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Sunday, 11 March, 2001, 17:24 GMT
Railtrack 'to be sidelined'
Railtrack handles track maintenance and renewal
Railtrack handles track maintenance and renewal
Railtrack's role in the future development of Britain's rail network is under question, as the Strategic Rail Authority (SRA) prepares to announce the biggest shake-up in the network since privatisation.

According to reports in a Sunday newspaper, SRA chairman Sir Alistair Morton wants to withdraw rail investment from Railtrack to ease financial pressure on it.

Meanwhile, National Express is expected to call for Britain's train operators to take over the running of large parts of the network.

The company, which operates some of the UK's busiest routes including WAGN, Gatwick Express and Midland Mainline, is understood to have lost patience with Railtrack's lack of strategic direction.

Passenger numbers

At present Railtrack's role is split equally between track renewal and track maintenance.

But according to The Sunday Times newspaper, The SRA wants investment in new track to come from other private-sector companies in future, effectively reducing Railtrack to a track maintenance group.

Sir Alistair's �60bn plan for the future of the railways is expected to be published on Tuesday.

The report is meant to pave the way for a predicted 50% increase in passenger numbers over the next 10 years.

Sir Alistair is also expected to consult the train operators on their proposals for the network.

An SRA spokesman said: "(The report) will set out what we see as the priorities for the rail network over the next 10 years, including details on specific schemes and how we see these improvements being achieved,"

National Express

National Express chairman Richard Brown is expected to call for passenger franchisees to take control of tracks and signalling from Railtrack.

He wants the train operators to form a single organisation for investment and management of the infrastructure.

He is expected to make his call on Monday at the launch of a campaign by Transport 2000 for a national debate on the future of the railways.

The Rail Passengers Council is expected to urge that Railtrack be split into regional units with train operating companies and local government officials holding seats on the board in the regions.

While Railtrack would still own the assets, under the proposals more power would be given to the operating companies on 20-year contracts.

South West Trains

In February, Stagecoach - which runs the South West train franchise - announced plans to pump its own money into upgrading track on routes into London.

The company wants to invest �3.5bn in South West Trains, with �1.5bn to be spent immediately on new trains.

A further �1.3bn will go towards improving infrastructure, including upgrading of track and redeveloping London stations Clapham Junction and Waterloo.

South West Trains chairman Graham Eccles said he saw no reason why other operators should not pay for improvements where Railtrack was unwilling or unable to do so.

The train operator faces competition for the West Coast franchise from East Coast Mainline operator GNER and First Group.

Railtrack

Railtrack said it would welcome schemes for alternative methods of investment in the ailing rail network.

"We have said in the past we welcome plans to bring in firms with other skills and extra investment to enhance the network and we look forward to working with them." a spokesman said.

Railtrack has been financially crippled by the effects of a raft of disasters, in particular a crash at Hatfield, north of London, in October, in which four people died.

As a result of the crash, which was caused by a badly damaged track, Railtrack put in place a nationwide emergency review and repair programme of some 430 miles of track, causing widespread disruption to millions of rail travellers.

Train operators have indicated they may seek compensation from Railtrack for the disruption caused to their services.

Railtrack - which is a privatised company but receives government subsidies - has asked the rail regulator for an advance on a �1bn grant it was due to receive in 2006, to help it cope with the infrastructure costs.

Tuesday's report will be a prelude to the SRA's Strategic Plan, which is due later in the year but cannot be finalised until issues, such as Railtrack funding arrangements and the implications of inquiries into previous fatal rail crashes at Ladbroke Grove and Southall, have been resolved.

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See also:

08 Feb 01 | Business
Rail franchises running late
04 Jan 01 | UK Politics
Railtrack 'U-turn' attacked
13 Dec 00 | UK Politics
Prescott: Rail delays up to Easter
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