Mike Kane MP: speeches

Speeches

• 17 Jul 2025 · Sustainable Aviation Fuel Bill (Third sitting) · Hansard source

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  Clause 5 enables the Secretary of State to make the scheme transferring the property rights or liability of a company whose designation has been revoked to the new designated counterparty. The power might be needed if it is no longer appropriate for the designated counterparty to continue its current role. The clause will give the Secretary of State the power to act quickly to avoid any disruption to the revenue certainty mechanism, including to existing revenue certainty contracts or negotiations. Question put and agreed to. Clause 5 accordingly ordered to stand part of the Bill. Clause 6 Levy on suppliers Question proposed, That the clause stand part of the Bill.

• 17 Jul 2025 · Sustainable Aviation Fuel Bill (Third sitting) · Hansard source

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  Clause 6 enables the Secretary of State to introduce, through regulations, a levy on aviation fuel suppliers to meet the costs of payments made by the counterparty to SAF producers and to cover the counterparty’s administrative costs. We plan to fund the revenue certainty mechanism through a levy on industry because it is right that the costs of decarbonising air travel are borne by the aviation sector rather than the taxpayer. We are levying aviation fuel suppliers because placing the levy higher up the supply chain spreads costs across the sector and reduces administrative burdens, and because aviation fuel suppliers will benefit from the greater volumes and lower prices for SAF that the revenue certainty mechanism will create. Broadly, if the counterparty has incurred costs in a set period, we will cover those costs by levying aviation fuel suppliers based on their share of the fossil fuel market during that period. We are continuing to work closely with industry on the details of how the levy will operate. This approach is in line with the approach of other contracts-for-difference-style schemes, such as in the renewable electricity sector where there is a levy on electricity suppliers. The clause will also ensure that the counterparty’s obligations and activities in respect to the levy are appropriately regulated. I assure Members that the regulations under this clause will be subject to consultation and the affirmative parliamentary procedure, so there will be further opportunities for scrutiny in this area. Clause 7 enables the levy regulations to require a person who is liable to pay the levy to provide financial collateral to the counterparty. This acts as a failsafe if there is cause for concern about non-payment. It ensures that if a levied party does not make a payment, the counterparty can take any owed money through the collateral. Without this power, there is a risk that non-payments to the counterparty lead to the Government needing to provide financial assistance to ensure that the counterparty can make payments under the revenue certainty mechanism contracts. Clause 8 enables the levy regulations to include provisions to ensure that the levy is administered efficiently. It allows the Secretary of State to confer statutory functions on the counterparty, such as collecting levy payments and enforcing regulations. It is vital that the counterparty has the powers and functions it needs to operate efficiently and effectively. Clause 9 will allow us to make regulations on who will calculate matters relating to the levy, and how—for example, how levy payments should be calculated and who is responsible for doing so. It ensures that calculations are made in an appropriate way by people who are qualified to do so. The regulations made under this clause will be subject to consultation and the affirmative procedure.

• 9 Jul 2025 · Draft Transport Act 2000 (Air Traffic Services) (Prescribed Terms) Regulations 2025 · Hansard source

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  I thank the hon. Member for Wimbledon for his support; we have the whole House behind the measure. I commit to laying out the details of the steps for setting up the service, how much it will cost and what the consultation will be as we go forward over the next few years. Question put and agreed to .

• 9 Jul 2025 · Draft Transport Act 2000 (Air Traffic Services) (Prescribed Terms) Regulations 2025 · Hansard source

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  I beg to move, That the Cttee has considered the draft Transport Act 2000 (Air Traffic Services) (Prescribed Terms) Regulations 2025. It is a pleasure to serve under your chairmanship, Sir Jeremy. The UK’s airspace is a vital piece of our national infrastructure that is essential to economic growth, connectivity and national resilience. Last year, there were more than 2.4 million flights using UK airspace, but despite a significant rise in air traffic demand, the structure of our airspace has remained largely unchanged since the 1950s, when there were around 200,000 flights. Today’s flight paths remain largely based on a system that relies on a network of outdated ground-based navigational beacons. As a result, aircraft today fly less efficient routes and are unable to take advantage of modern aircraft technology and performance. If a pilot from the 1950s travelled through time, they would still know the exact routes used today. That has to change. It leads to increased fuel consumption, greater risk of delays and, as a result, higher carbon emissions. Without modernisation, National Air Traffic Services estimates that, by 2040, one in five flights could face delays of more than 45 minutes. There is a plan to fix this: the airspace modernisation strategy, set out by the Department for Transport and the Civil Aviation Authority, and committed to by the Labour party in its manifesto at the general election. I am grateful to Government and Opposition Members who I know will support the regulations that we are considering today, which are one of the most important ways of enabling the plan for decarbonisation and improved routes to be realised. Modernised airspace will enable greater capacity, improve resilience to disruption, and help UK aviation to achieve net zero greenhouse gas emissions by 2050. The regulations are made under powers conferred by the Transport Act 2000, for which I thank John Prescott. Under that Act, the Secretary of State may modify and prescribe terms in an air traffic services licence. This instrument designates as “prescribed” any terms specifying air traffic services authorised under a licence, and any terms specifying the area in which those services may be provided. In practice, this will allow the Secretary of State to modify the terms in the air traffic services licence granted to NATS (En Route) Ltd—a public limited company known as NERL—to create and fund a new UK airspace design service, UKADS. If the regulations are approved and come into force, they will enable a series of important steps to happen. The Secretary of State will consult on modifications to the terms of NERL’s licence, in accordance with the procedures set out in section 11A of the 2000 Act. The CAA will undertake its own separate consultation on the changes to the conditions of the NERL licence, following the statutory requirements laid out in the same section of the Act. The combined results of the changes, if adopted following consultation, will be to authorise and require NERL to provide the UKADS and enable it to charge for doing so. Airspace modernisation is not just a technical upgrade; it is a national strategic necessity to ensure that our skies remain safe, sustainable and capable of supporting the UK’s future prosperity and innovation. The draft regulations will enable the UKADS to deliver the benefits of airspace modernisation and to ensure that the UK continues to be a global leader in aviation for decades to come. I commend the regulations to the Committee.

• 9 Jul 2025 · Draft Transport Act 2000 (Air Traffic Services) (Prescribed Terms) Regulations 2025 · Hansard source

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  I am grateful to the hon. Member for Orpington for stating the Opposition’s support. UK aviation enjoyed its most successful month in history in April. Over the next 20 years, we are looking at the doubling of numbers in aviation, and freight as well, so modernising our airspace is critical to making sure that there is resilience in the system. Work was done under the previous Government, and I pay tribute to the former hon. Member for Witney, Robert Courts, for what he did, but Governments become sclerotic and the last Government did not get this measure over the line. I was glad that we committed to do it in our manifesto. What we are doing today by implementing that manifesto commitment and putting it into law will be a huge confidence boost for the aviation industry. When I have spoken to industry representatives, as I do all the time, including this morning, they tell me they have been looking forward to today, because the measure is a statement of commitment and intent. The hon. Member for Orpington is absolutely right: who knew that flying in a straight line would cut carbon emissions? EasyJet gives the example of the journey from Jersey to Luton airport wherein the aircraft burns a third more fuel because of the path it has to take. Flying in a straight line is better for customers and for the environment, and it will produce fuel savings. He talks about winners and losers, but this measure also allows us to analyse take-offs and landings and varying routes, so we can mitigate impacts on communities. That is key. The skillset is an essential element of that. Until now, the skills have been dissipated throughout the country. This measure puts the skillset into one place in the UKADS. That means we can concentrate on the most congested skies in the south-east, but it does not stop us doing what we need to do in the Scottish, northern and south-west airspaces. There will be funding to make sure that those other regions benefit, including smaller airports, which the hon. Member asked about. I will also commit to full transparency as we go through the process and get it over the wire to modernise airspace, so that the British aviation set-up has a confident future.

• 4 Jul 2025 · Space Industry (Indemnities) Bill · Hansard source

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  Today is 4 July and there will be fireworks across the pond, but we want rocket boosters under our space industry. Most of Europe is landlocked—or I should say space-locked—which provides the UK with a unique opportunity to be a launchpad for satellites produced all around Europe. That is the market that we are going for. The industry has made it clear that holding unlimited liabilities will have an adverse effect on the UK spaceflight industry. If the Government did not limit a spaceflight operator’s liability, spaceflight companies and investors might move to jurisdictions that have more favourable liability regimes where operator liability is limited, or that provide guarantees to meet all claims or those above the operator’s limit of liability, such as the US or France. For those reasons, we are pleased to support the Bill.

• 4 Jul 2025 · Space Industry (Indemnities) Bill · Hansard source

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  I thank my hon. Friend the Member for Glasgow East (John Grady) for promoting this short but important Bill. I wanted to get further into Newcastle United’s Inter-Cities Fairs cup win in 1969, but I do not think today is the day. I thank all who have contributed to the debate. I thank the hon. Member for Wyre Forest (Mark Garnier) for his chairmanship of the APPG for space. I thank my hon. Friends the Members for Portsmouth North (Amanda Martin), for Northampton South (Mike Reader) and for Crawley (Peter Lamb). I thank the shadow Minister, the hon. Member for Broadland and Fakenham (Jerome Mayhew), for his support as well. He mentioned puns—I attempted a pun in the House the other day, and Mr Speaker reminded me to stick to the day job. I will not try to emulate my hon. Friend the Member for Northampton South. This industry is so important, and it will be going forward. It has already been said that it contributes £19 billion to the UK economy, and it is already employing 52,000 people right across our land. I am pleased to confirm that the Bill has the Government’s full support. We have economic growth at the heart of our agenda, and we are taking steps to support major infrastructure and to reduce bureaucratic red tape in regulatory frameworks to better support innovation and growth in the UK.