Fears for rail services in downturn

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Executives of the five largest public transport groups, Stagecoach, National Express, Go-Ahead, Arriva and FirstGroup, are meeting Transport Secretary Geoff Hoon, with the impact of the economic downturn believed to be on the agenda.

Rail unions have voiced fears the firms may be looking to cut train services, and have pledged to fight any such moves.

Some rail companies have already announced job losses and other cuts in recent weeks in response to the economic slump.

The Rail Maritime and Transport union said private train operators which have made hundreds of millions of pounds in profits must not be allowed to cut rail services.

General secretary Bob Crow said: "If ever there was a case of greedy privateers wanting to have their cake and eat it this is it. The big five monopoly operators have been minting it at the public's expense for more than a decade, handing over tens of millions of pounds in dividends to shareholders on the back of public subsidy, overcrowding and massive fares hikes.

"Revenues, profits and dividends have been rising steadily, but at the first hint of a slowdown they want to slash services and sack staff when that is the reverse of what the economy and environment need."

Gerry Doherty, leader of the Transport Salaried Staffs Association, added: "If the companies are allowed to cut services it can lead to more cattle truck conditions for passengers.

"The companies are desperate to cut costs to keep their shareholders happy and never mind what happens to the hapless captive commuters."

A spokesman for the Association of Train Operating Companies said Tuesday's meeting was "routine". He added: "Some off-peak trains may be reduced in length, but I don't think anyone at this stage is talking about service cuts."