Transport Secretary to look at governance and salaries paid by train operating companies
In the House of Commons today, I pressed the Secretary of State for Transport, Justine Greening MP, to publish the top salaries paid by train operating companies. In her response, the Transport Secretary agreed to look into the matter. Our exchange can be read here.
There are six private companies which receive substantial subsidies from the taxpayer for running rail franchises but only one, London and South East Railway Ltd (the Govia South Eastern Trains franchise) publishes information about the remuneration of its directors in its accounts.
According to the company’s accounts for the financial year ending 31 July 2011, the highest paid Director at London and South East Railway Ltd received £293,000 in “emoluments”, plus a pension annuity of £34,768 and a further pension contribution of £16,658.
I want the Secretary of State to publish on an anonymous basis the salaries and bonuses of all directors and staff at railway companies that receive public money, who earn more than the Secretary of State for Transport. Justine Greening said she will look at my proposal.
When rail fares are rising faster than inflation, taxpayers should know how much of their money goes on executive pay and perks, in companies which are subsidised by the taxpayer.