Part of the debate – in the Senedd at 2:52 pm on 27 September 2017.
Can I thank Russell George, first of all, for an excellent introduction to this report? I’m pleased to be able to contribute to the debate this afternoon. Plainly, rail is not devolved to Wales at the moment. In particular, rail infrastructure is not devolved, and, obviously, the franchising process, meaning passenger service procurement, similarly remains not devolved.
Now, despite every commitment to the contrary, Labour will hand the next rail franchise to a private sector operator, and, by all the evidence so far, they are even failing to do that effectively. Incompetence from Westminster and the underperformance of Labour here has meant that delays to the devolution of the Welsh rail franchise will already cost taxpayers an extra £3.5 million, and possibly derail—pun intended—the whole franchise procurement process.
A £1 billion black hole remains in the funding of the franchise, and the Welsh Government still does not have the powers to procure the franchise. I look forward to an update. Westminster’s apathy and Labour’s issues here are costing Welsh taxpayers millions and could mean delays for rail passengers.
Now, more on the delays in transfer of rail procurement powers, Plaid Cymru politicians in Westminster and here have consistently highlighted concerns that the transfer of functions relating to procurement has not taken place. We’ve noted several responses before and obviously we’ve had some public responses over the summer, but those issues remain unresolved and the franchise and tender documents still do not appear to be fully functional.
Now, despite various commitments in their manifestos and on the floor of the Assembly, Labour in Cardiff have shortlisted four train operating companies to run the Wales and borders rail franchise, as we all know, from October 2018—four private operating companies. Labour claim to be restricted by the Railways Act 1993, which precludes public sector operators, which is the clarification sought in recommendation 2 of the committee’s report. But it’s fair to note that, during the passage of the Wales Bill, now the Wales Act 2017, Labour in Westminster attempted to amend the 1993 railways Act to allow a public sector rail operator to compete for the Welsh franchise, as is the case in Scotland since the most recent Scotland Act. But despite failing to gain this concession, they supported the Wales Bill LCM here in the Assembly, making any long-term commitment to public ownership somewhat vacuous, considering they supported a Bill that actively precluded them from doing so.
So, challenges remain as regards tendering and the whole franchise procurement process. I look forward to the Cabinet Secretary’s reply this afternoon. As I’ve mentioned, delays have already cost taxpayers an extra £3.5 million: money that ideally should have been used towards improving rail services and the litany of issues identified by passengers that Russell George ran through at the start, moneys that could have been used to improve accessibility and improve facilities, train punctuality, cleanliness, and to bring about fair and affordable ticket prices. But at the end of the day, is control over our own railway system too much to ask? Diolch yn fawr.