from: http://www.scotsman.com/business/management/stagecoach-forms-uk-s-first-deep-alliance-with-network-rail-1-2265063
 
Stagecoach forms UK’s first ‘deep’ alliance with Network Rail By PETER RANSCOMBE
Published on Monday 30 April 2012 09:59

Perth-based transport group Stagecoach has been given the green light to form a joint venture with Network Rail to oversee tracks and trains on its South Western Trains franchise.

The joint venture will manage both trains and day-to-day track maintenance on Wessex services out of London’s Waterloo station.

Sources close to the Stagecoach had previously said that the move could cut bureaucracy and some operating costs.

Trade unions had said such a move would put safety at risk, a charge refuted by Stagecoach.

Sir Brian Souter, the firm’s chief executive, said: “This new model is a real opportunity to deliver change that will benefit both passengers and taxpayers and support our objective of growing the railway.

“Safety will continue to be our top priority and will remain at the core of the way we run the railway. In addition, by working more closely with Network Rail than ever before, and with aligned incentives, we can deliver a more customer-focused and more efficient railway for the long-term.”

David Higgins, chief executive at Network Rail, added: “This marks a new phase in the evolution of Network Rail as we continue to push decision making away from the centre, empowering our front-line managers to run the railway more effectively, and forging closer working relationships with our customers, the train operators.

“Network Rail will continue to focus on delivering our obligations to all parties, protecting the interests of all customers whilst maintaining the seamless operation of the whole network.”