A 23 per cent increase in the group's rail operating profits underlines that the rail franchising system diverts cash out of the industry while passengers suffer overcrowding and year-on-year inflation-busting fares increases, the union said.

The group's £31.4 million rail profit includes £300,000 squeezed out of the new London Midland franchise in just six weeks.

"Rail franchising is only a success for the shareholders who are draining enormous sums of fare-payers' and taxpayers' money out of the industry," RMT general secretary Bob Crow said today

"For the passengers who suffer more and more overcrowding and inflation-busting fares hikes, and for our members who have to face the daily consequences, it is a disaster.

"Our members at Wilts and Dorset bus company who have had to strike against excessive driving time will no doubt take note that Go-Ahead's bus operations have a healthy profit margin of more than 12 per cent.

"When the time comes to submit pay claims at the various Go-Ahead subsidiaries our members will bear in mind that shareholders have been handed an interim dividend of nearly 11 per cent," Bob Crow said.