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Don’t let the big British rail crash be to overthrow the competition


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Heidi Alexander, a British carrier for transportation, offered a scary vision this week as she discovered the LABOUR proposals for the union of rail services in a public ownership country. The government will now “sweep down the decades of failure, creating great British railway passengers” to which I can rely. “

Can long -wise passengers rely on Alexander and GBR, a new public railway monopoly, to keep the modem competition in the private sector? Despite Labor’s support with an open access to a network for operators who add services to Whitehall’s railway rail, a sad answer is no.

Watch what politicians and their civil servants do, not what they say. The dead hand of the transport department has already reached to discourage the entrepreneurial challenges of GBR. This, despite the success of an open access operator, such as Lumo and Hull Trains, who demonstrated the standards on the eastern coastline from London to Edinburgo.

Although the Labor Manifesto promised the constant role of private operators that provide new services, the Government this month opposed Eight of the nine companies companies, including Virgin Trains and Firstgroup, Luma owner. Alexander declares that she believes in the benefits of competition, but her department usually does not approve of this in practice.

This is not new. The Transport Department has not loved an open access in 25 years since the Hull trains started running independent services from East Yorkshire to King’s Cross. His civil servants or state network rail has opposed almost all access to access in the past decade on the basis of making congestion and siponing money from franchise operators and taxpayers.

The government was stuck in this position despite the promises of Labor and clear evidence that it was not right. A line of the eastern coast, where Grand Central, Hull Trains and Lumo operated with a state rail in London, North Eastern Railway, showed many advantages. Lumo, for example, runs a quick service from London to Edinburgh, which competes with airlines.

Services like lumo probably won’t exist that they left it to a ward or current train operators. The decisions were instead made by the Independent Office of the Railway and the Road, which approved half of the applications. The ORR was right: the study she ordered revealed last year that Lumo far exceeded his measure of the spread of services, not just the Lner’s rival.

Competition awards become wider than a narrow calculation of the effect on the rail network. Hull trains operators have shown that direct trains to London from insufficient cities and cities increase regeneration and economic investment. Because of this, Labor MPs supported him, despite the opposition of the union, while the government rhetorically left.

But the odds are muffled. The government is now planning to take away the decisions of an open approach from the Orr to give them a “leading mind” by GBR. The latter would operate a rail network, operate most of the trains and decided whether anyone else would compete with her. This may go through the proposals of application application, but access would be demolished.

Operators who hope could turn to ORR after their plans were rejected, under counseling launched this week, but it would take a long time to reach that phase. After saying to other regulators to increase the risk growth and assumption, it is perverted that the workforce is undermined by a railway regulator that has been advocated for innovation in the private sector.

Alexander is not simply protectionist. Public subsidies for training operators increase from pandemic, reaching £ 4 billion last year: the Government does not want those who support more to lose more. There are also concerns that open access services do not pay the full cost of using the network, although this could be improved.

Nor is every attempt to justify on the rail network. The open approach point is to fill in flaws in innovative ways, such as the planned London to Stirling’s service approved last year. On the contrary, Virgin Trains’ reports for running trains from London to big cities like Manchester and Glasgow feels like a cheeky effort to imitate a rail franchise she lost in 2019.

But the open approach showed his value and embarrassed a long campaign of withdrawing the feet by consecutive governments and transport servants. While paying the lips to the competition, Alexander now wants to get out of the way the regulator has been allowed to flourish. You should think again.

John.gapper@ft.com



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