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Official Report: search what was said in Parliament

The Official Report is a written record of public meetings of the Parliament and committees.  

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Dates of parliamentary sessions
  1. Session 1: 12 May 1999 to 31 March 2003
  2. Session 2: 7 May 2003 to 2 April 2007
  3. Session 3: 9 May 2007 to 22 March 2011
  4. Session 4: 11 May 2011 to 23 March 2016
  5. Session 5: 12 May 2016 to 5 May 2021
  6. Current session: 12 May 2021 to 20 April 2025
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Displaying 1466 contributions

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Net Zero, Energy and Transport Committee

Passenger Railway Services (Public Ownership) Bill

Meeting date: 3 September 2024

Fiona Hyslop

I cannot speak for the UK Government, but I can speak to our experience over the period of our public ownership of rail. Remember that it has been quite a short period. With the establishment of Scottish Rail Holdings Ltd and with our pressing down on spend, we have managed to reduce costs rather than have costs increase. We have seen substantial passenger-number increases—I will look up the figures later but, obviously, they have increased substantially since the pandemic period. Our satisfaction levels are the third or fourth highest in the UK, and that figure has increased, with the latest finding being a satisfaction level of 91 per cent. Under our public ownership, good things are happening in terms of cost and satisfaction levels. Performance levels have gone down, but that is because things were more efficient during the pandemic, as there were fewer passengers and so on.

I think that our experience to date indicates that public ownership has benefits.

Net Zero, Energy and Transport Committee

Passenger Railway Services (Public Ownership) Bill

Meeting date: 3 September 2024

Fiona Hyslop

There is an underutilisation of the potential of what we have in our railways, and there are different ways of trying to resolve that. There is far more that can be done on freight, and I am keen to do that under control period 7. We have strong targets under CP7, and I am glad that the UK does, too. However, when it comes to utilising our rail tracks, there are a lot of moving parts, as it were, not least in terms of what is electrified, what is not electrified and what that means in terms of speed and so on. Obviously, the fact that some operators are cutting cross-border services to Scotland does not help. Of course, as we have seen recently, some of that space has been filled by open access operators, and we have to watch where things are going on a UK basis.

Net Zero, Energy and Transport Committee

Passenger Railway Services (Public Ownership) Bill

Meeting date: 3 September 2024

Fiona Hyslop

That would not be appropriate, particularly as we are about to move into procurement. However, I think that everyone has heard what you have had to say, and I am sure that there will be a lot of sympathy towards that from many people.

Net Zero, Energy and Transport Committee

Passenger Railway Services (Public Ownership) Bill

Meeting date: 3 September 2024

Fiona Hyslop

Yes, that is part of our requirement.

Net Zero, Energy and Transport Committee

Passenger Railway Services (Public Ownership) Bill

Meeting date: 3 September 2024

Fiona Hyslop

Any investment in rail is good for the rail industry. From here, I will go to speak at lunch time to the Railway Industry Association, which represents a number of Scottish companies and international companies that are based in Scotland. Our approach to rail is looked on with envy from other parts of the UK, because we have had a constant pipeline—whether of track or train—in procurement and, obviously, there are supply companies in that firmament. As part of our contribution to the economic wellbeing of Scotland, we very much want that area—and jobs, apprentices, the skills base and everything else within it—to progress. That is all part of how we see the rail industry in Scotland.

The rail industry and rail provision in Scotland are not just about providing passenger transport, core though that is: they are also about the economic, social and environmental impacts. We look at things in the round in that context, and we are working closely with rail unions in that regard.

10:15  

Net Zero, Energy and Transport Committee

Passenger Railway Services (Public Ownership) Bill

Meeting date: 3 September 2024

Fiona Hyslop

In relation to operation for Inverness, Aberdeen, Dundee and Edinburgh, it is important that the lines for those four cities are all supported.

I understand that 25 trains are being replaced—someone has helpfully indicated to me that that is the number.

Net Zero, Energy and Transport Committee

Passenger Railway Services (Public Ownership) Bill

Meeting date: 3 September 2024

Fiona Hyslop

The operation of track and train is still fully determined and fully decided by the UK Government, under the Railways Act 1993, and issues still have to be referred to, approved by or agreed by the UK secretary of state. The real problem that we had with the Conservative Government’s rail reform legislation last year was that even had we wanted to make decisions about franchising or other areas, we would have had to seek permission from the UK secretary of state. This is about making more permanent the powers that we have.

I will continue to have that discussion with the UK secretary of state as the UK Government’s second major piece of legislation on Great Britain rail reform comes through.

Net Zero, Energy and Transport Committee

Passenger Railway Services (Public Ownership) Bill

Meeting date: 3 September 2024

Fiona Hyslop

On that note, I look forward to—

Net Zero, Energy and Transport Committee

Passenger Railway Services (Public Ownership) Bill

Meeting date: 3 September 2024

Fiona Hyslop

That is an important question. I have been asked in the committee before about replacement of high-speed trains. We have taken the decision that ScotRail can go forward with procurement. It is going to run an open competition for replacement of trains, so it is not possible to say what type of trains they will be. That will be set out when it runs that competition. The requirement will be for trains of an intercity type to serve long-distance travellers, with corresponding levels of passenger comfort and amenities.

On timing, the procurement will start, in relation to the issue of contract details for the procurement, in the next few weeks. As a result of the procurement, there will be determination of what type of trains they will be. We certainly want to achieve carbon reductions. The extent of electrification that is required, for example, will be determined by the outcome of the procurement exercise. However, it is important to reassure you that the cost of infrastructure to support the replacement is part of our financial planning, so we have worked closely with the Exchequer and finance officials to ensure that the potential capital requirements are understood.

As I said, the type of train will be determined in the outcome of the procurement exercise. Any modern train will be cleaner and greener than its predecessor, so I say to members who have asked questions in the chamber about the comfort and experience of passengers that those things will also be improved.

I give the commitment, as I have done in my correspondence with the committee, that we will keep you updated on progress, which will give you some indication of the timeline. However, we are at the start of the process; I thought it important to come to the committee and let you know that the process has now started. We will keep you updated, which will give you the answers that you probably want as to when, where and so on, but we need to let the procurement exercise start.

Net Zero, Energy and Transport Committee

Passenger Railway Services (Public Ownership) Bill

Meeting date: 3 September 2024

Fiona Hyslop

We either deal with where we are now or we determine that we want to try to cause a fight about the principle of decision making on the issue. It is the case that rail legislation remains reserved. That is why I am referring to the main piece of UK legislation that is coming and our opportunity to have full devolution through it. While UK rail legislation remains reserved, I have the opportunity to ensure that what is a temporary system of public ownership becomes a permanent system of public ownership. I am going to take it; I think that it is important that we take that opportunity.

I could have just said, “Well, that’s it. It’s the summer recess—they can get on with it at some point in the future and we’ll try to get some changes down the line,” but you know that when you have an opportunity for UK legislation—or, indeed, Scottish legislation—to deliver the policy output that you want, you take the opportunity. That is why, while UK rail legislation remains reserved, I want to make sure that the Scottish interest is protected, and the Scottish interest is protected by our recommending that Parliament approve, with legislative consent, the opportunity to make sure that the temporary public ownership of rail becomes permanent.