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Welsh Government set to nationalise railways with Transport for Wales takeover

'They probably won't like the word nationalise, but that is what in effect has happened'

The Welsh Government is preparing to announce that it will take full ownership of Transport for Wales Rail, according to reports.

According to The Telegraph, a fall in passenger numbers on the Wales and Borders services due to the coronavirus crisis has had a big impact on operations.

The Welsh Government has not denied the reports and WalesOnline understands an announcement will be made on Thursday morning.

A spokesman said: ?The Minister for Economy, Transport and North Wales will tomorrow announce a series of measures to protect services for rail passengers, maintain jobs, and keep momentum on the Metro project, in light of the ongoing coronavirus pandemic.?

While the takeover will take time it could lead to the development of integrated ticket travel.

This means a person will be able to purchase a ticket from one destination to another or use a travel card which can be used across buses and trains, without having to purchase individual tickets for journeys.

Franchises like Keolis-Amey would be reluctant to introduce a service like this unless it was part of their bid package or it offered a commercial benefit. But a publicly owned company, which Transport for Wales will be under the Welsh Government, would view these initiatives differently.

I am writing to members to update on progress regarding the future of the Wales and Borders rail service and, specifically, the future delivery model Transport for Wales will be implementing which will allow us to adapt our plans to a post-Covid era. ...

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From February 2021, the delivery of day to day rail services will be the responsibility of a new publicly-owned subsidiary of Transport for Wales, allowing government to have an even greater role in the delivery of rail services in Wales and the borders, reflective of the new commercial realities of the post Covid-19 environment. With huge uncertainty over passenger revenue, this provides us with the most stable financial base to manage rail services as we emerge from the pandemic.

Infrastructure management and transformation of the Welsh Government-owned Core Valley Lines will continue to be delivered under the current contract. This will provide stability for the programme to ensure effective delivery of the south Wales Metro transformation work which is already underway.

A new partnership with Keolis and Amey, led by Transport for Wales, will be developed, which will allow the people of Wales to continue to draw on the international experience and expertise of these partners to help TfW to deliver important commitments such as integrated ticketing, on demand transport systems, cross modal design and delivery, in addition to the ongoing integration of light and heavy rail.