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Railways: Finance

Volume 467: debated on Tuesday 13 November 2007

To ask the Secretary of State for Transport what the accumulated public sector cost of the railways in the UK has been since 1997, including subsidies, loans and borrowing guaranteed by the Government. (162186)

Historic Government support to the Rail Industry is set out in Table 6.2a of National Rail Trends which is published by the Office of Rail Regulation. Copies are available in the Library of the House. The Government also provide a financial indemnity (FIM) to Network Rail's lenders, has issued guarantees in respect of certain bonds that have been issued to finance the channel tunnel rail link (CTRL) project and has issued a guarantee in respect of CTRL track access payments. Full details of these arrangements have been previously notified to Parliament and are set out in the Department's Resource Accounts. As at 31 March 2007, Network Rail's FIM backed debt stood at £19.8 billion, and the CTRL guarantee arrangements were valued at some £4.38 billion.