Abstracts » Retail industry

The wrong kind of privatisation

Article Abstract:

The basic aim of rail privatisation is to save money. The Treasury has underinvested in British Rail (BR) to keep the balance sheet as reasonable as possible. BR was not permitted to accumulate debts but passengers pay for high productivity with high fares and poor services. BR could not take advantage of potential growth and lost passengers. The private sector is only interested in running profitable businesses, but most BR franchises will rely on subsidies.

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Rolling stock faces last siding

Article Abstract:

The majority of British Rail (BR) investment in 1992 is connected with the Channel tunnel. BR chairman Sir Bob Reid states that existing services need 1 billion pounds sterling a year to operate. The railway industry faces destruction because of the lack of orders for new rolling stock and signalling contracts. The first private franchises should begin in Apr 1994 but they will not place orders until they have seen how their business is going.

Rolling stock (Railroads), Railroad policy, Railroads and state

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Leaves on the MacGregor line

Article Abstract:

The bill about the privatisation of British Rail was published on Jan 22, 1993. It is not detailed. Railtrack would manage the track and signalling and lines would be franchised to private operators. The proposals do not seem suitable for obtaining a better service through competition and private investment. The subsidy could be paid directly to Railtrack to decrease the marginal cost of running trains and encourage use.

Transportation, Privatization, Privatization (Business)

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