This is becoming a very interesting discussion, and one that merits much more debate.
It is starting to become obvious that the rail network in the North might suffer over the next few years, with less short to medium term investment in rolling stock & reduced subsidies for rail companies here. All of which could well lead to higher fares, and the risks of service reductions to boot. Some may argue that because the main bulk of the UKs business is located in the South East then this is fair. After all why should they have to subsidise the rest of the country?
However, this is a rather simplistic view and largely ignores the fact the S/E by & large enjoys higher wages, a better quality of life & lower unemployment. The only way that any kind of economic balance can be made is to invest in the infrastructure of the rest of the country, which for the North of England includes the Northern Hub works planned. Businesses will not look to create new centres away from London if the logistics of moving staff, goods & services are viable which at the moment could be argued that they are not. Many of the major arteries around the Norths big towns & cities are regularly clogged, and the capacity on buses & trains is below what is needed & with precious few opportunities to move large amounts of freight around. And cuts or large increases in costs on the rail network may only serve to worsen this problem.
You might argue that there is no need to change things, after all the S/E does very well for the rest of the country doesnt it? Well no actually, because much of the wealth generated doesnt make it outside of the radius of the M25 so in real on the ground terms, there is a huge imbalance that I hope one day a government will be strong enough to tackle. But sooner or later London & the S/E will grind to a halt. You can build all the skyscrapers & dig all the tunnels you like, but the amount of space to locate businesses & more importantly the space to move people & logistic around is finite. So investing in the North, and elsewhere in the nation is the right thing to do.
Sadly I suspect politics are starting to take over right now. With the spectre of a general election on the horizon, and a ruling (sort of) party not really gaining any more support, they are giving the impression of abandoning the areas where the feel they cannot win. So areas served by companies like Northern & TPE might seem like legitimate targets to introduce cuts, whilst the investment will be moved towards companies that better serve the heartlands of their support. Its a disheartening picture thats being drawn.
Ive already asked the question elsewhere without response so far, but if there are subsidy cutbacks, along with higher fares / charges over the next couple of years before the Northern Hub works start to have a wide impact, what will this do for the two franchises up for grabs? Personally speaking I worry that this is making them look less attractive & might end up with a below par service being offered up post 2016, regardless of infrastructure improvements.