25 September 2023

SCOTLAND: PS to bid to run rail network

Start the conversation

SCOTLAND

Public sector entities are to be permitted to lodge bids to run ScotRail, the Government in Edinburgh has announced.

The move comes after the Scottish Parliament was given the power to allow public sector bids for rail franchises under the Scotland Act 2016.

Cabinet Secretary for Transport, Michael Matheson said the Government believed there should be a level playing field for the private and public sector in bidding to run the network.

“Identifying a public sector body to make a bid has not been easy,” Mr Matheson said.

“It was vital to consider a range of scenarios as we want to strengthen competition and achieve best value for the public purse, while delivering continuous service improvements.

“It is important for any public sector bidder to have the appetite to bid; the capability and capacity to see the bid through; and the ability and resources to make the franchise a success.”

The ScotRail franchise was currently being run by Dutch State-owned Abellio, which won a 10-year contract, beginning in 2015.

However, the Government can cancel the contract at its halfway point if the firm fails to meet its obligations.

Transport Spokesman for the Opposition, Colin Smyth called on the Government to do just that, citing “growing evidence of poor performance”.

“When the Government handed the franchise to Abellio it said it would be a world leading deal, but the reality for Scotland’s hard-pressed passengers has been anything but, with hikes in fares, overcrowding, delays and stop skipping,” Mr Smyth said.

His view was backed by the transport union, TSSA, which argued that the franchise system should be scrapped altogether.

General Secretary of TSSA, Manual Cortes said that instead of wasting money on consultants to guide them through the franchise process, a directly appointed public body could invest in more staff, better rolling stock and better toilets on the trains.

“The franchise process means passengers pay more and get less,” Mr Cortes said.

Edinburgh, 25 August, 2018

Start the conversation

Be among the first to get all the Public Sector and Defence news and views that matter.

Subscribe now and receive the latest news, delivered free to your inbox.

By submitting your email address you are agreeing to Region Group's terms and conditions and privacy policy.