Government in talks with Central Railway

Exclusive by Carol Millett

The Government is in talks with Central Railway on the possibility of including the company's proposed £5bn privately financed rail freight line in its integrated transport policy plans.

The company has met with the Downing Street policy unit, transport ministers and the shadow Strategic Rail Authority (sSRA) to discuss how the route might interface with the Government's integrated transport policy.

Central Railway is proposing to design, build and operate the route from Liverpool via Manchester, Sheffield, the Midlands, London and through the Channel Tunnel to Lille in northern France. The new line will run largely on existing and disused railway lines. There will also be tunnelling works along the route.

Central Railway refused to comment on its discussions with the Government. However, a sSRA spokesman confirmed that the company had met with sSRA officials. He said: "We are in talks with the company. The sSRA will assume responsibility for the Government's rail freight strategy when the new transport bill is enacted at the end of this year. We are looking at the line of the route and considering whether it will fit in with Government plans for a major rail freight route. But we must be sure it does not fall foul of our plans for passenger networks."

A Department of the Environment Transport and the Regions spokesman acknowledged that transport officials were aware of Central Railway's proposals. He added: "This Government fully supports and actively promotes rail freight in moving heavy goods over long distance routes. Such schemes are in the spirit of the Government's plans for a fully integrated transport system."

The Downing Street policy unit refused to comment, but a source close to the discussions said: "The company has been in discussions with the Downing Street policy unit. Their (Downing Street) view is that if Central Railway cancelled out London and, as long as the funding is in place, the scheme will get a much more sympathetic hearing in Parliament."

The scheme failed to get the go-ahead in 1996 under the Transport and Works Act because of concerns over how the route would run through London and the amount of public opposition it would meet. Central Railway is hoping to seek parliamentary approval early next year. The parliamentary vote has been insured by Central Railway to protect contractors and investors.

The company has already issued tender documents for the locomotives and electrical packages (see CJ 24 May, page 1). The civils package is to be put out to tender this month.