GBR to be in Kings Speech, 17 July 2024

[whole diary]

[ChrisB]

GB^▸ (Great Britain) Railways legislation will be in the King's speech on July 17th I'm told.

[edit] - added to calendar - grahame

[Electric train]

GB^▸ (Great Britain) Railways legislation will be in the King's speech on July 17th I'm told.

I agree.  At an on-line routine internal briefing form directors last week the conversation included GBR^▸ (Great British Railways) legislation being part of a future Government agenda.

Listening to the post election commentary of most of the political main media commentators is the Labour party have been holding regular discussions with Civil Servants, NHS, Network Rail, RDG^▸ (Rail Delivery Group, or Reading station, depending on context), MOD etc since January are very prepared for Government.

GBR will have prepared the information for the new Railway Act for either a Conservative or Labour win both will have shared with GBR what their policy is; there will still be detailed work to do for the Act

[grahame]

I have split this topic off from the "General Election" thread (here) - so important that it shouldn't get lost in the election stuff. We are now on to the real work of a new government.

[grahame]

From the BBC^» (British Broadcasting Corporation - home page)

Legislation will see the establishment of Great British Railways, and bring train operators into public ownership - something the party has pledged to do within five years.

"My ministers will bring forward legislation to improve the railways by reforming rail franchising, establishing Great British Railways and bringing train operators into public ownership," the King says.

There are also plans to roll out "greater devolution" of decision making to metro mayors and combined authorities in England, give local leaders power over bus services, as well as work to "strengthen" Westminster's relationship with the Scottish, Welsh and Northern Irish governments

[grahame]

Rail News, prior to the formal speech which was widely expected, wrote a nice history of franchising

Private Train Operators brace for royal dismissal

His Majesty the King is expected to give contracted private passenger train operators their notice today, as he presents the government’s legislative programme in the House of Lords following the Labour landslide in the general election on 4 July.

It has been reported that the King’s Speech will include 35 bills, one of which will create the new ‘directing mind’, Great British Railways. GBR^▸ (Great British Railways) will have the power to take control of the present National Rail Contracts when they expire, reach a break point or are terminated early for breach of contract.

The end of the line for the remaining private sector contracts will be formally announced more than 28 years since the first franchises were awarded in December 1995, as part of railway privatisation under John Major’s Conservative government.

Since then a total of 97 passenger contracts have been launched, suspended, terminated early or been allowed to run to their full term. Nearly all were controlled by the private sector.

The first franchises to take over from British Rail were First Great Western and South West Trains, which both started on 4 February 1996. The last franchise to be launched was Avanti West Coast, on 8 December 2019, when it replaced Virgin Trains West Coast.

[JayMac]

Small correction to that article. The original franchisee from February 1996 for services from London to Wales and the West was Great Western Trains (GWT). This became First Great Western in December 1998 when FirstGroup bought out the other GWT shareholders.

[TaplowGreen]

Rail News, prior to the formal speech which was widely expected, wrote a nice history of franchising

Private Train Operators brace for royal dismissal

His Majesty the King is expected to give contracted private passenger train operators their notice today, as he presents the government’s legislative programme in the House of Lords following the Labour landslide in the general election on 4 July.

It has been reported that the King’s Speech will include 35 bills, one of which will create the new ‘directing mind’, Great British Railways. GBR^▸ (Great British Railways) will have the power to take control of the present National Rail Contracts when they expire, reach a break point or are terminated early for breach of contract.

The end of the line for the remaining private sector contracts will be formally announced more than 28 years since the first franchises were awarded in December 1995, as part of railway privatisation under John Major’s Conservative government.

Since then a total of 97 passenger contracts have been launched, suspended, terminated early or been allowed to run to their full term. Nearly all were controlled by the private sector.

The first franchises to take over from British Rail were First Great Western and South West Trains, which both started on 4 February 1996. The last franchise to be launched was Avanti West Coast, on 8 December 2019, when it replaced Virgin Trains West Coast.

The existing franchisees will do little more than keep the lights on for the remainder of their term, knowing that there's no prospect of renewal, and no incentive to improve or perform beyond the contractually specified minimum.

The short term, until all these "nationalisation" plans are put in place may well be pretty grim, with no guarantee of things improving when back in public ownership.

[ChrisB]

So, franchise expiry dates now are -
Greater Anglia - 15 September 2024
West Midlands Railway / London Northwestern Railway - 15 September 2024

ThamesLink / Southern / Great Northern - 1 April 2025
Chiltern Railways - 1 April 2025
South Western Railway - 5 May 2025
GWR^▸ (Great Western Railway) - 22 June 2025
C2C - 20 July 2025

Avanti West Coast - 18 October 2026
EMR^» (East Midlands Railway, also known as EMT^» (East Midlands Trains - about) (East Midlands Trains - about) - 18 October 2026

XC^▸ (Cross Country Trains (franchise)) - 15 October 2027

[TonyN]

So, franchise expiry dates now are -
Greater Anglia - 15 September 2024
West Midlands Railway / London Northwestern Railway - 15 September 2024

ThamesLink / Southern / Great Northern - 1 April 2025
Chiltern Railways - 1 April 2025
South Western Railway - 5 May 2025
GWR^▸ (Great Western Railway) - 22 June 2025
C2C - 20 July 2025

Avanti West Coast - 18 October 2026
EMR^» (East Midlands Railway, also known as EMT^» (East Midlands Trains - about) (East Midlands Trains - about) - 18 October 2026

XC^▸ (Cross Country Trains (franchise)) - 15 October 2027

Cross Country could do rather well out of that After Oct 26 theirs will be the only app you can buy tickets on without paying extra commision.

[IndustryInsider]

The existing franchisees will do little more than keep the lights on for the remainder of their term, knowing that there's no prospect of renewal, and no incentive to improve or perform beyond the contractually specified minimum.

There’s an argument that all they’ve been doing is keeping the lights on anyway, so I don’t see much difference to be honest. 

The holders of the NRC’s have pretty much all had their terms extended whether shockingly bad or quite good.  The only exception I can think of is TPE^▸ (Trans Pennine Express)…and there’s an argument that was just about the DfT^» (Department for Transport - about) flexing their muscles.

[ChrisB]

If you were a TOC^▸ (Train Operating Company), why wouldn't you hand back your keys early? Is it really worth the paltry management fee when you can see the end anyway?

[ChrisB]

It'll also be interesting to see which/whose free priv passes survive this exercise - especially ones that are operator-specific (First, for example)

[eightonedee]

If you were a TOC^▸ (Train Operating Company)▸ , why wouldn't you hand back your keys early? Is it really worth the paltry management fee when you can see the end anyway?

Well, here's a few reasons why you might not -

1 - If these are fixed term contracts without a break clause for the TOC, so no legal right to do so, if they tried to "walk off the job" they would expose themselves to liability the remedy for which might be specified in the agreement, or which might be damages awarded by arbitration or the courts.

2 - The operators are part of larger public transport companies, who will still want to tender for new agreements throughout the world (or where they chose to bid). A previous instance of a group company walking away from its obligations will not improve its chances of winning new agreements

3 - A termination in breach may be an "event of default" under other contracts entitling the counter-party to them to terminate, or may breach group banking covenants, entitling a bank or financial backer to withdraw its support.

[Electric train]

If you were a TOC^▸ (Train Operating Company), why wouldn't you hand back your keys early? Is it really worth the paltry management fee when you can see the end anyway?

There will be no surprises at the TOC's on the Labour Government approach,  GBR^▸ (Great British Railways) have been in dialogue with Labour (and the Conservatives) over the last 6 months; GBR enabling team is made up across the industry.  Remember there will still be concession and management contracts to operate train services, Labour are not bring British Rail back.

It'll also be interesting to see which/whose free priv passes survive this exercise - especially ones that are operator-specific (First, for example)

Network Rail staff recently became able to have "priv rate" travel as part of last years pay deal, so "priv travel" is not dead, once the future rail industry structure is known I am sure the RDG^▸ (Rail Delivery Group, or Reading station, depending on context) will have a staff priv travel arrangements, as for the operator specific ones will survive as routes / services specific ............. after all BR^▸ (British Rail(ways)) safe guarded travel is still around (I make use of it every day to get to work)

[TaplowGreen]

If you were a TOC^▸ (Train Operating Company)▸ , why wouldn't you hand back your keys early? Is it really worth the paltry management fee when you can see the end anyway?

Well, here's a few reasons why you might not -

1 - If these are fixed term contracts without a break clause for the TOC, so no legal right to do so, if they tried to "walk off the job" they would expose themselves to liability the remedy for which might be specified in the agreement, or which might be damages awarded by arbitration or the courts.

2 - The operators are part of larger public transport companies, who will still want to tender for new agreements throughout the world (or where they chose to bid). A previous instance of a group company walking away from its obligations will not improve its chances of winning new agreements

3 - A termination in breach may be an "event of default" under other contracts entitling the counter-party to them to terminate, or may breach group banking covenants, entitling a bank or financial backer to withdraw its support.

Exactly these reasons, particularly number 2 - been in the position myself several times when working in R & M, where we were the incumbent but were unsuccessful in a reprocurement exercise - it's also (should be) a matter of corporate and individual pride and integrity to sustain the service to the end in these circumstances rather than handing back the keys and is generally taken into account by potential future clients/customers.

As for "priv rate" travel for rail staff, can't see why that should be stopped, but it should be taxed like many other similar employee benefits (if it isn't already).