To ask the Minister of State, Department for Transport what estimate he has made of the cost to the public purse of (a) GNER and (b) Connex surrendering their franchise. (283039)

The only franchise that has failed is Connex South Eastern. The Strategic Rail Authority incurred costs of £3.8 million, over and above those recovered from Connex. The details can be found in the National Audit Office's report of December 2005, available on their website at:

http://www.nao.org.uk/publications/0506/the_south_eastern passenger_ra.aspx

The former GNER franchise was not surrendered, but was converted to a management contract before being re-let. The costs incurred by the Department for Transport were covered from the franchisee.