Oral Answers to Questions

Anne McGuire Excerpts

Thursday 7th November 2013 Commons Chamber

[Stephen Hammond]

My hon. Friend will be aware that funding for almost all these schemes comes through the new local growth fund, which is being used to finance transport improvements up and down the country, but of course, if he cares to provide me with the details, I am happy to meet him to discuss them.

[Mrs Anne McGuire (Stirling) (Lab)]

10. What recent assessment he has made of East Coast Main Line Ltd’s financial performance.

[The Secretary of State for Transport (Mr Patrick McLoughlin)]

My officials regularly meet representatives of East Coast Main Line and Directly Operated Railways to discuss the performance of the franchise. DOR’s financial accounts are published on its website annually. On 24 October, I announced the start of the competition for a new private sector partner for InterCity East Coast and published a prospectus for the East Coast Main Line business, which included an assessment of its financial performance.

[Mrs McGuire]

I thank the Secretary of State for his answer. Will he confirm that while German, Dutch and French railway companies will be allowed to tender for the new franchise, a successful British company that is currently operating the franchise will not be allowed to do so?

[Mr McLoughlin]

I refer the right hon. Lady back to the time when she was a supporting member of the previous Government, when the then Secretary of State said:

“I do not believe that it would be in the public interest for us to have a nationalised train operating company indefinitely…because of our recent experience on rail franchising”.—[Official Report, House of Lords, 1 July 2009; Vol. 712, c. 232.]

Rail franchising has led to the biggest growth in rail usage in this country that we have ever seen—up from 750 million to 1.5 billion passenger journeys. I want that improvement to continue, and that is why huge investment is going into the east coast main line.