HC Deb 24 October 1983 vol 47 c39W
Mrs. Peacock

asked the Secretary of State for Transport what grant aid the Government will be paying British Rail in 1983 under the public service obligation.

Mr. Ridley

The central Government PSO grant for 1983 will be £819 million, subject to adjustment for certain factors to be settled with the board. This figure reflects the Railways Board's efforts to contain and reduce costs. I welcome the progress by the board that the grant figure represents.

Expenditure on renewal and replacement of infrastructure, and on redundancy payments will be "ring-fenced". This will help to ensure that necessary work to maintain the system and secure greater efficiency can go ahead.

Of the total grant settlement £147 million is in respect of the board's inter-city business, £266 million for the London and South East sector and £406 million for other provincial services, excluding those financed separately by the passenger transport executives.