Fight Labour's failing policies!
The Railtrack gravy train has hit the buffers.
As the first bombs fell on Kabul, news emerged of the government take-over of the bankrupt infrastructure company, which had been siphoning in government subsidies and pumping them back out as profits for shareholders.
Railtrack went to the wall owing £3.3 billion, after failing to persuade even Tony Blair’s government to prop it up with another round of taxpayer’s money.
Ministers have been eager to argue that the body to take Railtrack’s place will be another "private company". But it will be nationalisation in all but name: the company will impose no redundancies, will have no shareholders, will include trade union representatives on its board, and will recycle any ‘profits’ back into the rail industry: there is not even a promise to compensate shareholders in the now worthless company!
The lesson is clear: the collapse of Railtrack has destroyed any credibility for New Labour’s agenda of "partnership" with the private sector. Rail unions must step up the fight to stop the imposition of the PPP scheme on the London tube, and for renationalisation of the remainder of the rail industry.
And the fight on all fronts against Labour’s privatisation agenda must be stepped up.
Note - since this article was published, the government has conceded the principle of compensating the shareholders and legal action continues