"Unacceptably poor performance" New British government wants to nationalize railroads again

Rail transport in the UK is soon to be back in public hands: The new Labour government is planning to re-nationalize the railroads "after years of unacceptably poor performance".

Britain's new Labour government presented a bill on Thursday for the gradual nationalization of British rail services. "After years of unacceptably poor performance, the Bill is a milestone that will allow the Government to bring passenger rail services back into public ownership," the government said.

If the legislation is passed, the rail operators will be transferred to public ownership once the contracts with the private companies expire - or sooner if the companies are poorly managed.

"Our transport system is broken"

According to the government, it will be able to avoid compensation payments as the current contracts expire in 2027. "Our transport system is broken, but today's bill will pave the way for better trains that work for everyone, no matter where you live," said Transport Minister Louise Haigh.

The Labour Party had won the House of Commons election on July 4, partly on the promise to fix the country's ailing transport services, over the previously ruling Conservatives.

Strikes, train cancellations, high prices

Rail operations were privatized in the mid-1990s under Conservative Prime Minister John Major, while the rail network remained in public hands. Four out of 14 operators in England had been taken over by the state in recent years due to poor performance - although this was only to remain a temporary solution.

The largest rail operators in Scotland and Wales, where transport policy is run by the regional governments in Edinburgh and Cardiff, are also state-owned.

In recent years, the British railroads have faced a number of strikes in the face of a cost of living crisis in the country. Train cancellations are commonplace and passengers regularly complain about the high ticket prices.