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Transport - Virgin Trains 2

Virgin Trains was accused of abusing its monopoly on routes from north west England to London. The North West Rail Passengers Committee demanded Government intervention to prevent further fare rises. Chairman Brendan O'Friel said the company had raised walk-on fares, paid by those travelling at short notice, by 70% in just four years. "That is 60% more than inflation. We think this is completely unjustified and many passengers are seriously disadvantaged by this piece of exploitation, Price rises would be acceptable if new trains were up and running." he said. "But actually last year we had a dreadful time from trains - one of the worse since the war - and on top of that Virgin put up the fares last May by 10%."

Mr O'Friel called on the rail regulator to investigate Virgin's pricing, accusing the company of exploiting its monopoly, "We are not completely clear what the regulator can and will do. What we know is that monopoly exploitation is against the law in this country," he said. "Virgin have exploited their monopoly and we believe therefore that something should be done - either by freezing or instructing that their fares should be reduced."


Virgin, which runs trains from Derby to Scotland and the south west, cancelled 280 per cent more trains last year than the year before. The company axed 890 services in the first nine months of 2001. That compared to 234 cancellations during the corresponding period in 2000, making Virgin Cross Country the second worst in the country, said Lib Dem transport spokesman Don Foster. Midland Mainline cancelled 456 trains in the same period last year, compared to 307 the year before – a 49 per cent increase.

The figures follow statistics released by the Lib Dems showing that Virgin Cross Country was the least punctual operator in the UK during the period and MML was third worst. Mr Foster, who compiled the figures from Parliamentary answers, said, “There’s only one thing worse than a delayed train – it’s a train that doesn’t turn up at all.” MML said that it had just achieved its best punctuality figures since the Hatfield crash in 2000. Virgin Cross Country blamed its old rolling stock and said that its new Voyager trains should cut cancellations and delays.


The Rail Passengers Council called for a public inquiry into a £100 million taxpayers' compensation pay-out to Virgin Trains. The payment, brokered by the Strategic Rail Authority, was designed to stave off court action threatened by Virgin. It followed delays to Railtrack's £7 billion upgrade of the London to Scotland West Coast Main Line. RPC chairman Stewart Francis said, "The whole West Coast upgrade situation is deeply worrying, and this announcement will have shaken passengers and has raised more questions than answers. I am writing to the Transport Secretary demanding that a public inquiry is held into the whole issue."

Mr Francis said if the Government did not accede to the request for a public inquiry, the RPC - under the Transport Act 2000 - could hold its own inquiry and call relevant witnesses, although they would not be bound to attend. The RPC also accused Virgin Trains of "hiking prices and fiddling with ticket restrictions". Mr Francis said he was deeply unhappy with the recent fares consultation document from the SRA. And he said one particular Virgin fare - from Manchester to London - had increased by 75% since April 1998.

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