17 June 2020
RMT Press Office:
RMT reacts to High Court decision on Stagecoach Group’s rail franchising legal action against the Government.
RAIL UNION RMT today responded to a decision by the High Court ruling against Train Operating Company Stagecoach Group Plc following attempts to sue the Secretary of State for Transport regarding decisions to disqualify the Group from three rail franchise competitions.
RMT General Secretary Mick Cash said:
“This ruling completely exposes how broken the failed privatised rail franchising system is when fat cat train operating companies can sue the Government at will and huge amounts of taxpayers money is wasted on legal fees.
"The fact that Stagecoach Group Plc wanted all the lashings and profits of the railway without any of the risk of the railway pension scheme is one more nail in the coffin of the privatised system.
"The Government must now act quickly and work with the unions and industry to secure the future of the Railways Pension Scheme which has been questioned not because of the actual funding position of the scheme but due to privatised ownership model.
"It’s vital the Government now does the right thing and brings our railways into public ownership and ends this 25 year old free-market farce once and for all”
ENDS
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