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Refurbishing Trains: Contracts
07 December 2023
Lead MP
Huw Merriman
Debate Type
Ministerial Statement
Tags
EconomyTransportBusiness & Trade
Other Contributors: 13
At a Glance
Huw Merriman raised concerns about refurbishing trains: contracts in the House of Commons. A government minister responded. Other MPs also contributed.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Government Statement
The Department closely collaborates with rolling stock owners and train operators to understand the timing for new and refurbished trains, ensuring a steady flow of work for UK manufacturers. The current fleet's average age is 17 years out of a lifetime of 35-40 years, leading to natural peaks in procurement cycles. Since 2012, over 8,000 new vehicles have been procured for the Great British mainline railway. Passenger travel habits have changed post-pandemic, affecting revenue on railways and impacting companies like Alstom, which is currently consulting its unions due to potential job losses. The Government have met regularly with senior management at Alstom and convened a cross-Whitehall group to explore ways to support continued production in Derby. Despite competitive market conditions, substantial demand for new trains remains expected, evidenced by recent orders from LNER and TransPennine Express, with further major contract awards anticipated between late 2024 and early 2025.
Grahame Morris
Lab
Easington
Question
Morris urged the Minister for immediate plans to expedite contract bidding processes, citing the crucial role of Alstom’s Derby factory in the UK rail manufacturing industry and highlighting potential job losses if no immediate actions are taken.
Minister reply
Merriman thanked Morris for raising the issue and assured support for the Derby plant. He mentioned that he would be meeting with Unite the union next week to explore further ways to keep the plant open.
Question
Stewart emphasised the need to address short-term lulls in the rail industry by working closely with rolling stock companies (ROSCOs) and others to bring forward refurbishment contracts.
Minister reply
Merriman confirmed that the Secretary of State wrote to ROSCOs in September, encouraging them to discuss opportunities for easing challenges such as refurbishments or major overhauls.
Rachael Maskell
Lab/Co-op
York Central
Question
Maskell highlighted the urgency of the matter and questioned what actions have been taken since September to bring forward contracts that will enable the plant to remain open.
Minister reply
Merriman mentioned ongoing efforts including the announcement of £3.9 billion for TransPennine route upgrade, which initiates tendering processes for new rolling stock.
Greg Smith
Con
Mid Buckinghamshire
Question
Smith requested that Merriman ensure Chiltern can get trains refurbished and new trains into the pipeline as soon as possible to address overcrowding.
Minister reply
Merriman assured Smith that tendering processes for Chiltern will commence next year, allowing for the delivery of necessary trains.
Question
Mearns emphasised the strategic importance of retaining British manufacturing capacity and requested swift action to grant companies opportunities to bid on new rail upgrade plans.
Minister reply
Merriman assured Mearns that all manufacturers would be allowed to bid fairly in upcoming contract tenders.
Question
Fell asked about Government efforts to improve customer service and train performance, noting the need for new trains to actually run.
Minister reply
Merriman acknowledged the need for better performance from both manufacturers and Network Rail, expressing willingness to meet with Fell to discuss specific points.
Simon Lightwood
Lab Co-op
Wakefield and Rothwell
Question
Asks about Alstom's future due to lack of confirmed workload beyond Q1 2024, delayed HS2 contracts until 2026. Asks for Minister’s commitment to safeguard jobs and provide certainty on HS2 orders.
Minister reply
Clarifies that this is not related to HS2; it involves a tender process for all four train manufacturers. Emphasises the fair tendering process, confirmed by Alstom's chief executive.
Martin Vickers
Con
Brigg and Immingham
Question
Enquires about new TransPennine express trains to address severe overcrowding on Cleethorpes-Manchester-Liverpool service.
Minister reply
Announces an order for new TransPennine express trains with a complete upgrade of the route. The UK Government is spending more money than was spent on the Elizabeth line, aiming to deliver better services.
Wera Hobhouse
Lib Dem
Bath
Question
Asks about the Minister’s commitment to electrification plans, noting only 101 miles of track being electrified this year.
Minister reply
Highlights Network North plan for electrification in Hull, Sheffield-Manchester, and Sheffield-Leeds. Explains difficulties with East West Rail due to bridge sizes but notes significant progress compared to previous years.
Rachel Hopkins
Lab
Luton South and South Bedfordshire
Question
Presses the Minister on retaining high-skilled manufacturing jobs at Alstom during production blips, highlighting the importance of train production for net zero challenges.
Minister reply
Agrees that investment in public transport is vital. Discusses efforts to help manufacturers with international orders and bringing forward contracts to fill order books better.
Toby Perkins
Lab
Chesterfield
Question
Expresses concern about Alstom’s future, blaming the lack of strategic direction on rail projects post-Brexit.
Minister reply
Assures that the Secretary of State and officials are meeting with Alstom. Confirms Minister will meet representatives to assist in keeping the plant open.
Jim Shannon
DUP
Strangford
Question
Asks how Government will ensure refurbishment contracts can be organised to keep people in work.
Minister reply
Confirms orders are being brought forward. Secretary of State has written to companies financing train manufacturing and refurbishment to bring forward that refurbishment. Emphasises the importance of helping manufacturers export orders globally.
Shadow Comment
Grahame Morris
Shadow Comment
The shadow Minister emphasised the urgency for immediate plans to expedite the bidding process for new contracts, citing the critical role of Alstom's Derby factory in maintaining UK rail manufacturing industries. Without urgent action, skilled jobs and supply chain positions could be lost, leading to offshoring of train manufacturing to North America, South America or Southeast Asia. Morris highlighted that the current contract on the Elizabeth line will expire in six weeks, raising concerns over future orders from Alstom’s factory. Urging the Government to decide now on how and where trains should be made, he stressed the importance of retaining jobs and preventing two supply chain companies from going into liquidation due to uncertainty.
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