New East Coast franchise will squeeze passengers, warns RMT

Date: 
10 Dec 2007

Caribbean flights now cheaper than train to Inverness, says union
THE SQUEEZE on East Coast mainline rail passengers will continue with a vengeance when National Express takes over the franchise on Sunday thanks to the government's dogmatic refusal to abandon the failed franchise system, Britain's biggest rail union says today.

As the transport privateer prepares to take over the franchise that collapsed under its previous operator, Sea Containers, RMT revealed that it had found return flights to the Caribbean cheaper than a standard open return from London to Inverness (see below).

Increases of more two per cent above inflation on unregulated fares every year for eight years are built into the new East Coast franchise, under which the Treasury hopes National Express will pay more than £1.4 billion in premiums.

The union warned that it would resist any attempt to make its members pay for the 'ludicrous' franchise agreement with their jobs, pay or conditions.

"GNER's collapse under Sea Containers jeopardised jobs and services on one of our key spinal railways, but the government is refusing to learn the lesson that franchising won't deliver the railway we need," RMT general secretary Bob Crow said today.

"The environment is crying out for a rail network that is affordable and encourages people out of their cars and onto trains, but the new East Coast franchise will deliver the opposite.

"An open standard return to Inverness from King's Cross could already cost you £298, and you could fly out to Antigua for £2 less, even including fuel and passenger duty.

"Add eight years' worth of inflation-busting increases onto that and the Caribbean will be even cheaper by comparison.

"The Transport Select Committee has highlighted the nonsense of a set-up in which private operators keep siphoning profits, shoulder almost no financial risk and get to walk away when it all goes wrong.

"The government has absolutely no incentive to make rail fares fairer if they're hoping for a share of National Express's spoils - and if they've got their revenue sums wrong they'll be using even more public money to shore the franchise up.

"The franchise system is a mess and has to go, and we give fair warning that we will resist any attacks on our members' jobs, pay and conditions," Bob Crow said

ends

Notes to editors:
XL Airways fly return from London to Antigua for £190, once fuel supplement, air passenger duty and credit fee is added the total cost is £296.00
Source: XL Airway website on 7.12.07

Standard open return fare London to Inverness is £298.00
Source: GNER website, 7.12.07

The distance between London and Inverness is 448 miles

The distance between London and Antigua is 4,077 miles

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