Rail’s receipts for passengers do not cover operating costs, hence the Government’s announcement of a £16.8bn package for Network Rail’s Control Period 5 (of which £9.4bn is capital) is not an ‘investment’ (‘Coalition ploughs £bns into rail electrification and capacity boosts’ LTT 20 Jul).
Instead it is subsidy, equivalent to wasting the lifetime earnings of 16,800 working men or to a tax hit of £650 upon every household in the...
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