Railtrack

HC Deb 04 March 1996 vol 273 cc26-9W

Ms Short

To ask the Secretary of State for Transport what measures he is taking to write off the debts of Railtrack; and what are the amounts of money to be written off. [18759]

Mr. Watts

Railtrack has a mix of different debts. The majority—around £1.2 billion—is owed to the national loans fund and cannot pass into the private sector with Railtrack. It will therefore need to be replaced with appropriate direct borrowings. Section 106 of the Railways Act 1993 contains the power for doing this. Final decisions on Railtrack's debt and capital structure will be taken in due course.