PROFITEERS operating two northern English rail franchises have handed shareholders £400 million in dividends, but are still set to win a new deal to run the services.

Northern Rail and TransPennine Express have respectively paid out £179m and £213m in dividends since 2007, according to RMT research.

The figures were revealed in a letter to councillors warning that three foreign state-owned rail operators had been shortlisted for new franchises — meaning passengers could be subsidising rail services in mainland Europe.

The letter was sent before today’s protests by workers and passengers, who will gather at stations across the north to denounce the rail rip-off.

“Jobs, services and safety across the north are threatened, with the cash saved used to hold down fares and expand services in other parts of Europe,” said rail union RMT.

“That is the insanity of this government’s rail privatisation obsession laid bare.”