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| Labour should reform the railways, prospective MPs say | Labour should reform the railways, prospective MPs say |
| (about 1 hour later) | |
| Labour should re-nationalise the rail industry if it wins the next election, a group of 31 prospective MPs has said. | |
| In a letter to the Observer, they said train services should be run by not-for-profit firms or returned to public ownership when current franchises end. | |
| Profits could be used to "fully fund a bold offer on rail fares", they added. | |
| The government has previously said franchising works for taxpayers and passengers, and the private sector offers investment in train services. | |
| Labour is undertaking a policy review. | Labour is undertaking a policy review. |
| In the letter, the candidates said rail fares were contributing to a "cost-of-living crisis" and claimed season tickets were now the largest monthly expense for many commuters. | In the letter, the candidates said rail fares were contributing to a "cost-of-living crisis" and claimed season tickets were now the largest monthly expense for many commuters. |
| "Just as Labour has pledged to freeze energy bills and reset the market to secure a better deal for customers, so it will be necessary to reform the rail industry to secure a better deal for passengers," they said in the letter. | "Just as Labour has pledged to freeze energy bills and reset the market to secure a better deal for customers, so it will be necessary to reform the rail industry to secure a better deal for passengers," they said in the letter. |
| The candidates, who will fight for seats at the next general election, said train companies were walking away with "hundreds of millions of pounds every year, despite running monopoly services and benefiting from £4bn of public investment in the rail network every year". | The candidates, who will fight for seats at the next general election, said train companies were walking away with "hundreds of millions of pounds every year, despite running monopoly services and benefiting from £4bn of public investment in the rail network every year". |
| East Coast mainline | East Coast mainline |
| They claimed the "successful model" of the East Coast mainline over the last few years had shown there was a better way to run the country's railways. | They claimed the "successful model" of the East Coast mainline over the last few years had shown there was a better way to run the country's railways. |
| The service, which covers the route between London and Edinburgh, has been publicly-run since 2009 after the government was forced to take control of the franchise when National Express, the previous operator, ran into financial difficulties. | The service, which covers the route between London and Edinburgh, has been publicly-run since 2009 after the government was forced to take control of the franchise when National Express, the previous operator, ran into financial difficulties. |
| However, the line is due to return to private hands in early 2015. | However, the line is due to return to private hands in early 2015. |
| The TSSA rail union has claimed the line has been the cheapest franchise to run for the past five years and has produced the greatest return to taxpayers. | The TSSA rail union has claimed the line has been the cheapest franchise to run for the past five years and has produced the greatest return to taxpayers. |
| "A commitment to extend this successful model to the rest of the rail network, as existing contracts come to an end, would mean that hundreds of millions currently lost in private profit would be available to fully fund a bold offer on rail fares," the group of parliamentary hopefuls wrote. | "A commitment to extend this successful model to the rest of the rail network, as existing contracts come to an end, would mean that hundreds of millions currently lost in private profit would be available to fully fund a bold offer on rail fares," the group of parliamentary hopefuls wrote. |
| The letter comes as the Labour Party undertakes a wide-ranging policy review ahead of next year's general election. | The letter comes as the Labour Party undertakes a wide-ranging policy review ahead of next year's general election. |
| Party sources have said there is no imminent decision on railways. | Party sources have said there is no imminent decision on railways. |
| However, Labour leader Ed Miliband previously told the Guardian newspaper he might be in favour of re-nationalising some parts of the railway. | However, Labour leader Ed Miliband previously told the Guardian newspaper he might be in favour of re-nationalising some parts of the railway. |
| He said the party was working on "innovative solutions", but did not spell out what they were. | He said the party was working on "innovative solutions", but did not spell out what they were. |
| The government has previously said franchising works for taxpayers and passengers, adding that the private sector would offer investment in train services. | The government has previously said franchising works for taxpayers and passengers, adding that the private sector would offer investment in train services. |