How I yearn for the age of the train!

The Thin Red Line_________________________

 

Barbara Cannon       Labour Optimist.          October 2012

 

How I yearn for the age of the train!

A few weeks ago Government announced it was awarding the franchise for the West Coast Mainline to FirstGroup rather than to Virgin Train who have run the rail franchise for 15 years.  There was immediate uproar when Virgin claimed the bid by FirstGroup was flawed and the public responded by signing petitions and generally siding with Virgin who they apparently want to continue providing the service.

The Department for Transport staunchly defended its decision and its junior Minister Justine Greening categorically said they would proceed to award the franchise to FirstGroup despite Virgin mounting a legal challenge. Then we get a re – shuffle and Greening is given another job in Overseas Development.  This week comes the shock announcement that the Government are now admitting that their reasoning in awarding the Franchise was deeply flawed and they are starting again and in order to learn what went wrong they have ordered two enquires.  Three officials are suspended and people will no doubt now suggest that Justine Greening should resign from her new job in the Cabinet for her part in this debacle.  The companies involved in the franchising bid are also expecting to get their costs back – a staggering £40 million from the tax payer.

However I digress because this blog is not about all of that but rather to pose the question about would we be better off re- nationalising our rail services?  The news about the West Coast franchise has re-opened the debate with Bob Crow, General Secretary of RMT, calling for the re-nationalisation of the West Coast Mainline.  Further difficulties are ahead as the process for tendering three other train franchises has now been paused. 

I have in front of me the RMT briefing on the McNulty Report into the Railways.  The McNulty Report was commissioned by the last Government and continued by the Coalition as there seems to be a consensus that we need to improve value for money to passengers and taxpayers.  It may be no surprise that the RMT are not happy with that report especially as they see its recommendations as the “biggest attack on rail workers jobs, pay and conditions since privatisation.” Sometime this autumn the Government will bring forward a rail policy white paper. I have no idea if any of the McNulty Report will be reflected in that white paper but I do know that the debate will be opened on the future direction of our railways.

This brings me to my starting point about nationalisation.  I have a soft spot for British Rail and I did not agree with its privatisation.  For one thing my late grandfather was a railway worker and I recall with great fondness my early journeys by train. The privatisation of the rail network and its infrastructure was intended to bring about competition and investment in the industry.  Whilst we may have got new rolling stock, rail upgrades and electrification we may not have the kind of service we truly appreciate.  We once had a single unified publicly owned service which was broken up into scores of competing private companies. It is estimated (by the RMT) that this has resulted in almost £1 billion a year leaking out of the industry caused by private sector borrowing costs, numerous interfaces and the dividends paid to shareholders. This is to say nothing of the excessive pay given to some of the rail Chief Executives. The former boss of FirstGroup got £643,000 per year for example with some getting just over £1m.  McNulty and the government have ruled out reintegrating the railways under public ownership. The RMT on the other hand have put forward a coherent justification for re-nationalisation and are able to point to how money can be saved by doing so.

I have spent many hundred hours ploughing up and down the West Coast Main Line between London and Carlisle and have endured many late running journeys and cramped carriages which were carrying too many passengers.  To add insult to injury rail ticket prices are getting higher and higher with no discernible improvement in services.  I am no lover of Virgin Train and I do not enjoy seeing the smug face of Richard Branson telling everyone that he hopes Virgin will now get the franchise back.  Perhaps I look at this with rose tinted glasses as I recall the now iconic TV adverts suggesting we “let the train take the strain and “this is the age of the train”.  It looks as if the debate about re-nationalisation is about to start again and whilst I think it is often difficult to turn the clock back there is part of me hopes that we can once again take rail transport back into public ownership.

 

Further information

www.rmt.org.uk/mcnulty Which includes interview with Bob Crow on the McNulty Report, RMT submission to McNulty, RMT Press Releases and Parliamentary debates and motions on rail industry

The McNulty Report – realising the Potential of GB Rail http://www.dft.gov.uk/publications/realising-the-potential-of-gb-rail/