BANKROLLING THE DISPUTE

RMT helpline 0800 376 3706 :: february 2023 :: RMTnews 14 RMT has written to business leaders accusing the government of using them as ‘collateral damage’ following Rail Minister Huw Merriman's admission that the government was deliberately prolonging the dispute with taxpayers’ money. The rail minister was asked by Ben Bradshaw MP of the Transport Select Committee if it had cost more to the government and the economy to bankroll the dispute than it would have done to settle it earlier. Mr Merriam replied: “If you look at it in that particular lens then absolutely It’s actually ended up costing more than would have been the case if it had just been settled in that part but, again, we have to look at the overall impact on the public sector pay deals that are going across, and we also have to look on the ability for the reforms that don’t often get talked about, but they’re absolutely vital as part of the package”. In the letter to business leaders, whose companies have been impacted by the rail strikes, RMT general secretary Mick Lynch wrote that the government had admitted that prolonging the rail dispute was part of a deliberate strategy that was dictated by the government’s drive to keep down the pay of rail workers, nurses, ambulance workers and teachers. “The wider economy and the business interests who relied on pre-Christmas trade were just collateral damage in that policy. “For months, this government insisted it had no role in the dispute while it paid the costs of the train operating companies and then intervened just before Christmas to torpedo the talks and ensure there was no settlement. “RMT has settled dozens of disputes on parts of the national railway where the DfT has no involvement, including with devolved administrations in Wales, Scotland and many areas where the transport is the responsibility of the metro mayors. “But in this dispute, the interests of businesses, rail workers and passengers have been sacrificed to a wider public sector pay agenda,” the letter said. PROFITS At the same time the government spent an estimated £300 million of taxpayers’ money to indemnify the train operating companies so that they didn’t lose a penny as a result of strike action. RMT research has also revealed that profits for the same train operating companies reached up to £400 million since the government put them on new contracts when the Covid-19 RMT helpline 0800 376 3706 :: february 2023 :: RMTnews BANKROLLING THE DISPUTE Rail minister admits prolonging rail strikes to keep down public sector pay