Advertising helps fund Big Issue’s mission to end poverty
News

Could the railways be run as a social enterprise?

As the debate over nationalising the railways continues, one policy expert has suggested the system could work best as one huge social enterprise

Wealth is increasingly concentrated in London and the South East.

Any discussion about train fares, delays and crowded carriages these days quickly turns to the merits of re-nationalising the railways.

But a policy wonk at the umbrella body for social enterprises in Scotland has a bold and radical idea: let the railways be run as a social enterprise – a not-for-profit, independent business with a social mission.

Duncan Thorp, policy officer for Social Enterprise Scotland, said it’s time for “some imagination” in a debate dominated by the “hamster wheel” of privatisation versus the state.

“Now is the right time to build a social enterprise rail service for Scotland – and indeed right across the UK,” Thorp suggested, explaining that “a new, national social enterprise, owned by the community – by the people…would have strong public support, a vote-winner for any political party.”

The company should be democratic, a business managed by employees, with elected directors, getting rid of top-down centralisation

While the currently privatised system has its frustrating absurdities – in Scotland, the trains are run by a Dutch government company, with profits going back to Dutch public coffers – Thorp said the old British Rail set-up had its flaws too, suffering from a centralised, top-down inflexibility.

Thorp said a social enterprise rail service need not necessarily suffer from these drawbacks. “(It) would mean rail passengers on the company board and no private shareholders,” he explained. “The company should be democratic, a business managed by employees, with elected directors, getting rid of top-down centralisation.”

Advertising helps fund Big Issue’s mission to end poverty
Advertising helps fund Big Issue’s mission to end poverty

Transport expert Christian Wolmar, a previous Labour candidate for London Mayor, is keen on the idea of a new way of nationalising the railways without returning to the British Rail model.

He has suggested a co-operative structure would be the best, an idea also floated by the Co-operative Party.

Paul Salveson, a visiting professor in transport at the University of Huddersfield, has previously called for the railways to be run in the “tradition of co-operation, community, mutuality and decentralisation,” that many social enterprises across the UK have tapped into.

Continue reading for free

Registration is free and takes less than 30 seconds.

Our supporters make Big Issue’s work possible. Join us to see the impact we’re having together and discover more ways to help people facing poverty access income, opportunity and support.

Do you think a social enterprise railway could work? Get in touch at editorial@bigissue.com / @bigissue and let us know.

Advertising helps fund Big Issue’s mission to end poverty

Do you know how Big Issue 'really' works?

Watch this simple explanation.

Recommended for you

View all
What walking around the world taught Karl Bushby: 'A constant display of the very best of humanity'
Karl Bushby in Chile in 1999
Travel

What walking around the world taught Karl Bushby: 'A constant display of the very best of humanity'

Heatwaves hit Big Issue vendors' sales: 'Selling in the hot weather can be the worst time'
Jason Sallis, who sells the Big Issue in Moorgate, has been struggling in the heat. Photo credit: Louise Haywood-Schiefer
News

Heatwaves hit Big Issue vendors' sales: 'Selling in the hot weather can be the worst time'

Andy Burnham wants to prevent homelessness. But can he do it in 'landlord-class Britain'?
The silhouette of a homeless person sat in front of a house illustrated as a calculator
Investigation

Andy Burnham wants to prevent homelessness. But can he do it in 'landlord-class Britain'?

Labour 'turning the tide' on homelessness but Burnham 'must go further' to help homeless kids
Prime minister Andy Burnham pictured with a child in Sheffield
Housing

Labour 'turning the tide' on homelessness but Burnham 'must go further' to help homeless kids