South Western Railway, a railway company in southwestern England, is the first to return to public control today as part of the Starmer government’s effort to re -nationalize British railways.
South Western Railway, a railway company in southwestern England, is the first to return to public control today as part of the Starmer government’s effort to re -nationalize British railways.
This is “a new era for the railways,” the British Ministry of Transport said in a press release.
“We will say goodbye to 30 years of ineffectiveness, waste and frustration of the passenger public,” Transport Minister Heidi Alexander said during a recent visit to a Southern England train station. “We will move confidently towards a new era for the railways,” he said.
The privatization of railway companies in Britain took place in the mid -1990s under conservative Prime Minister John Moijor, followed by Margaret Thatcher’s liberal policies in the 1980s.
Despite the promises of better services, increased investment and lower government spending, the project had triggered reactions. It was condemned by the unions, the opposition, some conservatives and a large portion of public opinion.
The number of passengers was initially increased, as was investments. However, a train derailment in October 2000, with a report of 4 dead and 70 wounded, shocked public opinion in Britain. Cancellations and delays on the routes have now become ordinary, and passengers have complained about increased ticket prices.
Since then, most of the rail network has become public again under the management of the Network Rail.
Four of the fourteen railway operators in England have already been put under public control in recent years due to low performance. But the original idea envisioned to return to private hands.
The Labor Government, which has been in power since July, has approved a law at the end of November, which provides for nationalization of private railway operators after the end of their contracts (or earlier, in the event of mismanagement) and their incorporation into a new Great British entity.
Waiting until the expiry of the contracts allows the government to avoid paying compensation to private railway operators. All contracts expire by 2027.
The unions in the industry, which have been striking in recent years under pressure from the crisis caused by the reduction of the purchasing power due to inflation, welcomed the initiative.
“Everyone in the railway sector knows that privatization (…) has not worked and still does not work,” said Mikey Willan, Secretary General of the Aslef Traffic Union.
The return of the railway companies to the State “will ensure that the services are in the interest of passengers, not shareholders”, but the resolution of “structural problems” will take time, warned Transport Minister Heidi Alexander.
Following the nationalization of South Western Railway, the C2Cs will follow on July 20 and Greater Anglia on October 12th.
Source :Skai
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