Govia Thameslink avoids nationalisation plans despite £23.5m Southeastern fine
Railway operator Govia Thameslink is expected to avoid nationalisation plans even though its subsidiary Southeastern was slapped with a £23.5m fine.
A joint venture between the Go-Ahead Group and French public transport company Keolis, Govia is reportedly being awarded a “national rail contract”, which will allow it continue operations.
Whitehall sources told the Telegraph an announcement could come as early as this week, as ministers were told Southeastern’s issues did not spread to the parent organisation.
“Where we stand right now, we have got the reassurance that we need,” the source told the Telegraph.
According to a Department for Transport’s (DfT) spokesperson talks have been progressing between Govia and the government over the contract.
“The department has been progressing discussions with GTR [Govia Thameslink] on a new National Rail Contract in parallel to its review into LSER’s [Southeastern’s] conduct and the evidence (including the evidence provided by the owning groups) to determine if it is appropriate to enter into this contract when the current contract expires,” they said.
Govia’s impressive fine was issued after evidence emerged that the railway operator deliberately concealed £25 of taxpayer’s money related to HS1, CityAM reported.
“I took decisive action and did not renew the contract with Southeastern following this appalling breach of trust”, Transport Secretary Grant Shapps said, adding that the government’s action “protected taxpayers and passengers.”