Farewell, GWR?

[whole diary]

[TonyK]

The Sunday Times Business and Money section has an article headed "Rail network overhaul to bring strike-hit Southern into line". Included in that is a statement that DafT officials are "also considering splitting the Great Western route, which runs between London and south Wales". The article suggests that GWR^▸ (Great Western Railway) could be split between regional and inter-city services.

My initial thought is "Why?"

[ChrisB]

Because of the difficulty finding bidders for mega-franchises.

From the article - "Train companies are also wrestling with an unexpected fall in passenger numbers.

This is eroding the finances of several franchises and putting off potential bidders. Ministers are also trying to counter Labour’s popular pledge to renationalise train companies.


Officials are understood to have discussed reducing bidders’ risks on franchises at the private meeting held in a London hotel last month.

Under controversial proposals the government could pay train companies if their revenue undershoots forecasts — but insist on close financial monitoring.

Breaking up big rail franchises into more manageable chunks would also mean bidders have to stomach less risk.

There's a link here with a pass through.

Mods, remove this line if you consider its wrong to post such links on a subscriber-only webpage.

[Timmer]

Should never have been joined in the first place. The West regional routes have always been the poor relation of this franchise because it probably doesn't make much money for the franchise holder. Sure Wessex Trains wasn't a great franchise but it was better than what we have had to put up with since 2006.

[ChrisB]

The DfT^» (Department for Transport - about) wanted to save money. Wessex couldn't work on its own without (big) subsidy - roll it into FGW^▸ (First Great Western)/GWR^▸ (Great Western Railway) and no subsidy needed for those services.

[ellendune]

With Crossrail doing most of the Reading Padington Stoppers I presume they won't try and reinvent Thames Trains.

[JayMac]

Here's just hoping that, whatever the shape and scope of the next franchise, it's not FirstGroup running it.

[Fourbee]

With Crossrail doing most of the Reading Padington Stoppers I presume they won't try and reinvent Thames Trains.

Previous incarnations still live on in the depths of the internet:
https://web.archive.org/web/20040101002843/http://www.thamestrains.co.uk:80/
https://web.archive.org/web/20041106085812/http://www.thamestrains.co.uk:80/

[Tim]

The DfT^» (Department for Transport - about) wanted to save money. Wessex couldn't work on its own without (big) subsidy - roll it into FGW^▸ (First Great Western)/GWR^▸ (Great Western Railway) and no subsidy needed for those services.

yes, but the overall cost to the DfT is the same regardless of whether the cross subsidy is visible or hidden within a single company.  There is an argument that not hiding it will focus the minds on reducing it. 

The problem is that no Government has ever really been able to decide if they want integration or competition.  Hence, flip flopping all over the place. 

[Timmer]

It’s becoming clear there just isn’t the money to be made in running the railways hence we are seeing bidders walking away not submitting a bid. Not only that the strife companies are having to face with the unions.

How much longer will it be before Stagecoach hand back the keys to the East Coast franchise?

[Chris from Nailsea]

Train companies are also wrestling with an unexpected fall in passenger numbers.

Eh??  Where's that happening??   

Ministers are also trying to counter Labour’s popular pledge to renationalise train companies.

That's the Labour Party's firm commitment now, when they are in Opposition, compared with their rather more watery commitment to the idea when they were in Government, with a substantial majority, for the ten years 1997 to 2007.

Hmm.  Time will tell.  Unfortunately, in the meantime, any real progress in developing the UK^▸ (United Kingdom) rail system is ... well, suspended, somewhat. 

[Trowres]

Train companies are also wrestling with an unexpected fall in passenger numbers.

Eh??  Where's that happening??   

Not a full answer, but interesting nevertheless:
http://orr.gov.uk/__data/assets/pdf_file/0006/25719/passenger-rail-usage-2017-18-q1.pdf

[Chris from Nailsea]

London and South East maybe - and even there it was down by only 3.1% - but that's not our general experience down here in the South West. 

[devonexpress]

Here's just hoping that, whatever the shape and scope of the next franchise, it's not FirstGroup running it.

First Group might not be the holy grail, but they are lot better than the mess some other franchises are in East Coast, TSGN for example?

[Timmer]

Here's just hoping that, whatever the shape and scope of the next franchise, it's not FirstGroup running it.

First Group might not be the holy grail, but they are lot better than the mess some other franchises are in East Coast, TSGN for example?

Might want to hold that thought. I keep seeing in various places that things aren’t too great at Transpennine Express either.

[TonyK]

How much longer will it be before Stagecoach hand back the keys to the East Coast franchise?

You prophet, you!