Posted 23rd August 2011 | 6 Comments
Prime Minister refuses rethink on Thameslink contract
The present Thameslink fleet on the Bedford route consists mainly of Class 319 units, which will be displaced by the new trains
PROTESTS are growing in Derby after it was revealed that the Prime Minister has refused to meet a delegation calling for a rethink over the Thameslink rolling stock contract.
It's feared that as many as 20,000 jobs could have been placed at risk by the decision to name Siemens as preferred bidder rather than Derby-based Bombardier.
David Cameron has written to Derby North MP Chris Williamson, re-affirming that the contract cannot now be halted, even though it has only reached the 'preferred bidder' stage.
Mr Cameron said: "This would cause very substantial delays to the programme and moreover, would not help Bombardier, which even if it were successful at re-tender, would still not have the new work for several more years."
But he did indicate that the rules could change in the future, to bring the UK more into line with other European countries such as France and Germany, where the wider effects of awarding major contracts are taken into account.
He explained: "I have asked departments to look at the degree to which, for future procurements, the government can set out the requirements and evaluation criteria with a sharper focus on the UK's strategic interest."
However, some observers claim that a complete restart would not be needed, because Siemens could be ruled out after revelations that the company has been involved in corruption scandals in several countries.
Chris Bovis, who teaches business law at Hull University, told the Daily Mirror that the transport secretary Philip Hammond could still give the contract to Britain’s last train-builder.
He said: "In theory, and in practice, the government can abort the contract at any stage. The consequences could be serious or less serious depending how much contractually it is committed. The government would be liable to compensate the firm for abortive costs, such as money incurred during bidding."
Meanwhile, the House of Commons transport committee will be making its own inquiries into the government's conduct of the Thameslink tender next month, where Mr Bovis will be one of a number of witnesses.
A special train is to carry protestors from Derby to London on 7 September for a mass lobby as the select committee meets.
Another protest rally is planned on 14 September during the annual Trades Union Congress in London, and further demonstrations – organised by Derbyshire business leaders and politicians, Bombardier staff and trade unions – are expected at the Liberal Democrat and Conservative party conferences in the next two months.
Reader Comments:
Views expressed in submitted comments are that of the author, and not necessarily shared by Railnews.
phil gaskell, manchester, uk
david cameron is the most destructive prime minister as regards to uk industry as we had since margaret thatcher. this guy and his cabinet need to look at what is happening to this country. i work in the uk rail industy and am dismayed at the future.,
Dave, Nottingham, UK
"Mr Cameron said: "This would cause very substantial delays to the programme and moreover, would not help Bombardier, which even if it were successful at re-tender, would still not have the new work for several more years." "
Wrong. Bombardier are ready to design this train now. The work is not limited to the shop floor, Engineering, Procurement, finance, would start working on this now. Cameron has no idea how these things work.
Joel Kosminsky, London, Britain
The real issues are ownership / operation of national infrastructure and political will. Changing the rules in future won't restart a lost industry; the contract CAN be reviewed (EU rules permit this) while we still have (albeit overseas-owned) a train-build capacity.
A 'further delay' is irrelevant - the Thameslink project is already overdue by at least eleven years... How long before the new Siemens bogie reaches operational status?
Lynne, DERBY, UK
The French & Germans don't have cause to throw their rattles out the pram, because their Goverments take into account the economic impact of job losses. TWENTY THOUSAND job losses should be reason enough for a review as it will cost millions of pounds of taxpayers' money in benefits. This contract is flawed if the Goverment is now saying this will be taken into account in future. IT SHOULB BE TAKEN INTO ACCOUNT NOW. The future may be too late. If Bombardier closes its UK operations we will have no choice to buy from abroad in future & will prices be so competitive then?
Lutz, London
There is still no substantial case for a review of the award of the contract within the terms under which the recent decisions have been made.
It seems that Bombardier is trying to follow French practice of throwing their rattle out of the pram because they came second.
Melvyn Windebank, Canvey Island< Essex, England
Dave's too busy packing his suitcases for another holiday in Cornwall.
What Dave really needs is a nice long holiday!
Shame Bombardier at Derby can't build trains which have not been ordered and then offer them direct to rail operators: I reckon some priivate enterprise DMUs could soon find a market?