pap Posted 19 April, 2013 Share Posted 19 April, 2013 East Coast railways, which is a state-run enterprise, requires a net subsidy of just 1% to run, compared with an average of 32% for the private lines. http://www.guardian.co.uk/uk/2013/apr/18/east-coast-rail-line-taxpayer-subsidy Fancy that, as Private Eye might say! Link to comment Share on other sites More sharing options...
CB Saint Posted 19 April, 2013 Share Posted 19 April, 2013 East Coast railways, which is a state-run enterprise, requires a net subsidy of just 1% to run, compared with an average of 32% for the private lines. http://www.guardian.co.uk/uk/2013/apr/18/east-coast-rail-line-taxpayer-subsidy Fancy that, as Private Eye might say! So how much subsidy did it use up when it was privately run up until 2009, also who is to say that the government are benefitting from the investmentofthe private company in the first place. The article makes a valid, however neglects to look into it properly in order to chase headlines. This is exactly the cra p reporting that drives me nuts these days. Link to comment Share on other sites More sharing options...
Jonnyboy Posted 19 April, 2013 Share Posted 19 April, 2013 Well the shareholders have to get paid don't they. Link to comment Share on other sites More sharing options...
trousers Posted 19 April, 2013 Share Posted 19 April, 2013 (edited) Here's looking forward to Labour's re-nationalisation manifesto in 2015 (the one that got lost at the printers between 1997 and 2010) However, the Association of Train Operating Companies claimed it was "a vast oversimplification to benchmark the financial performance of one franchise with another". Michael Roberts, its chief executive, said: "Passengers and taxpayers are benefiting from a booming railway that is delivering better value for money. "The railways are relying on less taxpayer support and a lower level of revenue per journey as train companies succeed in encouraging more passengers to travel by train. Train companies have reduced their unit costs in real terms, playing their part along with industry partners and government in improving rail's efficiency." Edited 19 April, 2013 by trousers Link to comment Share on other sites More sharing options...
Petersfield Saint Posted 19 April, 2013 Share Posted 19 April, 2013 Well, living in Durham now I can tell you that East Coast are shockingly bad. Tickets are a small fortune unless you book them months in advance, all for the pleasure of travelling on ancient Inter City 125s from the mid seventies which constantly break down. I'm just glad I work locally as it would drive me mad if I was a commuter. Seriously, they make SWT look amazing! Sent from my GT-I9100 using Tapatalk 2 Link to comment Share on other sites More sharing options...
trousers Posted 19 April, 2013 Share Posted 19 April, 2013 Well, living in Durham now I can tell you that East Coast are shockingly bad. Tickets are a small fortune unless you book them months in advance, all for the pleasure of travelling on ancient Inter City 125s from the mid seventies which constantly break down. I'm just glad I work locally as it would drive me mad if I was a commuter. Seriously, they make SWT look amazing! Sent from my GT-I9100 using Tapatalk 2 Yeah, but East Coast costs the tax payer less so that's good innit... Link to comment Share on other sites More sharing options...
pap Posted 19 April, 2013 Author Share Posted 19 April, 2013 Yeah, but East Coast costs the tax payer less so that's good innit... SNCF, my friend. SNCF. How do you feel about our Gallic cousins kicking our arses on every "failed" nationalised industry you care to mention? Link to comment Share on other sites More sharing options...
View From The Top Posted 19 April, 2013 Share Posted 19 April, 2013 Yeah, but East Coast costs the tax payer less so that's good innit... Just goes to show how bad it was before being taken off the franchise holder. Sent from my GT-P3110 using Tapatalk 2 Link to comment Share on other sites More sharing options...
ecuk268 Posted 19 April, 2013 Share Posted 19 April, 2013 Bit on the news last night about how rail travel in the south is far more expensive than Scotland, Wales and the north of England due to the inequality of the subsidies. Here, it costs about 21p/mile to travel by train whereas in Scotland and Wales it was between 9p and 14p. I suppose London and the South-East is very much a captive market where commuters have little alternative to the train. Link to comment Share on other sites More sharing options...
buctootim Posted 19 April, 2013 Share Posted 19 April, 2013 So how much subsidy did it use up when it was privately run up until 2009, also who is to say that the government are benefitting from the investmentofthe private company in the first place. Pretty easy to find out CB. National Express ferked it up so badly they volutarily handed the franchise back because of zero investment, complaints and the fact they were losing money. Nov 2010 Elaine Holt, chair and chief executive of Directly Operated Railways said that when it had taken over morale was low and investment had "all but ceased". "During the year, we've started the process of putting back the skills and infrastructure to enable us to deliver optimum performance," she said. "And while there are signs that these efforts are starting to pay off, I anticipate it will take several more months before we are in a position to sustain our targets in this area." "During the next year, we'll remain focused on getting the basics right, fixing the problems we inherited, improving and building for the future, and restoring the pride in the East Coast railway," she added. Elaine Holt, chair and chief executive of Directly Operated Railways said that when it had taken over morale was low and investment had "all but ceased". http://www.bbc.co.uk/news/uk-england-11699539 Sept 2011 THE East Coast train company, which is run in the public sector, has increased its annual profitability, it was announced today. The company, which runs services between London and Scotland, also increased passenger numbers. For the period from April 2010 to March 2011, East Coast made a pre-tax operating profit of £182.8 million and was able to pay £177 million to the Department for Transport for whom it runs the company. http://www.chroniclelive.co.uk/news/north-east-news/east-coast-train-firm-records-1404542 Sept 2012 A railway company which was temporarily re-nationalised by the Government three years ago reported increased profits and an improvement in passenger satisfaction today. Directly Operated Railways (DOR), which took over the running of the East Coast line from National Express, said its operating profit increased by 7% in the year to March to £7.1 million. Turnover for the year amounted to £665.8 million, an increase of £20 million, leaving a profit before tax and service payments to the Department for Transport of £195.7 million, an increase of £13 million. http://www.independent.co.uk/news/business/news/east-coast-rail-firm-directly-operated-railways-boosts-profits-8181255.html Link to comment Share on other sites More sharing options...
Barry Sanchez Posted 19 April, 2013 Share Posted 19 April, 2013 ATOC is in the Governments pocket, if you think its impartial I suggest you actually see where the money comes from to fund it? Here is a very simple chart before and after British Rail Taxpayer-Treasury-DFT-Railway=Loss funded again by taxpayer to function 26 Toc's and others Taxpayer-Treasury-DFT-Railway=Profit but as the level of subsidy is that large the profits go to shareholders, usually from France, Germany and the Netherlands, this money is used in turn to subsidised their fares and services over there. In short we are paying for our friends over the channel for their services. There are a number of Toc's that would fold within days of no subsidy but ran perfectly well with minimal help (the Goverment did not help much when it was in the Nations bosom either) from the transport/local authorites. There are an awful lot of reasons for this but quite frankly I wont bore you. Link to comment Share on other sites More sharing options...
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