Posted 16th September 2024 | 2 Comments

First two train operators reach core expiry dates

Two operators with National Rail Contracts reached their core expiry dates yesterday, but they seem set to remain in the private sector for now.

Greater Anglia and also West Midlands Trains, which uses the brands London Northwestern and West Midlands Railway, could both theoretically have been terminated, but in practice the Government is waiting for the Passenger Railway Services (Public Ownership) Bill to become law. It received its Third Reading in the House of Commons on 3 September, and had its First Reading in the House of Lords the following day.

The Second Reading in the upper house, which includes a full debate, is scheduled for 7 October.

When law, this Bill will make operation of the former franchises public by default, and is intended to pave the way for the ‘directing mind’, Great British Railways, which was established in shadow form by transport secretary Louise Haigh, also on 3 September.

Great British Railways will need separate and more complex legislation so that it can assume responsibility for the infrastructure and also take over other functions from the Department for Transport, which in future will only set broad railway policy. The Bill to create GBR is still at drafting stage, and has yet to be presented to Parliament.

Both Greater Anglia and West Midlands Trains are owned by UK Transport Group, which is led by Dominic Booth and is the British management buyout from the Dutch operator Abellio. The next and final expiry date for both operators is 20 September 2026, unless either contract is extended or terminated early.

Transport secretary Louise Haigh said: ‘For too long our broken railways have failed passengers day in day out with delays and cancellations.

‘That’s why I am laser focused on overhauling the railways and wasting no time in bringing train operating companies back under public ownership where they belong.

‘As soon as our public ownership Bill is on the statute book, we will be starting the process of public ownership by serving notice on these operators – putting an end to our wasteful and fragmented privatised railway and delivering for passengers.’

The next two operators facing termination are Arriva’s Chiltern Railways and Govia Thameslink Railway, which both reach their core expiry dates on 1 April 2025.

Reader Comments:

Views expressed in submitted comments are that of the author, and not necessarily shared by Railnews.

  • Steve J Alston , Crewe

    After Mr Booth (wrongly) told employees at the two franchises TUK would be continuing managing the businesses until late 2026, contrary to what Labour has promised, I see good reason for Louise Haigh to hasten the removal of both the Transport UK Contracts.

  • Tony Pearce, Reading

    So how much are the Government going to increase rail fares by ? I would guess more than CPI inflation figure. Everyone involved in running Railways knows how one little problem can have a huge effect for days. I wouldn't expect any improvement of services when the Government takes over; - I would consider it a success if it doesn't get any worse.

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