, XC, LNW 53.5 No £ 53.10 £ 0.99 Stafford VWC, XC, LNW 29 yes £ 17.70 £ 13.40 £ 0.46 Wolverhampton VWC, XC, LNW, ATW, WMR 12.75 yes £ 7.80 £ 0.61 Shrewsbury VWC, ATW, WMR 43 yes £ 19.00 £ 17.80 £ 0.41 Kidderminster CR, WMR 19 yes £ 9.40 £ 0.49 Hereford WMR 54.5 yes £ 21.50 £ 19.20 £ 0.35 Worchester WMR 25 yes £ 16.90 £ 11.30 £ 0.45 Redditch WMR 15.5 yes £ 7.70 £ 0.50 Stratford upon Avon WMR 24.75 yes £ 9.70 £ 0.39 Leamington Spa XC, CR, WMR 28.75 yes n/a £ 10.30 £ 0.36 Northampton LNW 49.5 yes £ 21.80 £ 19.70 £ 0.40 Rugby LNW, VWC 30.5 yes £ 10.90 £ 9.00 £ 0.30 Coventry XC, VWC, LNW 19 yes £ 6.00 £ 0.32
Notes Fares based on those advertise on 2nd August 2018 * based on day return where offered (if no day return then open return use valid 30 days) The basis of the sample is of main stations around Birmingham, broadly to the nearest City/large town, limited at approx. 50 miles from Birmingham.
ave fare sole op XC - Cross Country £0.56 £0.58 WMR - West Midlands Rail £0.45 £0.43 Up to 39p VWC - Virgin West Coast £0.52 40-49 LNW - London North Western £0.55 £0.40 50-59 ATW - Arriva Trains Wales £0.51 60-69 CR - Chiltern Railway £0.43 70p +
Conclusion Stations without day return fares have excessively high return ticket prices (they are the 3 highest fares measured by pence per mile). Notable all 3 stations, without day return fares have Cross Country as an operator.
Transport for the East Midlands 12th September 2018
Item 5: Midlands Connect
1. Introduction
1.1 This report provides an update on the work of Midlands Connect.
2. Our Routes to Growth Report
2.1 Midlands Connect published its annual report ‘Our Routes to Growth’ on the 9th July 2018 at a well-attended event in Birmingham. Chair of TfEM Sir Peter Soulsby took part in the Panel discussion along with Ruth Carver from the Greater Lincolnshire LEP and representatives from the West Midlands.
2.2 The report is available on the Midlands Connect web-site and highlights work on a number of key projects that will benefit the East Midlands including:
• Midlands Rail Hub • Accelerating the East Midlands Hub Station at Toton • A46 • A5 • A50/A500
3. Sub-National Transport Body
3.1 Midlands Connect has been consulting on the initial proposals to establish a statutory Sub- national Transport Body for the Midlands by 2020. In addition to the response from individual LTAs, a joint response from TfEM/EMC has been submitted highlighting what should be the key objectives of any Midlands STB, set out in Appendix 1.
3.2 Billy Roden from Midlands Connect will give an update at the meeting on the emerging results of the consultation and likely next steps.
4. Major Road Network
4.1 With input from TfEM Midlands Connect made a submission to the Government on the scope of a major road network for the Midlands, and also made proposals for how investment could be most effectively prioritised.
4.2 A formal response from the Government is expected shortly. A verbal update will be given at the meeting.
5. Recommendation
5.1 Members consider the issues raised in this report and direct officers accordingly
Key Contact Andrew Pritchard, East Midlands Councils: [email protected]
4 July 2018
Sir John Peace Chairman, Midlands Connect 16 Summer Lane Birmingham B19 3SD
Dear Sir John
MIDLANDS CONNECT STB CONSULTATION
Thank you for consulting East Midlands Councils and Transport of the East Midlands (TfEM) on emerging proposals to establish Midlands Connect as a statutory Sub-National Transport Body (STB).
Whilst our constituent local transport authorities will respond for themselves in due course, we thought it helpful to make some observations from an East Midlands perspective.
As you will know, we have been concerned for some time about the low level of national transport spending in the East Midlands relative to other UK regions/nations, and the impact this is having on our economic performance. Recent Treasury statistics confirm that the East Midlands has:
. The lowest level of public expenditure on transport, in total and per head; and . The lowest level of public expenditure on rail per head.
We know that you and the Midlands Connect team understand these concerns – which were discussed at length at last November’s East Midlands Infrastructure Summit in Leicester.
The joint Midlands Connect/TfEM priorities document agreed earlier this year will help us to focus our collective efforts on a limited number of strategic transport interventions that will unlock growth. We very much welcome the work Midlands Connect has undertaken to define a Major Road Network that will support our economy. Through TfEM we are working with DfT to ensure the next East Midlands Rail Franchise delivers more for local businesses and communities.
But there is more that we need to do redress decades of under-investment. In particular, we believe the Midlands must have a greater say over transport investment decisions made at a national level that impact on our local economies.
We are not suggesting full devolution of transport spending. Rather a re-balancing of the relationship with Government towards a more equal partnership with the Midlands on the key decisions that matter to us both.
Through Midlands Connect we want to be able to work with the Department for Transport and its delivery bodies to develop and agree forward investment priorities for the Strategic Road Network, our Major Road Network and our rail network.
When projects go wrong, as from time to time they will, we want to be able to work with Government to find mutually acceptable solutions – rather than be presented with a ‘fait accompli’.
Based on previous experience, such arrangements must have a degree of permanence that can transcend electoral cycles in order to gain local confidence. Our businesses also need greater certainty about public investment in order to make their own investment decisions.
From an East Midlands perspective, the case for establishing Midlands Connect as a Sub National Transport Body rests on the extent to which it is able to permanently shift the status quo, both in terms of the relationship with central Government and the spatial distribution of national transport spending.
This is challenge, but also a massive opportunity – not just for the East Midlands but for the Midlands as a whole.
We hope that you find these comments helpful, and both EMC and TfEM look forward to further dialogue as your proposals develop.
Yours sincerely
Cllr Martin Hill OBE Sir Peter Soulsby Chair of East Midlands Councils Chair of TfEM
cc Trisha Hayes, Director General for Roads, Motoring and Devolution, Department for Transport