HC Deb 21 November 2001 vol 375 cc281-4W
Mr. Pickles

To ask the Secretary of State for Transport, Local Government and the Regions if his officials informed executives of Railtrack plc, at their meeting on 3 October, of the reasons the payment due to be paid by the Government to the company on 1 October has not been made. [11226]

Mr. Spellar

One payment was legally due on 1 October. This was for £337 million and it was paid in full on that date.

Mr. Clifton-Brown

To ask the Secretary of State for Transport, Local Government and the Regions if he will place in the Library the powers of the Railtrack administrator; when he expects to receive the administrator's report for approval; and who will decide what return the shareholders will receive. [16751]

Mr. Jamieson

The principal functions of the Administrator of Railtrack plc are set out in section 59 of the Railways Act 1993 and the Insolvency Act 1986, as applied by Schedule 6 to the Railways Act 1993. The timetable of the administration process is a matter for the Administrator. Once the administration process is complete, it will be clear what value is available for disbursement to its shareholder, Railtrack Group plc. Disbursement of Railtrack Group plc's assets is a matter for the Board of that company.

Mr. Clifton-Brown

To ask the Secretary of State for Transport, Local Government and the Regions what substantial investment projects Railtrack was planning; and what is(a) their current status, (b) the current timetable for their completion and (c) the current estimate of the cost. [16752]

Mr. Jamieson

Railtrack's May 2001 Network Management Statement identifies the projects on which the company was working and expected completion dates. Government have committed to provide the Administrator with access to sufficient funding to continue on a "business as usual" basis—including investment expenditure—during the administration period.

Mr. Redwood

To ask the Secretary of State for Transport, Local Government and the Regions what his estimate is of the cash needs of Railtrack plc in administration. [16381]

Mr. Spellar

The Administration process is at a very early stage and any estimate of the cash needs of Railtrack plc in administration would be purely speculative.

Mr. Redwood

To ask the Secretary of State for Transport, Local Government and the Regions what the average daily rate of(a) loss (PBT) and (b) cash outflow at Railtrack plc in administration has been since 5 October. [16360]

Mr. Spellar

This is a matter for the Administrator. The premature release of unaudited financial information may prejudice the Administrator's orderly release of commercially sensitive information in detailed discussions with potential bidders for Railtrack plc.

Mr. Redwood

To ask the Secretary of State for Transport, Local Government and the Regions what investment expenditure was planned for the period from the end of September to 31 March(a) 2002 and (b) 2002–03 by Railtrack plc prior to being placed in administration. [16359]

Mr. Spellar

Railtrack's investment plans were outlines in its Network Management Statement published in May 2001.

Mr. Redwood

To ask the Secretary of State for Transport, Local Government and the Regions if the(a) Board and (b) auditors of Railtrack sought a letter of comfort concerning payments to Railtrack Group and plc before the directors and auditors signed the accounts for 2000–01 on a going concern basis; and if the Government granted such a request. [16377]

Mr. Spellar

No such request was made.

Mr. Redwood

To ask the Secretary of State for Transport, Local Government and the Regions what money was budgeted to be given to Railtrack(a) Group and (b) plc in 2002–03 prior to the decision to place Railtrack plc in administration. [16363]

Mr. Spellar

The income to be received by Railtrack for its regulated business in 2002–03 was determined and set out in the October 2000 conclusions of the Rail Regulator's Periodic Review and in the 2 April agreement between the Government and Railtrack.

Mr. Redwood

To ask the Secretary of State for Transport, Local Government and the Regions how much Railtrack plc spent on investment in(a) 2000–01 and (b) between 1 April and being placed in administration. [16352]

Mr. Spellar

Railtrack's investment expenditure for 2000–01 is set out in its Annual Report and Accounts. My Department does not hold audited investment expenditure data for 2001–02.

Mr. Redwood

To ask the Secretary of State for Transport, Local Government and the Regions how much the Government have paid to Railtrack Group plc(a) directly and (b) via the SRA in 2001–02; and how much it planned to pay it over the balance of the year before the company was put into administration. [16382]

Mr. Spellar

The Government have made no payments to Railtrack Group plc. This company is not in administration.

Mr. Redwood

To ask the Secretary of State for Transport, Local Government and the Regions what money is available for the successor Railtrack company in(a) 2001–02, (b) 2002–03 and (c) 2003–04 from (i) Government and (ii) SRA sources. [16368]

Mr. Spellar

I refer the right hon. Member to the reply given by my right hon. Friend the Secretary of State to the hon. Member for Preston (Mr. Hendrick) on 23 October 2001,Official Report, column 195W.

Mr. Redwood

To ask the Secretary of State for Transport, Local Government and the Regions what his estimate is of the fees of the administrator for Railtrack plc. [16372]

Mr. Spellar

It is not possible at this stage to make an accurate estimate.

Matthew Taylor

To ask the Secretary of State for Transport, Local Government and the Regions, pursuant to his answer of 13 November 2001,Official Report, column 614W, on Railtrack, for what reason he did not comment upon the advice that he has received on the extra cost to the Government of the successor company to Railtrack achieving a credit rating of lower than A/A2; and if he will make a statement. [16075]

Mr. Jamieson

On the basis of advice received, we consider a long-term credit rating of A/A2 or higher to be the most appropriate rating to target in order to finance the proposed Company Limited by Guarantee in an efficient and cost-effective manner. Lower ratings than those to be targeted are considered to be less efficient and less cost-effective.

Peter Bradley

To ask the Secretary of State for Transport, Local Government and the Regions how much a single share in Railtrack has earned in dividends and other payments from privatisation to 1 October. [16062]

Mr. Jamieson

A single share in Railtrack Group plc has received £1.40 in cash or equivalent dividends since its flotation on 20 May 1996.

Peter Bradley

To ask the Secretary of State for Transport, Local Government and the Regions what was the average value of one Railtrack share from privatisation to 1 October. [16061]

Mr. Jamieson

The average daily share price for Railtrack Group plc from privatisation to 1 October 2001 was 917 pence.