In last week's post Privatisation Profiteers Ride the Rails (at your expense), ANDY FLEMING examined the Tories'
In
the last post in this series he examines why Britain's rail network now the
most fragmented and expensive in Western Europe to both passenger and tax payer
alike, has become a cash cow to train operating companies who reap the
profits, while you and I pay the losses.
Following
the botched privatisation of British Rail in 1994, hopes were high that a
change to a New Labour government in 1997 would see re-nationalisation of this
strategic national asset in a country crying out for an affordable, reliable,
safe and fully integrated environmentally-friendly public transport system.
But
of course we didn’t see any such change. The key was in the word ‘New’. What we
received was just a continuation of Major’s full-baked policies in railways and
elsewhere, just different cronies enacting them. Sure there was the odd left
winger full of bluster who was ready to drop all of their principals, in order
to give the impression that there may be a little socialisation of the economy
but of course it was a mirage. As would become clear following Tony Blair and
George Bush’s illegal Iraq War of 2003, the petroleum industry was still pulling
the strings despite the environmental rhetoric and run-ins with hard working
truck drivers.
This
phoney environmentalism was however a deceitful and duplicitous way of launching
a full scale assault on the motorist with crippling petrol taxes, while simultaneously
John Prescott was announcing an investment in railways so grand that the
Victorians would have been jealous. It was of course all lies. Most of the £30
billion funding for the network announced in early 1999 wasn’t new money at
all, just recycled promises from the last days of Major’s corrupt and sleazy
administration. New Labour were of course masters of lies, dishonesty and
deceit (these grotesque human traits were of course spun as ‘spin’ to the
gullible).
It
was brought home to me one night when BBC Look North carried a visit by Tony
Blair to a primary school in Ferryhill, part of his Sedgefield constituency.
One little girl asked the Prime Minister a fantastic question that deserved a
fully honest answer.
“Please
can you re-open Ferryhill station as there are a lot of people here who can’t
afford cars”, she said.
His
answer would be the reason why I wouldn’t vote Labour ever again,
“I’d
love to be in a position to do it, but it would be just far too expensive”.
It
was clear where this charlatan’s loyalties lay and they certainly weren’t with
his constituents’ needs in a civilised society for even a basic public
transport system. And he certainly couldn’t care less about the environment.
A
stark wake-up call about why voting is a totally pointless activity. In future,
if you ever delude yourself and think that the raison d’etre of elected representatives is to speak up for the
99.9%, re-read the above paragraph. Because although Tony Blair couldn’t find a
pittance in national terms for a little station on the East Coast Main Line at
Ferryhill, he would sacrifice hundreds of thousands of lives and billions of
pounds to conduct his and his sidekick’s illegal war in Iraq. But the railways
aren’t Halliburton, General Electric, Northrop Grumman or Lockheed Martin are
they? They should be there to provide a service for ordinary people. But Blair
of course couldn’t have given a jot about ordinary people. Connections made!
Right
up to the present day it really wouldn’t have made any difference who had been
the government as far as the railways were concerned. A series of appalling
accidents such as Ladbroke Grove and Hatfield on what should have been the
safest mode of land transportation were the real reasons why the hated, inept
and greedy Railtrack was sort of semi-renationalised into Network Rail. While
executives such as Gerald Corbett were trousering a fortune, basic maintenance
of points was being cut and neglected and broken rails had turned up across the
network. Train protection technology in which our continental neighbours had
invested but we had not meant that Signals Passed at Danger (SPADs) were a
frequent issue.
Train
Operating Companies (TOCs) eager to cash in on this house of cards, came and
were then forced to hand the franchise keys back either for appalling service,
lack of investment or because the railway was not the cash cow it had first
appeared. Remember names such as Connex, MTL/ Spirit, Arriva Trains Northern,
or Great North Eastern Railway (GNER)? The latter returned the keys to the
State not due to the rail business – it had after all inherited a newly
electrified ECML and new electric Class 91 locomotives on what was the UK’s
premier route. It left the business because its parent company Sea Containers
went belly-up. National Express couldn’t hack the franchise either so out of
desperation, most of the Inter City traffic on the route has been run at
increasing profit by East Coast. But guess what? East Coast is a nationalised
franchisee now being primed for yes, you guessed it – privatisation.
Who
is making the money from this privatisation for privatisation’s sake? Well it
certainly won’t be the taxpayer, who just as in the case of the banks is the
victim once more of the privatisation of profit and socialisation of losses. It
will no doubt be city investors, the banks and pension funds – oh, I nearly
forgot to mention no doubt some of their friends in politically low places.
For
the last thirty years I have opposed the privatisation of strategic state
industries for a plethora of reasons. Some of these have been social, some
political and some for economic or practical reasons. In the case of the
railways I see no benefit whatsoever to the travelling public after two decades
of privatisation. Infact, many commentators estimate that the cost of the
railway in real terms to the Exchequer is up to six times more than it would
have been under British Rail. Sure, there has been investment in infrastructure
and rolling stock – there had to be because the railways had been so run down
after decades of neglect under both Labour and Tory governments.
However,
there has been little investment in regional rail exemplified by the decrepit
network in north east England with a history of uninspiring franchisees. Open
access has provided opportunities for some innovative companies such as Grand
Central (unfortunately now bought out by Arriva), and Hull Trains, but there
has been little movement to increase electrification route mileage. Reopening
of lines or stations, very popular amongst the electorate, has become so
hideously expensive under the privatised railway that few routes are being
resurrected. Most of the main exceptions are in Scotland whose quite pro-rail
parliament has sanctioned the re-opening of part of the Waverley Route to
Galashiels and the Borders whose closure was so short-sighted under Labour’s Barbara
Castle in the late sixties.
Privatisation
is a political red herring and always has been; it's just a right wing ideology designed for the negative redistribution of wealth from the 99.9% to the rich elite. The state versus free enterprise debate is sterile.
Because what matters is not who the shareholders are, but if the organisation itself
has any competition. And whether private or public the railway has very little.
If you don’t like overpriced and unattractive rail travel, then how does the
alternative appeal to you – the worst maintained and congested road infrastructure
in Europe. Hardly a more appealing option.
And
there’s the thing on ticket prices and monopolies. The railway still operates
under laws of economics from a parallel universe. In most industries, as sales
increase a company grows and increases capacity. Not so in the rail industry.
How many times have you travelled on an over-crowded and what should be illegal
train, thinking to yourself why don’t they build more carriages? In most industries, demand would indeed be met
by increased production. In the Alice in Wonderland economic world of Britain’s
railways the answer is, and has been since the sixties to choke off demand by
raising ticket prices. The effect: more individuals forced back into cars which
has been the supposed antithesis of government policy over the last twenty
years. It’s called non-joined up thinking.
As
I stated in part one of this series of posts, the British have always loved
railways. It’s not surprising as Britain was the country of their birth,
Stockton-on-Tees, where I write this, part of their very cradle. But we have always
hated the people who have mis-managed them on our behalf. It doesn’t matter
whether that has been a civil service department or a bunch of private rail
operators cashing in on the money merry go round and blame culture of our
fragmented railway network. A monopoly is a monopoly after all, there’s just
the sniff and price of more corruption in a private industry where there’s
billions of pounds of public cash being mis-spent under the instructions of
bent politicians and a castrated Office of Rail Regulation.
Having
said that both private and public monopolies are bad the clincher for me in
saying “bring back British Rail” is this - the six-fold increase in subsidy in
real terms for the private railway.
Now,
which political party in believing their own rhetoric, said privatised railways
would be much more efficient than the state monolith that was British Rail? The
Tories. After twelve years in power and with all of the above evidence
available to them said it would be too expensive to re-nationalise the rail
industry? New Labour.
More
evidence, if you needed it, as to why voting is a waste of time.
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