UK rail network in trouble

Despite spending hundreds of millions of pounds of taxpayer's money on the privatisation of the UK rail network, the UK government was today forced to take back the East Coast rail franchise as National Express decided enough was enough. While the UK government is trying to paper over the cracks there is no doubt this is a major blow to the privatisation of the UK transport network and will have significant consequences in the years ahead.



Despite millions of pounds of UK taxpayer's money still being pumped into the East Coast rail line, National Express was unable to make the franchise profitable and many believe the service has suffered of late. The UK government is also struggling to make funds available for the UK rail network and the formation of a taxpayer owned company to run the East Coast rail line is a big blow. Not only has the government been forced to take on this non-profitable rail franchise but it will also be forced to fund any rail stock purchases and development in the future.



This move, which was not unexpected, is certain to put more pressure on the remaining UK rail franchises and their owners. Will the unions now push for the UK rail network, and possibly the bus network, to be brought back under government control?