Re-privatisation rip-off continues...Dismay on Labour Backbenches as Government flogs off SE Trains

By re-privatising South Eastern Trains, the New Labour Government has ignored the democratic will of Labour Party conference policy of rail renationalisation.

South East Trains, which had operated in the public sector since November 2003, had improved punctuality and service targets. Despite this, the Government has spent £4.3m on sending this franchise back to the private sector. In addition £500m of public subsidy will be given to this franchise, which will also be able to raise fares by 3% above inflation for five years.

John McDonnell MP, Chair of the Socialist Campaign Group, said,

“This is a slap in the face for Labour MPs, Party members and Conference, all of whom pressed the Government to keep this service under public control - where it was proving so successful”

“Privatisation has only served to increase fares, cut jobs and cut services - yet the Government has blindly thrown this service back to the profiteers”

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Written Parliamentary Question

To ask the Secretary of State for Transport what the cost to his Department has been of (a) the tendering process of the Integrated Kent Franchises?

Derek Twigg (Minister of State for Transport): The cost to the Department for Transport (DfT) to date (and the Strategic Rail Authority (SRA) prior to DfT taking over direct responsibility) for the Integrated Kent Franchises franchise replacement is £3,990,000. The final costs are estimated to be £4,290,000