Keir Mather
MP for Selby · Labour · United Kingdom
“May I start by extending my thanks to the shadow Minister? Anyone who can endure trading remarks with me on the Railways Bill for as long as we were in Committee together is an absolute stalwart and a credit to the House, so I thank him for working with me on that.”
“I am glad that the Lib Dem spokesperson shares our concern about consumer rights. Disruption and cancellations—but also disruptive passengers, unfortunately—can ruin the holidays of British holiday- makers who save so much to facilitate those experiences.”
“That is a very theatrical question from the shadow Minister on the scale of the challenge that we face. I can confirm that the meetings that we are having on EES, both in Government and with our counterparts, are to ensure that we get this right, ahead of the peak period.”
“I thank the Lib Dem spokesperson for his question. I can confirm that we have discussed the flow of passengers through member state airports with our relevant partners in the European Commission, and with member states. That is certainly something I have been doing over the past 10 months.”
“I join my hon. Friend in extending my thanks to CROs across the country for the incredible work that they do. We want to ensure that CROs are tret with dignity and respect, and that they are empowered to carry out their incredible duties.”
“I thank the shadow Minister for his question. I can confirm that I have been clear with Ministers in Government, and that Ministers have been clear with French and EU counterparts, that they should do all they can to avoid disruption, including using the existing flexibilities in EES regulations.”
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“For appeals concerning provisions within GBR’s strategic documents, such as the access and use policy, infrastructure capacity plans or its charging and performance schemes, the ORR may remit the provision appealed against to GBR for reconsideration, and may do so with binding directions, but may not substitute its own decision. That is because these are not yes or no decisions—they are not simple decisions—but rather complex and comprehensive policies that govern the railway. It is not appropriate for the ORR to rewrite strategic policy documents, and that is not what regulators are meant to do. The ORR should be checking that GBR has acted consistently with its procedures and policies, not substituting them with its own.”
“We have discussed repeatedly in Committee that what is wrong with the railway today is the fact that there is no one decision maker. There has to be just one, or the railway will continue to stagnate. GBR is the body with the expertise to be that decision maker, and the ORR is the body that should check that it has acted fairly and proportionately. Judicial review principles strike the right balance between accountability and effective decision making. Amendments 90 and 91 would extend the ORR’s powers to substitute its own decision for one of GBR’s. As I have mentioned, the Bill deliberately distinguishes between types of appeals and the powers available to the ORR in each circumstance.”
“Amendments 88 and 89 seek to remove the requirement that appeals be made on judicial review principles and replace this with a requirement that appeals are determined “on the facts and the law.” As I set out in my opening speech, judicial review principles will ensure that the ORR focuses on the legality and fairness of GBR’s decision making, not on retaking the decision. Replacing this with a requirement to determine appeals on the facts and the law instead would convert this to a merits-based system, which would require the ORR to rerun strategic judgments and exercises on best use of the network. That is not the role we intend for the ORR. The framework is designed to provide strong, independent oversight while preserving GBR as the single directing mind.”
“Any appeals will be made against JR principles and not processes. It is not that each case will be brought before the courts, with the associated costs that that would bring, so I am confident that the costs of appeal would not be a significant factor under the new system as opposed to the old one. On the matter of European systems, the shadow Minister tests the boundaries of my knowledge of the operation of rail systems overseas. There are systems in Europe in which a body similar to the ORR has too dominant a role in having charge over access and decision making in relation to it. That is not working in the existing system, and that is what we are trying to change through the Bill.”
“I will respond first to the hon. Member for Isle of Wight East. The point about confusion does not pertain to confusion created through arbitration in the courts on the principles of access decisions as a matter of law. I think that that is fundamental to making sure that GBR works within the boundaries of the legislative framework we have created, as well as, via public law principles, operating in a way that is both fair and transparent. The point about confusion is having two decision-making bodies on what constitutes best use of the network and access to the network. That is where we want to avoid confusion, because that is the system we have inherited, and it does not work for passengers. The shadow Minister raised a point about fees, and the right hon. Member for Melton and Syston mentioned costs.”
“The Secretary of State will, of course, be required to consult the ORR, GBR, Scottish and Welsh Ministers and such other persons the Secretary of State considers appropriate before making any regulations under the power. In a similar vein, when the ORR issues, revises or replaces its appeals practice and procedure, it is important that it must consult GBR, the Secretary of State, Scottish and Welsh Ministers and such other persons it considers appropriate. That ensures coherence across the railway network, particularly where services cross borders. Removing these provisions would reduce flexibility and resilience in the appeals framework without materially strengthening the independence of the ORR’s appeals role. For those reasons, I urge the hon. Member for West Dorset to withdraw the amendment, and not to move amendments 204 and 205.”
“The Secretary of State’s regulation-making powers are intended to provide a safeguard to ensure that the appeals framework operates effectively, and are not expected to play a routine role. The powers may be used only for matters of process—for example, the setting of legally binding time limits for bringing appeals and, if appropriate, providing for the charging of fees. The powers cannot be used to interfere with the ORR’s independence in deciding and assessing individual appeals, or used to dictate the outcome of any appeal. Other procedural arrangements will be set by the ORR as it develops its appeals process. The power ensures that the framework can be set and adjusted, if required, to maintain effective operation over time while fully preserving the ORR’s independence in determining appeals.”
“Amendments 203 to 205 seek to do two things: to remove the Secretary of State’s ability to make regulations relating to the appeals process; and to remove the Secretary of State, Scottish Ministers and Welsh Ministers as statutory consultees on the ORR’s appeals procedure. I support the ambition to ensure that the appeals framework works independently and commands confidence across the industry. However, the amendments are not necessary or appropriate to achieve that aim. The ORR will establish its own appeals process and engage with industry on its development. In fact, it has already published a discussion document seeking views from interested parties on its policy choices. That was published on 3 December and can be found on the ORR’s website.”
“I beg to move amendment 175, in clause 69, page 39, line 25, leave out “17(1)” and insert “17”. This amendment and amendment 176 restrict the power of the Office of Rail and Road to give directions to Great British Railways so that it will apply only to “facility to facility” access contracts.”
“Amendments 175 to 183 and 186 will ensure that GBR can enter into connection contracts with adjacent infrastructure managers and facility owners. A connection contract is a formal agreement that focuses on the physical interface and upkeep of the connection between two rail networks. Connection contracts are important in enabling the smooth passage of trains from GBR’s network to others, such as the Core Valley Lines in Wales. They also allow GBR’s network to be connected to privately owned depots or ports, which will be of importance to freight operators. These technical amendments retain the existing arrangements, enabling GBR and other parties to enter into connection contracts. I therefore urge the Committee to support them.”
“Amendment 183, in clause 69, page 40, line 12, at end insert— “(7) In section 22C (amendment: supplementary), after subsection (1) insert— ‘(1A) Directions may not be given under subsection (1) in relation to an access agreement where the facility owner or installation owner is Great British Railways unless the agreement is an access contract of the description specified in section 18(2)(e).’”— (Keir Mather.) This amendment restricts the ORR’s power to give directions under section 22C of the Railways Act 1993 to the parties to an access agreement Great British Railways in line with the approach taken by the other amendments about access agreements.”
“Amendment 182, in clause 69, page 40, leave out lines 10 to 12 and insert— “(5A) Directions may not be given under this section in relation to an access agreement where the facility owner or installation owner is Great British Railways unless the agreement is an access contract of the description specified in section 18(2)(e).” This amendment restricts the ORR’s power to give directions under section 22A of the Railways Act 1993 to the parties to an access agreement in line with the approach taken by the other amendments about access agreements.”
“This amendment and amendment 181 provide for ORR approval to be required for amendment of “facility to facility” access contracts entered into by Great British Railways. Amendment 181, in clause 69, page 40, line 7, at end insert— “unless the agreement is an access contract of the description specified in section 18(2)(e)”. See the explanatory statement for amendment 180.”
“Amendment 179, in clause 69, page 40, line 4, at end insert— “(4A) In section 21 (model clauses for access contracts), after subsection (5) insert— ‘(6) The powers of the Office of Rail and Road under subsection (5) may not be exercised in relation to an access contract where the facility owner is Great British Railways unless the access contract is of the description specified in section 18(2)(e).’” This amendment provides for the ORR’s model clauses powers to be exercisable in relation to access contracts entered into by GBR only where the access contract is a “facility to facility” access contract. Amendment 180, in clause 69, page 40, line 6, leave out “if” and insert “where”.”
“Amendment 177, in clause 69, page 39, line 32, leave out— “to which this section applies” and insert— “of the description specified in subsection (2)(e) unless one of the conditions in paragraphs (a) to (c) of subsection (1) is satisfied; and any such contract is void unless one of those conditions is satisfied.” This amendment replaces the general restriction on Great British Railways entering into access contracts with one that will apply only to “facility to facility” access contracts. Amendment 178, in clause 69, page 40, line 1, leave out subsection (4)(c). This amendment removes the restriction on Great British Railways as a facility owner entering into installation access contracts.”
“Amendments made: 176, in clause 69, page 39, line 26, leave out from “after” to end of line and insert— “subsection (1) insert— “(1A) Where the facility owner is Great British Railways, the Office of Rail and Road may give directions under subsection (1) only for the purpose specified in subsection (2)(e).” See the explanatory statement for amendment 175.”
“As stated earlier, that will not affect any operators’ schedule 5 rights, nor will it impede the existing charging determination set by the ORR until its natural expiry in April 2029, which the Government have confirmed both publicly and in writing. Not including that provision would be a risk to the smooth transition to the new regime, which the Government are not prepared to risk. Given all that I have discussed, I urge hon. Members not to press the amendment to a vote. Amendment 175 agreed to.”
“However, recognising the need for reassurance, and to offer certainty for third parties, the Government have also committed publicly to ensuring that operators with existing contracts in scope of needing that power will be engaged with and consulted, to identify inoperable clauses and agree on replacement wording. Amendment 146 would take away the ability to amend or terminate contracts. However, it is necessary for the clause to be drafted widely, including with reference to termination, in case the best way to effect the technical changes to the contract is to terminate and immediately replace the contract with one that is aligned to the new legislative framework, rather than making numerous technical amendments throughout that would otherwise render the contract unusable or unwieldy.”
“In a similar way to how the ORR provides notices for contracts today, the Secretary of State will, if necessary, and only as a last resort, use the power to make technical changes to existing contracts, simply to ensure smooth transition to the new access and charging regime under GBR—for example, to account for the establishment of GBR and address the changed roles of the ORR and GBR, so that contracts still operate as they should. Without those changes, operators with access rights would potentially not be able to provide the services that they have contracts and rights to run, because the contracts will become inoperable.”
“Clause 71 provides the Secretary of State with a time-limited power to ensure that contracts can continue to operate effectively, following the establishment of Great British Railways. The Government have made the commitment that, following its establishment, the existing access rights held by operators, known as schedule 5 rights, will be honoured, as will the charges set by the ORR for the remainder of the current control period. The clause does not change those commitments. However, the power is needed to prevent contracts from becoming inoperable because they are reliant on the previous legislative framework in the Railways Act 1993, which will not be applicable once the Bill is enacted.”
“It is only GBR—not Ministers or the ORR—that will have the level of expertise and the detailed knowledge of the whole railway system that is needed to make the right decisions for passengers, freight users and taxpayers. Clause 70 makes technical changes to the body of law that currently governs access, to exempt GBR and make some other consequential changes, so that the existing access and management regulations will no longer apply to GBR in relation to its infrastructure. The technical amendments in the clause are necessary to enable GBR to become the single decision maker and directing mind for its infrastructure. The existing regulations will continue to apply for adjacent infrastructure managers, such as Transport for London and Core Valley Lines in south Wales.”
“If we keep the current system, we will continue to see disruption and delays caused by timetabling problems, and inefficient use of the network that is no one’s best interests. We will continue to see problems, such as trains running without passengers on them, purely because of the systematic issues that govern access and timetabling decisions. Retaining the ORR as the access decision maker would not lead to better performance, and would not benefit passengers. The only way to achieve the high-performing and high-quality railway that this country needs is to put one body—GBR—in charge of the railway and of granting access to it.”
“Amendment of the existing provisions is vital to allow the Government to fulfil their commitment to establish GBR as the directing mind responsible and accountable for making best use of the railway. Retaining the role of the ORR as the decision maker on access is not the answer. Under the current ORR system, decisions on the timetable are plagued by delays and disagreements between ORR and Network Rail, and require ministerial intervention for timetables to be finalised. As the regulator, the ORR does not have the ability to review the system holistically, create more routes and optimise the overall use of the network—it can only respond to the specific applications that are submitted to it.”
“I thank the shadow Minister and others for their contributions. It is a small point, but the shadow Minister raised international obligations and treaties, and I want to reassure her that infrastructure managed and operated by parties other than GBR, including High Speed 1, will continue to be governed by the existing access and management regulation. There will therefore be no impact on international obligations and treaties. Hopefully, that will instil confidence throughout the rail supply chain as to how seriously we take those obligations. I will speak first to clauses 69 and 70, before turning to the amendments. Clause 69 amends the Railways Act 1993 to exempt GBR from the ORR’s powers on access and its corresponding duties. In short, the clause prevents the ORR from making access decisions on infrastructure operated by GBR.”
“Amendments 256, 221 and 231 all seek to narrow that power in some way. Amendment 256 would prevent the power from being used to direct operational matters of customer and facility owner freight sidings and terminals; amendment 231 would similarly exclude freight-only facilities. Those amendments are unnecessary, as the purpose of the power is to ensure alignment and remove inconsistencies in the regulatory regimes that will apply to GBR and non-GBR infrastructure and to enable simplifications where they align with the objectives of adjacent infrastructure managers.”
“There may also be opportunities for adjacent infrastructure managers to seek further simplifications to the current regulations in a way that meets our ambitions to reduce regulatory burden and support growth, while maintaining a sustainable and predictable framework so that businesses have confidence to plan and invest. The Government consider regulations, rather than primary legislation, as a better way in which to achieve that. Regulations made under the clause must be subject to the affirmative procedure, ensuring full parliamentary scrutiny. Before exercising the power, the Secretary of State will consult all interested parties, ensuring full transparency, that industry has the chance to comment and that Parliament approves the regulations before any changes can be made.”
“The access and management regulations currently stipulate a date in December, but given the risk of weather-related events, staff absences during the Christmas season and the engineering works that usually take place between Christmas and the new year, GBR will likely want to move away from that. If it did, it is not unreasonable to think that other infrastructure managers might want to follow suit to avoid being affected by the same risks and to ensure consistency in the timetable change date. To achieve that, it would be necessary to amend the regulations for the other infrastructure managers who wish to align with the date that GBR chooses in the future. The regulation-making power would enable that simple change to be made without needing an Act of Parliament.”
“Those “adjacent infrastructure managers” will therefore not be part of GBR’s access regime. The purpose of the power in clause 72 is to ensure that the legislative framework governing the other infrastructure managers can be updated to address any inconsistencies between networks—to “keep pace” between the two different regulatory regimes. Without this power there may be disruption to the smooth passage of train services across different networks—which the Government have a duty to protect. For example, the power might be used to secure alignment on the date when a new working timetable must come into effect.”
“At present, those regulations can be amended only using powers under the Retained EU Law (Revocation and Reform) Act 2023, but those powers will expire on 23 June 2026, which means that, after that date, there will be no means other than an Act of Parliament by which those detailed and technical regulations can be amended. Great British Railways infrastructure will not be subject to the regulations, as the Bill establishes a new access framework to enable GBR to be the directing mind, which we have discussed over the last few groups. However, alongside Great British Railways there will be a number of rail networks, such as Transport for London, London St Pancras Highspeed and the Core Valley Lines in Wales, that will continue to be subject to the access and management regulations.”
“I am pleased to speak to this group of provisions, which concludes the scrutiny on the access chapters of the Bill. Clause 72 provides the Secretary of State with the power to make regulations to amend the Railways (Access, Management and Licensing of Railway Undertakings) Regulations 2016 via the affirmative procedure. The access and management regulations are the existing body of secondary legislation that sets out the rights and obligations of infrastructure managers, train operators and the role of the ORR in relation to access, capacity allocation, access charges and performance.”
“The clause also includes a power to amend the definition, which is necessary to ensure that, as GBR’s network evolves over time, it remains clear to GBR and other infrastructure managers which parts of infrastructure are GBR’s responsibility. The clause is therefore critical to provide clarity and transparency. Given what I have set out, I hope that hon. Members will not press their amendments. I commend clauses 72 and 73 to the Committee.”
“Amendment 221 would make the ORR and affected facility owners statutory consultees to the power. That is unnecessary as before exercising the power to make regulations, the Secretary of State is already required to consult all persons they consider appropriate, which would include the ORR and any affected facility owners. If the Secretary of State did not consult such persons, there would be strong grounds to challenge the regulations. Clause 73 will ensure clarity in how key terms are applied throughout the access chapter of the Bill. It defines “GBR infrastructure”, “GBR passenger service” and “working timetable”—fundamental terms to the operation of GBR. The definition of GBR infrastructure ensures that the new access arrangements developed by GBR apply only where intended.”
“The Government do not intend to use the power to direct the owners or operators of private freight facilities on operational matters. I am happy to reassure the Committee that the power cannot be used to bring other infrastructure managers or operators of privately funded facilities into public ownership, as I know how exercised Opposition Committee members have been about that principle. In the consultation, industry broadly supported the ability to make necessary amendments, although it is of course right to raise concerns when they arise. Most sector bodies agree that it will be important to ensure that there are no regulatory barriers to passenger and freight operators crossing between different networks, and that is what the clause seeks to achieve.”
“I have already said that the Secretary of State will consult all interested parties to ensure that there is full transparency and industry comment. Amendments 256, 221 and 231 would all narrow that power in some way. Amendment 256 would prevent the power from being used to direct operational matters of customer and facility owner freight sidings, and amendment 231 would exclude freight-only facilities. I have already spoken on why some of the principles that lie behind those amendments are unnecessary. Let us take my example of GBR changing the date when its new working timetable is to take effect. On the basis of the amendments, other infrastructure managers would forever be misaligned with that new timetable change date, even if they wished to align.”
“I thank the hon. Member for that intervention. I am not arguing that stakeholders are not valid in raising concerns about the issues: they are. I am seeking to ameliorate their concerns by outlining what provisions are in the legislation to offer sufficient scrutiny and ensure that the way in which the process happens offers robust safeguards. Constraints are built into clause 72 to ensure sufficient oversight, with the Secretary of State consulting persons considered appropriate and making changes in secondary legislation that is subject to the affirmative procedure. That means that legislation will be subject to full public consultation and subsequently debated in both Houses, which reflects the importance of the regulations in providing certainty for business.”
“To fulfil its new role, the ORR must have the ability to gather information, conduct investigations, and assess whether GBR is fulfilling its statutory functions and business plan commitments. Clause 74 provides that statutory basis. It will allow the ORR, where it deems appropriate, to publish any information or advice it provides to the Secretary of State in connection with this monitoring function. That will ensure that the public can see how GBR is being held to account for its performance and how it is delivering in the interest of its customers, taxpayers and the public. The policy rationale is clear: the Government are committed to preserving an independent expert adviser within the rail system and are providing the necessary tools for that body to operate and scrutinise GBR effectively. I commend the clause to the Committee.”
“The clause sets out that the ORR will monitor how GBR exercises its functions, including whether the commitments in GBR’s business plan are being met, how costs and income compare with estimates in that plan, and the extent to which GBR is ensuring safety on the railway. On an ongoing basis, the ORR will be able to escalate concerns to Ministers as it considers necessary, enabling the Secretary of State to make informed decisions in line with her responsibilities as funder of GBR. Given that the Secretary of State is democratically responsible for the billions of pounds of taxpayer subsidy invested in the railway, it is right that she has the final say on how it is used, with proper, comprehensive advice from an expert independent regulator to support her.”
“It will provide the ORR with enhanced monitoring powers, in line with its new role in the reformed sector. It will ensure that the ORR can effectively scrutinise GBR and provide independent expert advice for the Secretary of State for Transport and Scottish Ministers on its performance. As set out in the Bill, GBR will be required to produce an integrated business plan that demonstrates how it will deliver its priorities across the breadth of its statutory functions, including passenger services and the management of the GBR network. Although GBR will report to the Secretary of State on the delivery of the plan, the ORR will be required to monitor the performance of GBR and independently advise the Secretary of State.”
“We do not propose to change that effective system, and cannot agree to an amendment that would layer it with unwarranted and inappropriate duplication, given that the ORR will already be monitoring GBR’s delivery of the KPIs within its business plan and GBR’s consideration of its duties when doing this. Oversight of GBR will be proportionate, risk-based and focused on the outcomes that matter most to users of the railway, taxpayers and the wider public. The ORR will have a crucial part to play in providing this oversight, including by undertaking its enhanced monitoring role in the way it, as the independent regulator, considers appropriate. With that in mind, I urge the hon. Member not to press those amendments. I commend clause 74 to the Committee.”
“Member that this suggestion is already covered. Amendments 99 to 101 would require the ORR to audit GBR’s statutory functions when undertaking its monitoring role. That is unnecessary, and would distort the clear and distinct roles set out in the Bill for both GBR and the ORR. The Bill retains the ORR’s important role as sector regulator and creates an enhanced monitoring function through which it will monitor GBR’s statutory functions and provide independent advice to the Secretary of State. The ORR’s role as sector regulator is rightly separate to the role of an approved auditor. The annual accounts of GBR will be audited by the National Audit Office in the usual way.”
“Britain’s railways remain some of the safest in the world, which is why we are maintaining the roles of the statutory bodies in this area—the ORR and the Rail Accident Investigation Branch —and preserving the legal duty on all public bodies, including GBR, to give due regard to the investigation branch safety recommendations addressed to them. Existing safety legislation already gives the ORR broad powers to monitor GBR’s safety management, including its implementation of investigation branch recommendations, and to take enforcement action if it finds that GBR is not managing safety effectively. The amendment risks confusing or duplicating well-understood roles and responsibilities in relation to the implementation, monitoring and enforcement of safety best practice. I hope I have reassured the hon.”
“It is important that the ORR, in its role scrutinising GBR’s proposed business plans and monitoring its delivery of them, is able to assess whether commitments made by GBR are ambitious and realistic. As the independent expert adviser to the Secretary of State, the ORR will have a clear route to influence the formulation of GBR’s KPIs. By keeping them within the business plan, the ORR’s involvement is already ensured by legislation. Amendment 97 would require the ORR to monitor whether GBR is implementing safety recommendations and standards set by industry bodies. I sympathise with the sentiments behind the amendment.”
“Me too, Mrs Hobhouse. Thank you for placing such confidence in me; we will see in due course if it is justified. I thank the shadow Minister for speaking to amendment 222, which would require the ORR to monitor KPIs. My response will be brief, to avoid repeating myself, as the amendment is heavily linked to new clause 2, which we have already debated. We expect GBR to have KPIs, as I have said before, but the right place for them is in GBR’s integrated business plan, alongside the detail of the activity that GBR will carry out over the five-year funding period. No sensible business would ever set its KPIs in stone, potentially for generations to come.”
“I beg to move amendment 271, in clause 75, page 43, line 23, at end insert— “(2A) In section 55 (orders for securing compliance), after subsection (7C) insert— ‘(7D) The Office of Rail and Road may not, by a final or provisional order, require the payment of a sum by Great British Railways.’” This amendment would ensure that the ORR may not impose a fine on GBR under an order to secure compliance with conditions etc, to align with the amendment to section 57A of the Railways Act 1993 made by clause 75(3) of the Bill.”
“Amendment 271 is a technical amendment to ensure that when the Bill removes the ORR’s power to fine, it refers to all the correct parts of the law, including section 55 of the Railways Act 1993, to achieve that aim. The ORR will retain the ability to issue fines for breaches of licence conditions by non-GBR licence holders where that is an effective tool because those organisations will not be wholly funded by Government money. GBR can still be subject to a financial penalty if it violates health and safety or competition laws, as we are not changing the safety regime that will apply to the railways, and competition law will still apply in full to GBR. I look forward to hearing from hon. Members about amendment 212.”
“If the ORR identifies a failing that constitutes a breach of that condition, and dialogue or early intervention have not proved effective, it will be able to escalate issues to the GBR board, require GBR to create and publish improvement plans and issue an enforcement order, which is a legal instruction that would require GBR to take action to meet its responsibilities. The second change is to remove the ORR’s power to fine GBR. Imposing financial penalties on a public body would not align with the aims of maximising the benefits of public ownership. It would simply mean recycling public funds between two public bodies, continuing the money-go-round that is pervasive in today’s system. It would also add an administrative burden with only a limited effect on incentivising the right behaviours.”
“The direction power was originally included to ensure that improvements were made when it is was clearly in the interests of the railway generally, but a railway operator might have no commercial incentive to make them. In the new system, GBR will be incentivised to improve its own infrastructure, and the change in legislation recognises that it is for Ministers, as funders, and GBR itself—not the regulator—to set the strategic direction for GBR. GBR should then make decisions and improvements as part of its business planning, and the ORR should be able to monitor against the agreed business plan, supported by a licence condition that ensures that it can enforce long-term asset management in case anything goes wrong.”
“I will first speak to Government amendment 271 and clause 75 as drafted, which is essential to ensure that the accountability arrangements for GBR reflect its status as a publicly owned body, as well as enshrining the strategic role of Ministers. The clause will make two changes to functions of the ORR that would otherwise apply to GBR. The first is to prevent the ORR from issuing specific directions to GBR relating to providing, improving or developing railway facilities, such as stations or depots. However, we expect that the GBR licence will include a condition relating to long-term asset management to ensure that the ORR retains oversight of infrastructure in the new system. As Members are aware, GBR’s licence will be subject to formal consultation.”
“Member asks me to speculate on potentially extreme cases where GBR could defy the ORR, I believe that, in the round, sufficient safeguards remain in place, with the ORR retaining its existing ability to issue mandatory and legally binding enforcement orders to GBR on matters within the licence; it is only the monetary aspect that is targeted here. Amendment 271 agreed to. Question put , That the clause, as amended, stand part of the Bill.”
“The chair and board of GBR will be responsible for ensuring that the CEO has in place robust performance management for senior staff, inherent to which will be not defying the ORR when it has issued legally binding directions. There will be a clear expectation that any significant failures will have a material impact on performance-related pay, and where the failure is sufficient to demand it, an individual should be at risk of dismissal. Put simply, removing the ORR’s power to fine will not cause the executive of GBR to be remiss in their duties. Although the hon.”