Intercity Express Programme review

The Department for Transport (DfT) has asked Sir Andrew Foster, the former controller of the Audit Commission, to undertake ‘an independent assessment of the value for money of the Intercity Express programme and the value for money of any alternatives which meet the objectives of the programme’ – Sir Andrew has been asked to submit his report by 25 May 2010. The DfT has stated that the review is been undertaken for the following four reasons:-

i) there has been a reduction in the capacity of the debt market to support the transaction as originally envisaged

ii) the rate of passenger growth has slowed

iii) the contractual negotiations have still not been finalised and it will not be possible to complete the formalities before parliament is dissolved for the general election

iv) it is critical for rail passengers that the correct long-term decision is made about the next generation of inter-city trains, which will have a life span of a minimum of thirty years

Sir Andrew Foster has been asked to consult passenger groups during his review.

Expanded role for Passenger Focus

The Department for Transport has announced that Passenger Focus has become the statutory representative body for bus, coach and tram passengers in England, excepting Greater London, from Thursday 25 February 2010 – the statutory name of the organisation has been changed from the Rail Passengers Council to the Passengers Council, although it will continue to be known as Passenger Focus.

Go-Ahead profits decline

Go-Ahead Group plc, the parent company of Plymouth Citybus and Wilts and Dorset, has announced that the operating profit for the six months ended 2 January 2010 was reduced by eleven million pounds to fifty-four million pounds, as a result of a decline in revenue of fifty-one million pounds.

National Express makes a loss

National Express Group has announced that the company made a loss after tax of fifty-two million pounds for the year ended 31 December 2009, compared with a profit after tax of one hundred and nineteen million pounds for 2008 – the group revenue declined by fifty-six million pounds. The company is not paying a final dividend to shareholders. The National Express coach business in Great Britain made an operating profit of thirty-four million pounds in 2009, compared with twenty-seven million pounds the previous year – coach passenger volumes declined by two per cent, which the company attributed to a decline in demand for travel to and from airports.

Stagecoach awarded Carbon Trust Standard

Stagecoach Group has been awarded the Carbon Trust Standard in recognition of the company’s achievement in reducing the carbon emissions of the bus and rail subsidiary companies (including South West Trains, Stagecoach South West and Stagecoach West) in Great Britain by over five per cent in three years – the Carbon Trust Standard is the first carbon award that requires an organisation to measure, manage and reduce its carbon footprint and actually make real reductions year-on-year.

People

Richard Soper, the managing director of First Hampshire and Dorset, has been appointed as managing director of First Manchester – Richard will be succeeded by Mark Reddy, who will also retain his existing role as managing director of First Devon and Cornwall.

And finally,

Western Greyhound, the independent bus company in Cornwall, has finally had to increase fares for the first time since April 2008 due to the impact of this winter’s weather on both passenger revenue and operating costs – single and return fares are been increased from today (Monday 1 March) by a maximum of twenty pence.