FGW is already in breach of its franchise agreement by exceeding cancellation limits, and rather than pursue a remedial agreement the government should take steps to stop the rot for good and bring its services back into the public sector, RMT says.

"Ruth Kelly has quite rightly declared that FGW has broken its franchise agreement, but the remedial plan amounts to little more than a £29 million sticking plaster," RMT general secretary Bob Crow said today.

"I have no doubt that First Group won't allow the package announced today to make too big a dent in its massive rail profits, but every penny of it will ultimately come from taxpayers' and fare-payers' pockets anyway.

"Rail franchising is a king-sized con-trick that is about taking public money out of the industry, not putting it in, and when things go wrong the shareholders walk away leaving the public to pick up the bill.

"That's what happened when GNER went bust, when Connex performed so badly it was sacked from the south eastern franchise, and of course when Metronet left the taxpayer with a £2 billion tab.

"Since privatisation the private sector has taken well over £10 billion out of the industry, yet even with public subsidy running at three times the level British Rail got, performance is still worse, fares are racing ahead of inflation and overcrowding is the norm.

"Last year First group told its shareholders that it had a 'clear strategy for delivering results', but like every private rail franchisee the only result it cares about delivering is the profit it can squeeze out of its passengers and its workforce.

"If we are to see the growing and affordable railway that the environment and economy need and passengers want, franchising must end and First Great Western's failure gives us that opportunity," Bob Crow said.

ends

FIRST GREAT WESTERN RAIL SERVICES

Tabled by David Drew MP and signed by 30 others at February 26

That this House notes with continuing concern the performance of First Great Western rail services; is alarmed that the new December 2007 timetable will see the replacement of exisiting rolling stock with inferior rolling stock which could result in slower, less comfortable and more crowded conditions for passengers; and calls on the Government to intervene urgently to protect the interests of passengers and to conduct an urgent and public review to determine whether the interests of passengers would be better served by bringing the franchise back into public ownership.

For an up-to-date list of signatories visit:
http://edmi.parliament.uk/EDMi/EDMDetails.aspx?EDMID=34687&SESSION=891