Labour is accused of recklessly ‘dashing by way of’ railways laws

Labour has been accused of recklessly ‘rushing through’ legislation to renationalise the railways.

Last night, the Passenger Railway Services Bill was waved through the Commons by MPs, which – if it becomes law – would see privatised services renationalised when contracts expire or if operators fail to fulfil their commitments.

But it came just hours after new figures revealed state-owned train operators are less likely to be on time and receive far more complaints than private train companies.

Ministers have claimed the legislation will save taxpayers up to an estimated £150million every year in fees that are currently paid to private train companies.

But senior Tories said that DfT OLR Holdings Limited (DOHL) – the body set up by the Department for Transport which currently operates four rail franchises – has a ‘mixed’ record and was not ready to take on more lines.

Tory transport spokesman Helen Whately (pictured) claimed that ministers were ‘rushing through the ideological reworking of our rail system’

Transport Secretary Louise Haigh (pictured) said: ‘I am firing the starting gun on the biggest reforms to our railways in a generation’

Ministers have claimed the legislation will save taxpayers up to an estimated £150million every year in fees. (Pictured, an Azuma rail LNER train at Kings Cross Station)

Data from the Office Of Rail And Road shows that train firms run privately had an average annual on-time rate of 64.36 per cent, compared with state-run companies’ average of 57.7 per cent.

State-run franchises in England – London North Eastern Railway, Northern, Southeastern and TransPennine Express – faced 19,317 passenger complaints in 2023/24 – 5,633 more than their private counterparts.

Tory transport spokesman Helen Whately claimed that ministers were ‘rushing through the ideological reworking of our rail system despite the absence of evidence to back up their approach’. She told the Commons yesterday: ‘There is no good reason for this to be raced through in one day rather than through a normal Bill committee, which would allow proper time for discussion for such a substantial and significant change.

‘In their haste, this Bill takes a one-size-fits-all approach, pulling the plug even on the best train operating companies despite the mixed record of the Department for Transport when it comes to the ones they run already.

‘The Bill lacks any controls or incentives to reduce the risk to taxpayers and passengers of increased costs, and we can say the same for performance – where are the incentives in this Bill to improve that or the protections for passengers should performance worsen when [Transport Secretary Louise Haigh] is at the controls of our trains?’

Ms Whately added that DOHL was not equipped to take over further firms, adding: ‘DOHL has had mixed results with the franchises it has already taken over.’

Yesterday the Government launched Shadow Great British Railways, a new body that brings together leaders from the Department for Transport, Network Rail and publicly owned operators with the aim that it eventually becomes a national rail service called Great British Railways. 

Ms Haigh said: ‘I am firing the starting gun on the biggest reforms to our railways in a generation. I am determined to end the chaos, delay and disruption faced by people on train journeys every day.’

A Downing Street spokesman said: ‘We will not be making apologies for wanting to make progress on these important reforms, which will deliver better services.’