§ Matthew TaylorTo ask the Secretary of State for Transport, Local Government and the Regions (I) what advice he has received on the level of payments on debt that would(a) be required annually if the rating of the successor organisation to Railtrack were credit rated at (i) BBB and (ii) single A and (b) be required if it were able to borrow at the rate of Government gilts; and if he will make a statement; [13207]
(2) what advice he has received on the level of payments on debt that would be required annually if the rating of the successor organisation to Railtrack were (a) 1 per cent. higher, (b) 2 per cent. higher and (c) 3 per cent. higher than Government gilts; and if he will make a statement. [13208]
§ Mr. JamiesonIn relation to the proposal that the Government intend to put to the administrator for a company limited by guarantee, we will be targeting a long-term credit rating of A/A2 or higher, to reflect the financing capacity requirements of the rail infrastructure business. We are confident that this would allow the CLG to raise new debt and service existing debt on an efficient and cost-effective basis.