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South Western Railway to become first train operator nationalised under Labour

The UK’s Labour government will nationalize three train services currently run by the private sector, the start of a plan to take the industry back into public hands.

South Western Railways, which provides one of the biggest commuter services into London, will be the first franchise returned to state control when its contract ends in May.

As part of a comprehensive programme of renationalisation, the service will come under public ownership in May

Gwyn Topham Transport correspondentWed 4 Dec 2024 00.00 GMTShare

South Western Railway will be the first train operator nationalised under the Labour government, ministers have announced.

One of the UK’s biggest commuter services, which operates out of London Waterloo, it will be taken into public hands in May.

SWR is run as a joint venture between First Group and MTR, the Hong Kong rail operator.

The decision spells a more cautious timeline for renationalisation under new transport secretary Heidi Alexander than envisaged by her predecessor, Louise Haigh, who resigned last week.

SWR will be the next to be brought under the control of the Department for Transport’s operator of last resort, DOHL, when its contract ends in May

Two of the East of England’s rail operators will be among the first to be taken back into public ownership, following a recent change in the law.

The government said c2c, which runs services in south Essex, would be renationalised in July, and Greater Anglia, which runs trains to Stansted Airport and London Liverpool Street, would follow in the autumn.

Transport Secretary Heidi Alexander said “our broken railways are finally on the fast track to repair”, adding that ending the use of private operators would lead to a better service for passengers.

Greater Anglia said it would work to ensure a “smooth transition” and c2c said it would remain “committed to our customers”.

The Passenger Railway Services (Public Ownership) Act is one of the first pieces of legislation to be taken through Parliament by the new government.

It allows ministers to take rail companies back into public ownership when their existing contracts expire.

With Greater Anglia’s original contract already expired but on a discretionary extension and c2c’s ending next July, it was always expected that the two companies would be among the first to be renationalised.

The two companies will follow South Western Railway in returning to public ownership during 2025.

Some have criticised the plans, arguing that public ownership will not make much difference unless it is paired with investment in the railways.

Labour MPs in the region, however, have welcomed the news.

Alice MacDonald, the MP for Norwich North, said: “The trains aren’t working for people and that’s what we need to change. Ultimately, what this will mean is a better service for customers.”

Jen Craft, Labour MP for Thurrock, added: “As a frequent commuter on c2c, I’m really pleased that this will be one of the first franchises to be brought into public ownership.

“This move will deliver better value for money for taxpayers and passengers alike, and put passengers like myself and many of my constituents at the heart of decision-making on the network.”

Alexander said: “For too long, the British public have had to put up with rail services which simply don’t work. A complex system of private train operators has too often failed its users.

“Starting with journeys on South Western Railway, we’re switching tracks by bringing services back under public control to create a reliable rail network that puts customers first.

“Our broken railways are finally on the fast track to repair and rebuilding a system that the British public can trust and be proud of again.”

LNER has been run by DOHL – shortly to be renamed DfT Operator Limited – since the Virgin East Coast franchise collapsed in 2018, while Northern, Southeastern and TransPennine followed under the Conservative government.

‘Smooth transition’

There will be a transition period of a couple of months around each transfer, to avoid any adverse impact on passengers.

A spokesman for Greater Anglia said: “We look forward to working with the Department for Transport and ensuring a smooth transition to public ownership.

“Train services, timetables and station facilities will be unaffected by this announcement, with no changes to ticket validities or conditions of carriage.”

The managing director of c2c, Rob Mullen, said: “This does not create a change in focus for the team at c2c; we remain committed to our customers, communities and colleagues.”

The contracts for Thameslink, Great Northern and East Midlands Trains are also due to expire within the next two years and are likely to be next on the list for renationalisation.

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