No, it's not the state being run like a private corporation. It is quite simply "the man in Whitehall" deciding that he knows better, and the financial regime for the railways meaning that he has veto power because no operator can afford to take the risk of funding a long term investment without guarantees.That is truly, truly awful. One of the things that you can see being a rail enthusiast is that the British State is not there to make the population’s lives easier, it’s run like a private corporation of some sort - and you can’t vote to change it!It's even worse when you consider that Virgin were allegedly prepared to finance the extension of the remaining 21 nine-coach units, yet the DfT blocked it. If this is true then it's yet another example of the civil service making a poor micromanaging decision instead of letting the actual industry management run the railway. Whatever you may think of them, Virgin actually seemed very good in situations where they actually had proper control.
And as for voting, the point is that these are civil servants operating under ministerial authority - ministers can and do overrule civil servants on spending decisions.