The high price of rail failure

WHAT began with private sector greed and incompetence is ending with a six-figure bill for the taxpayer. It may happen to be on the railways this time but picking up the tab has become a wearingly familiar task for ordinary Britons.

The decision to spend more than 640,000 on re-branding the East Coast main line, after National Express was forced to return it to public ownership, is only the latest example of a bail-out being followed by the waste of public money.

At the nationalised banks it was pensions, bonuses and extravagant Christmas parties that swallowed taxpayers' cash. Now locomotives, rolling stock, stations, literature and uniforms are the cause.

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Taxpayers can be forgiven for looking incredulous. Great swathes of the rail network are under strain because of a paucity of investment and, while the sum of money involved in re-branding is small in comparison to what is needed, it is money spent when there is none left to spend.

While the debate over the quality of the on-train experience continues, whether it is over uniforms, the amount of information passengers get or the quality of the cakes in the buffet, greater problems remain untackled. National Express paid too much for the London to Yorkshire to Scotland line, couldn't attract enough passengers and then made a loss. Too many trains are late and too many fares have since been increased.

The Government has given itself until November 2011 to find a new taker for the York-based franchise. In that time the Department for Transport – whoever it is run by – must do more than just agree a deal with a new commercial operator; it must ensure that the series of mistakes which typified National Express's stewardship of the route is not repeated.

Some voters are already resigned to tax rises after the General Election as Britain tries to lift the burden of its public debt. What they won't tolerate on top of that is their money being wasted because of poor decisions orginating in Whitehall and in boardrooms.