WALES LEADS THE WAY

RMT helpline 0800 376 3706 :: november/december 2020 :: RMTnews 6 RMT has welcomed the Welsh government’s termination of its contract with private consortium KeolisAmey and take Transport for Wales (TfW) rail services into public ownership from February next year. The financial risk of the Wales and Borders rail franchise, which is branded Transport for Wales, had already been taken over by taxpayers under a £65 million agreement signed in May. But from February next year KeolisAmey staff working on rail services will be transferred over to a publicly owned company, currently called Transport for Wales Rail Ltd.  The Welsh government decided to terminate the contract with KeolisAmey, which had operated TfW rail services since October 2018, as the company was “not prepared to shoulder their share of the pain" following the Covid-19 crisis. It was the first time that the Welsh government had awarded the franchise and KeolisAmey has already been fined £3.4 million over the poor performance of TfW services. The Welsh government has used its powers to appoint a public ‘operator of last resort’ to run rail services as a result of KeolisAmey’s failure  to meet it contractual obligations due to the massive drop in  passenger numbers.   KeolisAmey, a joint-venture between French railway SNCF and Spanish infrastructure giant Ferrovial, had been awarded the Wales and Borders franchise in 2018 in a £5 billion contract. Keolis is France's largest private sector public transport operator but its major shareholder is state-owned SNCF and Amey is a former one-time UK company now owned by Ferrovial. KeolisAmey currently also runs Docklands Light Railway services in London. Despite the fact that the Welsh government as some powers over rail passenger services, UK law currently prevents it from permanently retaining the service in public ownership. However, RMT is demanding that the UK government to bring forward legislation to give the Welsh government powers to permanently retain the service in the public sector.     RMT general secretary Mick Cash welcomed the decision by the Welsh government as the best way to protect rail services in Wales. “We will also be seeking urgent assurances that railway workers jobs and conditions will be fully protected and the railway will be properly funded. “RMT is also seeking reassurance that rail infrastructure maintenance will also continue to be provided by the public sector as it was under Network Rail. “There is huge public support for public ownership because privatisation and profiteering has never been an efficient way to provide value for money, and  this is even more the case when extra funding has been needed during the Coronavirus pandemic.    "So as well as supporting this decision we are calling on the UK government to give the Welsh Government the necessary powers and support to ensure the railways in Wales have a  safe, secure and sustainable future in public ownership,” he said. Officials said that the time gap between now and the start of the new operator will allow the Welsh Government to prepare the new operator for service. A part of the original agreement is staying - Amey WALES LEADS THE WAY RMT welcomes decision to take Transport for Wales rail services into public ownership