WRITTEN QUESTION E-0282/02 by Theresa Villiers (PPE-DE) to the Council. Railtrack.
Date: 2002-02-08
Institutions: European Parliament, Provisional data
Subjects: United Kingdom, common transport policy, investment protection, liberalisation of the market, liquidation, private investment, rail transport, transport infrastructure

C 205 E/106

Official Journal of the European Communities

EN

29.8.2002

(2002/C 205 E/117)

WRITTEN QUESTION E-0282/02

by Theresa Villiers (PPE-DE) to the Council

(8 February 2002)

Subject: Railtrack

The UK government recently put Railtrack PLC into liquidation. It looks likely that the owners of shares in
Railtrack will lose virtually all of their capital investment in the company, without any compensation. Is
the Council concerned at the way in which the UK government has handled the liquidation of Railtrack?

In particular, does the Council believe that the effective confiscation of Railtrack shares in the UK may
jeopardise plans for the liberalisation of transport infrastructures around Europe, as investors are deterred
from investing in such projects for fear that the Railtrack precedent will be repeated with sudden
renationalisation without compensation? Does the Council believe that
the UK government should
compensate the shareholders of Railtrack?

Reply

(21 May 2002)

The Council would ask the Honourable Member to address her question to the EC Commission.

(2002/C 205 E/118)

WRITTEN QUESTION E-0283/02

by Theresa Villiers (PPE-DE) to the Commission

(8 February 2002)

Subject: Railtrack

The UK government recently put Railtrack PLC into liquidation. It looks likely that the owners of shares in
Railtrack will lose virtually all of their capital investment in the company, without any compensation. Is
the Commission concerned at the way in which the UK government has handled the liquidation of
Railtrack?

In particular, does the Commission believe that the effective confiscation of Railtrack shares in the UK may
jeopardise plans for the liberalisation of transport infrastructures around Europe, as investors are deterred
from investing in such projects for fear that the Railtrack precedent will be repeated with sudden
renationalisation without compensation? Does the Commission believe that the UK government should
compensate the shareholders of Railtrack?

Answer given by Mrs de Palacio on bhealf of the Commission

(2 April 2002)

Managing railway infrastructure is an important element of the Community’s and national transport
policies. The Commission has been informed about the situation of Railtrack and about the solutions
envisaged to terminate the administration period. The Commission is reassured that administrators have to
act in the public interest and in the interest of creditors and investors of Railtrack. It also appreciates that
rail services have to be guaranteed during the administration period.

The question of property rights in the railway sector being a matter of Member States competence, under
subsidiarity rules, the Commission is not in a position to comment the way in which the British
government has handled the liquidation of Railtrack.

The Commission has no comment to make on the issue of a possible compensation by the Government of
the shareholders of Railtrack.