Better Transport

More trams should be built

We need more trams to improve public transport in our bigger towns and cities. The UK has fewer trams than other countries than Europe, and that means we miss out on the benefits: trams would improve people’s lives in many cities by reducing traffic, improving air quality and offering a real alternative to the car.

To get more trams, we need:

• Political will and funding from the Government
• Government trials to reduce the cost of trams
• Sensible transport appraisal

• Political will and funding from the Government

Trams need Government funding to be built. At the moment, the Government is reluctant to invest in trams because of the initial cost; it prefers local authorities to promote buses instead because they are cheaper. In some areas buses may be appropriate but in many others, the Government must recognise that a tram is needed.

The Government should provide funding for the cost of running trams not just building them. Currently, Government provides revenue funding for buses and trains, but not for trams. Given the benefits that trams bring, this does not make sense.

• Government trials to reduce the cost of trams

There are many tram options, and some cost less than others. Ultra light rail and Parry People Movers are examples of where lightweight trams could be very good value for money. The Government should fund trials into these alternatives to bring down the cost of building trams. It should also recognise that the same level of regulation is not required for trams as for conventional trains.

The way in which tram schemes are funded (under a form of Private Finance Initiative) means that the private sector must take on all the risk of building and operating a tram, for a 30-year period. This means bids for tram schemes are high, to deal with the high level of risk. Government should consider alternative ways of funding trams and take on more of the risk of these projects – not least because trams could help to tackle climate change.

• Sensible transport appraisal

The Government assesses the benefits of transport schemes through an appraisal process which makes it difficult to get approval and funding for a new tram. For example, schemes which reduce the level of fuel duty revenue coming to the Treasury are less likely to be built. Appraisal needs to be changed so that projects which reduce car use, fuel consumption and CO2 – like trams - are more likely to be built.

Trams need to be integrated with buses and trains

Trams that have already been built need to be integrated with buses, trains, walking and cycling, to make it as easy as possible for people to use the public transport network.

This means integrated ticketing – making it easy to switch from bus to train to tram, as in London. It also means well coordinated services that link with each other and interchanges that make it easy to switch between different kinds of transport.

Outside London, buses are deregulated and can compete with the tram and reduce the numbers of people using it. Local transport authorities need to ensure that buses and trams complement each other rather than compete. They can do this through setting up partnerships with bus and tram companies, or through regulation (quality contracts).