3 January 2019
RMT Press Office:
RMT renews nationalisation call as new research finds Scottish Government’s decision to delay public ownership will cost passengers the equivalent of an 11% fare cut.
As Scotrail passengers face another New Year’s Fare hike, new research by RMT has found that the decision by the Scottish Government to delay returning the Scotrail Franchise to public ownership by three years will cost £37million, the equivalent of an 11% fare cut.
In November of last year, the Scottish Government opposed a parliamentary motion that would have allowed the troubled ScotRail franchise to be placed in public ownership by 2022. Ministers instead argued that the franchise should stay in private ownership for an additional three years until 2025. That means three more years than necessary in which profits will leak out of Scotrail instead of being invested in public ownership to reduce fares.
The news came as RMT renewed its call for public ownership and held a protest at Edinburgh Waverly Station.
RMT General Secretary Mick Cash said:
“It’s appalling that despite enduring a terrible service in 2018 passengers are beginning 2019 with yet another fare hike.
“What’s worse is that the decision of the Scottish Government to delay any prospect of bringing Scotrail into public ownership until 2025 means passenger will continue to be fleeced to the tune of tens of millions of pounds that will swell Scotrail’s profits. That’s money that could instead be used to fund a much needed fare cut.
“We are renewing our call for public ownership of the railways and would urge the Scottish Government to think again and allow our railways in Scotland to be nationalised as soon as possible.”
Notes to editors
RMT will be holding a fare protest at Edinburgh Waverly Station (top of Market Street) at 9am – 11am on 3rd January
• Total assumed Scotrail passenger revenue for 2023, 2024 and 2025 is £1,233,092,503 (Source ORR and assumes 3.2% yearly fare increase for each year)
• The Rail Delivery Group claims Train Operators only take 3% of passenger revenues in profits.
• 3% of 1,233,092,503 for three years is £37million, or the equivalent of a one off 11% fare cut at 2018 prices.