Director of Passenger Rail Franchising
Encyclopedia
The Director of Passenger Rail Franchising is a statutory office created in 1993 by the Railways Act 1993
and usually called the Franchising Director. It lasted from 5 November 1993 until 31 January 2001 when it was superseded by the Strategic Rail Authority
.
On 1 February 2001 the position of Franchising Director was abolished by the Transport Act 2000
and the passenger rail franchising functions were transferred to the newly-created Strategic Rail Authority. The SRA was in turn abolished in 2006 and the SRA's franchising functions were taken over by the Secretary of State for Transport
.
Salmon was succeeded by John O'Brien, a businessman, who succeeded in selling 25 rail franchises in under two years (1995–97). The last franchise - ScotRail - was awarded only three weeks before the British general election of May 1997, in which the Labour government of Tony Blair
was elected. The Labour Party had promised to halt the privatisation programme if it had won power soon enough, but O'Brien beat them to it.
At the Labour party conference in September 1998, the then Secretary of State for Transport
and Deputy Prime Minister
John Prescott
MP announced that he intended to have a 'spring clean of the regulators', and O'Brien immediately offered his resignation. He had no need to do so, but gained great credit in the railway industry for an honourable offer, which was thought to surprise Prescott. O'Brien was asked to stay on until Prescott had made his decision on the new post-holder.
Prescott intended to set up a new regulatory body for the passenger railway, the Strategic Rail Authority, but he needed legislation to do so. The post of Franchising Director therefore remained to be filled until that legislation could be passed and brought into force. After announcing that Sir Alastair Morton
would become the chairman of the SRA, Prescott needed to find a replacement for O'Brien. Morton secured the appointment of Mike Grant
, a former colleague of Morton's from his Eurotunnel
days and then head of Railtrack
's property division.
Grant became Franchising Director in April 2000, and remaining in that post until 1 February 2001 when the Transport Act 2000 was brought into force, abolishing the position of Franchising Director and creating the SRA. Grant was appointed as the first chief executive of the SRA, under Morton's chairmanship. He remained in that role until shortly after Richard Bowker
took over as SRA chairman and combined the roles of chairman and chief executive.
Railways Act 1993
The Railways Act 1993 was introduced by John Major's Conservative government and passed on 5 November 1993. It provided for the restructuring of the British Railways Board , the public corporation that owned and operated the national railway system...
and usually called the Franchising Director. It lasted from 5 November 1993 until 31 January 2001 when it was superseded by the Strategic Rail Authority
Strategic Rail Authority
In existence from 2001 to 2006, the Strategic Rail Authority was a non-departmental public body in the United Kingdom set up under the Transport Act 2000 to provide strategic direction for the railway industry....
.
Main function
The Franchising Director's main function was to sell passenger rail franchises to private sector companies participating in the privatisation of the British railway industry.On 1 February 2001 the position of Franchising Director was abolished by the Transport Act 2000
Transport Act 2000
The Transport Act 2000 is an Act of the Parliament of the United Kingdom. It provided for a number of measures regarding transport in Great Britain, most notably, the first major change in the structure of the privatised railway system established under the Railways Act 1993...
and the passenger rail franchising functions were transferred to the newly-created Strategic Rail Authority. The SRA was in turn abolished in 2006 and the SRA's franchising functions were taken over by the Secretary of State for Transport
Secretary of State for Transport
The Secretary of State for Transport is the member of the cabinet responsible for the British Department for Transport. The role has had a high turnover as new appointments are blamed for the failures of decades of their predecessors...
.
Holders of office
The first Franchising Director was Roger Salmon, a former investment banker. Salmon presided over the design of the franchising regime, but he resigned before the franchising programme began in earnest.Salmon was succeeded by John O'Brien, a businessman, who succeeded in selling 25 rail franchises in under two years (1995–97). The last franchise - ScotRail - was awarded only three weeks before the British general election of May 1997, in which the Labour government of Tony Blair
Tony Blair
Anthony Charles Lynton Blair is a former British Labour Party politician who served as the Prime Minister of the United Kingdom from 2 May 1997 to 27 June 2007. He was the Member of Parliament for Sedgefield from 1983 to 2007 and Leader of the Labour Party from 1994 to 2007...
was elected. The Labour Party had promised to halt the privatisation programme if it had won power soon enough, but O'Brien beat them to it.
At the Labour party conference in September 1998, the then Secretary of State for Transport
Secretary of State for Transport
The Secretary of State for Transport is the member of the cabinet responsible for the British Department for Transport. The role has had a high turnover as new appointments are blamed for the failures of decades of their predecessors...
and Deputy Prime Minister
Deputy Prime Minister
A deputy prime minister or vice prime minister is, in some counties, a government minister who can take the position of acting prime minister when the prime minister is temporarily absent. The position is often likened to that of a vice president, but is significantly different, though both...
John Prescott
John Prescott
John Leslie Prescott, Baron Prescott is a British politician who was Deputy Prime Minister of the United Kingdom from 1997 to 2007. Born in Prestatyn, Wales, he represented Hull East as the Labour Member of Parliament from 1970 to 2010...
MP announced that he intended to have a 'spring clean of the regulators', and O'Brien immediately offered his resignation. He had no need to do so, but gained great credit in the railway industry for an honourable offer, which was thought to surprise Prescott. O'Brien was asked to stay on until Prescott had made his decision on the new post-holder.
Prescott intended to set up a new regulatory body for the passenger railway, the Strategic Rail Authority, but he needed legislation to do so. The post of Franchising Director therefore remained to be filled until that legislation could be passed and brought into force. After announcing that Sir Alastair Morton
Alastair Morton
Sir Alastair Morton was Chief Executive of Eurotunnel and Chairman of the Strategic Rail Authority and an industrialist of considerable achievements and renown....
would become the chairman of the SRA, Prescott needed to find a replacement for O'Brien. Morton secured the appointment of Mike Grant
Mike Grant
Michael Grant was a Canadian ice hockey defenceman who played for the Montreal Victorias in the AHAC.-Playing career:...
, a former colleague of Morton's from his Eurotunnel
Eurotunnel
Groupe Eurotunnel S.A. manages and operates the Channel Tunnel between Britain and France. The Company operates the car shuttle services and earns revenue on other trains passing through the tunnel...
days and then head of Railtrack
Railtrack
Railtrack was a group of companies that owned the track, signalling, tunnels, bridges, level crossings and all but a handful of the stations of the British railway system from its formation in April 1994 until 2002...
's property division.
Grant became Franchising Director in April 2000, and remaining in that post until 1 February 2001 when the Transport Act 2000 was brought into force, abolishing the position of Franchising Director and creating the SRA. Grant was appointed as the first chief executive of the SRA, under Morton's chairmanship. He remained in that role until shortly after Richard Bowker
Richard Bowker
Richard Ryther Steer Bowker was an Australian physician, surgeon and politician.Bowker the son of Thomas Dawson and Elizabeth Steer and born at Campsall, Yorkshire, England. He was awarded diplomas in botany and materia medica in Paris in 1836 and an MD from the University of St Andrews in 1839...
took over as SRA chairman and combined the roles of chairman and chief executive.