Private train firms should be ’embraced’ under nationalisation policy – report
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Train passengers will benefit from lower fares and better connectivity if services run by private companies are “embraced” under the Government’s nationalisation policy, according to a report. Transport giant FirstGroup said open access routes – which are operated by private companies – mean locations receive services that would “otherwise require taxpayer subsidies”.
This comes after Transport Secretary Heidi Alexander expressed concerns that the open access model can cause “potential congestion” and result in taxpayers being “left to fill shortfalls” in maintenance costs. The vast majority of trains in Britain are run by operators either owned or paid management fees by the UK, Scottish or Welsh governments.
In contrast, open access operators set their own fares, take on all revenue risk and receive no taxpayer-funded subsidies. FirstGroup, which owns open access operators Lumo and Hull Trains, is planning a major expansion of these services, including:. – Between Sheffield and London King’s Cross, calling at Retford, Worksop and Woodhouse.– Between Rochdale and London Euston via stations such as Warrington Bank Quay and Manchester Victoria.– Between London Euston and Stirling, calling at stations across the Scottish Borders and elsewhere.– Between London Paddington and Carmarthen in south-west Wales, via Severn Tunnel Junction, Gowerton and Llanelli.
