Rail union anger at lost jobs and ‘£15m wasted on City spivs’

The Government “added insult to injury” by spending £15m on consultants for a rail contract that was awarded to a German company, union chiefs said.

Campaigners have called for ministers to switch the £1.4bn contract from Siemens to Derby-based Bombardier, which has announced plans to cut 1,400 jobs after losing out on the work to build rolling stock for the Thameslink route between Bedford and Brighton.

In a written answer to the Commons, Rail Minister Theresa Villiers said: “From May 2008, the department has spent approximately £13.1m (excluding VAT) to date on specialist consultants and advisers to evaluate the Thameslink Rolling Stock project.

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“This resource has included financial, procurement, technical, legal, planning and other specialist advice required to deliver the Thameslink Rolling Stock Project, which is one of the largest rolling stock orders in the country.

“Of this figure, £5.3m has been spent since May 2010.”

Bob Crow, leader of the Rail, Maritime and Transport union (RMT), told the Mirror: “The news that over £15m of taxpayers’ money has been soaked up in advisers’ and consultants’ fees to oil the wheels of the Bombardier stitch-up just adds insult to injury.

“This money could have been invested in defending train manufacturing jobs in the UK, not filling the pockets of City consultancy spivs. It’s time to bring this whole shabby exercise to a close and for the Government to step in and award this contract to the Derby workforce.”

Business Secretary Vince Cable yesterday met officials from Bombardier to discuss its plans after losing the lucrative contract.

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Mr Cable also held talks with Derby Council and members of the economic taskforce set up to deal with the job losses.

He said: the Government would work closely with Bombardier as it explored opportunities to save jobs.

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