Question to the Department for Transport:

To ask Her Majesty’s Government what assessment they have made of the amount that could be saved by Rail North adopting financial arrangements similar to those by which Transport Scotland is acquiring new rolling stock at advantageous prices by giving a residual guarantee that it will be used for franchises beyond that now in place.

As set out in the March 2012 Rail Command Paper, the Government’s policy is for a market led approach to rolling stock with flexibility for bidders on the rolling stock solutions.

The commercial and risk position of the ScotRail franchise is a matter for Transport Scotland. The relevant documents are commercially confidential between Transport Scotland and the franchisee and the Department for Transport is unable to comment on whether there is a price advantage as a result of the approach. Price is an important consideration for rolling stock procurement, as are risk transfer to the private sector and flexibility.