Lord Berkeleyasked Her Majesty's Government:
Following the administration order served on Railtrack on 7 October, how they intend to recover the £800 million already paid to Railtrack out of public funds for the construction of Thameslink 2000 and on which no works have yet started. [HL795]
§ Lord Falconer of ThorotonIt is not correct that £800 million of public funds has been spent on this project; 131WA £800 million is Railtrack's last official estimate of the total costs of the project when completed. Whether those costs, or any revised level of costs coming out of the procurement review which Railtrack and the Strategic Rail Authority are undertaking, are incurred will depend upon the outcome of Railtrack's application for an order under the Transport and Works Act 1992. The order which, if made, would give the promoters the powers they need to carry out the work, has been the subject of a public inquiry. The inspector's report is expected in the spring of 2002 and it will then be for my right honourable friend the Secretary of State to decide whether to make the order.
At this stage, any costs which Railtrack has incurred, for instance in taking the project forward to the Transport and Works Act stage, have been incurred by Railtrack in order to comply with its obligations pursuant to the Thameslink 2000 agreement. They have thus been incurred by Railtrack on its own account.