Business, media and voter backlash against state-run rail plans predicted

Although popular with voters, rail re-nationalisation was portrayed in the media as an electorally risky strategy for Labour, with a Government body competing against private interests to win rail franchises considered to be something of a safer bet as a policy option.

ON 5 JULY The Daily Telegraph editorialised on plans allegedly being drawn up by the Labour Party to allow a state-owned body to compete against privately-owned companies when rail network operating franchises come up for renewal following the next General Election.

“The private sector is unlikely to take this lying down but may struggle to win the argument when it comes to foreign governments profiting from Britain’s railways,” the paper suggested. “It is an...

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