Labour Party

Stagecoach/Virgin consortium given chance to resolve limited competition concerns arising from the East Coast rail franchise award
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date 7 February 2015
source Labour Party
type Press release

Michael Dugher MP, Labour’s Shadow Transport Secretary, responding to the Competition and Markets Authority’s warnings over the East Coast Mine Line contract, said:

“This is extremely embarrassing for the Government and demonstrates once again that the whole rushed franchise process should never have happened.

“David Cameron put privatisation ahead of the public interest when he decided to re-privatise the East Coast Mine Line. Now the Competition and Markets Authority is questioning the Government’s decision to hand the contract to Stagecoach and Virgin Trains, warning that it could lead to higher fares or reduced service quality for rail passengers travelling between Peterborough, Grantham and Lincoln and for coach and rail passengers travelling between Edinburgh, Dundee and Aberdeen. This could affect thousands of passengers relying on these services.

“Labour has called for a wholesale review of the franchise process. A different approach is needed – one that puts the public interest first, reverses the presumption against the public sector and properly stands up for passengers.”

ENDS

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Railhub Archive ::: 2015-02-07 LAB-001