Financial News

  • 9 May 2012, 11:30

'Plans Will See Rail Fares Go Through The Roof'

More than 100 MPs have signed a Commons motion criticising the Government's proposals for the future of railways, warning of worsening services, higher fares and job cuts.

An Early Day Motion (EDM) tabled by Labour MP John McDonnell is attracting cross-party support in the UK.

It comes amid fresh anger at the amount of investment being made in the railways, while fares "go through the roof".

The EDM warns that the Government's plans "will worsen passenger services through the loss of thousands of frontline workers from trains, stations, ticket offices, safety-critical infrastructure and operational roles", and "will result in higher fares, cuts in services and more crowded trains".

The MPs who have signed the EDM have urged the Government to run the railway as a "public service" with "affordable fares and proper staffing levels".

Research by the Trades Union Congress (TUC) said that while fare prices were rising, investment by train operating companies in the railway network has been halved over the last five years.

There has been an 80% reduction in investment in stations, while there has been over twice as much spent on back office functions such as IT and web costs, said the TUC.

There has also been a 15% reduction in private investment in new rolling stock and a 100% reduction in funds spent on track and signals, it was claimed.

Bob Crow, leader of the Rail Maritime and Transport union said: "This Government has learnt nothing from the tragedies of the past and is allowing the profiteers to bleed the railways of desperately-needed investment while creating the perfect conditions for another Hatfield or Potters Bar.

"It is a national disgrace."

Rail minister Theresa Villiers said: "Our plans are to reduce the cost of running the railway by £3.5bn per annum by 2019.

"If we can do this, we can reduce the burden on taxpayers, and put an end to the era of above-inflation increases in average regulated fares.

"The plans place the passenger at the heart of everything the rail network is about."

A spokesman for the Association of Train Operating Companies said: "Train companies are pressing for reform that aims to help limit future fare rises by reducing the costs of running the railways, while making sure that we can keep on improving services for passengers.

"The way the industry is set up has too often driven up cost and made it difficult for operators to respond quickly and effectively to what passengers want.

"The reform agenda is about bringing the different parts of the railway closer together to provide a better deal for passengers and taxpayers."

what do you think?

9 comments

Arthur Hancock

2:58am on 8/5/2012

Tory privatisation. Tory Greed. Tory thieves. Tory class distinction. Tory lies. Tory deception. Tory smarm. Tory cuts. Tory-induced tragedies. Tory blind eyes. Tory robbers. Tory back-stabbers. Tell me a another Tory!!

Score: 9
4 replies

David Wragg

10:48am on 8/5/2012

Don't forget the railways were built by private enterprise and many of the investors lost their money.

Score: 3

chris

11:01am on 8/5/2012

Yep, the union never built anything (other than their HQ) but always calls for the taxpayer to bear the cost. There is always borrowing against future tax revenues to consider.

Score: 3

com196

5:50pm on 8/5/2012

This comment has been removed for violations of our Terms and Conditions.

Score: 1

twins

8:30pm on 8/5/2012

Whats the matter with you? Dont you like the tories?

Neil Servis

5:47am on 8/5/2012

here we go, bring on the moaners when buses and taxis are worse in prices and the london underground is so bad, but as soon as someone mentions the trains you get the serial moaners

Score: 9
1 reply

Keith Reeder

10:10am on 8/5/2012

What's your point? That we should be grateful that the train system WORSE? Muppet.

Score: 4

Bernard Petrie

7:44am on 8/5/2012

It seems silly to me. We Brits do not seem to be able to manage anything properly now days. All our best companies seem to be foreign managed. What is wrong with us?

Score: 7

Name witheld

7:45am on 8/5/2012

This comment has been removed for violations of our Terms and Conditions.

Score: 1

David Wragg

10:52am on 8/5/2012

As a Tory and a transport historian, I maintained that so-called privatisation was badly mishandled, separating track and trains from operations, with too many franchisees who often see themselves as contractors to the government and have little incentive for innovation or competitive practices. It has left many seeing the BR era as a golden period, but BR had its faults as well. One journey I make once a year has become so much easier since privatisation, but I accept that it is probably an exception. I use the East Coast line a lot, and timekeeping was poor under BR, poor under Sea Container (GNER), poor under National Express, and remains poor back in state ownership.

Score: 5

Juls Adams

12:27pm on 8/5/2012

how we were such a powerful country.we owned have the world.not saying i agree with what we did and we had a good railway system and had manufacturing and exported to the whole world.since then over the years this country has turned to rubbish.every government has done more and more damage over time to this country.the governments have no morals only what can i make for myselfs.sell everything off and probably become directors and shareholders at the general publics expense.it will only get worse

Score: 4

John Henderson

1:29pm on 8/5/2012

Wont be long before only the rich will be able to travel on the railways. Just what the Tories would like - let the peasants stay at home.

Score: 7
2 replies

twins

8:31pm on 8/5/2012

That was an intelligent comment!

Score: 2

John Henderson

10:32pm on 8/5/2012

Yes - I thought so. Where's yours ?

Score: 1

Jonathan Goodwin-Self

8:22pm on 8/5/2012

Rail fares up, APD soaring, VAT up, Tax on petrol, gas, oil and diesel up, Income tax for the middle class up, tax for OAPs up. But for the rich tax down and 90% of them only pay about 10%. Benefits for the British down but for foreigners up. Government expenses through the roof and our debt is soaring. This government is doing worse than Labour did. So we need a new Government run by the UKIP

Score: 2

Brian Luck

9:14am on 9/5/2012

We need a new Government not influenced by the Bilderberg Group, AND one with INTEGRITY!

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