What privatisation?

One of the worst pieces of privatisation ever embarked on by a government was the Railways Act 1993 under John Major. It was a complex piece of legislation and opposed by just about everyone - including the Labour party. They disliked it so much they promised to renationalise the railways when they got in and the Tory MP and chairman of the Transport Committee at the time, Robert Adley, described it as the "poll tax on wheels". In 1997 Labour swept to power (as everyone describes it), John Prescott (Two Jags later to be known as Two Jabs) was put in charge of transport and the rest is history. Well, that is to say, nothing much changed. Well, apart from the Labour Government increasing their subsidies on the railway, bailing out failed franchises and a slow, slow return to the nationalised days. The privatisation of the Railways was a complete shambles, but the solution is not to re-nationalise. The problem of privatisation was not that is was now put in to the hands of private companies who would have to make a competitive business out of the railways, but the complete opposite. These private companies were given monopolies on lines and could hold the passengers to ransom. At the same time the Government has been throwing money (£4,593m in 2005 alone) at subsidising these "private" companies. But why am I going on about all this?

In the press today a story about South West Trains putting fares up is what has been the trigger. SWT are up there for me, on a personal vendetta level at least, as the worst run business in the country. They seem to raise their fares when they please at any rate they please, have no accountability as far as I have ever managed to come across and the service is, during peak times, vastly over crowded and not nearly as reliable as you would expect. The reason for this is simple, as far as I am concerned, is that they know full well their passengers have no other alternative than to put up with it.

To illustrate, SWT trains have just their non peak fares up 20%. That is right, their non-peak fares. 20%. And that is the second increase in five months. But guess what - the price rises only occur at stations exclusively serving SWT. So go to Reading and catch a train to Waterloo and the price will not be rising, because there is an alternative there provided by First Great Western. So where there is genuine competition the market rules and prices stay competitive.  This is not surprising behaviour on the part of SWT - and I say that for two reasons. Firstly SWT are, in my opinion, parasites. Secondly, the last few Governments (Tory and Labour) have created a situations where our railways are run like monopolies and the money making firms are doing what money making firms do - make money. Yes, SWT trains are taking advantage of a monopoly, but can you blame them? The Railways have never been properly privatised. Proper privatisation should mean competition and right now there is none. Like the NHS, our railways are a national embarrassment and they need to solved once and for all - and if that means companies like SWT take a kicking in the process then all the better as far as I'm concerned