Having sketched out the Tories’ planned cuts in opposition, Philip Hammond must now implement some of them in his new ministerial post. Colin Marrs reports
In-keeping with David Cameron’s localism agenda, the DfT is embarking on a process of devolving transport powers – in this case, to new ‘local economic partnerships’ (LEPs) bringing together groups of councils.
The work is being carried out with the communities and business departments, which are keen to allow local authorities to suggest their own partnership areas. But the DfT, eager to ensure that coalitions are big enough to handle strategic transport issues, would prefer to see a smaller number of larger coalitions than is currently planned. Speaking to the transport select committee last month, transport secretary Philip Hammond warned that many LEPs might not be “strategic and comprehensive” in their coverage, and suggested that in this case it might be “appropriate to think in terms of consortia of LEPs being formed for transport purposes around a geography which is appropriate to that function.”
Meanwhile, the DfT will also encourage councils – perhaps through the LEPs – to carry out more joint working with local bus operators. On rail, longer operator franchises will be introduced, and operators given greater flexibilities to reduce unprofitable services. This latter move is an attempt to inject greater certainty – and thus private investment – into rolling stock and stations, and will have to be carefully managed through Network Rail.
A pledge to stop the expansion of Heathrow airport has been announced, hand-in-hand with a commitment to improve high speed rail links, including the upgrade of the West Coast Mainline and London’s Crossrail route. Both rail upgrades will involve discussions with the Environment Agency and the communities and business departments to ensure minimal environmental disruption, and coordination with funding for regional development. And the commitment to pursue Crossrail will mean engaging with London mayor Boris Johnson, who sees the scheme as vital to the capital’s economy.
On roads, the government has declared an end to what it has dubbed Labour’s “war on motorists”, hinting at lower vehicle excise duty and deleting subsidies for speed cameras – a move that has already seen some councils switching theirs off. With fewer speed cameras, the police will be expected to allocate more resources for officers to control road speeds, putting additional pressure on Home Office budgets that are already under severe pressure.
The ministerial team
A millionaire who made his fortune through property development, transport secretary Philip Hammond spent three years as a much-praised shadow chief secretary to the Treasury.
When the coalition was established, the need to give the post to a Lib Dem meant that Hammond was pushed across to the DfT – taking his microscopic and meticulous approach to cost-cutting with him. However, Hammond is seen as a pragmatic cutter rather than an ideological one: during a 2008 speech, he reportedly said that a cut to overall public spending would be a “gesture” that had never previously been achieved over a sustained period. Industry insiders have been impressed with the degree to which Hammond has been listening to them during his first weeks in office, while he gets to grips with an unfamiliar brief. Hammond will now have to achieve a politically difficult balancing act, as he tries to keep voters in London’s commuter belt – his political heartland – happy, whilst overseeing service reductions and fare rises.
Former shadow transport secretary Theresa Villiers has now become a minister of state in the department. A former barrister and Conservative MEP, she has also spent a spell as shadow chief secretary to the Treasury.
The DfT’s Liberal Democrat is Norman Baker, who is a parliamentary under-secretary of state responsible for local transport. The 2001 Spectator Parliamentarian of the Year, Baker’s inquisitorial approach helped him became a thorn in the side of the last government – particularly after Nick Clegg made him the party’s transport spokesman.
Finally, Mike Penning is also a parliamentary under-secretary of state. A former Grenadier Guard and political journalist, Penning was media adviser to the Tory party’s euro-rebels during the 1990s.