Transport Insights

The transport stories you won't see in the industry-friendly media

Author

Chris Ames

Tag: rail nationalisation

  • All change or plus ca change?

    A couple of announcements linked to Great British Railways show quite how slowly Labour is bringing “change” to the rail network.

    The BBC reports:

    The rail operator Great Western Railway (GWR) is to be renationalised in a “significant” move for trains in the West of England, the government has confirmed.

    GWR, based in Swindon, runs services linking London to the south-west of England and South Wales. It will come back under public ownership on 13 December.

    It’s not really news, other than the confirmation that it will happen, and will happen this year. In fact, it might be seen as later than expected. The BBC reported last September:

    Train firm GWR ‘to be renationalised in a year’

    Train company GWR (Great Western Railways) will be returned to public ownership “in about a year’s time”, one of its bosses has said.

    Meanwhile, the Department for Transport (DfT) has announced:

    (more…)
  • We made it up

    Shadow transport secretary and former transport minister Richard Holden has asked another perceptive question, with the result that ministers are unable to provide the evidential basis for a claim that nationalising rail operations could save £150m.

    To ask the Secretary of State for Transport, with reference to the press notice entitled New dawn for rail as South Western services return to public hands, published on 25 May 2025, on what evidential basis her Department calculated that public ownership of railways would save £150 million from the public purse; and if she will publish (a) the categories of fees that are no longer payable and (b) the estimated value of each fee category.

    Note however that the original wording said the move will save “up to £150 million a year in fees alone”, which is an obviously sneaky PR framing.

    But the answer from Simon Lightwood (pictured) is that ministers are unable or unwilling to show their workings.

    He merely asserts that there was an estimate:

    Private sector train operating companies are paid fixed and performance-based fees are set out in their National Rail Contracts with the Department. Operations are being transferred into public ownership as their National Rail Contract expire, meaning these fees will no longer be applicable once services have transferred. This saving is estimated to be up to £150million per annum once all franchised contracts have expired, with a proportion of these savings achieved each year in the interim as individual operators’ services transfer.

    (more…)