TOC Revenue Support

[Hojay]

Hey all


Newbie to RailUK here but hoping somebody might be able to answer my question. Can anybody provide further info on DfT revenue support, and which TOCs are:

a. receiving it
b. close to receiving it/want it

I'm aware of the problems at NXEC, and further internet digging has told me that FGW and FCC are getting support and SWT are also looking at it.

Any further info would be appreciated.

 

[First class]

So your basically asking what TOCs are in trouble financially? Most TOCs receive financial support one way or another, so that's not always a sign of problems.

Arriva CrossCountry and National Express East Coast spring to mind.

WSMR have cut back some of its services that are unprofitable. Not always a sign of financial difficulty, particularly with DB behind it.

 

[glynn80]

Hey all


Newbie to RailUK here but hoping somebody might be able to answer my question. Can anybody provide further info on DfT revenue support, and which TOCs are:

a. receiving it
b. close to receiving it/want it

I'm aware of the problems at NXEC, and further internet digging has told me that FGW and FCC are getting support and SWT are also looking at it.

Any further info would be appreciated.

Well at the moment most TOCs receives a subsidy to operate their particular franchise.

In the future the DfT envisages most franchises to make such substantial profits, that they will in fact stop paying those franchisees a subsidy and instead receive a "premium" payment from that franchisee.

South West Trains and National Express East Coast have both signed agreements with the DfT to at various points in their franchise, to pay the DfT a premium for operating their respective services.

This is all in aid of the government policy, for those that are using the railways, to pay for them. This is as opposed to a taxpayer subsided railway.

 

[Metroland]

Although I can see on ongoing conflict with that as the Government do not like the railway operating like a commercial concern, unlike other forms of transport it is seen as a 'service'. The railway is simply not allowed to withdrawn unprofitable off peak services or close little used stations, and many would agree that is just as well.

A report out today, for example said:

'An influential committee of MPs has expressed concern at the "perverse" practice of selling cheaper train fares online.

The Commons' public accounts committee branded the government's support for rail franchises making cheaper fares available on the internet as "unacceptable" in a report out today.

It says that because many do not have access to the internet the concept of Britain's railways as a public service available to all has been "undermined"'

http://www.politics.co.uk/news/transport/mps-signal-cheaper-online-rail-fare-opposition-$1296641.htm

 

[asylumxl]

The MPs want fares to be more expensive. Cheeky sods. It's all just false truths for the sake of profit.

 

[Geezertronic]

The MPs want fares to be more expensive

They don't care, if they use the train they just claim it back on expenses

 

[Snapper]

Hey all


Newbie to RailUK here but hoping somebody might be able to answer my question. Can anybody provide further info on DfT revenue support, and which TOCs are:

a. receiving it
b. close to receiving it/want it

I'm aware of the problems at NXEC, and further internet digging has told me that FGW and FCC are getting support and SWT are also looking at it.

Any further info would be appreciated.

You're referring to the 'cap and collar' agreements in the franchises.

SWT don't qualify until 2011 (and are arguing the details of what it covers with DfT at the moment). IIRC NXEC don't qualify until 2011 either

 

[Mojo]

It has tended to start from three years in to the franchise, which I think is what the dispute SWT are having (ie: when does it start?)

 

[Metroland]

Most up-to-date public info is in National Rail Trends

http://www.rail-reg.gov.uk/server/show/nav.2026

Government support is in table 6, but its difficult to draw absolute conclusions because that would also include support for the CTRL, Cross Rail and many other large investment programmes.

 

[asylumxl]

They don't care, if they use the train they just claim it back on expenses

And adult movies?