Euro-MP Welcomes investigation in to late train compensation

12.00.00am GMT Wed 3rd Mar 2004

West Midlands Euro-MP Liz Lynne has welcomed news that the National Audit Office will conduct an investigation into the failure of train companies to pass on millions of pounds of compensation for late trains.

The announcement of an investigation came after Liz's colleague at Westminster John Thurso MP, Liberal Democrat Shadow Transport Secretary, wrote to the National Audit Office demanding an inquiry.

In 2002/3 train operating companies (TOCs) were handed nearly £400 million in compensation by Network Rail, much of which is indirectly taxpayers' own money. Yet very little of this appears to be taken up by passengers themselves in compensation.

Commenting, the Liberal Democrat MEP said:

"Both the Department for Transport and the Association of Train Operating Companies have admitted they have no record of how much of the £400m was passed on to passengers. This is a matter with serious implications for the correct and proper use of taxpayer's money.

"It is essential that compensation paid to the train operating companies gets passed on to the people who are most affected by delays - the passengers. The National Audit Office admits the compensation system is simply too complicated. It is good to know this issue is finally being taken seriously."

ENDS