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GOVIA managed to cling on to running Britain’s biggest rail franchise today following government sanctions over the timetabling chaos described as a “pathetic insult” to passengers.
The franchisee will make no profit this year and reduced profit for the remainder of its franchise under sanctions imposed by the Department for Transport (DfT).
Govia Thameslink Railway (GTR) will also be required to contribute £15 million towards improvements in services for passengers.
This fee will be on top of the £15 million the operator has already coughed up towards passenger compensation since the timetable disruption in May.
However DfT stopped short of stripping the troubled Southern franchise from GTR, arguing it would “cause further and undue disruption for passengers, and is not an appropriate course of action.”
The Department for Transport said: “Performance after the May timetable change was unacceptable.
“This action announced today holds GTR to account appropriately and will benefit passengers.
“The department will continue to monitor closely the performance of GTR, particularly during the upcoming December timetable change.
“These measures do not make GTR immune from further sanctions in the event of any subsequent failure to perform.”
Rail unions have reacted angrily to the decision and called for Transport Secretary Chris Grayling to resign.
RMT general secretary Mick Cash said: “Chris Grayling's half-hearted slap on the wrists for GTR is a pathetic insult to the many thousands of passengers who have suffered daily misery at the hands of this basket case franchise.
“By refusing to strip them of the contract they are being given yet another licence to carry on with chaos by the man who is Britain’s leading specialist in failure.
“Chris Grayling should resign and he should take his bankrupt private franchising operation with him, and give the public sector a chance to clean up the mess he has left behind."
TSSA general secretary Manuel Cortes added: “Failing Grayling is beyond a joke – not only did he fail to take responsibility for the fiasco over timetabling, he’s only now realising privatisation and fragmentation of our railways has failed.”
However peers rejected calls for Mr Grayling to quit in the House of Lords yesterday.