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Legal Action By Jilted Rail Companies Is Profit Extremism

13 May 2019

TSSA General Secretary, Manuel Cortes, has dubbed legal action by two rail operators as "profit extremism in a dying franchise system."

Arriva is taking legal action against the government after it failed in its bid to land the future running of the East Midlands franchise which was won by Dutch outfit, Abellio.

This followed an earlier move by Stagecoach which said it would go to court after being banned from bidding for the East Midlands services.

Cortes said: “What we are seeing is Arriva and Stagecoach throwing their toys out of the pram when they don’t get their own way.

They are not concerned with the public good and care only for the future of their profits made at the expense of British passengers and taxpayers.

“We know the Department for Transport (DfT) under Chris Failing Grayling hasn’t a clue, but now we have the ugly spectacle of private companies in effect suing the taxpayer in a bid to save future profits.

“These train companies are showing a taste for profit extremism in a dying franchise system. I will never tire of saying it – because the public stands with us – we need a railway run for people not profit.

“This latest episode simply serves to highlight that point.”

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