Should trains be owned by the public? The answer will define Labour

Neal Lawson

rail train

Sometimes the whole messy, complex and frustrating world of Labour politics gets boiled down to something simple. Beyond nuance, image strategy, tactics, symbolism and personality, there can just be a straight ‘yes’ or ‘no’, which defines the future of the party. A NHS – yes or no. A minimum wage – yes or no.

Such a decision hangs over Labour now. It takes this form: should trains be owned by the public and held in common – yes or no? The answer will define Labour.

But before we cut to the chase, lets first clear away the froth that is attempting to cloud this clear cut and defining decision. Last week the Guardian was briefed that the Party’s ‘new’ policy on railways would be the ‘bold’ approach of allowing a state bid for franchise when they came up for renewal. What wasn’t mentioned was this was the policy offered in 2010. Now we didn’t go down to that historic defeat because of this policy fudge – but the fudge hasn’t got any better over time. Biding for contracts costs millions of pounds. What government is going to fork out such huge amounts and then watch it lose against a private sector well versed in winning contracts but hopeless at running trains? Is the state really going to pay economists, lawyers, lobbyists and PR people to be persuaded to give itself a franchise? I don’t think so.

We won’t win in 2015 with another fudge; we’ll only win with fearlessness. And this is the crux of the issue. The party is still fearful of looking like it is anti-business or anti-competition even when all the evidence suggests that when it comes to rail – public is best. It’s not subjectivity, rationality or popularity holding the party leadership back but a long out of date perception that in the case of rail, private is good and public is bad.

It has to end, and soon.

Rail was the last big privatisation. Its proponents didn’t know if it would work but the free market evangelists thought it was worth a go. But trains can’t compete on one railway track and so you end up in the worst of all worlds: no competition but no collaboration either. Southwest trains would like to thank you for choosing to travel on our trains today. Choose? When did we ever get a choice?

Public investment is higher than ever but the public is paying for the profits and the high pay of the private companies who take no risk but get plenty of reward. Around £300m a year leaks out of the system, money that could be used for a fares cap and better services. Every time a franchise fails – because they make up figures to win the contract – the state operation steps in and performance increases. Other governments can own our railways and make a profit for their people, just not our government for us.  Meanwhile we are left requiring a post grad maths degree to understand the ticketing system. The fragmentation, the delays, the lack of any guiding mind, the lost and wasted knowledge of workers and passengers, treated like consumers but with no consumer rights.

Its an experiment that has failed.

A pledge to make each franchise public as they expire would be cheap, green, popular and workable. Labour would be cheered on every platform and every carriage. And yet some in Labour seem locked in a time warp of the early 1990s; scared of looking old Labour when everyone can see the common sense of public ownership. Labour has nothing to fear but fear itself.

By taking such a step Labour would be committing itself to prove that democratic accountability can be more efficiency that market competition. User and producer voice is the best way to keep mangers on their toes. But this is not just about money or efficiency. Trains and stations should be places that we all share in common. Turning them into sites of profit simply hasn’t worked, in part because it doesn’t make us feel good. We live in an amazing country, full of amazing people. Everyone should be able to travel around it to see the people they love and all those beautiful places.

If every MP, MEP, councillor, Constituency Labour Party (CLP) member, party member and every Labour supporter were joined by every equality, social justice, environment, disability, rural rights and democracy campaigner then this policy would be unstoppable. It’s already started. Everyone can sign up here at All on Board.

Rail is the sweet spot of democracy, equality and sustainability. It ticks all the boxes. There is nothing not to like. Give the trains back to the people – the people want them and they will vote Labour to make it happen.

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