§ Mr. ChidgeyTo ask the Secretary of State for Transport what public funds have been allocated by(a) the Franchising Director and (b) other sources to offset the liabilities which Railtrack faces, in respect of penalty payments under the track access agreements with train operating companies with special reference to schedules 4 and 8 of these agreements. [9945]
§ Mr. WattsAs foreshadowed in his policy statement in January 1995, the Rail Regulator has recently issued advice to BR and Railtrack on the level of additional charges which Railtrack should raise in consequence of its additional liabilities under schedules 4 and 8 to passenger track access agreements. This time limited measure is intended to allow Railtrack to adjust to the demanding targets in its performance regime, which will place on Railtrack strong financial incentives to improve its performance.
For 1995–96, no additional public expenditure will be associated with these arrangements. No decisions on funding matters for 1996–97 have yet been taken.
§ Mrs. DunwoodyTo ask the Secretary of State for Transport on what basis the debt of the British Railways Board was shared between BRB and Railtrack, upon the formation of Railtrack. [9941]
§ Mr. WattsThe apportionment of long-term debt between BR and Railtrack on 1 April 1994 was as follows:
- BRB: £1,269 million
- Railtrack: £1,973 million
This was judged to be the most appropriate apportionment of debt, given the nature and size of the two bodies, when Railtrack was formed.