The road fix

Why do we keep building more roads? Because when it comes to planning, the deck is cynically stacked

Britain's environmentalists have won every argument against expanding the roads network - but still the government keeps pouring billions of pounds into new highways.

Studies show that new roads do not solve congestion - they just generate more traffic. They add to pollution and, of course, they raise Britain's greenhouse gas emissions. Road transport already generates 142m tonnes of CO2 a year - about 25 per cent of Britain's total. As the European emissions trading scheme puts an ever-higher price on carbon, those emissions could cost the taxpayer increasingly dearly.

The Treasury and Department for Transport know this, so why do their economists give their blessing to Labour's £13bn roads programme?

The answer lies far away from public scrutiny in the arcane and biased rules under which proposed roads are assessed. These New Approach to Appraisal (Nata) rules were introduced by La bour in 1998 under the integrated transport policy designed by John Prescott, then overseeing environment and transport. Most of Prescott's plans were chucked out by Blair and Brown as being far too green, but the Department for Transport (DfT) loved Nata and now the reasons are becoming clear.

Under Nata, road builders such as the Highways Agency and local authorities must submit detailed assessments of proposed transport projects to the government. These are meant to be balance sheets showing the costs, benefits and environmental impacts. In theory this is a good thing, but in reality the rules are designed to make road schemes look better than any greener alternative, every time.

Take section 3.5.1[1] of the Nata rules. This awards extra points to schemes that generate more traffic because more cars and lorries on the road mean more fuel sales - and hence more tax revenue for the government. By contrast, public transport schemes, which take motor vehicles off the road and so reduce fuel sales and tax revenue, have points deducted.

Then there's the rule on journey times, where planners can claim that a road will bring economic benefits if they can show it will cut the average journey time of each user. Every minute saved for a car driver is valued at 44p - which can be offset against the cost of building the road.

Forty-four pence may not sound much, but multiply it by the number of minutes saved per trip, then again by the millions of drivers using the road each year - and then yet again by 60 years, the notional lifetime of most road schemes. The result, invariably, is a huge positive value for every proposed road.

How does this work in practice? Look, for example, at the scheme to widen a 56km stretch of the M1 between junctions 30 and 42. The cost to the taxpayer is £1.5bn, which sounds like a lot, but the Highways Agency has used the Nata system to claim that, over the next 60 years, the widening is worth no less than £4.5bn because of the time it will save travellers. Since this supposed "benefit" to the economy far exceeds the cost, the scheme has been approved.

Just how biased this system can be is set out in the Nata rules that assign lower values to other types of traveller. A minute saved on a cyclist's travel time, for example, isn't worth 44p but just 28p. A bus-user's time is valued at 33p a minute. The implicit assumption is that cyclists and bus-users make less contribution to the economy than car drivers.

Roads can be made to look even better. Manipulating the accident figures is a typical device. If a proposed road can be predicted to reduce accidents, then each life saved and injury prevented can be given a notional value. The Highways Agency predicts that another £2.5bn M1 widening scheme (junctions 21-30) would prevent 2,081 accidents over 60 years, of which four would be fatal. This, it claims, adds £105m to the value of the scheme. (It would also, it calculates, generate another £41.3m in taxes from the extra fuel sold.) Critics point out that such calculations, based on accidents that have not yet happened on a road that is not even built, are dubious in the extreme.

Nata assessments have also always avoided costing the most damaging aspects of new roads, such as the impact on landscapes, noise and pollution and, of course, carbon emissions. This means that, even though a road might be an environmental disaster, there are no estimated cash costs to be set against the claimed economic benefits. Instead the planners give a qualitative assessment, using terms such as "moderate", "severe" or, worst of all, "very large adverse".

These qualitative judgements have in the past been enough to frustrate the road builders. Alistair Darling rejected "improvements" to the A303 that would have carved a new road through the Blackdown Hills, an area of outstanding natural beauty on the Devon-Somerset borders, after seeing in the Nata assessment that it would have a "seriously adverse" impact. He apparently did not want to be the minister who overruled such a negative assessment.

It should be no surprise that ever since that decision was taken, Treasury and DfT officials have been working to get rid of such "emotional" analyses by designing a system to assign monetary values to landscapes, tranquillity and biodiversity. The ostensible aim is to make the system more "objective" and number-based - but the crucial issue is what values are assigned to qualities that are inherently priceless. How much might the last dormouse in Wiltshire be worth? Soon Labour's minions may be able to tell you.

Appearance of objectivity

A hint of what lies in store came in the Eddington report, published last December. Sir Rod Ed dington, former chief executive of British Airways, was commissioned by the Treasury and DfT to examine the long-term links between transport and the UK's economic productivity and he found that building lots more roads would bring huge benefits to the economy for a relatively low environmental cost. "Even after accounting for environmental effects, there appears to be a good case for adding strategic road infrastructure over and above the schemes in the current roads programme," said his report, suggesting that Britain's trunk roads and motorways needed 3,350km of new lanes by 2025, at a cost of up to £33bn.

But how did Eddington account for environmental costs? His report does not explain, but a footnote directs the reader to an obscure research annexe, "Transport Demand to 2025 and the Economic Case for Road Pricing and Investment", written by Treasury officials. This document doesn't explain how Eddington priced the environment either, but it refers the reader to yet another set of reports commissioned by the Office of the Deputy Prime Minister in 2002, for a purpose entirely different from road-building.

Based on these outdated reports, the Eddington study assigned a one-off value to the damage done by roads to the landscape of between £900,000 and £1.25m for each kilometre of new lane that is built - a remarkably small sum compared to both the claimed economic benefits and the £40m cost of building the average kilometre of trunk road.

(If this approach seems to lack rigour then the Treasury report's forecasts for fuel costs are even less rooted in reality. "Fuel costs are forecast to fall by 26 per cent up to 2025," they said. "This comprises a 3 per cent increase in fuel prices and a 28 per cent increase in fuel efficiency. An oil price of $35 a barrel is assumed in 2025." Oil prices, of course, had already hit $50 a barrel when this report was published last year. They have stayed that way ever since and analysts predict the long-term trend is upwards, meaning roads will become ever less economical.)

What Eddington and the Treasury have done is to give the road builders a way of putting an apparent monetary value on landscape and tranquillity, so creating the appearance of objectivity when assessing the costs and benefits of any new road. In reality, however, the values assigned to landscape and tranquillity are so low that they will always be far outweighed by the apparent economic benefits.

"The upshot of all these assessment systems is that, however bad a road might look to the people living near its route, and however damaging it is likely to be to the environment, the economic 'benefits' will, on paper, always look much greater," says Rebecca Lush of Transport 2000, who has analysed the reports.

The great factor that is missing from these calculations is the cost of carbon emissions. In their appraisals, the road builders have to say how much extra CO2 their scheme will generate. The M1 widening scheme above, for example, will generate more than 186,000 tonnes a year extra CO2. But no financial cost was assigned to these emissions when this scheme was approved.

It wasn't until January this year that the DfT told road builders to begin adding a cost of £70 for each tonne of carbon emitted in project calculations. This is still too low to shift the equations away from favouring road building - and it will apply only to new projects. Moreover, £70 is an arbitrary sum because no one can agree how to price the the cost of future carbon emissions. Some experts have said the real value should be around £1,000 a tonne. Once again, therefore, factors that should count against new road projects are undervalued while those that support them are overvalued.

The £13bn-worth of new roads approved under the Nata system makes Labour's roads programme even larger than the one they inherited from the Conservatives in 1997. Back then, the new Labour government cancelled that programme with promises of an integrated transport system.

Among schemes that have recently been approved is the widening of the M25, which will turn most of London's orbital motorway into an eight-lane highway under a private finance initiative that will cost taxpayers more than £5bn. Around Leeds, the M62 motorway is approved for a £336m widening. This year the government will decide whether to approve a £3bn project to widen the M6 between Birmingham and Manchester.

Undermining rail

The Highways Agency is also seeking approval for the Mottram-Tintwistle bypass, a short-cut for lorries through the Peak District National Park. The main economic justification is the notional value, under Nata criteria, of the time the road would save for drivers - put at £159m over 60 years. Opponents of the scheme say the national park is worth a lot more than that.

Also on the table are some highly controversial local road schemes such as the Dorset County Council's Weymouth relief road, which would slice through the Dorset Downs area of outstanding natural beauty, a site of special scientific interest, as well as ancient woodlands. Again, the main economic justification is the notional time saved for drivers, put at £275m over 30 years.

A secondary effect of the Nata rules is to undermine the economic case for investing in public transport. The light rail schemes variously proposed for Liverpool, Sheffield, Portsmouth, Leeds and other cities were all turned down for funding under the Nata formula, as the government declared they were "poor value for money" and recommended bus schemes instead. Another bias in the system is that the government requires light rail planners to contribute 25 per cent of the funding, whereas road builders have to contribute only 10 per cent.

There is strong evidence that assessment systems such as Nata offer no real guide to a road's future performance. Last year the former Countryside Agency and the Campaign for the Protection of Rural England published an investigation into three completed road projects, comparing the predictions made before they were built with what happened afterwards.

It looked at the A34 Newbury bypass, the A27 Polegate bypass and the M65 Blackburn southern bypass, and in each case found that the preliminary assessments had underestimated the scale of traffic growth and the impact on the landscape. They had also made little allowance for the way new roads increase development pressure, often leading to a rash of buildings along their length.

The report concluded: "Issues of induced traffic growth, landscape impact and development pressures are rarely addressed adequately in the evaluations. It is easy to gain the impression that evaluations are carried out in consultancy back offices for the interests of Highways Agency officers only."

Recently the DfT said it planned to "refresh" the Nata rules to take account of the Stern review on the economics of climate change, the Eddington report and other developments. What this is likely to mean, say insiders, is the disappearance of "emotive" descriptions of a new road's impact on the landscape and wildlife and their replacement with indices - numbers - that will have far less obvious meaning. The low price placed on carbon emissions of £70 per tonne is unlikely to change.

This will open the way for Eddington's vision to prevail. Carbon emissions, damaged landscapes, lost tranquillity and vanishing biodiversity will all be given such tiny numerical values that they will inevitably be wiped out by the economic "benefits". The economists will be satisfied, the politicians will be absolved - and the road builders will be delighted.

Jonathan Leake is the Sunday Times science and environment editor

This article first appeared in the 13 August 2007 issue of the New Statesman, Road fix

Laura Hynd for New Statesman
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Having the last laugh

How Diane Abbott – overlooked, mocked and marginalised by her own party for three decades – ended up as the closest ally of a Labour leader

“I don’t think you’re up to it.” It is 1970, and Diane Julie Abbott, aged 17, is keen to apply to Cambridge University, but her history teacher has other ideas.

“I was an omnivorous reader,” she says now, sitting in her parliamentary office, in a prime spot overlooking the Thames, “and in all these books, particularly these novels between the wars, if you went to university, you went to Oxford or Cambridge.”

The teachers at Harrow County School for Girls, where Abbott was the only black girl in her class, were not supportive. Her memories are less happy than those of her contemporary Michael Portillo, who attended the affiliated boys’ grammar school, and who played Macduff to her Lady Macduff in a school play.

Even when Abbott succeeded, she was regarded with suspicion. She remembers getting an A-minus in an English class – a mark that disappointed her – and being asked to stay behind by the teacher. “She picked up my essay between her thumb and her forefinger and said: ‘Where did you copy this from?’ I was genuinely shocked.”

The story suggests that she acquired her ability to shrug off criticism early. It is also a reminder of how often she is underestimated. The Times journalist Matt Chorley once described a successful day for Labour as one in which “Diane Abbott was on TV a bit less”. Julie Burchill described her in the Spectator as a “preposterous creature” who “blotted the landscape of English politics, speaking power to truth in order to advance her career”. In the Guardian, Michael White dubbed her a “useful idiot”.

She has been endlessly dismissed as stupid, untalented and bad at politics – an obvious “diversity hire”. These criticisms are immune to evidence: her time at Cambridge, the only black British student from a state school in the entire university; her 12 years on the sofa with Portillo on BBC1’s This Week; her time in the shadow cabinet under Ed Miliband; her reliable ability to hold the line in television interviews; and now her status as Jeremy Corbyn’s closest political ally. She is largely ignored by lobby journalists, even as they lament their failure to secure a line into the Labour leader’s thinking. In 2017, Diane Abbott celebrates her 30th year in parliament. Should we take her seriously?

 

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Abbott’s mother, a nurse, and her father, a welder, were born in the same village in Jamaica, but met and married in London and lived in Notting Hill “before it was a fashionable place to live”. Abbott was born there in 1953, 12 years before the phrase “race relations” first made its way on to the statute books. “My father was very aspirational,” she recalls, “and so every weekend, he and my mother would drive round houses in Pinner, and every Monday they’d ring the estate agent, and the estate agent would say the house had gone. But, of course, the house wasn’t gone.”

Eventually, they did buy a house, not in Pinner but in Edgware, north London. “My brother – his best friend was Jewish,” she tells me, “and he’d attend the Jewish youth club with his friend, and one day his friend said in a really embarrassed way: ‘I’m really sorry, I’m afraid you can’t continue to attend the club, because they’re afraid it will encourage the girls to marry out.’

“The thing was,” she continues, “my brother was upset about this. We were all upset on his behalf but it was just part of life.” And in 1970, a black straight-A student being told that she wasn’t good enough to go to Cambridge was, again, part of life. It was her response that was out of the ordinary: “Well, I do think I’m up to it. And that’s what matters, isn’t it?”

At university, Abbott didn’t get involved in politics, and she found the Cambridge Union off-putting. Her hall tutor advised her to go into the civil service, and so she arrived at the Home Office in 1976, the lone black graduate trainee on what she now describes as “a quixotic quest to do good”.

In turn, that took her to the National Council for Civil Liberties, now Liberty. Believing it to be a hotbed of communist sympathisers, MI5 tapped the office phones, an action that was ruled unlawful in 1990. “One of the things that Diane still talks about,” a friend tells me, “is her experience not only of the Home Office, but of being the subject of official surveillance. She has a cynicism about the state that hasn’t gone away.”

Abbott also joined local campaigns on some of the issues that have defined her career, such as the abolition of the “sus laws”, the informal provision that allowed the police to stop and search anyone under the ­Vagrancy Act, which activists claim was used to target ethnic minorities in Britain. After joining the Labour Party, she became a councillor in Westminster in 1982.

In the 1970s and 1980s, as today, Labour took the lion’s share of the ethnic minority vote. But no one from an ethnic minority had ever sat as a Labour MP. In the 1983 election, just one person from a minority was selected as a parliamentary candidate, and in an ultra-safe Conservative seat. In response, Labour’s minority activists formed the Black Sections, a campaign to secure ethnic minority representation.

It was through these that Abbott met Linda Bellos, who was the leader of Lambeth Council, where Abbott worked as a press officer – her last job before entering parliament. “I was born here in 1950, one of 50,000 black people [living in the UK],” Bellos tells me. “We might have talked about going home but home for me was bleeding London, wasn’t it? Hence the need to make sure we were involved in all of the parts of the state. Someone like Diane had been to Cambridge, she’d been a councillor, she knew the democratic process, she was friends with a number of MPs, she knew the score. If someone like her couldn’t be selected, what was the point of any of us being here?”

The Black Sections wanted affiliated status, similar to that of the Fabians. But there were concerns that black candidates would not appeal to Labour’s presumed core white working-class vote. Some on the left saw “identity politics” as a distraction from the class struggle; and some on the right thought the Black Sections were too radical. At the 1984 conference, their plan was thrown out by a margin of ten to one.

Despite this setback, the fight had an important legacy. In the 1987 elections, four ethnic minority MPs entered the Commons for Labour: Paul Boateng in Brent South, Keith Vaz in Leicester East, Bernie Grant in Tottenham – and, in Hackney North and Stoke Newington, there was the 33-year-old Diane Abbott.

 

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She was the first black woman to be selected for a safe parliamentary seat. The Times marked the occasion with a leader denouncing her “rhetoric of class struggle and skin-colour consciousness”.

A few months later, the Sun profiled the “ten looniest Labour candidates” in Britain. “We were all there,” Abbott recalls. “Jeremy [Corbyn], the rest of us, and I was number eight.”

The local party in Stoke Newington was delighted with this firebrand reputation. “They said: ‘Stick with us, and we’ll take you right to the top!’”

The voters of north London were less welcoming. A brick was thrown through the office window of her local party. With Abbott as the candidate, some traditional Labour voters switched to the SDP-Liberal Alliance, taking the Labour vote below 50 per cent for the first time in the seat’s history (the second occasion was in 2005, just after the invasion of Iraq).

In parliament, the intake of ethnic minority MPs was regarded with caution. Abbott recalls that the then speaker of the House of Commons, Bernard Weatherill, was “very anxious”. She adds: “He thought we’d be like the Fenians and disrupt and collapse parliamentary process. So he invited Bernie [Grant], who was regarded as our leader, for port. And Bernie came for port and the speaker was very nice to him. And I imagine the speaker thought this was what stopped us being like the Fenians.”

Those Labour MPs who were disruptive – such as Corbyn the serial rebel – were in low spirits for other reasons. The marginalisation of Abbott and her allies during the late 1980s and 1990s explains why they have so little sympathy for the party’s beleaguered centrists in the current power struggle.

At the Labour conference in Liverpool this year – where she spoke as shadow health secretary – Abbott told me: “I came to party conference every year for 20 years, and we would lose and lose and lose. These people have lost twice and they’re complaining!”

Her thick skin was toughened during the New Labour years – and it reaffirmed her close friendship with Corbyn. (The two had a short sexual relationship in the early 1980s, which ended amicably. Abbott was married for two years to a Ghanaian architect from 1991 to 1993; her son, James, was born in 1992.) “She’s always had an odd hold on Jeremy,” one Labour MP tells me. “You would see them having lunch together and her bossing him about. I think people underestimate how influential she
is on his thinking.”

When David Lammy, her neighbouring MP in Tottenham, entered parliament in 2000 following the death of Bernie Grant, he found her “vilified, ostracised and exiled by the Blairites”. There were several attempts to remove her as an MP – another reason why the Corbyn camp is unconcerned by complaints from MPs such as Stella Creasy and Peter Kyle about their local parties threatening to deselect them.

Abbott retains a network of friends from her time before politics, including from her stint as a television producer. They urged her to quit in the Blair years – or to end her association with the left-wing Socialist Campaign Group. “I never thought I was willing to trade what I thought was right for some position in the party,” she says.

Some allies see it differently. “I don’t think Diane is someone who can quit [politics],” a friend told me. “I see her tweeting at all hours. She has interests, books and so forth, but she couldn’t walk away.”

Abbott says that Keith Vaz convinced her to stay, telling her, “You have forgotten what it took for us to get here.” (Some of Corbyn’s allies believe that this is what made the leader so supportive of Vaz during his latest scandal.) This sense of solidarity with other ethnic minority MPs has led to the long-standing rumour that Abbott would have nominated Chuka Umunna had Corbyn not stood for the Labour leadership.

“Diane is absolutely loyal to Jeremy,” one MP who knows them both well tells me. “She’s loyal to the project, yes, but she’s also loyal to him, in a way I don’t think you could honestly say about John McDonnell or Clive Lewis.” During the coup attempt against Corbyn last summer, Abbott spoke forcefully in favour of Corbyn remaining in place, rather than striking a deal to put Lewis or McDonnell on the ballot. “Her position,” one insider recalls, “was that we’d got a candidate we knew could win, and that candidate was Jeremy.”

Not that they always agree. Abbott advocated a less conciliatory approach after Corbyn’s first victory in 2015. “The thing that can be infuriating about Jeremy is that he likes to think the best of everyone,” she says. “I’m always perfectly straight with him as to what I think, and even if he doesn’t believe me at the time, he always does come round to my point of view.”

Abbott is one of the few people in the Parliamentary Labour Party whom Corbyn trusts completely. In their relationship, it’s hard to see who is the senior partner.

In the late 1990s and early 2000s, Corbyn and Abbott settled into a pattern of dissent, followed by defeat. Corbyn spent the time attending to foreign and human rights campaigns and signing thousands of early day motions. Abbott carved out a niche as a reliable critic of the Labour government under Tony Blair, with a month-long slot at the launch of the BBC’s This Week in 2003 blossoming into a regular gig alongside Michael Portillo. But away from Westminster, Abbott was making a decision that she knew could destroy her political career.

 

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The London borough of Hackney is today a national leader in schooling, but in 2002, just a third of students received five or more A*-C grades. That prompted Abbott to send her ten-year-old son, James, to City of London, a leading private school.

“I knew I could lose the seat over it,” she told me. “I was a single parent, and time after time, I had not been there for things at school, or I was too tired to take him out somewhere . . . I just thought, just this once, I should be prepared to make a sacrifice for him. If I lost the seat, then I lost the seat.”

She kept the seat. “Other things do annoy Diane – reporters saying things about her that aren’t true, people talking down to her,” one friend tells me. “But with [the schooling] I think she was very happy with that deal and to take that blow.”

Then, in 2010, Abbott’s career began a surprising second act: a bid for the party leadership. Activists and commentators felt uninspired by the choice in front of them – Ed Miliband, David Miliband, Andy Burnham and Ed Balls, four former special advisers from the New Labour era. Abbott called them “geeky men in suits”. Harriet Harman, in particular, was keen that the contest should not be an all-male field. Her support swayed Abbott. “If you had to pick one person, it was her,” she says, “because she was more mainstream.”

David Lammy set up a meeting between Abbott and David Miliband. The front-runner told her that, if she were a vote short in the nominations from MPs, he would vote for her. “But because it was David Miliband, I didn’t believe him.”

The elder Miliband had his own reasons for backing her. He believed that having her on the ballot would deprive his brother, Ed, of valuable support from the left. This was also the calculation that allies of Yvette Cooper made about Corbyn in 2015. “David’s legacy,” the Wakefield MP, Mary Creagh, wrote five years later, “made it normal – Blairite, even – to put a left-winger on the ballot to ‘have a broad debate’.’’

Of Corbyn’s campaign, Abbott says now: “I knew he’d do well, because what people missed is that had it been one person, one vote [in 2010], I’d have come third.”

Had the unions and the MPs not had a disproportionate influence on the result, she says, “I’d have beaten Andy Burnham, I’d have beaten Ed Balls. I’d been to 53 hustings – most Labour people are where Jeremy and I were. I knew there was much more left-wing sentiment in the Labour Party than the lobby thought.”

As a result of Corbyn’s victory in 2015, she is shadowing one of the great offices of state in what once looked like her final term in parliament. Her policy priorities as shadow home secretary are broad but include her favoured subjects of police reform and anti-racism. “I want to help shape the debate on migration,” she tells me. “I think we’ve had a very vacuous debate.”

That has put her at odds with the shadow chancellor, John McDonnell. Though both are long-time friends of Corbyn, their relationship is not warm. Allies believe that the division stretches back to the late 1980s, when McDonnell – then outside parliament – gloried in not going “soft” in the manner of Neil Kinnock. Abbott attracted suspicion, in part because of her early conversion to a pro-European position. Many believe that McDonnell never embraced the European project. He has ruled out opposition to Brexit and is behind the toughening of the party’s line on immigration. Abbott, privately and publicly, is determined to hold Labour to a more open and pro-immigration position. She has said that Labour cannot win as “Ukip-lite”, a coded rebuke to McDonnell.

The shadow chancellor is the only MP with a comparable influence to Abbott’s on Jeremy Corbyn and, thus far, the Labour leader has struck a middle path on migration, supporting Abbott’s line that the single market cannot be traded away for restrictions on the free movement of people but stopping short of a full-throated defence of free movement in principle.

As well as winning that internal battle, Abbott faces the task of landing more blows on Amber Rudd than her predecessors – Andy Burnham, Yvette Cooper and Ed Balls – managed against Theresa May when she was the longest-serving home secretary in a century, transforming the reputation of a department once regarded as a political graveyard. Not many give Abbott much chance of success but, as always, she believes in herself and thinks that she’s up to it.

Stephen Bush is special correspondent of the New Statesman

Stephen Bush is special correspondent at the New Statesman. His daily briefing, Morning Call, provides a quick and essential guide to British politics.

This article first appeared in the 12 January 2017 issue of the New Statesman, Putin's revenge