Select Committee on Public Accounts Minutes of Evidence


Examination of Witnesses (Question Numbers 80-99)

DEPARTMENT OF TRANSPORT, NETWORK RAIL, OFFICE OF RAIL REGULATION AND ASSOCIATION OF TRAIN OPERATING COMPANIES

4 JUNE 2008

  Q80  Mr Davidson: Can I ask about attacks on staff related to delays? Obviously you monitor attacks on staff. Is there a pattern by which it is identifiable that attacks on staff are more numerous at times of delay?

  Mr Franks: There certainly are a number of instances recorded where staff have been assaulted as a consequence of passengers being unhappy about disruption.

  Q81  Mr Davidson: Is there a pattern to that at all? Is it a particular line? A particular area? A particular part of the country? Or is it entirely random?

  Mr Franks: Again I would need to go and check statistics but I think it is probably random.

  Q82  Mr Davidson: Could you do that? I think it would be helpful for us to know whether or not there was any pattern there. In terms of delays, which operating company is worst and which is best, and how do you define that? [4]

  Dr Mitchell: There are figures which are published on a monthly basis and it will be no secret that First Great Western was, until recently, the poorest performing company. As a result of that the secretary of state took action to enforce an improvement plan. Generally speaking the most up-to-date figures I have for period 13—which is most of March this year—the cumulative position for the whole of the train industry showed the best performer as Chiltern Railways achieving a 95% public performance measure, which is a measure including not only lateness but cancellations as well. The worse performer was National Express East Coast at 82.6%.

  Q83  Mr Davidson: Do I take it that there should probably be a correlation between the bad figures from the National Express and the amount paid out in compensation, and that generally we would expect that those were the best records?

  Dr Mitchell: Yes.

  Q84  Mr Davidson: If there is anything that does not correlate to that then there would be something wrong.

  Dr Mitchell: One would expect that except that, as the table on page 47 of the Report at appendix four indicates, there are variations, but with that proviso yes.

  Q85  Mr Davidson: The final point I would seek to clarify is about train faults and the relationship between the operating companies and the leasing companies. Is there any sanction in these circumstances applied to the companies from whom the trains are being leased or does it all fall on the operating companies?

  Mr Franks: It all falls onto the operating companies.

  Q86  Mr Davidson: So there is no responsibility for the leasing companies at all then.

  Mr Franks: No.

  Q87  Mr Davidson: Are any of the faults traceable back to the leasing companies or are they all the responsibility of the operating companies?

  Mr Franks: The most common problem that could be associated with a rolling stock company would be where they have undertaken heavy maintenance, which is their responsibility, and there may be a warranty issue with a piece of equipment that has been installed on a train which then causes delay on the network, but that becomes our accountability.

  Q88  Mr Davidson: Can you then claim the money that you end up paying to somebody else back from the leasing company or are they getting off scot-free?

  Mr Franks: They do not take any responsibility for any compensation that we pay.

  Q89  Mr Davidson: Being a leasing company is the best position of all in these circumstances.

  Mr Franks: Well it is certainly better than being a train operating company if they cause a delay.

  Q90  Mr Davidson: Who allowed this position to develop, that the leasing companies can lease the trains but they have no accountability for the fines that are applied to the operating company? It does seem to be a trifle unfair.

  Dr Mitchell: The leasing companies effectively purchased the rolling stock from British Rail in the mid-1990s and the terms on which they are then leased back were determined at the time. The leasing companies own the rolling stock but they do not take any responsibility for the condition of the trains. It is left to the operators to maintain those trains in good condition.

  Q91  Mr Davidson: Does that seem reasonable to you?

  Dr Mitchell: They are not regulated.

  Q92  Mr Davidson: That is not what I asked you. Does that seem reasonable to you?

  Dr Mitchell: That is the position we have inherited.

  Q93  Mr Davidson: I know that; I am asking you whether or not that seems reasonable to you.

  Dr Mitchell: We have made a complaint to the Competition Commission about the position of the rolling stock companies and the Competition Commission is considering our complaint as we speak.

  Q94  Nigel Griffiths: Dr Mitchell, you said the newer rolling stock is more reliable; what is the sort of history and pattern of replacing rolling stock over the past decade or two decades?

  Dr Mitchell: The majority of the new rolling stock came into service in the early part of this century, that was to replace the slam door rolling stock on the electric lines south of London. That is the biggest single influx of additional rolling stock that came in. However, I think it is fair to say that every company in the country has seen an influx of new rolling stock, so much so that we now, I believe, have the youngest rolling stock fleet in Europe.

  Q95  Nigel Griffiths: I notice the Report says that passenger rail services are being used more heavily than at any time in almost 60 years which must be putting some strains on it. I am interested to know the impact of Hatfield on your operations. Can you tell us something about pre-Hatfield and post-Hatfield?

  Dr Mitchell: No doubt Mr Coucher will wish to comment on that particular issue because, as you are aware, the Hatfield incident arose from a track defect which then caused multiple speed restrictions throughout the country and that led to a major reduction in punctuality of the railways. It has been a major challenge to get back to pre-Hatfield performance and we have now set the high level output specification for the next five years from 2009 to 2014, an even higher target for the railways of 92.6% right time, which compares with the current performance of about 90%.

  Q96  Nigel Griffiths: What were the reasons for Hatfield? What caused the Hatfield incident?

  Mr Coucher: A piece of rail on one of the high speed turns cracked and failed due to a concept called rolling contact fatigue.

  Q97  Nigel Griffiths: How widespread was that throughout the network?

  Mr Coucher: Immediately after Hatfield Railtrack then put in an investigation programme which uncovered huge amounts of problems with this concept called rolling contact fatigue and that has largely been removed now.

  Q98  Nigel Griffiths: What had caused the fatigue?

  Mr Coucher: Just the speed of trains going over the rails and the problem had not been picked up.

  Q99  Nigel Griffiths: Figure 16 on page 29 indicates that the annual number of incidents causing delays is actually at an eight year low. Is that right?

  Mr Coucher: Yes.



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