Rail franchising faces 100-day deadline

LABOUR has promised that it would start changing the law to allow a public sector operator to compete for rail franchises within 100 days of being elected.

The party's transport secretary Michael Dugher has told an audience in Leeds that there would be a 'level playing field'.

His pledge comes as a consortium of Stagecoach and Virgin takes over Intercity East Coast services after more than five years of public ownership.

Mr Dugher has already signalled the end of rail franchising as such, saying that he would 'put it in the bin'.

He said: “The end of East Coast Trains will be a hammer blow for passengers, taxpayers and employees alike.  David Cameron’s ideological sell off has ended a public sector service, which has delivered over £1bn to the Treasury, kept fares down, had record passenger satisfaction and engaged the workforce with unparalleled success.

“It is clear that when it comes to transport, people have a straight choice – the status quo or Labour’s better plan.  Labour will start the process of legislating in the first 100 days of a new Parliament to allow a public sector operator to be able to take on lines and challenge the private sector on a genuinely level playing field.

“Labour will also hold a speedy review of rail franchising to replace it with a system fit for purpose and create a strong passenger voice within a new strategic body for running the railways.”

Meanwhile, RMT general secretary Mick Cash has condemned the transfer of East Coast back to the private sector.

He said: “It is a national disgrace that the government is bulldozing ahead with the re-privatisation of the East Coast Main Line despite all the figures showing that the current public sector operator is handing over a billion pounds back to the British people while delivering huge improvements in service and customer satisfaction.

“It is simply ludicrous to even contemplate reprivatisation when not only have there been two previous private sector failures on the East Coast route but when the public-sector rescue operation has been such a stunning success. This is pure industrial vandalism."

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