The franchise for South Western Railway could be returned to public ownership

The franchise for South Western Railway could be returned to public ownership

It follows a difficult few months for the firm

Train services operated by South Western Railway could be taken into public ownership due to losses made by the franchise, Transport Secretary Grant Shapps has announced.

He said the firm's financial statements indicate it is "not sustainable in the long term".

Poor punctuality and reliability combined with slower revenue growth has led to the operator's financial performance being "significantly below expectation" since it began in August 2017, according to Mr Shapps.

The franchise, owned by FirstGroup and MTR, made a pre-tax loss of £139 million in the year to March 2019.

SWR has "not yet failed to meet financial commitments" but the Department for Transport "must prepare suitable contingency measures", Mr Shapps said in a written ministerial statement.

Published: by Radio NewsHub
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