HC Deb 07 July 1998 vol 315 c463W
41. Mr. Sheerman

To ask the Secretary of State for the Environment, Transport and the Regions what measures he is planning to introduce which would penalise train operators who consistently fail to meet the core elements of the bid on which they won their franchise. [47663]

Ms Glenda Jackson

Successful bidders are now bound by the contractual obligation in their franchise agreements. The Franchising Director has contractual and statutory powers to enforce the performance of these obligations. These can include financial penalties and, as a last resort, termination of the franchise.

The Government are reviewing the regulation of the railway as part of our overall review of transport policy, and our proposals for the long-term reform of the railways will be published in our forthcoming White Paper. In the interim, we have issued the Franchising Director with revised objectives, instructions and guidance which require him to secure a progressive improvement in the quality of passenger and station services and to manage existing franchise agreements in a manner which promotes passengers' interest.