Laurence Turner
MP for Birmingham Northfield · Labour · United Kingdom
“We repeatedly heard that shortages in those key skills are holding back the UK’s ability to deliver major products, as well as raising costs for taxpayers. This statutory instrument is necessary to continue the provision of essential skills training.”
“Members will recall when a former member of the Revolutionary Communist party—an organisation that acted as an apologist for the IRA’s mainland bombing campaign—was appointed to the other place a few years ago and has never disavowed those views.”
“It is difficult to imagine a role in the modern economy for the Wool, Jute and Flax Industry Training Board, but it is worth reflecting that, in the past, training boards oversaw some important skills transitions—particularly the Gas Industry Training Board’s role in the highly successful conversion from town gas to natural gas.”
“We cannot create the prospect of British citizens being tried in absentia by states they may never have stepped foot in and then effectively being barred from running for council or parliamentary positions.”
“It is worth pointing out that while it is right that we debate the petition’s important proposals, the people of Sparkhill rejected Mr Butt’s candidature. He lost decisively and two Labour councillors were returned. In that case, we needed good organisation and trust in the people of this country. I hope that my hon.”
“There is also a valid question to be asked about the effective five-year prohibition against standing for election that applies in practice for domestic convictions of terrorism but not for overseas convictions.”
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“I will not test the wisdom of speculating about future legal circumstances, but is it not the case that when Railtrack was in a state of advanced collapse, that particular case did end up in court?”
“Will the hon. Gentleman acknowledge that progress has been made on the cultural issues and the micro-management that he describes? I note in passing that he dates that culture from 2012 onwards, which was, of course, entirely under the Government of which he was part. In the Transport Committee, we heard that until the election, Network Rail had to seek Treasury permission to do as much as put up a passenger footbridge. Is it not welcome that that has now come to an end?”
“I appreciate what the hon. Gentleman is saying, but we have to consider the new clauses before us as drafted. Does he accept that almost no railways in the world run without subsidy on a net basis and that, where they do, there are unique geographical circumstances? The railways in Great Britain have operated with subsidies under all models since the early 1950s, and the effect of the hon. Gentleman’s new clauses, if they were to be implemented as written, would be Beeching on steroids.”
“The 1992 White Paper that preceded the Railways Act 1993 said that, at the time, British Rail had the second highest workforce productivity of any railway in Europe. What does the hon. Member think went wrong in all the years under privatisation that followed?”
“I again draw the Committee’s attention to the fact that I am a member of Unite the union. Does the Minister agree that changes to terms and conditions, if they happen at all, often take place on a very long-term transitionary basis? Indeed, that is my understanding of what happened the last time that the railways came under public ownership, when many people remained under pre-1948 terms and conditions for several decades. I would not wish to make assumptions or pre-judge future discussions, but can he confirm that nothing in the Bill would prevent similar transition arrangements in future?”
“On amendments 125 and 127, I have full sympathy with the ambition of reducing costs to the taxpayer wherever possible. However, the word “minimise” is important here, because a natural reading would be to bring that cost to a minimum. Each Government have recognised that there is a balance to be struck between the charges raised against the taxpayer, fare payers and other users of the railway. We heard evidence from Richard Bowker, the former chief executive of the Strategic Rail Authority, who has contributed what is sometimes known as Bowker’s law—there are only two sources of income to a railways: passengers and taxpayers. I fear that if these amendments were incorporated into the Bill, the natural outcome would be that fares would rise, as indeed may charges levied upon freight users of the railway.”
“(6) For the purposes of this section a body corporate is wholly owned by the Crown if each share in the body corporate is held by— (a) a Minister of the Crown, (b) a company which is wholly owned by the Crown, or (c) a nominee of a person falling within paragraph (a) or (b). (7) Great British Railways is exempt from the requirements of the Companies Act 2006 relating to the use of ‘limited’ as part of its name. (8) In this section— ‘company’ means a company registered under the Companies Act 2006; ‘Minister of the Crown’ has the same meaning as in the Ministers of the Crown Act 1975 (see section 8(1) of that Act).””
“I beg to move amendment 257, in clause 1, page 1, line 8, at end insert— “(2) A body corporate may be designated under this section only if— (a) it is limited by shares, and (b) it is wholly owned by the Crown. (3) Regulations under subsection (1)— (a) must specify the time from which the designation has effect, and (b) must be published by the Secretary of State as soon as reasonably practicable. (4) The designation of a body corporate terminates— (a) if the body corporate ceases to be wholly owned by the Crown, or (b) if the Secretary of State revokes the designation. (5) Any notice of revocation under subsection (4)(b)— (a) must specify the time from which the revocation has effect, and (b) must be published by the Secretary of State as soon as reasonably practicable after the notice is given.”
“If—I emphasise that word—a drafting issue has been identified, we also need to identify the right solution for this specific legislation. I am grateful to the Minister in the Commons and to the Minister of State, the noble Lord Hendy, for their thoughtful conversations on this matter. I am also grateful to the officials who have worked hard to prepare this commendable Bill. My motivation in tabling the amendment is to establish beyond doubt that the Bill will achieve its aim: that Great British Railways will be run by and for the nation. If we can assure ourselves of that, I believe that this legislation will set out a permanent way for reform. I will listen carefully when the Minister responds.”
“The amendment is a near carbon copy—I am sorry to all members of the Committee, but we are only at the start of our descent; I cannot promise that the puns will improve as we go on—of the subsections that follow in section 1 of that Act. I note that in the equivalent Committee debate for that Act, the sponsoring Minister, the hon. Member for Rutherglen (Michael Shanks), said: “The clause protects the principle of public ownership by making explicit that the company would terminate if it ceased to be wholly owned by the Crown.” –– [ Official Report, Great British Energy Public Bill Committee, 10 October 2024; c. 91.] I accept that we are seeking to build on a complex body of legislation; the railways are the accumulation of two centuries of history, and so are the laws that govern them.”
“That is what the amendment seeks to achieve. The amendment would require Great British Railways to be a wholly and nationally owned public sector entity. Indeed, it would cease to be GBR if it were sold in whole or in part. The amendment would also, I think, prevent a future Secretary of State from taking the extremely perverse step of removing GBR’s designation as a public sector body and transferring it to a private or semi-private entity. If the wording of the amendment seems familiar to hon. Members, it will be because they have been paying close attention to other legislation. Clause 1 of the Bill is effectively identical to section 1(1) of the Great British Energy Act 2025.”
“On my reading, there is a risk that the requirements of public ownership that sit outside this Bill may be time-bound, designed for the specific circumstances of transition, and dependent on definitions in statutory instruments that are themselves at risk of amendment or repeal without full parliamentary scrutiny. I freely acknowledge that some members of the Committee may take a different view of the merits of the ownership question, and I am sure that we will have good and respectful debate on the Bill’s provisions in the weeks ahead, but surely we can all agree on one point: such an important decision as public or private ownership should be taken only through primary legislation. To put it another way, were a future Government to seek to return to a privatised model, they should be obliged to seek majority consent in the full House.”
“Public ownership is the ballast of the Bill, but its clauses make only limited reference to ownership, although the drafting logic for that may be good—the Bill must, after all, be read alongside the previous enabling legislation passed by Parliament, the Passenger Railway Services (Public Ownership) Act 2024 and the now much amended Railways Act 1993. In 2024, Parliament’s decision and intent were clear: passenger services are to come under public ownership as franchises expire. I must admit, however, that I start our proceedings under the shadow of a doubt.”
“It is a pleasure to serve under your chairship, Mrs Hobhouse. At the outset, I wish to declare that I am a member of Unite. It is a privilege to speak at the start of these proceedings. I do so as a believer in public ownership of the railways not as an end, but as the best means of realising greater economies for taxpayers and improvements for all those who rely on the railways for livelihood and leisure. I am conscious that the Committee has much work ahead of it, so I will keep my explanation of the amendment brief.”
“It found that passenger growth was overwhelmingly driven by changes in the job market—the types of roles being created and the areas of the country in which they were being created. It was also aided by changes to tax incentives for company cars in the early 2000s, which led to an additional increase in rail traffic.”
“In fact, the actual nadir in passenger numbers was not in the early 1990s but in 1983. I thought that Opposition Members might have wanted to take pride in the successful sectorisation experiment under the Thatcher Government, perhaps aided by some benign neglect from that Administration, which was sadly not repeated by the subsequent Major Administration. We have some good explanations for why exactly passenger numbers rose so dramatically in the 1990s and 2000s. For a long time, I think we could have all substituted our political explanations for why that happened. However, in 2018, a very good study, led by eminent modellers and academics, was published by the Independent Transport Commission on precisely that question.”
“I must start by slightly disagreeing with the Minister on his approach to railway puns. The shadow Minister referred to the discussion on amendment 257 as a dispute; I reassure him that this is not a case of pistons at dawn— [ Laughter. ] It is going to get so much worse. Before I come to the Minister’s substantive response, I will briefly respond to a few other comments that have been made in the debate. The shadow Minister spoke about changes in passenger numbers over the years, which is a good illustration of why it is important to look across a whole time series, and to bear in mind the old maxim that correlation is not causation. After all, passenger numbers were already falling by the time that we got to vesting day in 1948. The railways were exhausted after years of war—indeed, passenger numbers halved between 1920 and 1947.”
“I absolutely agree, and we could point to other examples where franchises being taken in-house under previous Governments led to a service improvement. The Opposition’s problem has always been that public ownership works in practice but not in their theory. I am heartened by what the Minister had to say on my amendment. This is not an issue of dispute; this is sensible scrutiny. I welcome the commitment the Minister made to take the issue away. I recognise that this Committee is probably not the place to resolve this detailed and technical consideration. I am encouraged by his comments and on the basis that we may return to this matter at a later stage, I beg to ask leave to withdraw the amendment. Amendment, by leave, withdrawn. Clause 1 ordered to stand part of the Bill. Clause 2 Crown status etc”
“The hon. Gentleman said a few moments ago that Trainline and other online retailers are not seeking to make ill use of their market position, but the Advertising Standards Authority has ordered Trainline to amend its adverts, and the ORR ordered it to amend its practice of not showing booking fees at the start of the booking process. In oral evidence to the Transport Committee, Trainline accepted that its market share was significantly above the 25% test that the Competition and Markets Authority applies for a potential monopoly position. Does that concern the hon. Gentleman at all?”
“I think we just heard an Opposition Member ask, “What were they doing?” in respect of the 1997 to 2010 Government. The answer, of course, is that capital investment had to be directed to safety in the aftermath of Hatfield and other disasters. When we look at where exactly that money was spent, it was on the safety improvements necessitated by some of the disasters caused by privatisation. I am a strong supporter of electrification, as I know the hon. Member for Didcot and Wantage is, but I thought it was important to place that on record.”
“The real reason why we do not run as many trains as is theoretically possible is that lack of capacity on the network. Birmingham New Street, for example, will be exhausted once the Camp Hill services start in the spring—any more services simply cannot be safely got in or out on the network. When path allocators have to make decisions on which services to prioritise, freight tends to be squeezed out. That is a long-standing problem.”
“As in this morning’s sitting, I draw attention to the fact that I am a member of Unite. I did not intend to speak in this particular debate, but I wish to respond briefly to some of the things that have been said and to mount a perhaps limited defence of Network Rail and the importance of engineering in such organisations. The comparator, of course, was Railtrack, which outsourced its engineering functions, had only a single engineer on its board of directors and had only one non-executive director from an engineering background, with deadly consequences, which are well understood and do not need repeating. If there is sometimes caution in the organisation, I suggest that the long shadow cast by the events of the late 1990s and early 2000s is why. There is good and sound logic behind not running too many trains across congested track.”
“That is where the passenger versus freight dilemma comes in, because sometimes hard choices just have to be made. I take the hon. Gentleman’s point that this is not always either/or, but sometimes it is. Sometimes one has to be prioritised over the other, and freight has historically been the loser.”
“I thank the shadow Minister for the constructive spirit of his intervention. Indeed, in the days of cross-party consensus on High Speed 2, I worked with members of his party exactly to address some of the capacity challenges on the network. I just say to him that the two are linked. As he was alluding to, the length of the trains is related to the signalling blocks and the safe distance between trains, so that they can be run together. If he is right, we should be looking to put on more carriages. When waiting for a CrossCountry train, I can certainly remember the collective groan on the platform when another short formation appeared. There is a hard limit, however, to what can be applied without providing more caps on the network.”
“The hon. Gentleman and I are members of the same Select Committee and we tend to agree on most things, and I think that I agree with him again. In the here and now, however, and in the circumstances in which the Bill will start to apply, I share the fear that if the freight growth target is accompanied by an equivalent passenger growth target, in effect the freight growth target is neutralised; it is no longer the essential correction to the tendencies that have sometimes seen freight services being squeezed off the network. I say to the shadow Minister that the previous Government put in place a freight growth target and not a passenger one at the same time, presumably for exactly the same reason: at times when the two are in tension, freight can suffer the detriment. I thought it was important to put that concern on the record.”
“Okay, perhaps we will come back to that. However, the hon. Member also mentioned the restoring the your railway fund, which he talked about as a success. When the last Conservative Rail Minister, Huw Merriman, appeared before the Transport Committee he said, of that programme, that “The challenge was that a lot of people had their expectations dashed. A lot of business cases were, “Let’s move it to this stage so we can keep the dream alive.” That just wastes money and expertise because you know that scheme is not going to get a return. I have mixed feelings on it as a result.” Does the hon. Gentleman share some sympathy with that perspective?”
“I am sorry to have missed the start of the right hon. Lady’s speech. I am listening carefully to what she says. I am curious to know whether she raised concerns about the cancellation of services in Birmingham in the days when the authority was suffering the sharpest cuts in funding of any metropolitan council, amounting to 40p in the pound for every Brummie.”
“I am most grateful to the right hon. Lady for giving way; she is indeed being generous with her time. I listened to her comments about the former Mayor of the West Midlands with half a smile on my face; in my constituency I find that I have to chase up on endless promises made to my constituents about things that would be delivered—promises that were as real as fairy dust. However, that is a topic for another day. Does the right hon. Lady accept, and I say this as a former trade union official, that there are only ever two parties to a dispute? In this case, they are the union and the council. Those are the two parties who need to sort out this dispute. To suggest otherwise gives an impression to our constituents that is not accurate.”
“Q2. NHS waiting lists in Birmingham are down by almost a quarter under Labour, and they are still falling. That is more than 28,000 people no longer stuck waiting for essential treatments. Yes, there are challenges still, but they are being addressed and progress is being made. Does the Prime Minister agree that this progress must be sustained, including by reducing ambulance waiting times?”
“I think—perhaps you would say I am biased— that people think about the passenger railway all the time, so I do not see that that incentive effect is as necessary—but in terms of other factors, I leave that to others. John Thomas: May I add to that? I think a passenger growth target is really important. At the moment, the duties for GBR only include improving performance. You can improve performance, as we saw during covid, by cutting the number of services, but that is not necessarily in the best interest of customers. We think a balance between a performance target and a passenger growth target is really important.”
“We see two things as important in having a freight growth target: first, it is a statement of Government commitment to growth, which is hugely powerful; secondly, and importantly, the people who are going to be running GBR are going to spring out of bed every morning and say, “It’s my job to make my trains run on time,” and the freight growth target makes them say, over their Weetabix, “Yes, and I must make freight run on time as well.” It is the incentive effect of having a growth target. We have seen that effect really powerfully with the freight growth target that the Scottish Government and Whitehall have set, in that it changes the dynamic and the culture.”
“Q As I did in this morning’s session, I draw attention to the fact that I am a member of Unite. I have a few short questions, primarily to Ms Simpson to start with. We heard from some of our witnesses in this morning’s panels that they would like to see a passenger growth target in the Bill on an equivalent basis to the freight growth target. I am interested in your reaction to that proposal. Maggie Simpson: It is not my business to talk about the passenger railway.”
“We simply do not have the detail on that yet to know whether we will be able to get meaningful, long-term capacity commitments. That is an open point.”
“Q Returning to freight, I understand there is a problem at the moment with the ORR refusing longer-term applications, which presumably has a dampening effect on investment—at least, I would assume so. Do you think there is least the potential under GBR to take a longer-term view, and hopefully to reflect that in longer-term access agreements? Maggie Simpson: There are two parts to that question. Certainly, the provisions in the Bill allow for a core contract to be longer, because it removes the cap in law today. For that contract to be meaningful, though, it needs to have some committed capacity in it, because there is no point having a contract to run if you have no paths. That comes back to the access and use policy, the capacity commitments and how they will work out through those capacity plans.”
“We are looking at novel markets for rail freight—moving new fuels, for example, and supporting green energy. Often, it is quite difficult to get new flows up and running in new markets, so incentivising growth through the uptick of those sectors would be another area.”
“Q I turn to clause 64 on the charging scheme. Subsection (4) allows GBR to levy lower charges for the purpose of introducing new services, including for the carriage of goods. How would your members like to see that power applied? Maggie Simpson: We very much welcome that clause; it is a broadening of the provision in the current law, which is quite tightly worded. There are some areas where we think it could be particularly powerful, such as incentivising a greater uptick in use of electric traction, where those units exist, and making sure that people are using them wherever they can. We have just seen the first fleet of digitally enabled wagons arrive in service. That is something that can help to reduce track damage, but it is expensive, so helping the introduction of more digital technology would be another area.”
“Q I will make it very quick. Mr Montgomery, I saw a document that rail partners published a few years ago called “Working together for a better railway”, which suggested that the ideal mix of passenger contracts would be concessions for commuter services and franchising—I do not think it used the word “franchising”, but maybe something similar—for longer-term services. Is that your personal point of view? Steve Montgomery: Yes. We believe that the Bill does not give enough power to the Secretary of State to put out contracts and devolved parties—whether that is Greater Manchester, Liverpool, and so on—to give them out. The concession model is something that we have continued to support.”
“For example, a 28-day view of the availability of cheap fares for any given journey is not that straightforward if you are only able to access information that has previously been filtered—let us say by a future GBR—which has decided that all you are going to have available are five single and return journeys for the date on which you have made the inquiry.”
“John Davies: What we are advocating for is that whatever flows of data or information are necessary for, say, a GBR online retail function to do the work of helping customers engage with the rail industry—to book tickets, to travel and to do all those things—all those sources of information should be made available equally, at the same level and without discrimination, to whoever has a legitimate cause to use them. One of the things that becomes problematic is this. Thinking about something like the centralised seat reservation system, which is a piece of industry architecture, we are currently able to draw on it at a very granular level. We take a very base level of data and are able to use it in different ways, as are other retailers, to design good customer experiences.”
“Q In Trainline’s written evidence—possibly to the Transport Committee rather than this one, or possibly to both—there is a reference to a view that there might be some particularly sensitive data within GBR that Trainline believes should be firewalled off from any ticketing function. I think the suggestion is that there may be some operational information to which GBR’s ticketing function should not be given privileged access. I was wondering whether you could expand on that point and explain what types of information we are talking about.”
“Q So the concern is about potentially losing access to some data flows that currently exist. John Davies: Potentially. There are already moves within the industry to restrict those data flows. Again, if it goes to the point that this is not entirely a theoretical risk, then yes, we would—”
“Q Does that data flow come through Rail Settlement Plan at the moment? John Davies: It does not. It comes from the Rail Delivery Group, through its provision of RAAS, which is the rail availability and reservation service.”
“Q Finally, I will continue a line of questioning from the Transport Committee. As you know, we had an exchange about executive remuneration; in the subsequent written evidence that Trainline provided, it referred the Committee to the annual reports of published information. It also said that that salary or package was set in comparison with similar, comparable companies. Are you able to provide that information and name which companies you are talking about? John Davies: No I am not, because the benchmarking is done by Trainline’s board, consistent with the processes that it has published.”
“It is right that the corporate structure is not laid out in the Bill—no piece of rail legislation in 113 years has done that—but what has come out quite consistently in the testimony of the mayors, and in the broader points made around devolution, is that, whether it be on the MCA basis or on the local authority basis more generally, people want GBR’s structure to be flat, and responsive to dynamic changes both in demographics around housing and your ability to get to Everton stadium when the rugby league is on, which is of personal interest to me. I think the point is very well made, and it is certainly taken by me as the Minister, that democratic accountability means that the operational reality of GBR should be diffuse wherever possible. People do not want to see a replication of a centralised model of the past.”
“Keir Mather: I suppose that, in the 2005 Act, section 13 was not only really narrow in scope, in that it covered only franchised services, but represented a significant watering down of relationships between the rail industry and passenger transport executives. The difference with clause 5 of the Bill is that it is significantly wider in scope, to ensure that partnerships under GBR cover the full rail offer, rather than focusing only on services. There is an important point around corporate structure.”
“Q I must say, I think I must have been listening to a different set of evidence today than the shadow Minister, but there we are. I want to raise devolution, and specifically clause 5. There is a lot of history to the clause, and a line of continuity with the old section 20 of Barbara Castle’s Transport Act 1968. A lot of great things were accomplished under that legislation, including the creation of a cross-city line in Birmingham, but then privatisation came along. There was an attempt to do something similar under section 13 of the Railways Act 2005, which frankly did not work; there was never a single agreement signed. What lessons have been learned about what went right in the past and what went wrong with the 2005 legislation, when it comes to clause 5 of the Bill?”
“Keir Mather: I think we have been really clear, and the provisions in the Bill support this, that GBR needs to be organised locally so that it can work really collaboratively with local leaders, and it is through the business units that it has to devolve that responsibility to as close to decision-makers as possible. MCAs are the right level, in terms of being a catalyst for economic and housing growth, but you are right that the challenges around rail infrastructure and service provision, even though the solution to a lot of them may be set by MCAs, are inherently cross-border. I would expect GBR to be able to fulfil a role in facilitating the ironing out of those differences, for the good of everyone, on a cross-border basis.”
“Q Picking up on a point that was made by witnesses on our devolution panel, the geography of, say, West Midlands Rail Executive does not overlap entirely with the geography of the combined authority. Similarly, there might be a case for reaching a clause 5 agreement with more than one mayoral authority at the same time. Does the clause as drafted allow the flexibility to reach an agreement directly with, say, West Midlands Rail Executive, or a combined agreement with the East Midlands combined county authority covering the cross-country service?”
“Interestingly, we have had different responses from the different companies that we regulate, including, “We do not see any massive excess of administrative burden.” In the case of Network Rail, we have already identified some areas, such as the amount of data we require and the way that data is transferred around us—areas where things can be made faster and less resource intensive. So yes, we are getting on with it and reporting back. Indeed, I was at the regulators council with the Secretary of State for Business and Trade and the Chancellor reporting back about a week and a half ago.”
“John Larkinson: That work comes from the Government’s overall review of regulators and the remit that they have given to all regulators to look very carefully at administrative burdens imposed on regulated companies. We are the regulator that that applies to. The target is to reduce the administrative burden by 25% by the end of this Parliament. We are working on that process as set out by the Government and have already put a whole section in our business plan about the work that we are going to do. On that basis, we have had conversations with the companies that we regulate, such as Network Rail, about areas where we might be imposing unnecessary administrative burden, which is something that is always good to come back and look at.”