UK Parliament / Open data

Railway (Licensing of Railway Undertakings) (Amendment) Regulations 2021

My Lords, I thank all noble Lords for their contributions to this short debate. There were lots of warm wishes for continental train travel; I add mine to them. We all enjoy going on the train, whether it be in a vehicle or on Eurostar. We obviously closely monitor the impact of Covid on Eurostar—I know that my noble friend Lord Kirkhope was interested in this—and all transport services. All being well, I hope to see their passengers and other customers return soon.

Turning to the regulations under consideration today, I start by providing a bit more colour about the status of the discussions with France; I think all noble Lords were interested to hear how we were getting on. My officials have been in active and regular discussion with their French counterparts since the beginning of the year to secure this bilateral agreement on the recognition of the rail operator licences for the Channel Tunnel and the tiny cross-border area either side of it. I assure the Committee that the talks have been highly constructive. Agreement has been reached in principle at the technical level and it is now subject to final legal checks. It is expected that the agreement will be signed before the end of September, then provisionally applied by both sides for a limited period to support the continuation of services in the immediate term once the current EU contingency measure expires.

The agreement will still need to be ratified through the UK Parliament; this will of course be done as soon as possible thereafter. It will be done via the Constitutional Reform and Governance Act 2010 process, rightly giving Parliament the opportunity to scrutinise the text in full before it is ratified. I am not sure whether this will reassure the noble Lord, Lord Rosser, but it will certainly inform him: we have been clear with our

French counterparts that the regulations will not receive ministerial signature and become law unless and until the related bilateral agreement is signed by France or, failing that, a EU contingency measure is extended pending the final conclusion of the agreement. Something will thus have happened by 30 September to maintain the smooth running of services. It does not strike me that it would be in anyone’s interest for that not to occur.

In the extraordinarily unlikely event that France does not ratify the signed agreement, for whatever reason, we could also revoke these regulations in future. There is no risk that the UK will continue to recognise EU licences indefinitely without that being fully reciprocated by France. We do not think that we will end up in that situation. We absolutely believe that the agreement will be signed and that we will be able to put in place in the immediate term while it is being ratified by the UK Parliament.

On the disapplication of SNRPs, the disapplication of the requirement to hold a SNRP in the UK half of the channel and the immediate cross-border area will ensure equivalence with the licensing requirements applicable to UK operators on the French side, so it will be the same. Given the extremely limited scope of the regulations, disapplication of the SNRP requirement is expected to have almost no impact in practice. It is therefore considered acceptable in the interests of reciprocity. In practice, there are no current operators to which this disapplication will apply; I know this was of interest to the noble Lord, Lord Rosser. All the cross-border operators—the two freight operators, GB Railfreight and DB Cargo UK, and the passenger operator, Eurostar—do so on the basis of a GB licence. They are scooped up in the SNRP requirement anyway by having a GB licence.

The noble Lord, Lord Rosser, also asked whether there are any credible prospective operators. I am not aware that there are any at this moment in time but, should one wish to come forward, we would obviously welcome its involvement in the market. Any future operator of rail services, if it was an EEA operator that went beyond either Dollands Moor or Ashford International, would in any event have to have an ORR-issued railway undertaking licence, so they too would then be subject to the SNRP requirement. We believe that the situation we have works very well. It is time to be pragmatic and, in practice, it makes no difference.

On stakeholder views and the impact on operators, the amendments in these regulations will in reality have a very limited impact on cross-border operators. Indeed, the measures being introduced will have a significant positive impact in that they will be able to continue the smooth running of cross-border operations. We did a survey on the draft regulations and sent it to Channel Tunnel stakeholders. DB Cargo, Eurostar International Ltd, Eurotunnel, the Rail Delivery Group, the Rail Freight Group and High Speed 1 Ltd responded; all were highly supportive of the regulations and recognised the importance of securing this continued smooth running. A couple of concerns were raised but they were outside the scope of the regulations or related to the geographic scope of recognition in the UK. Obviously, we have chosen to mirror that closely to what they do on the French side, where you go up to the first station for either passengers or freight; that is the cross-border

area, so to speak. We continue our discussions with these stakeholders and keep them informed as to how the bilateral negotiations with France are going.

To give noble Lords a quick heads-up, it is also worth mentioning that this is just one element of what we are discussing with the French at the moment. We are also discussing train driver licences, safety certificates and the overarching safety rules applicable to the Channel Tunnel. Again, these discussions are going well. We will bring more regulations to your Lordships’ House in the autumn and we will have the opportunity to scrutinise them in full. In any event, there are robust and effective contingency agreements and arrangements in place for those matters at the moment.

My noble friend Lord Kirkhope asked a question about services from Europe to the north. I will write a letter to him, if I may, because then I can explain more generally our plans for rail in the north and how they might link into European services.

The noble Baroness, Lady Randerson, asked about pre-Brexit and post-Brexit freight volumes. I do not have that information to hand, unfortunately; again, I will happily write to her.

If I have missed anything else, I will ask officials to look through Hansard very carefully and make sure that they pick up everything I have forgotten.

About this proceeding contribution

Reference

813 cc446-8GC 

Session

2021-22

Chamber / Committee

House of Lords Grand Committee
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