Tagged: railway

Legal battle looms over sell off of East Coast main line

Rail unions have launched a legal battle with the Coalition Government over the sale of the East Coast Main Line.

They claim the planned “re-privatisation” of the service before the next general election in 2015 is being rushed through and that ministers have “cut corners”.

The rail unions Aslef and the TSSA said their members’ jobs and conditions, as well as the interests of passengers and taxpayers, were being threatened by a lack of consultation.

They are seeking a judicial review over the matter and are also challenging extensions to the Thameslink and Great Northern franchises.

Aslef general secretary Mick Whelan said: “It is imperative that we raise the genuine concerns of all stakeholders but, especially, the employees before this is rushed through. We cannot, in good conscience, allow the mistakes of the past to happen again.”

The East Coast Main Line franchise, which runs from Edinburgh, through the North East to London, has been in Government hands since November 2009 when the then franchise holders National Express gave it up, saying it could not afford to run it any more.

Before that, from 1996 to December 2007, it had been run by Great North Eastern Railway before it had the franchise taken away due to poor financial management.

It has been run for the Government since 2009 by Directly Operated Railways, which last year returned more than £200m to taxpayers as a result of its stewardship of the line.

In January the Government published a shortlist of three bids to run it as part of plans for the rail route’s re-privatisation. The bidders were FirstGroup, a joint bid from Eurostar and French firm Keolis, and another from Virgin and Stagecoach.

RMT acting general secretary Mick Cash said: “After the scandal of this Government robbing the British taxpayer of a billion pounds in the scramble to privatise the Royal Mail it is shocking that they are engaging in the same tactics to try and hand the East Coast Main Line back to their friends in big business.

“The British public have a right to openness and transparency when it comes to the ideologically-driven attempt to sell off Britain’s most successful rail-route to the speculators and chancers after two previous private sector failures on the same line.”

TSSA leader Manuel Cortes said: “The coalition knows only too well that rail franchising is not fit for purpose. Rail workers are at a loss to understand why the Government insists on going forward with a broken system which threatens the interests of passengers and taxpayers.

“We can only conclude that the ideology which saw Royal Mail flogged off on the cheap continues to thrive.”

A Department for Transport spokeswoman said: “We will vigorously defend this claim and remain committed to the franchising programme.

“As these legal proceedings are ongoing it would not be appropriate to comment further at this stage.”

Source – Newcastle Journal  07 April 2014

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Campaigners gather to protest at the re-privatisation of the East Coast Main Line

Protests have been taking place across the country against the Government’s controversial plan to sell off the East Coast Main Line.

Campaigners gathered at stations up and down the line – including York, Durham and Newcastle – to greet travellers and press home their argument.

The protest by Action for Rail was deliberately timed to co-incide with the beginning of the Liberal-Democrats’ spring conference in York this weekend.

The campaign, backed by the TUC and railway unions, is fighting the Government’s proposals to re-privatise the route – the only remaining publicly-owned railway in the UK.

It has been in public ownership since 2009, after two previous private train operators were forced to bail out of the franchise for financial reasons.

But last October ministers announced plans to re-privatise the line and more than 60 MPs have since signed an early day motion calling on the government to keep the line public.

The campaigners argue that Directly Operated Railways – the public operator of the line – has achieved record levels of customer satisfaction and provided the highest returns to the taxpayer while receiving the lowest public subsidy among all the train companies.

TUC general secretary Frances O’Grady said: “Privatising the East Coast defies all logic. Since it was re-nationalised the line has gone from strength to strength.

“This decision shows the government is clinging on to its outdated faith in privatisation at all costs and is determined to remain blind to the fact that public ownership has been a success for taxpayers and passengers alike.”

Source – Northern Echo,  07 March 2014