The leader of the RMT transport union, Bob Crow, has attacked the Government's decision to extend Virgin's control of the West Coast Main Line while a franchise bidding process is run again.
The union wants the West Coast franchise to be run by the Department of Transport in the public sector as is the case, at the moment, with the East Coast franchise. Mr Crow said:
This announcement is no surprise. The Government are ideologically opposed to public ownership of the railways and, in collusion with the private train operators, have stitched up a shabby deal that will enable them to rerun the whole franchise fiasco in a year's time.
Richard Branson and his shareholders are laughing all the way to the bank. Not only have they made hundreds of millions from the rail privatisation lottery but they have now scooped the rollover as well.
Mr Crow added:
We will continue to fight for public ownership of the railways, a position supported by the vast majority of the British people. This short-term political fix will not detract from the call for rail to be run as a public service free from the chaos and greed of privatisation.
- In August, the Government announced Virgin had lost out to transport company FirstGroup in the bidding war to run a new 13-year West Coast franchise.
- Virgin boss Sir Richard Branson reacted angrily to the decision, branding the bidding process "insane" and launching a legal challenge.
- While preparing for the legal challenge, the Department of Transport discovered "significant technical flaws" in the franchise bidding.
- Three civil servants are suspended as a result and the bidding competition is halted on October 3, crowning an embarrassing U-turn for the Government.
- Transport Secretary Patrick McLoughlin tells a Commons Select Committee he was happy with the way the bidding had been conducted.
- Virgin has today been offered an extension to run West Coast services for a "short period" of nine to 13 months while the bidding process is re-run.
Sir Richard Branson's rail operator has been asked to continue running the troubled West Coast Main Line, while a bidding process is re-run.Read the full story ›
Transport Secretary Patrick McLoughlin has apologised for the continuing uncertainty over the future of the West Coast Main Line as he confirmed plans for Virgin to remain as temporary operator.
The cancellation of the InterCity West Coast franchise is deeply regrettable and I apologise to the bidders involved and the taxpayer who have a right to expect better.
My priority now is to fix the problem and the first step is to take urgent action to ensure that on the 9 December services continue to run to the same standard and passengers are not affected.
I believe Virgin remaining as operator for a short period of time is the best way to do this and my officials and I will be working flat out to make this happen.
Busy commuters in Manchester have told me they are happy with Virgin's handling of the West Coast Main Line.
The Department of Transport has confirmed it will "negotiate with Virgin Rail Group" for them to continue to operate rail services on the West Coast Main Line for a "short period" of nine to 13 months.
During the period, an open competition will be run for an "interim franchise agreement".
The interim agreement will then run until the new long term West Coast franchise is ready to start. The Department added: "The government believes that this is the best way to ensure services are maintained and that there is no impact on passengers."
Virgin will continue to run train services on the West Coast Main Line temporarily after securing an extension.
Sir Richard Branson's company will remain in control of the line for between nine and 13 months before interim and long-term providers are decided upon.
Passengers travelling in and out of London are facing delays this morning after rail and underground services were cancelled or delayed.
Some South West Trains to and from Waterloo station were cancelled or diverted because of an electrical supply problem to the level crossings between Barnes and Richmond in south-west London.
No trains running between Barnes and Twickenham in south west London
The London Waterloo circular service departing at 07, 15, 37 and 45 minutes past the hour was cancelled
The service that runs between London Waterloo and Reading is diverted, and would not call at Richmond or Twickenham.
A spokesman for the South West Trains-Network Rail Alliance said the maximum delay passengers would face was just over 20 minutes.
The rail franchise system is "flawed", Virgin boss Sir Richard Branson told the House of Commons Transport Committee today.Read the full story ›