16th March 2012
In this issue:- Industry developments this week
- New rail services
- Other stories in the press
- Holding group sharecheck
Industry developments this week
Justice Greening, transport secretary, announced plans for smart ticketing and the prospect of even higher peak fares to save £3.5bn by radically altering the way the rail system is run. The Guardian
Potential changes to the rail industry were discussed in the last fortnight:
- Network Rail is to halve the number of its public members and introduce a “public interest director” to represent taxpayer interests as part of a package of governance reforms. Transport Briefing
- ORR chief Anna Walker believes the plans motivated by concern over the funds needed to build High Speed 2, according to the Financial Times.
- Parliament’s public accounts committee warned billions in taxpayer pounds were handed to Network Rail “with little understanding and without proper accountability”. The Guardian
Network Rail has been fined £1m after admitting health and safety breaches over the deaths of two girls at anEssex level crossing. BBC News
Office of Rail Regulation bosses have revealed they could potentially set train fares in future, but flatly denied the organisation is mounting a power bid. Transport Briefing
The DfT has launched a consultation on “microfranchising”, the devolution of local lines. Transport Briefing
Rail commentator Christian Wolmar says there is no place for armed British Transport Police at railway stations. The Guardian
New rail services
Work on the London cable car continued with the arrival of Britain’s largest crane onsite. Transport Briefing
Other stories in the press
Strathclyde Partnership for Transport plans to outsource maintenance work for the Glasgow Subway. Transport Briefing
Eurotunnel says passengers will be able to use mobile phones in the Channel Tunnel from this summer. The Guardian
Boris Johnson has announced plans to deploy medics on London Underground. BBC News
- Plans are also afoot to introduce free WiFi on the Tube, courtesy of Virgin Media. Financial Times
The Scottish CBI business group has argued for railway stations in Scotland used by few passengers to be closed. The Scotsman
Holding group sharecheck
Summary:
Eurostar reported a one-fifth increase in passengers in 2011 due to more travellers from Asia, the US and Latin America. Daily Express
Stagecoach extended its lead over FirstGroup as Scotland’s largest transport group by market value after showing strong growth in its rail business. The Herald
Profits at National Express for 2011 rose by 12% to £180m, despite a greatly reduced rail operation, moving from reporting losses to record profits in two years. Financial Times
Go-Ahead is to start making contributions to the Treasury’s funds from April after reporting strong growth in its rail division. Daily Telegraph
- Shares in the group rose by almost 5 per cent in late December after it raised full-year operating profit forecasts on the back of strong passenger growth at its rail franchises.
FirstGroup announced an interim dividend per share which was paid out on 1 February to shareholders on the register of members at the close of business on 6 January, accounting for the sharp drop after that date.
