WIREDGOV

The CBI commented on the Labour Party Policy Forum’s proposals on railways 

Katja Hall, CBI Deputy Director-General, said:

“The franchise system has delivered significant investment in our rail network and a more efficient service for passengers.

“It’s vital that we have a system that continues to drive down costs and improve performance, underpinned by a fair bidding process based on merit.  Every bidder must compete on those terms.

“But let’s not forget that the bidding process costs money – up to £10m per franchise – and all bidders must foot this bill. When the current system is already delivering well for passengers, there are legitimate questions about the potential cost to taxpayers involved in Labour’s proposals.”