Thursday, 24 July 2014
masthead+quote+image
Advanced search

Government sells rights to operate high-speed railway

The government announced yesterday that it has begun the sale of rights to operate ’High Speed 1’, Britain’s first high-speed railway.

The 68-mile line links London to the Channel Tunnel, as well as stations including St Pancras International, Stratford, Ashford and Ebbsfleet.

The successful bidder will become the owner of HS1 Ltd, which has a 30-year concession to run the line and stations.

HS1 Ltd receives revenues from track access charges paid by train companies using the line. According to a statement from the Department for Transport, a key objective for the future owner will be to try to attract onto the line new services, serving new destinations.

‘The money generated by this sale will make an early significant contribution to the crucial task of reducing the public sector debt,’ said transport secretary Philip Hammond. ‘The government does not have to run everything directly – we need to take prompt action where private enterprise can provide both a better deal and a superior service to the public.’

High Speed 1 is currently used by international Eurostar services between London and European destinations as well as domestic high-speed services between London and Kent.

Following the sale, the performance of HS1 Ltd will be independently policed by the Office of Rail Regulation.


Readers' comments (3)

  • A sweepstake should be set up to guess how many times the contract will be sold on, making a profit every time, before being bought by a conglomerate with no knowledge of railways, whose aim will be to extract as much profit for as little maintenance as possible.

    Unsuitable or offensive? Report this comment

  • Does this mean the end of subsidies for the train operators? We seem to be paying the shareholders of these private companies more than we paid to support British Rail despite the spiralling way-above-inflation travel and freight costs. If this doesn't work, surely it's time to re-nationalise them?

    Unsuitable or offensive? Report this comment

  • Why does this debate always come down to polar opinions? Privatise Vs Nationalise?

    There must be a way of structuring the railways to foster competition and improve services simulataneously without costing the earth?

    Surely these is some synthesis for these opposing view points?

    Unsuitable or offensive? Report this comment

Have your say

Mandatory
Mandatory
Mandatory
Mandatory

My saved stories (Empty)

You have no saved stories

Save this article

Digital Edition

The Engineer July Digi Issue

Poll

Should deepening tensions with Russia - and concerns over the impact of economic sanctions - influence the UK's energy policy?

Previous Poll

Europe's largest tidal array in the Pentand Firth off Orkney will eventually generate up to 86MW of power. What will it take for tidal energy to make an appreciable contribution to the UK's energy needs?

Read and comment on the results here